Mutual Aid Agreements

Appeal Brief Appeal Letter Appeal Analysis

Appeal Brief

Disaster	4394
Applicant	South Carolina Department of Labor, Licensing, and Regulation
Appeal Type	Second
PA ID#	000-UWCCT-00
PW ID#	PW 536/GMP 68723
Date Signed	2022-02-10T17:00:00

Summary Paragraph

Hurricane Florence made landfall in South Carolina on September 14, 2018.  The event was declared a major disaster (FEMA-4394-DR-SC) on September 16, 2018, with an incident period extending from September 8 to October 8, 2018.  The Applicant activated its statewide MAAs to perform emergency protective measures and requested PA for MAA-related costs totaling $1,339,189.12.  FEMA prepared Grants Manager Project (GMP) 68723 to document the claimed costs.  FEMA issued a Determination Memorandum denying $257,573.24 in costs associated with several of the MAA entities due to inadequate documentation.  The Applicant appealed, providing an explanation of invoices issues regarding the MAA entities for which funding was denied, along with copies of those invoices.  The South Carolina Emergency Management Division (Grantee) transmitted the Applicant’s first appeal to FEMA with a letter of recommendation.  The Regional Administrator (RA) for Region IV deobligated $425,203.26 in PA funds for 16 MAA entities based on missing or inadequate work/activity logs.  The Applicant submits a second appeal for $520,076.20, which includes the $425,203.26 FEMA deobligated on first appeal plus $94,672.94 in additional costs the Applicant subsequently identified for the first time on second appeal for those entities.  The Applicant submits additional support for its claim with letters from the state fire marshal, and also from local fire chiefs, local emergency officials certifying the Applicant’s claimed costs.   

Authorities and Second Appeals

• Stafford Act § 403(a)(3)(I).
• 44 C.F.R. § 206.225(a)(1).
• PAPPG, at 33-34, 139.

Headnotes

• When an applicant does not have adequate resources to respond to an incident, it may request resources from another jurisdiction through a “mutual aid” agreement.  Costs must be adequately documented to be allowable under a Federal award.  The state must provide a description of the services requested and received, along with documentation of associated costs (e.g., labor, equipment, supplies, or materials) to FEMA in support of a request for PA funding.

• The Applicant has provided documentation describing the services requested and received as well as documenting labor, equipment, supplies, and materials.  Therefore, the costs associated with the MAA entities on appeal are allowable.

Conclusion

FEMA finds the Applicant has demonstrated that $520,076.20 in requested funding for the MAA entities at issue is adequately documented and directly tied to the performance of eligible work for this project.  Accordingly, the second appeal is granted. 

Appeal Letter

Appeal Analysis

Background

Hurricane Florence made landfall in South Carolina on September 14, 2018.[1]  The South Carolina Department of Labor, Licensing, and Regulation (Applicant) activated its statewide Mutual Aid Agreements (MAA) to perform emergency protective measures.  The Applicant requested Public Assistance (PA) for MAA-related costs totaling $1,339,189.12.  FEMA issued a Request for Information (RFI) through Grants Manager, seeking clarification and/or documentation to validate invoices and work performed by the MAA entities.  Following no response to the RFI, FEMA issued a Determination Memorandum (DM) on April 28, 2020, denying $257,573.24 in costs associated with several of the MAA entities due to inadequate documentation.  Additionally, FEMA noted that, in some cases, the Applicant had not shown it had incurred the costs because the associated invoices were not appropriately billed and/or the Applicant had not provided evidence that it paid the providing entities.  The Applicant was notified of the determination on April 29, 2020. 

First Appeal

The Applicant appealed, stating it had previously documented the costs in FEMA’s online grants management system (Grants Portal), but also provided an explanation of invoice issues regarding the MAA entities for which funding was denied, along with copies of those invoices in support of its appeal.  The Applicant attached invoices and time sheets which described the work performed and the dates of performance FEMA identified as missing in the DM.  The South Carolina Emergency Management Division (Grantee) transmitted the Applicant’s first appeal to FEMA with a letter of recommendation. 

After receipt of the appeal, FEMA sent the Applicant another RFI, providing an opportunity to supplement the record with additional documentation to demonstrate eligibility of the claimed costs.  The Applicant responded to FEMA’s RFI with a summary of MAA task forces/mobilizations units, a timeline summary of disaster-related events in relation to MAA deployments, in-state response structures, and an explanation of work/activity logs with reference to five appendices: incident and operational action plans; daily situation reports; daily rosters; mobilization tasking orders; and activation orders.  In its RFI response, the Applicant explained that many departments did not submit activity logs and that documentation was inconsistent.

