Current through Register Vol. 30, No. 38, September 20, 2024
A. An executed Project Worksheet approves
potential Reimbursement only to maximum of the dollar amount shown therein,
which amount may not be increased except in a written document executed by both
the Applicant and the Division or as a result of an adjustment after audit. The
Division may allow expenditures from the Governor's Emergency Fund for an
Eligible Cost arising from a State-Level Emergency only if all of the following
conditions are met, unless the Director determines otherwise:
1. The Applicant is legally and/or
financially responsible for providing the related Eligible Work;
2. If the Eligible Work involves repairs to a
damaged Facility, the Facility must be owned by the Applicant at the time of
the Incident, or the Applicant is obligated at the time of the Incident under a
lease or other contract to perform or pay the cost of the Eligible
Work;
3. The amount claimed is a
direct result of Eligible Work related to the State-Level Emergency;
4. The amount claimed is authorized under
R8-2-313(B) or R8-2-313(D);
5. The
related Project or projects comply with all local, State, and Federal
environmental and historic preservation, building, safety, and other regulatory
codes and standards; and
6. The
Applicant does not owe any overpayment under R8-2-318 for any past or present
State Level Emergency (whether open or closed) that has not been timely
refunded to the Division. Alternatively, the Director may reduce the amount of
any Reimbursement to the Applicant from the Governor's Emergency Fund by the
amount of any outstanding overpayment under R8-2-318 that has not been timely
refunded by the Applicant to the Division.
B. The Division may, in the Division's sole
discretion, allow the following to be Reimbursed from the Governor's Emergency
Fund if the conditions set forth in R8-2-313(A) are met:
1. For emergency or temporary work, overtime
wages and benefits of the Applicant's hourly Budgeted Employees directly
engaged in Eligible Work, which must be in accordance with the Applicant's
published policies for overtime, premium pay, and compensatory time costs. No
such costs may be Reimbursed to the extent the Applicant's policy makes such
salaries, wages or benefits:
a. Contingent on
State or Federal funding;
b.
Applicable only if there has been a State or Federal disaster declaration;
or
c. Subject to any discretionary
criteria;
2. For
permanent work, salaries, or wages (including overtime for hourly Budgeted
Employees only) and benefits of the Applicant's Budgeted Employees directly
engaged in Eligible Work, which must be in accordance with the Applicant's
published policies for overtime, premium pay, and compensatory time costs. No
such costs may be Reimbursed to the extent the Applicant's policy makes such
salaries, wages or benefits:
a. Contingent on
State or Federal funding;
b.
Applicable only if there has been a State or Federal disaster declaration;
or
c. Subject to any discretionary
criteria;
3. Wages
(including overtime) and benefits of hourly Non-Budgeted Employees of the
Applicant directly engaged in any Eligible Work, which must be in accordance
with the Applicant's published policies for overtime, premium pay, and
compensatory time costs. No such costs may be Reimbursed to the extent the
Applicant's policy makes such salaries, wages or benefits:
a. Contingent on State or Federal
funding;
b. Applicable only if
there has been a State or Federal disaster declaration; or
c. Subject to any discretionary
criteria;
4.
Communication costs directly related to the State-Level Emergency incurred by
the Applicant;
5. Travel and per
diem costs directly related to the State-Level Emergency for Applicant
employees and employees of other State Agencies or Political Subdivisions (but
not employees of private non-profits, non-governmental agencies, or companies,
or private individuals) performing the Eligible Work under a mutual aid
agreement, subject to the Applicant's standard, non-emergency limitations for
travel and per diem expenses for its own employees, or the State of Arizona's
Travel Policy requirements, whichever provides for lesser
Reimbursement;
6. Materials and
supplies consumed by an Applicant in performing Eligible Work, except those
listed under R8-2-313(C)(2);
7.
Operating costs for the Applicant's equipment, using rates established by the
Applicant, the Division, or FEMA, whichever is less. Rental of commercial or
privately owned equipment by the Applicant may be allowed only at documented
contractual rates, prorated for the time that such equipment was in actual use
performing Eligible Work (which shall not include any "stand by" time), or at
the contracted flat rate, whichever is less;
8. All procurement contracts must adhere to
all local, State and Federal (if a Federal declaration applies) procurement
requirements, whichever are the most restrictive, including but not limited to
the Arizona Procurement Code, A.R.S. Title 41, Chapter 23 and A.A.C. Title 2,
Chapter 7. "Emergency Procurement" is defined in A.A.C. R2-7-E302, and all
Emergency Procurements must comply with A.A.C. R2-7-E302 and all other local,
State or Federal (if a Federal declaration applies) procurement requirements,
whichever are the most restrictive.
