Contract Repair of State Route 3010 in Somerset County
Appeal Brief
Appeal Letter
Appeal Analysis
Citation: FEMA-1093-DR-PA; Somerset County (the County); DSR 36154
Cross Reference: Preexisting condition, standards.
Summary: Following flooding in January 1996, the Pennsylvania Department of Transportation (PennDOT) awarded a construction contract for repairs to damages on 49 State routes (S.R.s) in the County. The subject of this appeal is the contract repair to S.R. 3010. In February 1996, a PennDOT design team inspected S.R. 3010. They used their findings to develop construction plans. The construction contract was awarded in March 1996; the low bid was $1,632,281. The estimate for repairs to S.R. 3010 totaled $273,428. In April 1996, a FEMA team inspected S.R. 3010; construction had not yet begun. Although the FEMA team used the data sheets prepared by the PennDOT inspection team, their assessment varied significantly. At each location, they noted the repair items and quantities that FEMA would approve. In May 1996, DSR 36154 was approved for $41,792.
PennDOT submitted a first appeal in July 1996, requesting $7,842 as a "Supplement," but later acknowledged that this was in error. PennDOT submitted a second appeal in April 1997, requesting an additional $84,328 to cover all contract repair costs ($115,530), maintenance costs ($2,388), and engineering and design fees ($8,203). They account for the many items that differ in location, type, and quantity from the approved DSR. They explain how Paved Shoulders, Type 4, were placed in accordance to their standard which they claim meets Title 44, Code of Federal Regulations (CFR), Section 206.226(b). The Regional Director states ".that PennDOT has requested funding for work clearly not eligible, work performed in areas not identified as damaged in the DSR, and work which was allowed on the DSR but not performed." She recommends that a DSR be written to deobligate $19,235.
Issues: Is all of PennDOT's work on S.R. 3010 eligible for FEMA funding?
Findings: No, the repairs include items and quantities that were either constructed outside the limits as identified on the approved DSR or were changed. A detailed analysis accounts for the changes. $45,741 is eligible for FEMA funding, which is $3,949 in excess of the approved DSR.
Rationale: The only eligible work is that which was performed at the locations identified on the approved DSR.
Following flooding in January 1996, the Pennsylvania Department of Transportation (PennDOT) awarded a construction contract, based on a low competitive bid, for repairs to 49 State routes (S.R.s) in Somerset County (the County). The subject of this appeal is reimbursement for the costs of contract repairs to S.R. 3010.
On February 9, 1996, a PennDOT design team inspected the roadway to assess the damage caused by the localized flooding. They documented their findings on "Field View Data" sheets (FVDs) and took photographs of each damage location. PennDOT used this information to develop the construction plans. The construction contract (No. 097606), covering repairs to 49 S.R.s in the County, was awarded on March 20, 1996. The low bid was $1,632,281. The PennDOT cost estimate of $273,428 to repair S.R. 3010 is based on an estimate of quantities for each item multiplied by the respective actual contract unit price. It is not clear if these were the quantities used in the development of the bid documents.
On April 18, 1996, a team of FEMA, the Pennsylvania Emergency Management Agency (PEMA), and local representatives inspected S.R. 3010. Construction had not yet begun. Although this team used the FVD sheets prepared by the PennDOT inspection team, their assessment varied significantly. At each location, they noted the repair items and quantities that FEMA would approve, and sketched each on new FVD sheets. These are summarized on the damage survey report (DSR) and are attached as backup sheets.
On May 13, 1996, DSR 36154 was approved for $41,792. This amount is based on the items and quantities identified by the FEMA inspection team. This is a reduction of $231,636 (85 percent) from the PennDOT estimate of $273,428. Although the quantities for many items were reduced, the bulk of the reduction can be attributed to three items, as follows:
The sum of the reductions attributable to these three items is $210,284, which is a 91 percent of the total reduction.
First Appeal
PennDOT submitted the first appeal to PEMA by letter of July 31, 1996, requesting $7,841.77. This request is actually for "Supplemental" funding, rather than an appeal. The request includes two parts: A) five items they note as omitted on the DSR totaling $4,799.77, and B) two items for which the quantities were changed from those listed on the DSR totaling $3,042.
