Force Account Labor & Equipment Costs

Appeal Brief Appeal Letter Appeal Analysis

Appeal Brief

Disaster	4415
Applicant	Jones (County)
Appeal Type	Second
PA ID#	067-99067-00
PW ID#	GMP 116528, 116533
Date Signed	2021-06-24T16:00:00

Summary Paragraph

From December 27–28, 2018, severe storms, flooding, and a tornado hit various roads and other facilities (Facilities) operated by Jones County (Applicant).  FEMA prepared Grants Manager (GMP) Projects 116528 and 116533 to document repair work.  The Applicant used force account labor (FAL), force account equipment (FAE), and materials to repair the Facilities to their pre-disaster conditions.  FEMA initially issued determination memoranda for each project indicating that the Applicant did not provide documentation that demonstrated the costs claimed were associated with the FAL, FAE, and materials used, and as such, denied the Applicant’s request for funding.  The Applicant appealed and forwarded the Mississippi Emergency Management Agency (Grantee) a Google Drive link that contained large files, stating that it had difficulty uploading the information to FEMA’s Grants Portal.  However, FEMA Region IV did not have access to the Google Drive link, and therefore found that the Applicant did not support its records with timesheets, equipment logs, proof of payment, or material invoices.  Accordingly, FEMA found that the projects were ineligible for reimbursement.  On second appeal, the Applicant provides summary sheets that break down the projects  by labor hours, equipment use, and material use; fixed assets inventory data, invoices, cash disbursements data; and employee timesheets, to demonstrate the FAL, FAE, and materials costs are adequately documented and directedly tied to the performance of eligible work (i.e., restoration of the damaged Facilities).

Authorities and Second Appeals

• Stafford Act § 406 (a)(1)(A).
• 2 C.F.R. § 200.403(g).
• PAPPG, at 21.

Headnotes

• Pursuant to 2 C.F.R. § 200.403(g) and the PAPPG, at 21, costs must be adequately documented.
  • The Applicant submitted documentation supporting its costs, including timesheets, equipment logs, and material invoices.  The Applicant adequately documented the costs claimed to repair the facilities and provided summaries of the costs for the projects.
• Per the PAPPG, at 21, costs must be directly tied to the performance of eligible work.
  • The Applicant has justified the costs claimed are directly tied to the performance of eligible work through documentation that establishes it used the FAL, FAE, and materials in line with the approved scope of work (i.e., restoration of the damaged Facilities).

Conclusion

The Applicant provided documentation demonstrating $30,281.90 in requested funding are adequately documented and directly tied to the performance of eligible work for GMPs 116528 and 116533.  Accordingly, the second appeal is granted.

 

Appeal Letter

Appeal Analysis

Background

From December 27–28, 2018, severe storms, flooding, and a tornado impacted Jones County, Mississippi (Applicant) causing damage to the Applicant’s roads and associated culverts, shoulders, ditches, and bridge wall heads (Facilities).[1]  After repairing the damaged Facilities, the Applicant requested Public Assistance (PA) funding for Grants Manager Projects (GMP) 116528 and 116533.  The Applicant requested $17,053.69 for GMP 116528 and $13,228.21 for GMP 116533, totaling $30,281.90.  However, FEMA found that the Applicant did not submit proper documentation to verify the costs of the force account labor (FAL), force account equipment (FAE), and materials used, and therefore, the Applicant did not demonstrate the work or costs were associated with either project.  FEMA issued determination memoranda denying PA funding for both projects on February 3, 2020.

 

First Appeal

The Applicant appealed the decision to the Grantee, requesting $30,281.90 in PA.  The Applicant stated that it had difficulty gathering and uploading the necessary information and supporting documentation through Grants Portal, FEMA’s Applicant-facing grants management database system.  As such, the Applicant followed up with the Mississippi Emergency Management Agency (Grantee), with documentation and a Google Drive link to handle larger files, including force account payroll checks and information, inventory for leased machinery and mobile equipment, and purchase orders.  On August 27, 2020, the Grantee forwarded the Applicant’s appeals to FEMA, reiterating the Applicant’s arguments.[2]

On February 2, 2021, the FEMA Region IV Regional Administrator denied the Applicant’s appeals for GMPs 116528 and 116533.  FEMA noted that the Applicant provided summary sheets for the dimensions of work, FAL, FAE, and materials for GMPs 116528 and 116533.  However, FEMA found that the Applicant did not support these records with timesheets, equipment logs, proof of payment, or material invoices.  Accordingly, FEMA found the projects were ineligible for PA reimbursement. 

 

Second Appeal

The Applicant submitted second appeals on March 18 and 19, 2021 for GMPs 116528 and 116533, respectively.  In these transmittals, the Applicant states that it could not upload any additional documentation through the Grants Portal.  It explains that the Grantee offered assistance to forward the documentation to FEMA, and that there were no objections to the Applicant’s use of a Google Drive link, so the Applicant assumed that the appeals process was moving forward with FEMA possessing all provided documentation.  The Grantee forwarded the second appeals and the previously submitted supporting documentation that was included in the Google Drive to FEMA with a letter of support dated March 26, 2021.

 

Discussion

Section 406(a)(1)(A) of the Robert T. Stafford Disaster Relief and Emergency Assistance Act authorizes FEMA to provide funding to a state or local government for the cost of repairing, restoring, reconstructing, or replacing a facility damaged or destroyed by a major disaster.[3]  However, in order to be allowable, costs must be adequately documented[4] and directly tied to the performance of eligible work.[5] 

The Applicant and the Grantee provided documentation to FEMA on second appeal that included break downs by project for the labor hours, equipment use, and material use; fixed assets inventory data, invoices, cash disbursements data; and employee timesheets.  This supporting documentation connected the costs claimed to the projects and work which repaired the facilities in the GMPs.  In considering all the documentation submitted on second appeal, FEMA finds the Applicant has demonstrated the requested costs for FAL, FAE, and materials are adequately documented and directly tied to the performance of eligible work for GMPs 116528 and 116533 (i.e., restoration of the damaged Facilities).

 

Conclusion

The Applicant provided documentation that demonstrates $30,281.90 in requested funding are adequately documented and directly tied to the performance of eligible work for GMPs 116528 and 116533.  Accordingly, the second appeal is granted.

 

 

[1] The President issued a major disaster declaration on February 14, 2019. 

[2] There is no indication in the record that FEMA was able to access the Google Drive link to review the larger files stored therein.

[3] 42 U.S.C. § 5172(a)(1)(A) (2018).

[4] Title 2 Code of Federal Regulations § 200.403(g) (2019); Public Assistance Program and Policy Guide, FP 104-009-2, at 21 (Apr. 1, 2018) [hereinafter PAPPG].

[5] PAPPG, at 21.