Sandy Recovery Improvement Act of 2013

1. Arkansas Department of Emergency Management Sandy Recovery Improvement Act of 2013 • Public Assistance Alternative Procedures for Debris Removal (Cat A Only) • Public Assistance Alternative Procedures for Permanent Work (Cat C-G) Arkansas’ Homeland Security & Preparedness Agency

2. Arkansas Department of Emergency Management Sandy Recovery Improvement Act of 2013 • Voluntary • Outside the specific elements provided in the alternative procedures, all statutory, regulatory and policy requirements remain in affect including EHP laws, regulations, etc. • Subgrantees will sign acknowledgement regarding the procedures they elect to use Arkansas’ Homeland Security & Preparedness Agency

3. Arkansas Department of Emergency Management Alternative Procedures for Debris Work • Subgrantees may elect to use one or more of the procedures • To participate in these procedures, all debris projects must be included • Accelerated Debris Removal - Increased Federal Cost Share according to completion date • Recycling Revenues – Retain the income received from recycled debris for approved purposes • Force Account Labor - Reimbursing base and overtime wages • Debris Management Plan - Incentives to have a debris management plan Arkansas’ Homeland Security & Preparedness Agency

4. Arkansas Department of Emergency Management Accelerated Debris Removal • Increased federal cost share for removal operations completed within specified time frame: • 0-30 Days from date of incident 85% • 31-90 Days from date of incident 80% • 91-180 Days from date of incident 75% • After 180 Days, Federal Funding will not be provided unless FEMA extension granted Arkansas’ Homeland Security & Preparedness Agency

5. Arkansas Department of Emergency Management Accelerated Debris Removal • The PW will be written based on actual costs of work completed • Once the PW is prepared and obligated at the increased federal share, the Applicant cannot revert back to standard procedures for remaining debris Arkansas’ Homeland Security & Preparedness Agency

6. Arkansas Department of Emergency Management Recycling Revenues • Allows Subgrantee to retain revenues received through recycling eligible disaster debris • The Subgrantee will provide the Grantee written notification of the revenue received as part of the final documentation of costs. • Revenues are to be used only for approved purposes. If not, funding will be reduced by amount of that revenue. Arkansas’ Homeland Security & Preparedness Agency

7. Arkansas Department of Emergency Management Recycling Revenues • Approved Purposes: • Meet cost share requirements of PA grand funding for debris removal • Develop comprehensive disaster preparedness and assistance plans, programs, and capabilities • Conduct activates that reduce the risk of future damage, hardship, or suffering from a major disaster • Improve future debris removal operations or planning (list of these activities provided on page 6 of guidance) Arkansas’ Homeland Security & Preparedness Agency

8. Arkansas Department of Emergency Management Force Account Labor • Regular time and overtime are both eligible for debris removal operations • Applies to both large and small projects Arkansas’ Homeland Security & Preparedness Agency

9. Arkansas Department of Emergency Management Debris Management Plan • Must have a FEMA approved debris management plan before the date of the disaster declaration • FEMA will provide a One-time incentive of a 2% cost share adjustment applied to debris removal work completed within 90 days. • This incentive will not be available to the same subgrantee again during the course of this pilot. Arkansas’ Homeland Security & Preparedness Agency

10. Arkansas Department of Emergency Management Any questions on Debris Alternative Procedures? Arkansas’ Homeland Security & Preparedness Agency

11. Arkansas Department of Emergency Management Alternative Procedures for Permanent Work • Permanent Work (Cat C-G) • Large Projects • Work has not been completed • Subgrantees must agree to a PW based on a fixed estimate. Arkansas’ Homeland Security & Preparedness Agency

12. Arkansas Department of Emergency Management Alternative Procedures for Permanent Work • Allows for projects to be written on the basis of fixed estimates. • Elimination of 10% reduction for alternate projects. • Allows for consolidating multiple facilities into a single project. . Arkansas’ Homeland Security & Preparedness Agency

13. Arkansas Department of Emergency Management Alternative Procedures for Permanent Work • Allows the use of excess funds for approved projects. • Expert panel available for estimates as requested (required for estimates > $5 million.) . Arkansas’ Homeland Security & Preparedness Agency

