[FoCHAT] CHAT News: Free Rebuilding Forum; Some HMGP Elevation Grant Details

Thu Feb 26 22:49:09 CST 2009

Dear Concerned Citizens, 

1. HOMEOWNER’S CONTRACTOR EDUCATION FORUM --- 
-- Saturday, 10 a.m.-noon at BuildSmart Learning Center (the old American Beauty Egg Warehouse), 1001 S. Broad St. New Orleans, LA 70125.  Topics: How to protect your home from hazards such as hurricanes and floods; how to avoid contractor fraud, find and vet licensed contractors, and other rebuilding issues. Sponsored by LouisianaREBUILDS.info, UNO’s Rebuilding Information Station, ACORN Housing, and Alliance For Affordable Energy.  Call 877.527.3284 or e-mail editor at louisianarebuilds.info for more info. 

2. HMGP Grants for Eligible Road Home Applicants 

You can still send in your forms to apply if you are eligible and received one. If you need another copy or need to know where to send your form, contact: 1-877-744-7235 or 1-225-339-3746 or hazardmitigation at la.gov 

v                         http://www.doa.louisiana.gov/cdbg/dr/hmgp/hmgp.htm 

Ø  If you are demolishing your house and building a new one,
Ø  your HMGP elevation grant of up to $30,000 is determined by total allowable costs for construction and elevation minus total Road Home grant, FEMA structural damage, insurance benefits, and ICC money
Ø  If you are elevating and repairing your house, 
Ø  your HMGP elevation grant of up to $30,000 is determined by total allowable costs for elevation minus Road Home elevation grant and ICC money 
Ø  For details and to determine your HMGP eligibility to start rebuilding, contact:
                                                    1-877-744-7235 or 1-225-339-3746 or hazardmitigation at la.gov
Ø  Save all building plans, permits, dated photos, invoices, receipts, and other proof of payment of costs to be reimbursed by an HMGP elevation grant, if you are eligible

Here are some descriptions from OCD about HMGP elevation grants that I received today. These are supposed to be posted shortly at the Road Home website road2la.org. 

These grants currently have a maximum of $30,000 for either demolition and rebuilding with elevation of the house (called Reconstruction Grant) or repair and elevation (called Elevation Grant) that is independent of the $150,000 cap on Road Home grants. 

a) The difference between an Elevation & a Reconstruction HMGP Grant:

Elevation - elevating the habitable areas of home to or above the Base Flood Elevation.  Repair costs are not eligible for reimbursement in an elevation.

Reconstruction –demolition of an existing structure followed by on-site replacement with a hazard resistant (flood, wind and fire) compliant structure.  The structure would have been either destroyed or determined to be substantially damaged by the local floodplain administrator.

Reconstruction Grant Calculation:
All reasonable and necessary costs, including anticipated project costs, direct costs associated with project scoping, reconstruction and approved closeout activities. All costs associated with project scoping activities incurred prior to the obligation must be identified in the project application in order to be considered for reimbursement.  Likewise, all costs shall be based on the construction of fundamental, code-compliant structures as related to the codes and standards outlined in this guidance.

b) Here is an example of a Reconstruction Grant Calculation:

Total Project Cost =

$364,094.90

- Hazard Insurance

-$3,037.60

- FEMA IA (for home repair)

$0.00

- Road Home Elevation Incentive

-$3,970.00

- Flood Insurance

-$139,000.00

- ICC Payments for Elevation

-$24,420.00

- Road Home Compensation Grant

-$146,030.00

Sub Total of other benefits received =

$316,457.60

TPC – Benefits Received = $364,094.90 - $316,457.60

$47,637.30

HMGP Potential Award =

$30,000.00 (Based on $30K Cap)

      NOTE: The Midpoint Payment Award is $15,000.00

                * Total Project Cost (TPC) is determined by reviewing items such as the receipts, paid invoices, and cancelled checks provided by the homeowner.  TPC is then calculated by totaling the expenses associated with the Elevation project that are eligible for reimbursement per FEMA HMGP guidelines.

                ** The OCD HMGP is a supplemental program with an award currently capped at $30,000.

           Here is an example of an Elevation Grant Calculation:

Total Project Cost (TPC)*   (CHAT: we assume that these are costs for the elevation itself)

$88,699.60

- Road Home Elevation Incentive

$30,000

- ICC Payments for Elevation

$30,000

Sub Total of other benefits received =

$60,000.00

TPC – Benefits Received = $88,699.60 - $60,000.00

$28,699.60

HMGP Potential Award =

$28,699.60 (Based on $30K Cap)

       NOTE: The Midpoint Payment Award is $14,349.80

                * Total Project Cost (TPC) is determined by reviewing items such as the receipts, paid invoices, and cancelled checks provided by the homeowner.  TPC is then calculated by totaling the expenses associated with the Elevation project that are eligible for reimbursement per FEMA HMGP guidelines.

