Chapter 6 › III.B.6 Other

Does FEMA cover hazard pay, shift differentials or bonuses we paid during the disaster?

FEMA term

Extraordinary hourly pay; bonuses and incentive pay

Short answer

Hourly premium pay can be eligible; bonuses are not. Call-back pay, night and weekend differentials and hazardous duty pay for essential employees doing eligible emergency work can be covered when paid under a qualifying pre-disaster labor policy.

What FEMA requires

The premium is paid on an hourly basis for hours actually worked on eligible emergency work.
It follows a pre-disaster written labor policy that meets FEMA’s conditions.
Bonuses and incentive pay are treated as discretionary rewards and are not eligible, even when tied to hazardous conditions from the disaster.

Documentation

The labor policy provision for each premium pay type and timesheets showing the hours it was paid on.

Watch out · Govstar practitioner advice

A one-time “disaster bonus” is ineligible however it is labeled.

Govstar summarizes FEMA’s Public Assistance Program and Policy Guide in plain language and links to the official text. Govstar is independent and not affiliated with FEMA. This is general guidance, not legal advice.