Hazard Mitigation Assistance - Notification to Subrecipients (Revised 9/2021) Page 1 of 5
HAZARD MITIGATION ASSISTANCE
NOTIFICATION TO SUBRECIPIENT
GRANT ADMINISTRATION PROCEDURES
1. PROCUREMENT/COMPETITIVE BIDS PROCESS
All contract/procurement transactions must be carried out in a manner consistent with financial administrative requirements found in Title 2 of the Code of Federal Regulations (2 CFR) Part 200.
2. ALLOWABLE COSTS AND REIMBURSEMENTS
Once the Federal Emergency Management Agency (FEMA) approves a total eligible activity cost and obligates funding, California Governor’s Office of Emergency Services (Cal OES) can process reimbursement requests for eligible activities. Payments are made on a reimbursement basis and funds will be disbursed for activities that are consistent with the approved scope of work. Activity expenditures will be reimbursed according to the Federal Share/Non-Federal Share percentage specified in the FEMA obligation letter. Additionally, Cal OES will withhold retention of 10% from each reimbursement request. The retention amount will be released to the subrecipient upon completion of the closeout process.
Reimbursement requests must be submitted to Cal OES on a Hazard Mitigation Reimbursement Request Form. The form must be signed by the subrecipient’s Designated Authorized Agent. Reimbursement Request Forms can be emailed to:
Alternatively, Reimbursement Request Forms can be mailed to:
California Governor’s Office of Emergency Services
Attn: Recovery/Hazard Mitigation Grants Processing Unit 3650 Schriever Avenue
Mather, California 95655
Should the subrecipient be able to complete this work for less than the maximum allowable costs, the subrecipient will be reimbursed at 75% of the actual costs. Any remaining funds will be deobligated. If activity costs exceed the maximum allowable costs, the subrecipient will be reimbursed at 75% of the FEMA approved activity cost.
3. COST OVERRUNS (HMGP Only)
Cost over-runs can be considered if available funding exists in the declared disaster. Nonconstruction subaward adjustments of more than 10 % in any direct cost categories, where the awarding Agency’s share exceeds $100,000, require a revision request. All construction cost adjustments that lead to the need for additional funds, and any changes to access contingency funds and re-budget to another direct cost category, require a revision request.
Potential cost over-runs should be explained by the subrecipient in the quarterly progress reports and may be verified by activity inspection. All cost over-runs must be requested Hazard Mitigation Assistance - Notification to Subrecipients (Revised 9/2021) Page 2 of 5 before expenditure of costs in excess of the total approved activity costs, and the request must be signed by the subrecipient’s Designated Authorized Agent. All cost over-runs must be justified by the subrecipient and supported by a benefit cost analysis (BCA) prepared using the FEMA BCA Toolkit, if BCA is applicable to the project type. Unjustified over-runs will be denied by Cal OES.
Consult your Cal OES Grants Specialist when a potential cost overrun is identified. There is no guarantee that HMGP funds will be available to cover cost over-runs.
4. SCOPE OF WORK CHANGES
Any requests for changes to the approved scope of work must be consistent with program guidance and regulations, be signed by the subrecipient’s Designated Authorized Agent, and submitted to a Cal OES Grants Specialist. Pre-approval is required before the start of any activity not included in the approved scope of work. Costs associated with any activity that is not included in the approved scope of work are not eligible for reimbursement.
5. QUARTERLY REPORT PROCEDURES
Subrecipients are required to submit progress reports to Cal OES on a quarterly basis until the end of the approved performance period
The first Quarterly Report is due to Cal OES within 15 days of the end of the first quarter following the initial award. Quarterly Reports will thereafter be numbered consecutively by quarter and year (e.g. a 24 month project is required to submit 8 quarterly reports.) The following is the schedule for the Quarterly Reports:
First Reporting Period: January 1 - March 31 Report due by April 15 Second Reporting Period: April 1 - June 30 Report due by July 15 Third Reporting Period: July 1 - September 30 Report due by October 15 Fourth Reporting Period: October 1 - December 31 Report due by January 15 Quarterly Reports shall include, at a minimum:
A. The status and completion date for the activity funded, including any problem or circumstances affecting the completion date, scope of work, or costs which are expected to result in noncompliance with the approved grant subaward conditions.
B. A description of milestones completed in accordance with the work schedule provided by the subrecipient. The milestones declared in the subrecipient's work schedule will be applied as a standard of the activity’s progress.
The State Hazard Mitigation Officer and HMA staff will review the reports and forward a report to the FEMA Regional Administrator on the status of each grant subaward.
Cal OES may suspend reimbursements to subrecipients who are not current in the submission of quarterly progress reports. Reimbursement requests received for suspended grant subawards will be returned to the subrecipient. Completed Quarterly Reports should be emailed to the Cal OES Grant Specialist.
