The Stafford Act 406(a)(1)(A) authorizes FEMA to make contributions to a local government for the reconstruction of a public facility destroyed by a major disaster.The basic engineering and design services normally performed by an architectural-engineering firm on construction projects are eligible for reimbursement.OMB Circular A-87 defines a cost reasonable if it does not exceed that which would be incurred by a prudent person under the circumstances prevailing at the time.The engineering fees are unreasonable because the contract should have been amended when project became less complex.
OMB Circular A-87.PA Guide at 75-76; 78.HeadnotesThe Stafford Act § 406(a)(1)(A) authorizes FEMA to make contributions to a local government for the reconstruction of a public facility destroyed by a major disaster.The basic engineering and design services normally performed by an architectural-engineering firm on construction projects are eligible for reimbursement.OMB Circular A-87 defines a cost reasonable if it does not exceed that which would be incurred by a prudent person under the circumstances prevailing at the time.The engineering fees are unreasonable because the contract should have been amended when project became less complex.