On July 9, 2021, the FEMA Region IV Regional Administrator denied the appeal and deobligated $425,203.26 in PA funds related to 16 MAA entities.  FEMA found the Applicant did not adequately document costs for the MAA entities at issue on appeal or certain costs associated with previously approved work in the project’s scope of work.  Specifically, FEMA stated it was deobligating funding for several MAA entities due to lack of work/activity logs.

Second Appeal

The Applicant’s second appeal, requests FEMA reobligate the deobligations for the MAA entities which FEMA denied on first appeal based on inadequate or missing work/activity logs.  The Applicant seeks $520,076.20, which includes the $425,203.26 FEMA deobligated on first appeal plus $94,672.94 in costs related to previously identified work pertaining to the same MAA entities.  The Applicant notes that it identified the additional costs when it re-reviewed the documentation for its appeal.

The Applicant states it adequately described the services requested and received, and documented associated costs.  To further support its appeal, the Applicant submits a letter from the State Fire Marshal explaining the operation of the Statewide MAA through the South Carolina Firefighter Mobilization Plan, and letters from local Fire Chiefs and local emergency agency officials certifying the expenses the Applicant is seeking on second appeal.  For example, the certification letter the Applicant submits for Anderson County provides context and support for separate Incident Action Plans (IAPs) during the incident period, two separate comprehensive invoices billed to the Applicant for the activities of two Urban Search and Rescue (US&R) communication team members and equipment (two service trucks) used to respond to the declared incident.  The letter describes and verifies Force Account Labor summaries for the deployed personnel, time sheets for the deployed personnel, resource requests from the requesting entities, tasking orders, and specific credit card receipts from the deployed personnel listing meals, lodging, and equipment expenses.  The Grantee supports the appeal and also contends FEMA policy only requires the Applicant to provide daily logs/activity reports if they are available.  The Grantee also notes the Applicant submitted corrected documentation for invoices that initially were billed incorrectly.

 

Discussion

Emergency protective measures to save lives, protect public health and safety, and protect improve property may be eligible for PA reimbursement.[2]  When an applicant does not have adequate resources to respond to an incident, it (“Requesting Entity”) may request resources from another jurisdiction through an MAA.[3]  Mutual aid work is subject to the same eligibility criteria as contract work, and the Requesting Entity must provide a description of the services requested and received, along with documentation of associated costs (e.g., labor, equipment, supplies, or materials) to FEMA.[4]  In order to be eligible, costs must be adequately documented[5] and directly tied to the performance of eligible work.[6]  FEMA policy provides a list of documentation the applicant should submit to support MAA costs claimed, but states the list is not all-inclusive.[7]  The list of items includes services requested and received; information pertaining to labor, equipment, and supplies; and invoices.[8]  

In its second appeal, the Applicant provides additional documentation to support the eligibility of its claimed costs.  The letter from the State Fire Marshal explained the operation of the MAA through the South Carolina Firefighter Mobilization Plan.  The certification letters from local Fire Chiefs and local emergency agency for the MAA entities, for which FEMA denied expenses on first appeal, correspond to each mutual aid request, activation orders, work assigned, IAPs, and work performed (ICS 209-S or Incident Status Summary forms).  The certification letters (1) show the work was requested and performed during the declared incident; (2) allow FEMA to identify what equipment was used to perform the work; and (3) track and identify individuals assigned to response teams from the providing MAA entities.  The Applicant also provides documentation to correct certain invoices that were billed incorrectly initially, thus allowing FEMA to verify those costs.  The documents provided on second appeal clarify the work and costs related to the disaster response and tie the previously provided documentation for the claimed costs to eligible work.  Therefore, FEMA finds the Applicant has demonstrated that $520,076.20 in requested funding for the MAA entities at issue is adequately documented and directly tied to the performance of eligible work for this project.

 

Conclusion

The Applicant provided documentation to demonstrate that $520,076.20 in requested funding for the MAA entities at issue is adequately documented and directly tied to the performance of eligible work for this project.  Accordingly, this appeal is granted. 

 

[1] The President issued a major disaster declaration on September 16, 2018, with an incident period extending from September 8 to October 8, 2018. 

[2] Robert. T. Stafford Disaster Relief and Emergency Assistance Act § 403(a), Title 42, United States Code § 5170(b)(a) (2018); Title 44 Code of Federal Regulations (C.F.R.) § 206.225(a)(1) (2017).

[3] Public Assistance Program and Policy Guide, FP 104-009-2, at 33 (Apr. 1, 2018) [hereinafter PAPPG].

[4] Id. at 33-34.

[5] 2 C.F.R. § 200.403(g) (2018).

[6] PAPPG, at 21.

[7] Id. at 139.

[8] Id.