In October 2012, Hurricane Sandy caused widespread damage to the transportation infrastructure in the mid-Atlantic and northeastern United States. As of June 2017, the Federal Transit Administration (FTA) had allocated approximately $6.8 billion for recovery projects. The Disaster Relief Appropriations Act of 2013 directed OIG to support oversight of these funds and provide an opportunity to apply lessons learned from Hurricane Sandy efforts to similar events.

 

Accordingly, we are initiating two audits related to oversight of emergency preparedness and response.

 

The objectives of the first audit are to assess (1) FTA’s implementation of relevant guidance and oversight of emergency planning as it relates to the rolling stock of recipients impacted by Hurricane Sandy and other natural disasters, and (2) the extent to which lessons learned from experiences with protecting rolling stock during Hurricane Sandy have been incorporated into emergency relief plans and procedures at FTA and the Office of the Secretary of Transportation.

 

The second audit focuses on insurance proceeds grantees received to repair or replace assets damaged due to the hurricane. Our objective is to assess FTA’s oversight of Hurricane Sandy grantees’ compliance with FTA’s requirements for insurance proceeds.