9. Subject to all other requirements of
R8-2-313(B), Eligible Work performed under a mutual aid agreement between an
Applicant receiving the aid and an entity providing the aid, is eligible for
Reimbursement upon application by the Applicant. The entity providing the aid
shall submit documented costs to the Applicant. Only the Applicant is eligible
to submit for a cost-share Reimbursement from the Governor's Emergency Fund.
Costs incurred by the entity providing the aid and related to Eligible Work are
to be paid to the providing entity by the Applicant in compliance with the
terms of the mutual aid agreement.
10. Prison labor, including amounts paid to
prisoners in accordance with established rates, amounts paid to the required
number of guards (with the required number of guards to be determined by the
incarcerating entity's rules on the required guard/prisoner ratio), and the
costs of transporting and feeding prisoners and guards.
11. Snow Removal: A Political Subdivision may
submit an Application for Assistance if the Application establishes the
existence of all of the following requirements: If an Incident resulting from a
winter storm event results in a Declaration and also pushes the Applicant's
cumulative snowfall total for a winter season above the average of the last
five seasons' annual snowfall, then the Applicant may be eligible for
assistance, provided that responding to the Incident is beyond the Applicant's
ability to recover without State assistance; see R8-2-303(C). The data source
for snowfall measurement will be the National Weather Service, and the data
source for historical snowfall will be the National Climatic Data
Center.
C. The Division
shall not allow the following to be Reimbursed from the Governor's Emergency
Fund:
1. Salaries or wages and benefits of
elected or appointed officials responsible for directing governmental
activities;
2. Administrative
Costs; purchase of office supplies; purchase or rental of office equipment;
rental of administrative office space; depreciation; insurance premiums;
storage costs; maintenance costs; lost revenue; and all overhead costs;
3. Contributions toward the
purchase of equipment by the Applicant for use in performing Eligible Work. The
Division may approve total or partial Reimbursement of such contributions in
advance and in writing, but only if the necessary equipment is not available
(without purchase) from Federal, State, or local sources, and if the
contribution does not exceed the cost of renting the item for the period of
actual use in performing Eligible Work (not to include "stand by" time) at
prevailing local rates. At the Division's discretion, the total or partial
Reimbursement of any such contribution from the Governor's Emergency Fund will
be reduced by the fair market value of the item when the item is no longer
needed for the State-Level Emergency in question;
4. Any donated resources, including but not
limited to labor, equipment, and materials;
5. Repairs and fuel for privately owned or
rented equipment, except where the rental agreement provides that the Applicant
will be responsible for repairs and/or fuel in addition to the rental
fee;
6. Work performed and/or
materials provided:
a. Under agreement between
a State Agency or Political Subdivision and a Federal agency, and
b. Paid for by Federal funds;
7. Costs incurred under contracts
based on cost plus a percentage of costs;
8. Lodging costs associated with prison
labor, including lodging costs for both the prisoners and their
guards;
9. Any cost conditioned
upon the availability of State or Federal funds;
10. Any cost incurred as a result of
personnel or equipment "standing by" to perform Eligible Work, but not actually
performing Eligible Work. Exception: Eligible Costs to provide life safety
assistance where an immediate and direct threat to life safety is reasonably
anticipated; and
11. Any costs
incurred due to deterioration, deferred maintenance, the Applicant's failure to
take measures to protect a Facility from further damage, or
negligence.
D. To submit
a claim for a cost that otherwise is not allowable under the terms of
R8-2-313(B) but that is not barred under the terms of R8-2-313(C), an Applicant
shall submit a written request to the Director for an exception, which request
must be approved by the Director. The Director may, in the Director's sole
discretion, grant a request for an exception if the Applicant:
1. Explains the nature of the exception
requested;
2. Justifies why it is
needed; and
3. The Applicant
otherwise satisfies all other requirements of A.A.C. Title 8, Chapter 2,
Article 3. The Division shall inform the Applicant in writing of the decision
to grant or deny the request for an exception.
E. Except as allowed under R8-2-313(A)(5) and
R8-2-314(A) and (B), when a Facility damaged as a result of a State-Level
Emergency is repaired or replaced, the Director shall allow only the costs
required to return the Facility to the condition it was before the State Level
Emergency.