o Delaware Electric Cooperative (DEC), requested HMGP funding to purchase a diesel generator under disaster declaration DR-1017- DE. FEMA Region III denied approval, and DEC appealed. Region III then denied the appeal.
• Reason for Denial
o The proposed generator project did not meet the minimum eligibility requirements of the HMGP provided in 44 CFR 206.434, requiring that a project solve a problem independently or constitute a functional portion of a solution.
o 44 CFR 206.434 Eligibility; 44 CFR 206.440 Appeals
o DEC’s claim in opposition to the 1st appeal denial was that the proposed project would prevent damages to the DEC utility, and therefore, is an eligible HMGP project.
• FEMA Findings
o The 2nd appeal decision was to uphold the 1st appeal denial.
o The rationale for the decision was that the project failed to demonstrate a long-term remedial measure for future power outages in a natural disaster, and therefore did not qualify for funding under the HMGP. However, FEMA HQ referred the Applicant to Delaware’s 5% Initiative under the HMGP.
o Reference(s): 44 CFR 206.434 Eligibility; 44 CFR 206.440 Appeals