FEMA Releases Public Assistance Simplified Procedures Policy
On January 9, 2023, FEMA released the Public Assistance Simplified Procedures policy that simplifies implementation of the Public Assistance program to support rapid recovery for applicants.
The policy simplifies procedures, reduces the administrative burdens, supports equitable delivery of assistance to underserved communities, and enables communities to recover more quickly after Presidentially declared events. The policy defines FEMA’s requirements for funding small projects and it applies to all public assistance projects under $1 million from major disasters and emergencies declared on or after the date of issuance.
FEMA will accept estimates with summary information and the applicant’s certifications for damage and work, instead of requiring applicants to provide full or detailed documentation.
In the recent post, New FEMA Small Project Threshold Guidance and What It Means for Recovering Communities, Hagerty Consulting shares some key takeaways. Read it here
Upcoming webinars
FEMA will host webinars in English and Spanish from January 31-February 3 to explain the updated Public Assistance (PA) Simplified Procedures policy. Times are listed in Eastern (U.S. and Canada):
Tues., Jan 31, 2023 3:00 PM to 4:00 PM
Wed, Feb 1, 2023 3:00 PM to 4:00 PM
Thurs., Feb 2, 2023 3:00 PM to 4:00 PM
Instructions for accessing the webinars are available here.
Small project maximum increased
Section 422 of the Robert T. Stafford Disaster Relief and Emergency Assistance Act allows FEMA to implement simplified procedures for projects below an established threshold. Congress authorized simplified procedures in 1988 to support program efficiency and allow lower dollar projects the opportunity to get recovery funding faster, setting the small project maximum at $35,000.
After the Sandy Recovery Improvement Act in January 2013, FEMA completed an analysis of the program in 2015 and adjusted the threshold to $120,000. FEMA conducted another review in 2020, showing 77 percent of projects were considered small, and that if a $1 million threshold were applied, 94 percent of projects would be small and help put additional recovery dollars in the hands of applicants faster.
In August 2022, FEMA published a final rule to increase the small project maximum for the agency’s program to $1 million to reduce the administrative burden on state, local, tribal, or territorial governments and private non-profits receiving FEMA financial grants following a disaster. A small project has costs below the threshold, while a large project has costs equal to or above the $1 million threshold.