1. Arkansas Department of Emergency Management Arkansas’ Homeland Security & Preparedness Agency 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)

2. Arkansas Department of Emergency Management Arkansas’ Homeland Security & Preparedness Agency 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

3. 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 Department of Emergency Management Arkansas’ Homeland Security & Preparedness Agency

4. 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 Department of Emergency Management Arkansas’ Homeland Security & Preparedness Agency

5. 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 Department of Emergency Management Arkansas’ Homeland Security & Preparedness Agency

6. 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 Department of Emergency Management Arkansas’ Homeland Security & Preparedness Agency

7. 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 Department of Emergency Management Arkansas’ Homeland Security & Preparedness Agency

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

9. 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 Department of Emergency Management Arkansas’ Homeland Security & Preparedness Agency

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

11. 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 Department of Emergency Management Arkansas’ Homeland Security & Preparedness Agency

12. 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 Department of Emergency Management Arkansas’ Homeland Security & Preparedness Agency

13. 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 Department of Emergency Management Arkansas’ Homeland Security & Preparedness Agency

14. 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 Department of Emergency Management Arkansas’ Homeland Security & Preparedness Agency

15. 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 Department of Emergency Management Arkansas’ Homeland Security & Preparedness Agency

16. 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 Department of Emergency Management Arkansas’ Homeland Security & Preparedness Agency

17. 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 Department of Emergency Management Arkansas’ Homeland Security & Preparedness Agency

18. 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 Department of Emergency Management Arkansas’ Homeland Security & Preparedness Agency

19. 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 Department of Emergency Management Arkansas’ Homeland Security & Preparedness Agency

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

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

22. 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 Department of Emergency Management Arkansas’ Homeland Security & Preparedness Agency

23. 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 Department of Emergency Management Arkansas’ Homeland Security & Preparedness Agency

24. 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 Department of Emergency Management Arkansas’ Homeland Security & Preparedness Agency

25. 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 Department of Emergency Management Arkansas’ Homeland Security & Preparedness Agency