Direct Administrative Costs & Management Costs – Project Management and Design Services – Insurance

Administrative Costs

HEADNOTES

Costs for administrative work that can be tracked, charged, and accounted for directly to a specific eligible project, are eligible as DAC. Costs for PM, A/E services and construction inspection are also eligible provided the services are necessary to complete eligible work. To be eligible, all costs must be adequately documented and reasonable. Administrative costs in pursuit of insurance claims are not eligible as DAC. The Applicant provided inconsistent descriptions of its contractor’s services and did not separately identify or distinguish DAC from A/E, PM, or insurance claim support costs. FEMA cannot provide assistance for disaster-related losses that would duplicate benefits available to an applicant from another source, including insurance. FEMA reduces the eligible costs of a grant by the amount of anticipated proceeds. The Applicant’s claim constitutes an ineligible duplication of benefits.

CONCLUSION

The Applicant has not separately identified or distinguished DAC from ineligible engineering and design, project management, or insurance claim support costs. In addition, repair costs claimed by the Applicant, if funded, would be a duplication of benefits. Therefore, the Applicant’s second appeal is denied.

AUTHORITIES

Stafford Act §312. 2 C.F.R. § 200.403(a), (g). PAPPG, at 21, 36-37, 39. Cameron Par. Sch. Bd., FEMA-1607-DR-LA, at 3-4; South Island Pub. Serv. Dist., FEMA-4286-DR-SC, at 4.

Direct Administrative Costs & Management Costs – Project Management and Design Services – Insurance