Section 406(d) of the Stafford Act mandates a reduction in the amount of Public Assistance funding for a facility that does not have flood insurance and meets the following three criteria: (a) insurable under the NFIP; (b) located for more than one year in a special flood hazard area; and (c) damaged by flooding in a major disaster declared by the President. Pursuant to 44 C.F.R. § 206.252(a) and Stafford Act 406(d) the amount of reduction shall be the maximum amount of the insurance proceeds which would have been received had the building and its contents been fully covered by a standard flood insurance policy. TheSCBA equipment was stored inside the insurable building at the time of the event. Therefore, the items are subject to the mandatory NFIP reduction. However, coverage was not provided due to limited NFIP coverage purchased on the location. The reduction is warranted and necessary to comply with regulation and FEMA policy.

FEMA finds the Applicant’s SCBA equipment was stored inside an insurable building at the time of the event. Therefore, the items are subject to the mandatory NFIP reduction. Although proceeds were not provided for these costs by the Applicant’s insurer due to limited NFIP coverage purchased on the location, the reduction is necessary to comply with 44 C.F.R. § 206.252(a). As such, the appeal is denied.

Stafford Act § 406(d). 44 C.F.R. § 206.252(a).