The total eligible cost for FEMAfunding is determined based on several factors and considerations outlined inthe document. ​Here are the key elements that influence the determination of the totaleligible cost for FEMA funding: ​

1. Repair vs. Replacement Evaluation:some text
    
   • The decision on whether to repair or replace a      facility is crucial in determining the total eligible cost. ​
    
   • If replacement is deemed necessary based on the      50% Rule or feasibility considerations, the actual replacement cost      becomes eligible for FEMA funding. ​
 
2. Cost Caps:some text
    
   • FEMA sets limits on the eligible cost based on      whether the facility is eligible for replacement under the 50% Rule. ​
    
   • If the total estimated repair cost exceeds the      total estimated replacement cost, FEMA caps the eligible cost at the      replacement cost. ​
 
3. Mitigation Measures:some text
    
   • FEMA allows for the inclusion of cost-effective      hazard mitigation funding on replacement projects. ​
    
   • The total eligible project cost is determined      after adding PA hazard mitigation costs and considering all reductions. ​
 
4. Independent Review:some text
    
   • For replacement requests exceeding $5 million,      FEMA submits the estimates to an independent third party for additional      review. ​
    
   • FEMA considers the results of the third-party      review before approving replacement funding. ​
 
5. Compliance with Codes and Standards:some text
    
   • Eligible costs are determined based on compliance      with consensus-based codes, specifications, and standards.
    
   • Costs associated with upgrades, selective      demolition, site work, soft costs, contents, hazard mitigation measures,      and emergency work are excluded from the calculation. ​
 
6. Professional Evaluation:some text
    
   • FEMA's professionally licensed engineers,      architects, cost estimators, construction managers, and technical staff      develop or review and validate the estimates used in the 50% Rule      calculations. ​

By taking into account these factors,FEMA calculates the total eligible cost for funding, ensuring that the costsalign with the repair or replacement needs of the facility, comply withregulations, and incorporate necessary mitigation measures. ​

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