Detailed Discussion
1. Loss of Revenue
FEMA cannot provide PA funding for revenue lost as a result of the incident. The following are examples of when loss of revenue may occur as a result of an incident:
�€¢ Hospitals release non-critical patients to make room for survivors
�€¢ Hospitals sustain damage that reduces pre-existing capacity
�€¢ States open a toll road for evacuation and do not charge a toll
�€¢ States waive the normal fee for ferry service to encourage alternate transportation after an incident
�€¢ A utility system is shut down as a result of the incident
�€¢ Events are cancelled as a result of an entity using a venue for incident-related activities, such as sheltering
2. Loss of Useful Service Life
FEMA cannot provide PA funding for the projected loss of useful service life of a facility. For example, if a road has been inundated by flood waters for an extended period of time, FEMA cannot provide PA funding for the value of the projected loss of useful life of the road due to the long-term effects the inundation might have on the road.
3. Tax Assessments
State, Territorial, Tribal, and local governments may conduct tax assessments to re-assess real property values after an incident. Costs related to conducting these assessments are not eligible because the assessments are neither essential to addressing an immediate threat to life or improved property, nor connected with the permanent restoration of eligible facilities.
4. Increased Operating Costs
Increased costs of operating a facility or providing a service are generally not eligible, even when directly related to the incident. However, short-term increased costs that are directly related to accomplishing specific emergency health and safety tasks as part of emergency protective measures may be eligible, as discussed in Chapter 2:VI.B.2.
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