FEMA Statement on Public Assistance Funding To New Orleans
Release Date: December 8, 2006
Release Number: FNF-06-022
"FEMA's public assistance program is a reimbursement program. FEMA reviews projects for eligibility and -- once approved -- FEMA obligates funds to the state who then disburses them to the sub-grantees (applicants) as they incur actual costs. At the state's discretion, partial payments for large projects may be made as receipts for actual costs are submitted by the applicant. Funding for small projects (less than $57,500) may be obligated to the eligible applicant upon completion of a project worksheet, and before work costs are incurred.
FEMA has obligated nearly $4.3 billion in public assistance funding to the state of Louisiana.
FEMA has approved and obligated funding for over 17,000 individual public assistance project worksheets in Louisiana. FEMA has done its part and has already obligated 80% of what we estimate the total public assistance funding to be in Louisiana.
More specifically, FEMA has obligated $790 million to the state of Louisiana for Orleans Parish reimbursements, of which the state has paid out $279 million. It's important to note that the city/local governments must request the funds from the state and in many instances, some local governments have not done this.
FEMA works closely with the city/local and the state officials on reviewing projects and identifying and prioritizing critical infrastructure projects. FEMA is meeting with the City of New Orleans new Recovery Director and looks forward to having a working relationship with him to resolve these on-going issues."
FEMA manages federal response and recovery efforts following any national incident, initiates mitigation activities and manages the National Flood Insurance Program. FEMA works closely with state and local emergency managers, law enforcement personnel, firefighters and other first responders. FEMA became part of the U.S. Department of Homeland Security on March 1, 2003.
Last Modified: Tuesday, 12-Dec-2006 15:30:54