14. Arkansas Department of Emergency Management Formulation of Fixed Estimates • FEMA, the Grantee, and Subgrantee must agree on the eligible disaster-damage dimensions and description of work before completing the cost estimate. • Agreement on the cost estimate of the fixed grant must be reached within 9 months of the declaration date. If not, projects will be processed using standard procedures. Arkansas’ Homeland Security & Preparedness Agency

15. Arkansas Department of Emergency Management Formulation of Fixed Estimates • FEMA will consider cost estimates that: • Are properly conducted and certified • Comply with regulations, policy, and guidance • Have been prepared by a professionally licensed engineer and mutually agreed upon by FEMA and the Subgrantee. (Engineer not required!) • FEMA will review the Subgrantee’s estimate for validation purposes. It will not create a competing estimate. Arkansas’ Homeland Security & Preparedness Agency

16. Arkansas Department of Emergency Management Elimination of 10% Reduction for Alternate Projects • Under the alternative procedures, FEMA will no longer implement the reduction for alternate subgrants funded under the alternative procedures pilot program Arkansas’ Homeland Security & Preparedness Agency

17. Arkansas Department of Emergency Management Consolidating Multiple Facilities into a Single Project • Two or more fixed estimates combined into a single PW • Funding capped at total amount of eligible costs for previously separate sites/facilities • 12 months from declaration date to consolidate PWs Arkansas’ Homeland Security & Preparedness Agency

18. Arkansas Department of Emergency Management Use of Excess Funds • If actual costs are less than the fixed estimated amount, the Subgrantee may use the excess funds for PA Program-related purposes. • The Subgrantee will notify the Grantee in writing of its intent to use excess funds within 90 days of final reconciliation of PW. Arkansas’ Homeland Security & Preparedness Agency

19. Arkansas Department of Emergency Management Use of Excess Funds • FEMA will prepare a new subgrant (PW) to document the use of these funds. • The Grantee and FEMA will review the request and determine eligibility for use of the funds. • No cost overruns will be approved. Arkansas’ Homeland Security & Preparedness Agency

20. Arkansas Department of Emergency Management Independent Expert Panel • Available if requested for validation of estimates • Required for estimates of at least $5 million Arkansas’ Homeland Security & Preparedness Agency

21. Arkansas Department of Emergency Management Grants Management Subgrantee must: • Follow all statutory, regulatory and policy requirements including EHP laws, regulations, etc. • (quarterly reports, extensions, permits) Arkansas’ Homeland Security & Preparedness Agency

22. Arkansas Department of Emergency Management Grants Management Appeals • Subgrantee can submit an appeal in accordance with 44 CFR §206.206 for: Subgrant approval/obligation Approval/obligation of additional subgrant added to a consolidated project Corrective actions resulting from compliance reviews (e.g. audit) • Subgrantee cannot appeal cost overrun after accepting fixed grant estimate Arkansas’ Homeland Security & Preparedness Agency

23. Arkansas Department of Emergency Management ADEM’s Payment Procedures for Alternative Permanent Work • Grantee will pay 75% of the Federal Share for projects under $1 million. The remaining 25% will be paid upon final review and inspection. • Will pay 50% of the Federal Share for projects of $1 million or more. The remaining 50% will be paid upon final review and inspection. Arkansas’ Homeland Security & Preparedness Agency

24. Arkansas Department of Emergency Management ADEM’s Payment Procedures for Alternative Permanent Work (cont’d) • $5 million or more; payments will be made on a case by case basis. • No advances allowed on alternative procedures projects. • State Shares will not be paid until all documentation has been received, final costs have been reconciled and an inspection is complete. Arkansas’ Homeland Security & Preparedness Agency

25. Arkansas Department of Emergency Management Final Thoughts • If Subgrantees choose to participate in any alternative procedures, they will sign an acknowledgment regarding these procedures, which FEMA will attach to the PW. • Familiarize yourself with the Alternative Procedures!! Arkansas’ Homeland Security & Preparedness Agency