This is in response to a letter from your office dated December 15, 2014, which transmitted the referenced second appeal on behalf of the City of Bay St. Louis (Applicant). The Applicant is appealing the Department of Homeland Security’s Federal Emergency Management Agency’s (FEMA) denial of $171,499.00 for engineering design services for the restoration of the utilities beneath Beach Boulevard. As explained in the enclosed analysis, I have determined that the Applicant has not established that the requested engineering design service costs were reasonable. A cost reasonableness analysis, based on FEMA Cost Curve B, established the eligible amount for this project as $108,574.07, a reduction of $62,924.93. Therefore, I am denying the appeal. By copy of this letter, I am requesting the Regional Administrator to take appropriate action to implement this determination. Please inform the Applicant of my decision. This determination is the final decision on this matter pursuant to 44 C.F.R. §206.206, Appeals.