               ** The OCD HMGP is a supplemental program with an award currently capped at $30,000.

            The Hazard Mitigation Grant program is a cost reimbursement program.  In order to effectively document that eligible work was both performed and paid for, we require verification of payment (i.e., paid invoices, receipts, cancelled checks documenting work, contractor statement on company letter head certifying that an eligible expense was paid for if no other documentation is available).  If a homeowner chooses to provide a bank statement that reflects the payment of an eligible expense, then that form of documentation is acceptable as well.   If they paid for the expense with a credit card, an invoice and the receipt for the credit card transaction is sufficient justification to document the transaction.

   (c) What types of items are covered? 

ELEVATION

RECONSTRUCTION

Engineering and Surveying Fees

1) Project Scoping

Engineering/Design for proposed elevation

Property Verification (e.g., size of pre-existing structure)

Surveying and site layout

Preliminary Elevation Determination

Elevation certificate(s)

Environmental Site Assessment Phase 1

Engineering Feasibility Study (e.g., can existing structure be elevated; is mitigation reconstruction feasible)

Permitting/Recording/Legal Fees

Benefit-Cost Analysis

Demolition permit

Title Search (e.g., ownership verification)

Building Permit(s)

Plumbing, Electrical, Mechanical Permits

2) Pre-Construction Activities

Recording fees

Site Survey (i.e., boundaries and elevation)

Legal Fees

Testing for: Soils/Geotechnical, Asbestos, Lead-Based Paint

Hazardous materials abatement report/permit/fees

Archeological Assessment Phase 1

Local, State and Federal Permitting (e.g., environmental, historic, etc.)

Site Preparation

Architectural/Engineering Design/Plans/Specifications

Structural demolition

Plan Review

Lot clearing

Debris removal and disposal

3) Construction Activities

Hazardous materials removal/disposal

Permitted Disposal of routine asbestos and household hazardous wastes incidental to demolition

Excavation/Fill for grading

Environmental/Historic Preservation Mitigation

Demolition/Removal (see also Section 2.1.1 of Reconstruction Guidance)

Retrofitting/Elevation of an Existing Structure

Erosion Control/Grading/Drainage

Protective measures for wetlands/river/stream

Utility Connections

Concrete & Block work; Masonry work

Landscaping for Site Stabilization (i.e., seeding)

Drilling & Installation of Piers, Columns, or Piles

Walkways and Driveways

Beams and columns

Elevated Foundation Construction

Embedment and sealant

Inspection of Foundation System

Foundation walls

Structural Shell

Structural steel work

          Framing

Bracing and anchoring

          Exterior Doors

Lifting/Jacking/Elevating

          Windows (includes protection)

Backfilling

          Access/Egress

Detachment and re-attachment (of elements affixed to structure)

          Exterior Cladding

Sub-flooring

          Roofing

Wall and roof framing and shell construction

     Interior Partitioning

Exterior doors and windows, insulation

               Drywall

Hurricane clips/ties

               Trim

Seismic retrofits to building code

               Painting

Building code upgrades

               Interior Doors

Porches and decks (if pre-existing)

               Insulation

Stairs and railings

      Utility Equipment

Handicap access

               Heating, Ventilation and Air Conditioning (HVAC)

Plumbing rough-in (for supply and drain, waste and vent)

               Water/Wastewater Plumbing

Electrical rough-in (main circuit panel, junction boxes and outlets)

               Electrical Panel and Wiring

Installation of ductwork for HVAC

               Hot Water Heater

Electrical service elevation & reconnection

      Fixtures

Water service elevation & reconnection

               Sinks/Toilets/Showers

Sewer/Septic system

               Lighting

Elevate mechanical equipment

               Cabinets and Countertops

Roof and Foundation drainage systems

     Flooring

Soil stabilization/retaining walls

Building Inspections

Final clean-up

Certificate of Occupancy

Final Elevation Certificate

Landscape replacement/Restoration (for landscape disturbed by construction)

Owner Displacement Costs

Note: This is considered on a case by case basis.   FEMA is the decision maker on eligibility.

Prepare and Record Flood Insurance Requirement (after construction finalized)

Displacement Costs

Moving Cost

Temporary Storage Cost

Temporary living facility Cost

All costs that are directly associated with the mitigation activity may potentially be eligible for reimbursement.  GOHSEP & FEMA approval are required to reimburse costs outside of the list above and for any displacement costs associated with reconstructions.

