Generally, costs that can be directly tied to the performance of eligible work are eligible. Costs must be:

Reasonable and necessary to accomplish the work.

Compliant with Federal, State and local requirements for procurement.

Reduced by all applicable credits, such as insurance proceeds and salvage values.

Cost is reasonable if it is a cost that is both fair and equitable for the type of work being performed.

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he cost of eligible work is typically a shared cost. The Federal share of assistance is generally not less than 75 percent of the eligible cost for Emergency Measures and Permanent Work. The grant recipient is usually the State. The Recipient determines how the non-Federal share – up to 25 percent – is split with eligible Subrecipients  (Applicants). There are exceptions.

Under certain circumstances the Federal share may be 90 percent or even 100 percent.

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