Of the five items included in A), three are the ancillary contract items of Mobilization, Maintenance and Protection of Traffic, and Inspector's Field Office, all of which were not included in the approved DSR. The lump sum amounts requested were pro-rated based on the ratio of the amount of the approved DSR to the total contract amount. The other two items were for reimbursement for emergency work performed by PennDOT forces (including labor and equipment) immediately after the flood.
The first appeal (or supplemental request) was denied in its entirety by the FEMA Regional Director's letter of February 27, 1997. The Director states that the PennDOT labor and equipment costs for emergency work are ".included in a state-wide Category B [DSR] as previously agreed to." Furthermore, ".the changes in the quantity and types of materials.and the contract ancillary costs will be addressed in conjunction with the small project close-out procedure."
Second Appeal
PennDOT submitted their second appeal to PEMA by letter of April 25, 1997, requesting the amount of $84,328.01. They summarize DSR 36154 as including: (1) the final contract cost of $115,529.75, (2) maintenance and repair costs of $2,387.65, and (3) engineering and design service fees of $8,202.61. These total $126,120.01. The $84,328 requested in the appeal is the increase from the approved DSR amount of $41,792.
In PennDOT's discussion of (1) the contract repair costs, they provide general explanations accounting for the many items for which there are variations in quantities and location. Concerning the construction of the Paved Shoulders, Type 4, they provide a detailed explanation covering how these were placed in accordance to a standard which they claim meets the five criteria mandated by Title 44, Code of Federal Regulations (CFR), Section 206.226(b).
In PennDOT's discussion of (2) maintenance repair costs, they state ".that force account costs (Maintenance Cost) were not eligible or appropriate," and that their (supplemental) request was in error. They state that only appropriate and justifiable maintenance costs, as required to repair the flood damage, are included in this submission. They attach the backup documentation supporting these costs. PennDOT has not, however, clarified what repairs their maintenance forces made.
In PennDOT's discussion of (3) engineering and design service fees, they state that these costs cover the design, contract preparation, monitoring, and inspection. They computed the amount requested by taking 7.1 percent of the construction costs covered by the DSR (per their appeal). They took the percentage from the FEMA "Curve B" for these services.
The FEMA Regional Director's memorandum of July 23, 1997, states ".that PennDOT has requested funding for work clearly not eligible, work performed in areas not identified as damaged in the [DSR], and work which was allowed on the DSR but not performed."
DISCUSSION
The total eligible amount for the contract repair costs on S.R. 3010 is $38,577.79. The actual contract repair costs on S.R. 3010, and the amount requested by PennDOT in their second appeal, is $115,529.75.
Maintenance Repair Costs
PennDOT has not clarified what repairs their maintenance forces made. Therefore, of the $2,387.65 requested by PennDOT in their second appeal, none is eligible.
Engineering and Design Service Fee Costs
PennDOT has requested these costs to cover the design, contract preparation, monitoring, and inspection. They computed the amount by taking 7.1 percent of the construction costs covered by the DSR (per their appeal). They took the percentage from the FEMA "Curve B" for these services, using the "Force Account" curve applied to a construction cost of $115,529.75. The result is $8,202.61, which is the amount included in their second appeal.
These costs are eligible, but the correct computation is made by taking 6.2 percent of the total construction cost amount, then prorating the result to cover just the S.R. 3010 portion of the contract. The 6.2 percent is taken from the FEMA "Curve B" for these services, using the "Contract" curve applied to a net construction cost of $1,000,000. The prorated percentage is computed from the actual construction costs on S.R. 3010 divided by the total construction contract amounible162.84.CONCLUSION
The construction of repairs to S.R. 3010 includes items and quantities that are either outside the limits as identified on the approved DSR or were changed. Our detailed analysis, which is discussed in detail above and tabulated on the attached spreadsheet, identifies those items and quantities that are eligible for FEMA funding. The total cost for these is $45,741. This amount is $3,949 greater than the approved DSR amount of $41,792. Therefore the appeal is partially approved in the amount of $3,949. The Regional Director will prepare a supplemental DSR for this amount of eligible costs.
