Article 6: Immediate Needs Funding (INF)

(Category: costs-eligilbilty)

Article Summary

Immediate Needs Funding (INF) provides urgent financial support to applicants in the immediate wake of a disaster. Requested by the State, these funds are specifically designated for eligible emergency work that must be performed and paid for within the first 60 days following the formal disaster declaration.

INF cannot be used for any permanent repairs or restoration work; it is strictly limited to emergency activities falling under Category A (Debris Removal) and Category B (Emergency Protective Measures). This funding can cover critical, immediate outlays such as overtime payroll, equipment operational costs, material purchases, and emergency contracts.

FEMA identifies potential immediate needs early during the Preliminary Damage Assessment (PDA) phase. INF allocations can equal up to 50% of the total PDA estimates calculated for eligible emergency work. Once approved, FEMA fast-tracks the Federal share of the INF, placing the funds directly into the State’s account within days of the disaster declaration. The State grantee is then responsible for distributing these funds to eligible local subrecipients. Crucially, INF is not an additional grant; it functions as an advance and is later deducted from the final funding amounts obligated for the applicant's standard Category A and B project worksheets.

Five Key Takeaways for CTA FEMA Compliance

1. Restrict Use to 60-Day Emergency Windows: Ensure all costs funded by INF are strictly incurred for immediate emergency tasks executed within the mandatory first 60 days following the official disaster declaration.
2. Prohibit Permanent Work Expenditures: Under no circumstances should INF advances be allocated to fund permanent structural repairs, facility restoration, or mitigation additions (Categories C through G).
3. Track as an Advance, Not Extra Capital: Budget carefully with the understanding that INF functions as an advance; the total amount received will be systematically deducted from your final Category A and Category B grant awards.
4. Utilize for Urgent Operations and Overtime: Limit INF expenditures to immediate cash-flow drivers such as emergency contract activations, critical material procurement, equipment tracking, and personnel overtime payroll.
5. Reconcile Against PDA Baseline Estimates: Ensure your request aligns with initial field assessments, as FEMA caps the total approved INF obligation at a maximum of 50% of the emergency work costs estimated during the joint Preliminary Damage Assessment.

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