Sneak Preview: FEMA Extends Public Assistance Cost Share Period

(The following was excerpted from a recent Thompson Grants 360 article.) Work conducted in response to the COVID-19 pandemic under a Federal Emergency Management Agency (FEMA) Public Assistance grant occurring from the incident period through the end of this year now will be reimbursed at a federal cost share of 100%, according to a recent FEMA policy update.

The updated policy, titled “COVID-19 Pandemic: Safe Opening and Operation Work Eligible for Public Assistance,” replaces a previous version published in April. State, local, tribal and territorial government entities and certain private nonprofit organizations are eligible to apply for the Public Assistance program for funds to encourage the safe opening and operation of eligible facilities. Eligible facilities include buildings, equipment, systems (e.g., water distribution system), or a natural feature (e.g., terraced slope, realigned channel). On Aug. 17, President Biden issued the “Memorandum on Maximizing Assistance to Respond to COVID-19,” which directed FEMA to provide a 100% federal cost share for all work eligible for Public Assistance Category B (i.e., emergency protective measures).

FEMA now is extending the period of eligible work to the beginning of the incident period, as well as specifying that work conducted from the beginning of the incident period through Dec. 31 will be reimbursed at a 100% federal cost share. Work conducted after that date will be reimbursed at the federal cost share established at that time. “The purpose of this policy is to ensure consistent and appropriate implementation across all COVID-19 emergency and major disaster declarations,” FEMA explains.

The policy applies to: (1) all emergency and major COVID-19 disaster declarations under the Robert T. Stafford Disaster Relief and Emergency Assistance Act, as amended (42 U.S.C. §5121, et seq.); (2) eligible Public Assistance applicants under the COVID-19 emergency declaration or any subsequent COVID-19 major disaster declaration; and (3) work conducted from the beginning of the incident period until the end of the period of performance. The policy does not apply to any other emergency or major disaster declaration.

(The full version of this story has now been made available to all for a limited time here.)

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