Appeal Brief
| Disaster | FEMA-1093-DR |
| Applicant | Pennsylvania Department of Transportation |
| Appeal Type | Second |
| PA ID# | 000-92003 |
| PW ID# | 36154 |
| Date Signed | 1997-12-16T05:00:00 |
Cross Reference: Preexisting condition, standards.
Summary: Following flooding in January 1996, the Pennsylvania Department of Transportation (PennDOT) awarded a construction contract for repairs to damages on 49 State routes (S.R.s) in the County. The subject of this appeal is the contract repair to S.R. 3010. In February 1996, a PennDOT design team inspected S.R. 3010. They used their findings to develop construction plans. The construction contract was awarded in March 1996; the low bid was $1,632,281. The estimate for repairs to S.R. 3010 totaled $273,428. In April 1996, a FEMA team inspected S.R. 3010; construction had not yet begun. Although the FEMA team used the data sheets prepared by the PennDOT inspection team, their assessment varied significantly. At each location, they noted the repair items and quantities that FEMA would approve. In May 1996, DSR 36154 was approved for $41,792.
PennDOT submitted a first appeal in July 1996, requesting $7,842 as a "Supplement," but later acknowledged that this was in error. PennDOT submitted a second appeal in April 1997, requesting an additional $84,328 to cover all contract repair costs ($115,530), maintenance costs ($2,388), and engineering and design fees ($8,203). They account for the many items that differ in location, type, and quantity from the approved DSR. They explain how Paved Shoulders, Type 4, were placed in accordance to their standard which they claim meets Title 44, Code of Federal Regulations (CFR), Section 206.226(b). The Regional Director states ".that PennDOT has requested funding for work clearly not eligible, work performed in areas not identified as damaged in the DSR, and work which was allowed on the DSR but not performed." She recommends that a DSR be written to deobligate $19,235.
Issues: Is all of PennDOT's work on S.R. 3010 eligible for FEMA funding?
Findings: No, the repairs include items and quantities that were either constructed outside the limits as identified on the approved DSR or were changed. A detailed analysis accounts for the changes. $45,741 is eligible for FEMA funding, which is $3,949 in excess of the approved DSR.
Rationale: The only eligible work is that which was performed at the locations identified on the approved DSR.
Appeal Letter
December 16, 1997
Mr. Charles F. Wynne
Governor's Authorized Representative
Pennsylvania Emergency Management Agency
Box 3321
Harrisburg, Pennsylvania 17105-3321
Dear Mr. Wynne:
This letter is in response to your May 7, 1997, transmittal of the Pennsylvania Department of Transportation's (PennDOT) second appeal of damage survey report (DSR) 36154 under FEMA-1093-DR-PA. The applicant is requesting funds for repairs to the edge of roadway and shoulders on State Route (S.R) 3010 in Somerset County (the County). Flooding in January 1996 caused the damage.
In February 1996, a PennDOT design team inspected the roadway to assess the damage caused by the localized flooding. They documented their findings, and used the information to develop the construction plans. A construction contract covering repairs to 49 S.R.s in the County was awarded in March 1996; the low bid was $1,632,281. The cost estimate to repair only S.R. 3010 totaled $273,428. In April 1996, a FEMA team inspected S.R. 3010; construction had not yet begun. Their assessment varied significantly from PennDOT's. They noted the locations and the specific items and quantities that FEMA would approve. Accordingly, in May 1996, DSR 36154 was approved for $41,792.
PennDOT submitted a first appeal in July 1996, requesting $7,842 as a "Supplement," but later acknowledged that their request was in error. They submitted a second appeal in April 1997, requesting $84,328 to cover additional costs. They account for the many items that differ in location, type, and quantity from the approved DSR. Our Regional Director indicated work was performed in areas not identified as damaged in the DSR, and work that was allowed on the DSR but not performed.
