This is in response to a letter from your office dated April 21, 2018, which transmitted the referenced second appeal on behalf of Carrollton Utilities (Subrecipient). The Subrecipient is appealing the Department of Homeland Security’s Federal Emergency Management Agency’s (FEMA) denial of $17,632.00 for costs associated with replacing and lowering sections of gas pipelines that were uncovered due to the erosion of fill material (Facility). As explained in the enclosed analysis, I have determined that the Subrecipient did not demonstrate the additional work to replace and lower the undamaged lines was necessary to restore the Facility’s predisaster design and function. Additionally, it failed to demonstrate the upgraded repair was required by federal regulation, or eligible for hazard mitigation funding pursuant to FEMA Recovery Policy RP 9526.1, Hazard Mitigation Funding under Section 406 (Stafford Act). Accordingly, I am denying the appeal. Please inform the Subrecipient of my decision. This determination is the final decision on this matter pursuant to 44 C.F.R. § 206.206, Appeals.