The Stafford Act provides that an applicant will not receive assistance with respect to any part of a loss as to which it has received financial assistance under any other program or from insurance. Before receiving a PA award, an applicant must first seek out and maximize the potential benefits from applicable insurance policies. FEMA assesses whether an insurance settlement appears proper in terms of the provisions of the insurance policy. The Applicant acted in a reasonably prudent manner in its effort to maximize insurance proceeds. The insurance policy only covered the repair costs and the Applicant was not entitled to the cost of replacement.

: The University of Houston (Applicant) demonstrated that it pursued the maximum recovery allowable under its insurance policy and acted in a reasonably prudent manner when it accepted a global settlement from its insurer. The appeal is therefore granted.

Stafford Act §§ 312 and 406. 44 C.F.R. §§ 11.75, 206.226, and 206.250. DAFS 9580.3. RRP9525.3. PA Guide, at 37, 83, 120, 122. Aplington-Parkersburg Schools, FEMA-1763-DR-IA, at 6. Daytona State College, FEMA-1539-DR-FL, at 4.