The documentation provided indicates that the workas originally scoped and contracted by PennDOT, as scoped by the FEMA inspection team and then included in the approved DSR, and as constructedvaries significantly in location, item, and quantity. The only consistency is in the unit prices. The only eligible work performed on S.R. 3010 is that which was identified by the inspection team and included in the approved DSR.
The enclosed analysis has identified those items and quantities that are eligible for FEMA funding. The result of this analysis is a total eligible cost of $45,741. This amount is $3,949 greater than the approved DSR amount of $41,792. Therefore the appeal is partially approved in the amount of $3,949.
Please inform the applicant of this determination. The applicant may appeal this determination to the Director of FEMA. The appeal must be submitted through your office and the Regional Director within 60 days of receipt of this determination.
Sincerely,
/S/
Lacy E. Suiter
Executive Associate Director
Response and Recovery Directorate
Enclosure
Cc: Rita A. Calvan
Regional Director
FEMA Region III
Mr. Charles F. Wynne
Governor's Authorized Representative
Pennsylvania Emergency Management Agency
Box 3321
Harrisburg, Pennsylvania 17105-3321
Dear Mr. Wynne:
This letter is in response to your May 7, 1997, transmittal of the Pennsylvania Department of Transportation's (PennDOT) second appeal of damage survey report (DSR) 36154 under FEMA-1093-DR-PA. The applicant is requesting funds for repairs to the edge of roadway and shoulders on State Route (S.R) 3010 in Somerset County (the County). Flooding in January 1996 caused the damage.
In February 1996, a PennDOT design team inspected the roadway to assess the damage caused by the localized flooding. They documented their findings, and used the information to develop the construction plans. A construction contract covering repairs to 49 S.R.s in the County was awarded in March 1996; the low bid was $1,632,281. The cost estimate to repair only S.R. 3010 totaled $273,428. In April 1996, a FEMA team inspected S.R. 3010; construction had not yet begun. Their assessment varied significantly from PennDOT's. They noted the locations and the specific items and quantities that FEMA would approve. Accordingly, in May 1996, DSR 36154 was approved for $41,792.
PennDOT submitted a first appeal in July 1996, requesting $7,842 as a "Supplement," but later acknowledged that their request was in error. They submitted a second appeal in April 1997, requesting $84,328 to cover additional costs. They account for the many items that differ in location, type, and quantity from the approved DSR. Our Regional Director indicated work was performed in areas not identified as damaged in the DSR, and work that was allowed on the DSR but not performed.
The documentation provided indicates that the workas originally scoped and contracted by PennDOT, as scoped by the FEMA inspection team and then included in the approved DSR, and as constructedvaries significantly in location, item, and quantity. The only consistency is in the unit prices. The only eligible work performed on S.R. 3010 is that which was identified by the inspection team and included in the approved DSR.
The enclosed analysis has identified those items and quantities that are eligible for FEMA funding. The result of this analysis is a total eligible cost of $45,741. This amount is $3,949 greater than the approved DSR amount of $41,792. Therefore the appeal is partially approved in the amount of $3,949.
Please inform the applicant of this determination. The applicant may appeal this determination to the Director of FEMA. The appeal must be submitted through your office and the Regional Director within 60 days of receipt of this determination.
Sincerely,
/S/
Lacy E. Suiter
Executive Associate Director
Response and Recovery Directorate
Enclosure
Cc: Rita A. Calvan
Regional Director
FEMA Region III
Appeal Analysis
BACKGROUNDFollowing flooding in January 1996, the Pennsylvania Department of Transportation (PennDOT) awarded a construction contract, based on a low competitive bid, for repairs to 49 State routes (S.R.s) in Somerset County (the County). The subject of this appeal is reimbursement for the costs of contract repairs to S.R. 3010.
On February 9, 1996, a PennDOT design team inspected the roadway to assess the damage caused by the localized flooding. They documented their findings on "Field View Data" sheets (FVDs) and took photographs of each damage location. PennDOT used this information to develop the construction plans. The construction contract (No. 097606), covering repairs to 49 S.R.s in the County, was awarded on March 20, 1996. The low bid was $1,632,281. The PennDOT cost estimate of $273,428 to repair S.R. 3010 is based on an estimate of quantities for each item multiplied by the respective actual contract unit price. It is not clear if these were the quantities used in the development of the bid documents.