Hazard Mitigation Assistance - Notification to Subrecipients (Revised 9/2021) Page 3 of 5 Alternatively, Quarterly Reports must be sent to:
California Governor’s Office of Emergency Services
Attn: Hazard Mitigation Assistance Branch
3650 Schriever Avenue
Mather, California 95655
6. SITE VISITS
Cal OES reserves the right to inspect all activities and review documentation for compliance.
If site visits or documentation reveal problems in project performance, Cal OES shall require the subrecipient to correct the deficiencies before close-out.
7. PERFORMANCE PERIOD EXTENSIONS
All performance period extension requests must include the dates and circumstances of all previous extensions on this activity, a detailed explanation for the delay, and a revised activity work schedule. All performance period extension requests must be submitted to Cal OES and signed by the subrecipient’s Designated Authorized Agent. Any costs incurred outside of an approved performance period will not be considered eligible.
Extensions to the original performance period of up to twelve months may be granted by Cal OES upon written request from the subrecipient. If an extension is needed, a request must be submitted to Cal OES no less than 90 days prior to the end of the current approved performance period. Time extension requests received by Cal OES less than 90 days prior to the end of the current approved performance period may not be considered.
Extension requests must include:
Verification that progress has been made as described in quarterly reports Reason(s) for delay
Current status of the activity/activities
Current POP termination date and new projected completion date Remaining available funds, both Federal and non-Federal Budget outlining how remaining Federal and non-Federal funds will be expended Plan for completion, including updated schedule
Cal OES will notify the subrecipient of FEMA’s determination.
8. ADMINISTRATIVE DOCUMENTS
The administrative documents included with this package must be completed, signed by an authorized representative of the subrecipient and received by Cal OES before any payments can be processed. These forms include:
Applicant Agent Resolution (Cal OES 130),
Project Assurances (Cal OES 89),
2-101 Grant Subaward Face Sheet (PDM/FMA Only)
2-101a Supplemental Grant Subaward Information (HMGP Only) Federal Funding Accountability and Transparency Act – FFATA SAM Number verification
STD 204 Payee Data Record (for PNPs only)
Hazard Mitigation Assistance - Notification to Subrecipients (Revised 9/2021) Page 4 of 5 Completed forms can be emailed to: [email protected] Alternatively, completed forms can be mailed to:
California Governor’s Office of Emergency Services
Attn: Recovery/Hazard Mitigation Grants Processing Unit 3650 Schriever Avenue
Mather, California 95655
9. CLOSEOUT
Subrecipients must submit Closeout Packages to Cal OES a minimum of 30 days prior to the Period of Performance (POP) completion date of the subaward. All activity costs are subject to audit; therefore, retention of adequate documentation is required to verify the scope of work and the activity costs. All activity documentation must be retained by the subrecipient for three years from the date of the audit waiver letter, which is the closeout notification for the subrecipient. The documentation required is dependent on the type of activity. The package must include at least the following:
Final Claim form
Accomplishments and results report
Budget summary
Inspection Report (projects only)
Planned Maintenance Activities Statement
Project Photographs/Materials (projects only)
Resolution of Adoption (plans only)
10. AUDITS
Cal OES may request an audit of any funds disbursed to a subrecipient at any time. Each subrecipient is required to provide reasonable and timely access to all records. Subrecipients who expend combined federal awards above $750,000 must submit audit reports consistent with the requirements of the Office of Management and Budget OMB Circular A-133. Such audits of subrecipients will be conducted in accordance with the requirements of the Single Audit Act.
11. MONITORING
To ensure compliance with applicable Federal and State laws and regulations, subrecipient activities shall be monitored. Any finding(s) and program deficiencies shall be resolved though viable corrective action plans. Monitoring is comprised of desk and field reviews, of specific subrecipient records, including supporting financial documentation.
12. APPEALS (HMGP Only)
Subrecipients may appeal any determination made by FEMA by submitting justification in writing to Cal OES within 60 days of the receipt of FEMA’s determination, including the monetary figure in dispute, provisions in Federal law, regulation, or policy that support their position.
Hazard Mitigation Assistance - Notification to Subrecipients (Revised 9/2021) Page 5 of 5 Cal OES will review the appeal material submitted, make any additional investigations necessary, and forward the appeal with a written recommendation to the FEMA Regional Administrator within 60 days.
The FEMA Regional Administrator will notify Cal OES of the disposition of the subrecipient’s appeal, or need for additional information, within 90 days following receipt of all related information.
If the Regional Administrator denies the appeal, the subrecipient may submit a second appeal to Cal OES. Cal OES will review the second appeal and may forward it with a written recommendation to the FEMA Deputy Associate Administrator through the FEMA Regional Administrator. Second appeals shall be submitted no later than 60 days after receipt of notice of the Regional Administrator’s denial of the first appeal. In cases involving appeals of a highly technical nature, the Deputy Associate Administrator may refer the appeal to an independent scientific or technical body for review. The Deputy Associate Administrator shall render a determination on the appeal within 90 days following receipt of all related information. The second appeal’s determination is final.
See Part 44 of the Code of Federal Regulations (44 CFR) Section 206.440.