NOTE: Information below from FEMA.gov/appeal data.
This is in response to a letter from your office dated March 7, 2017, which transmitted the referenced second appeal on behalf of Columbus Regional Hospital (Applicant). The Applicant is appealing the Department of Homeland Security’s (DHS) Federal Emergency Management Agency’s (FEMA) deobligation of $9,612,831.19 for violations of Federal procurement requirements found in Title 2 of the Code of Federal Regulation (C.F.R.) Part 215 following a DHS Office of Inspector General audit. As explained in the enclosed analysis, I have determined that Acting Regional Administrator of FEMA Region V acted within her authority pursuant to 2 C.F.R. §§ 215.61 and 215.62 in deobligating costs associated with procurement violations. In addition, Stafford Act § 705(c) does not apply when procurement violations occur, as is the case here, because the purpose of the grant is not accomplished. Therefore, I am denying this appeal. Please inform the Applicant of my decision. This determination is the Agency’s final decision on this matter pursuant to 44 C.F.R. § 206.206, Appeals.