On April 18, 1996, a team of FEMA, the Pennsylvania Emergency Management Agency (PEMA), and local representatives inspected S.R. 3010. Construction had not yet begun. Although this team used the FVD sheets prepared by the PennDOT inspection team, their assessment varied significantly. At each location, they noted the repair items and quantities that FEMA would approve, and sketched each on new FVD sheets. These are summarized on the damage survey report (DSR) and are attached as backup sheets.
On May 13, 1996, DSR 36154 was approved for $41,792. This amount is based on the items and quantities identified by the FEMA inspection team. This is a reduction of $231,636 (85 percent) from the PennDOT estimate of $273,428. Although the quantities for many items were reduced, the bulk of the reduction can be attributed to three items, as follows:
Item: | Per PennDOT Estimate: | Per Approved DSR: |
Selected Borrow Excavation, Coarse Aggregate, No. 2A. | 3,985 tons totaling $71,730. | 386 tons totaling $6,948. |
Paved Shoulders, Type 4. | 8,799 square yards totaling $87,990. | No quantity included. |
Base Replacement, 12" Depth. | 3,051 square yards totaling $85,428. | 997 square yards totaling $27,916. |
The sum of the reductions attributable to these three items is $210,284, which is a 91 percent of the total reduction.
First Appeal
PennDOT submitted the first appeal to PEMA by letter of July 31, 1996, requesting $7,841.77. This request is actually for "Supplemental" funding, rather than an appeal. The request includes two parts: A) five items they note as omitted on the DSR totaling $4,799.77, and B) two items for which the quantities were changed from those listed on the DSR totaling $3,042.
Of the five items included in A), three are the ancillary contract items of Mobilization, Maintenance and Protection of Traffic, and Inspector's Field Office, all of which were not included in the approved DSR. The lump sum amounts requested were pro-rated based on the ratio of the amount of the approved DSR to the total contract amount. The other two items were for reimbursement for emergency work performed by PennDOT forces (including labor and equipment) immediately after the flood.
The first appeal (or supplemental request) was denied in its entirety by the FEMA Regional Director's letter of February 27, 1997. The Director states that the PennDOT labor and equipment costs for emergency work are ".included in a state-wide Category B [DSR] as previously agreed to." Furthermore, ".the changes in the quantity and types of materials.and the contract ancillary costs will be addressed in conjunction with the small project close-out procedure."
Second Appeal
PennDOT submitted their second appeal to PEMA by letter of April 25, 1997, requesting the amount of $84,328.01. They summarize DSR 36154 as including: (1) the final contract cost of $115,529.75, (2) maintenance and repair costs of $2,387.65, and (3) engineering and design service fees of $8,202.61. These total $126,120.01. The $84,328 requested in the appeal is the increase from the approved DSR amount of $41,792.
In PennDOT's discussion of (1) the contract repair costs, they provide general explanations accounting for the many items for which there are variations in quantities and location. Concerning the construction of the Paved Shoulders, Type 4, they provide a detailed explanation covering how these were placed in accordance to a standard which they claim meets the five criteria mandated by Title 44, Code of Federal Regulations (CFR), Section 206.226(b).
In PennDOT's discussion of (2) maintenance repair costs, they state ".that force account costs (Maintenance Cost) were not eligible or appropriate," and that their (supplemental) request was in error. They state that only appropriate and justifiable maintenance costs, as required to repair the flood damage, are included in this submission. They attach the backup documentation supporting these costs. PennDOT has not, however, clarified what repairs their maintenance forces made.
In PennDOT's discussion of (3) engineering and design service fees, they state that these costs cover the design, contract preparation, monitoring, and inspection. They computed the amount requested by taking 7.1 percent of the construction costs covered by the DSR (per their appeal). They took the percentage from the FEMA "Curve B" for these services.
