Expenses Related to Operating a Facility or Providing a Service

Expenses Related to Operating a Facility or Providing a Service

The Applicant may incur additional costs related to operating a facility as a result of the incident because of an increased demand for the services the facility provides.

These additional costs are only eligible if:

The services are specifically related to eligible emergency actions to save lives or protect public health and safety or improved property;

 The costs are for a limited period of time based on the exigency of the circumstances; and

 The Applicant tracks and documents the additional costs.

Potentially eligible increased operating costs include, but are not limited to, costs for:

 Generators at a hospital or police station  Water testing and treatment supplies in the immediate aftermath of the incident to counter

a specific threat

 Fuel for increased use of a pumping station

 EOC facility costs (e.g., utilities)

Examples of ineligible operating costs include, but are not limited to, costs for:

 Patient care, except as noted in Chapter 2:VI.B.9

 Administrative activities

 Provision of food, except as noted in Chapter 2:VI.B.5, 7, and 8

 Obtaining electrical power from an alternate source

 Obtaining water from an alternate source

 School make-up days, including contracted costs for bus service for make-up days

 Provision of fuel for school bus service

For PNPs, operating costs are generally not eligible even if the services are emergency services, unless the PNP performs an emergency service at the request of and certified by the legally responsible government entity. In such case, FEMA provides PA funding through that government entity as the eligible Applicant.


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This website  is intended as a national source of information about  the delivery of  financial recovery services. It includes resources on eligibility, procurement, grant management delivery, and issues related to various Federal Programs currently supporting FEMA  Public Assistance program  financial recovery for governments and non-profits. This website is not affiliated or endorsed or sponsored  by  FEMA  or any other Federal grant program. The information provided in various webpage documents is derived largely from Federal  published materials. In general, under section 105 of the Copyright Act, such works are not entitled to domestic copyright protection under U.S. law and are therefore in the public domain.  The goal is to help navigate the various Federal websites and summarize grant information and requirements. It does not constitute legal advice or grant management advise and is provided for general informational purposes only. Only the Federal Agency responsible for grants can make determinations on eligibility and grant amounts. You should consult with your professional services advisors and State and Federal Grant Coordinators for more detailed guidance on specific FEMA Public Assistance financial recovery issues.

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