Pursuant to 44 C.F.R. 206.223(a); an eligible item of work must be required as a direct result of the disaster.FEMA reimburses costs that can be directly tied to the performance of eligible work. The Applicant costs of contractor overheads costs were incurred as a result of the Applicant deciding to exercise a Federally mandated procurement clause within an industry standard American Institute of Architects’ (AIA) contract for eligible work. The Applicant costs of overhead costs are allowable costs under 44 C.F.R. 13.22.

HeadnotesPursuant to 44 C.F.R. § 206.223(a); an eligible item of work must be required as a direct result of the disaster.FEMA reimburses costs that can be directly tied to the performance of eligible work. The Applicant’s costs of contractor overheads costs were incurred as a result of the Applicant deciding to exercise a Federally mandated procurement clause within an industry standard American Institute of Architects’ (AIA) contract for eligible work. The Applicant’s costs of overhead costs are allowable costs under 44 C.F.R. § 13.22.Conclusion