The FEMA Regional Director's memorandum of July 23, 1997, states ".that PennDOT has requested funding for work clearly not eligible, work performed in areas not identified as damaged in the [DSR], and work which was allowed on the DSR but not performed."
DISCUSSION
- Contract Repair Costs
A review of the evidence indicates that the work as originally scoped and contracted by PennDOT, as scoped by the FEMA inspection team and then authorized in the approved DSR, and as constructed, varies significantly in location, item, and quantity. The only consistency is in the unit prices, which are taken from the contractor's low bid and subsequent contract.
FEMA has determined that the only eligible work performed on S.R. 3010 is that which was identified by the inspection team and included in the approved DSR. The detailed analysis performed by our Regional staff is based on this premise, as is this analysis.
The FEMA inspection team has defined the limits of their authorized areas by PennDOT's segment and offset stationing format. PennDOT's construction records are also based on this format. Accordingly, both FEMA analyses have results that indicate that much of PennDOT's construction is outside the limits identified by the inspection team. Also, in several cases, the types of materials and method of construction differ from those approved by the team. These issues and how they apply to the contract items5.Rock, Class R-3, within the areas identified by the inspection team. This item and quantity is therefore eligible. The contract unit price is $21.00 per ton, so the total eligible amount is $323.82.
- PennDOT placed 14.72 tons of Select Borrow Excavation Rock, Class R-4, within the areas identified by the inspection team. This item and quantity is therefore eligible. The contract unit price is $21.00 per ton, so the total eligible amount is $309.12.
- PennDOT placed 100.80 tons of Select Borrow Excavation, Coarse Aggregate, No. 1, within the areas identified by the inspection team. This item and quantity is therefore eligible. The contract unit price is $21.00 per ton, so the total eligible amount is $2,116.80.
- PennDOT has constructed paved shoulders at many locations on the roadway. As they explain in their second appeal letter, their standard Type 4 Paved Shoulders are specified on Resurfacing, Restoration, and Rehabilitation (RRR) projects on roadways of this classification. This specification is in accordance with their design criteria as accepted by the Federal Highway Administration (FHWA). FEMA acknowledges this, but does not consider the work performed under this DSR to be a RRR project. This is because the repairs were made to repair flood damage at spot locations along the roadway with wide gaps between them, and only for a small portion of the width of the roadway. Furthermore, the evidence indicates that paved shoulders did not exist prior to the disaster. Accordingly, FEMA cannot fund construction of the Type 4 Paved Shoulders, but will fund in-kind repairs to the roadway shoulders.
PennDOT's Type 4 Paved Shoulders as constructed on S.R. 3010 consist of Select Borrow Excavation, Course Aggregate, No. 2A, placed at a width of four feet and a depth of four inches, and then covered with a bituminous surface treatment. Additionally, prior to construction of the paved shoulders, PennDOT placed this No. 2A aggregate at some locations as a temporary repair to make the roadway safe in the short term. That No. 2A aggregate was removed prior to installation of the paved shoulders.
At those locations where PennDOT constructed the Type 4 Paved Shoulders within the limits as identified by the inspection team, FEMA will fund the placement of a comparable quantity of No. 2A aggregate. The quantity for the permanent placement will be based on the four-foot width and four-inch depth as constructed, and the actual length constructed within the specific limits identified by the inspection team. This actual length is 12,125 lineal feet. The unit weight for this aggregate, as included in PennDOT's backup material contained in the approved DSR, is 1.62 tons per cubic yard.
The eligible quantity of permanent No. 2A aggregate therefore computes to 242.50 tons. The contract unit price for the No. 2A aggregate is $18.00 per ton, so the total eligible amount for the permanent No. 2A aggregate is $4,078.80.
The eligible quantity for the No. 2A aggregate placed as a temporary repair will be the actual tonnage that was constructed within the limits as identified by the inspection team. In the cases where the actual limits of placement (as taken from PennDOT's construction records) extend beyond the limits as identified by the inspection team, the entire quantity has been determined to be eligible. This is because there is no way to determine the extent of placement within or outside of the areas identified by FEMA.
