Detailed Discussion
An applicable Federal, State, or local standard, such as a floodplain management regulation, may require that a damaged facility be relocated away from a hazardous area. Permanent Relocation of a facility may also be required by FEMA if the facility is subject to repetitive heavy damage because of its location. In either case, the relocation project will only be approved if it is cost effective when project costs are compared with future damages, and not barred by any other FEMA regulations or policies. Generally, the project will be cost effective only if the damage is severe enough that the facility qualifies for replacement.
Eligible costs included in a relocation project include:
Demolition and removal of the old facility
Land acquisition
Construction of the new facility
Ancillary facilities, such as roads and utilities
When a relocation project is approved, no future Public Assistance funding for the repair or replacement of any facility subsequently built at the old site will be approved. An exception is given for facilities or structures that facilitate an open space use. Examples include minimal facilities for a park, such as benches, tables, restrooms, or minor gravel roads.
If relocation is not desirable, feasible, or cost effective, and restoration of the facility in its original location is not practicable or allowed because of floodplain, environmental, or other considerations or laws, then the applicant may request that the funding be applied to an alternate project (see Alternate Projects).
FEMA may approve funding for and require restoration and relocation of an Applicant’s destroyed (i.e., eligible for replacement) facility at a new location when all of the following conditions apply:
• The facility is subject to repetitive heavy damage because of its location. For example, facilities located in a SFHA are subject to repetitive heavy damage;
• Project approval is not barred by other regulations; and
• The overall project, including all costs, is cost-effective. If the cost to relocate the facility is less than the eligible cost to replace the facility at its original location (the value of the land at the original site is not included as part of this evaluation) then the project is cost effective. In instances where the cost of relocation exceeds the cost to replace the facility at its original location FEMA may use its BCA process and software to determine cost effectiveness.
An applicable Federal, State, or local code or standard, such as a floodplain management regulation, may also require that a damaged facility be relocated away from a hazardous area (e.g. floodway). If the facility is destroyed (i.e. eligible for replacement) then FEMA determines whether relocation is cost-effective in the same manner as described above. If the facility is eligible for repair, FEMA may evaluate cost effectiveness using its BCA process and software263 to compare the benefits of the damage prevented to the facility at its original location against the cost of replacement and relocation at the new location.
If relocation is not feasible or cost effective, the Applicant may request an Improved, Alternate, or Alternative Procedure project.