Cost Share Adjustments

The Stafford Act directs FEMA to pay “not less than” 75-percent of the eligible costs for essential assistance (Stafford Act Section 403, 42 U.S.C. 5170b), repair, restoration, and replacement of damaged facilities (Stafford Act Section 406, 42 U.S.C. 5172), and debris removal (Stafford Act Section 407, 42 U.S.C. 5173). FEMA’s regulations outline the criteria FEMA uses to recommend to the President an adjustment to the Federal cost share.

FEMA will recommend the President adjust the Federal cost share from 75-percent to not more than 90 percent when actual Federal obligations under the Stafford Act meet or exceed $133 (2013) per capita of State population. When recommending a cost share adjustment to the President, FEMA also considers the impact of major disaster declarations in the State during the previous 12-months.

If warranted by the needs of the disaster, FEMA may recommend up to 100 percent Federal funding for emergency work under section 403 of the Stafford Act (essential assistance) and section 407 of the Stafford Act (debris removal), including direct Federal assistance, for a limited time in the initial days of the disaster irrespective of the per capita impact.

FEMA would like your opinion on whether the per capita threshold used for States would be appropriate for evaluating whether to recommend a cost share adjustment for Tribal declarations during the pilot program. FEMA also welcomes comments on what other factors may be appropriate for FEMA to consider when evaluating potential cost share adjustments for Tribal declarations.

FEMA welcomes comments on any or all of the topics addressed below in the manner you prefer. Comments are also welcomed on any other issues that may not be covered in the below topics.