The eligible quantity of temporary No. 2A aggregate therefore totals 308.11 tons. The contract unit price for the No. 2A aggregate is $18.00 per ton, so the total eligible amount for the temporary No. 2A aggregate is $5,545.98. Adding this to the $4,078.80 determined eligible for the permanent No. 2A aggregate, the sum total for No. 2A aggregate is $9,624.78.
- Both the approved DSR and PennDOT's construction contract included the item of Base Replacement, 12-Inch Depth. However, once construction was underway, the PennDOT field personnel determined that a six-inch depth would be more appropriate. This is because it would match the existing pavement structure, and therefore facilitate drainage of the subbase. The width of this repair as constructed was two feet at all locations. The eligible quantity is therefore based on this width and the actual length constructed within the specific limits identified by the inspection team. This actual length is 2,432 lineal feet.
Because of the change in the depth of the base replacement, PennDOT had to negotiate with the contractor to determine a new unit price for item. FEMA accepts the negotiated unit price of $20.75 per square yard, so the total eligible amount is $11,214.22.
- PennDOT performed 4.91 cubic yards of Blockage Removal (at storm drainage culverts) within the areas identified by the inspection team. This item and quantity is therefore eligible. The contract unit price is $90.00 per cubic yard, so the total eligible amount is $441.90.
- PennDOT performed 20.20 cubic yards of Ditch Repair at one location where the FEMA inspection team had identified the need to reset six lineal feet of 18-inch pipe. This item and quantity is therefore eligible. The contract unit price is $40.00 per cubic yard, so the total eligible amount is $808.00.
- The PennDOT construction contract included the three ancillary items of Mobilization, Inspector's Field Office and Inspection Facilities, Type B, and Maintenance and Protection of Traffic During Construction. These are lump sum contract items, and are therefore eligible on a prorated basis. Although the eligible items as constructed on S.R. 3010 total $24,838.64, PennDOT's actual construction costs total $101,790.60. The difference between these two amounts is obviously the work performed by PennDOT but not eligible for FEMA reimbursement.
For purposes of calculating the prorated percentage, FEMA will use the actual construction costs on S.R. 3010 divided by the total construction cost (less the costs for these three ancillary items). This percentage computes to 10.18 percent. Applying this percentage to the lump sum contract price for each of these items results in the eligible amounts of $6,615.15 for Mobilization, $1,526.57 for the Field Office/Facilities, and $5,597.43 for the Maintenance and Protection of Traffic.
The total eligible amount for the contract repair costs on S.R. 3010 is $38,577.79. The actual contract repair costs on S.R. 3010, and the amount requested by PennDOT in their second appeal, is $115,529.75.
PennDOT has not clarified what repairs their maintenance forces made. Therefore, of the $2,387.65 requested by PennDOT in their second appeal, none is eligible.
PennDOT has requested these costs to cover the design, contract preparation, monitoring, and inspection. They computed the amount by taking 7.1 percent of the construction costs covered by the DSR (per their appeal). They took the percentage from the FEMA "Curve B" for these services, using the "Force Account" curve applied to a construction cost of $115,529.75. The result is $8,202.61, which is the amount included in their second appeal.
These costs are eligible, but the correct computation is made by taking 6.2 percent of the total construction cost amount, then prorating the result to cover just the S.R. 3010 portion of the contract. The 6.2 percent is taken from the FEMA "Curve B" for these services, using the "Contract" curve applied to a net construction cost of $1,000,000. The prorated percentage is computed from the actual construction costs on S.R. 3010 divided by the total construction contract amounible162.84.CONCLUSION
The construction of repairs to S.R. 3010 includes items and quantities that are either outside the limits as identified on the approved DSR or were changed. Our detailed analysis, which is discussed in detail above and tabulated on the attached spreadsheet, identifies those items and quantities that are eligible for FEMA funding. The total cost for these is $45,741. This amount is $3,949 greater than the approved DSR amount of $41,792. Therefore the appeal is partially approved in the amount of $3,949. The Regional Director will prepare a supplemental DSR for this amount of eligible costs.
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