NOTE: Information below from FEMA.gov/appeal data.
This is in response to a letter from your office dated October 25, 2013, which transmitted the referenced second appeal on behalf of the City of Pierre (Applicant). The Applicant is appealing the Department of Homeland Security’s Federal Emergency Management Agency (FEMA) denial of its request for certain costs associated with sewer line repairs caused by heavy flooding. As explained in the enclosed analysis, FEMA is partially approving the Applicant’s second appeal. The damage to the sewer lines and manhole was caused by the disaster event, and the work as described in the change order was necessary to accomplish the needed repairs. The Applicant complied with the method of procurement requirements under 44 C.F.R. § 13.36(d) for both the original procurement and the change order, but failed to comply with the cost analysis requirement for the change order required by 44 C.F.R. § 13.36(f). Notwithstanding this noncompliance, FEMA will not take enforcement action by reducing the otherwise eligible costs incurred by the Applicant for eligible work. FEMA will, therefore, increase the amount awarded under PW 2432 by an additional $213,570.86 for costs incurred under the change order, $3,397.10 for the manhole, $2,359.85 for curb and gutter repair and replacement, and $5,666.05 for direct administrative costs related to this project. Please inform the Applicant of my decision. This determination constitutes the final decision on this matter pursuant to 44 C.F.R. § 206.206, Appeals.