          (d) A statement about approval for cost of an elevator requires a medical note.
            The HMGP does not discriminate on the basis of race, color, national origin, sex, age, religion or disability, and provides, upon request, reasonable accommodation, to afford an individual with a disability an equal opportunity to take advantage of available services.  That said, medical documentation of a need, like that of an elevator, is required prior to it being deemed an eligible reimbursable expense.  Also, GOHSEP & FEMA must approve the expense prior to our making the reimbursement.

          (e) What constitutes a duplication of benefit?
             By law, FEMA cannot duplicate the benefit paid by one program with benefits from another source.  This includes all insurance or awards and Individual Assistance (IA) received for the SAME purpose as the HMGP award (i.e., Elevation or Reconstruction).  Duplication of Benefit determinations are performed on a case by case basis.

            For the purpose of HMGP Elevation DOB determinations, items such as homeowner insurance structure claims, and NFIP Structure Settlements are not deducted from eligible costs.  The amount of money a homeowner received from the Road Home Elevation Incentive (EI) program and ICC funds designated for Elevation are deducted from total eligible project costs.

            For the purpose of HMGP Reconstruction DOB determinations, items such as Road Home Compensation Grants, homeowner insurance structures claims, NFIP Structure Settlements are deducted from total eligible project costs (Note:  If homeowner can show documentation that the settlement or award was used for home repair before  the home was demolished and reconstructed, funds will not be deducted from eligible costs).  The amount of money a homeowner received from the Road Home Elevation Incentive (EI) program and ICC funds designated for Elevation are also deducted from total eligible project costs since FEMA Reconstruction guidance requires that the new structure be built in compliance with the FEMA Advisory Base Flood Elevations (ABFEs) published for that area.

            To clarify: The Hazard Mitigation Grant Program looks at what the actual cost of the elevation or reconstruction is and the resources used to pay said activity.  This is to ensure that homeowners do not receive more money than it costs to elevate or reconstruct their structure.

f)  Elevations:  A certificate of occupancy is not required before final payment for Elevations.
Reconstructions: Verification must be provided that the Pilot Reconstruction grant resulted in a completed, code-compliant structure supported through a certificate of occupancy.   We will make a mid-point payment without a Certificate of Occupancy (but the final payment requires it).

(g) What is the status of the request for pro-rating grants for houses bigger than 120% of their original size?  (The rule makes ineligible properties greater than 110% bigger than their original size)
HMGP Reconstruction Grant Pilot activities must result only in an approximation of the original square footage of the structure.  The square footage of all resulting structures shall be no more than 10 percent greater than that of the original structure.
The letter addressed from Paul Rainwater to Jim Stark requesting the pro-rating of grants for structures that exceed the size allowance was sent to FEMA on February 12, 2009.  We have not received a response yet.

(h) The requirement for a homeowner to re-occupy the property within 12 months of receiving an award is an OCD Hazard Mitigation requirement that we can extend if the applicant demonstrates a reasonable effort to complete the mitigation activity and the work is completed prior to the end of the grant’s performance period.

For questions, please don’t contact CHAT but rather use these phone numbers or this email address: 
 1-877-744-7235 or 1-225-339-3746 or hazardmitigation at la.gov 

If you can’t get answers, please tell us by sending an email to chatushome.com with HMGP information in the subject line 

3. To get our weekly newletters or more information about Road Home, see our website: 

http://chatushome.com 

4. CHAT Meeting Still Being Shown on TV 
ICF Emergency Management Services, LLC (ICF) & Quadel Consulting Corp. (an ICF Subcontractor) could not buy the silence of all of its employees 
At the Dec. 10 CHAT meeting being televised by Cox 10, you can hear and see one Road Home employee whose silence about RH problems could not be bought with a severance agreement 
Ø  The problems with ICF upper management intimidating employees who made constructive suggestions and the lack of consulting staff who dealt with applicants about the effectiveness of new or ongoing ICF protocols have been confirmed by additional former ICF staff 
·         Many ICF staff members told us they were just as frustrated with the Road Home as the applicants 
Ø  We thank George Blow and COX10 for their dedication to getting the facts about Road Home to applicants! 
Ø  The 2-hour CHAT meeting on Dec. 10, 2008 about Road Home Contradictions has been/will be shown on: 
Tues., Dec. 16, 4 PM; Wed., Dec. 17, noon; Thurs., Dec. 18, 8 AM; Tues., Dec. 23, noon; Thurs., Dec. 25, noon; Fri., Dec. 26, 8 AM; Sat., Dec. 27, 4:30 PM; Sun., Dec. 28, 1 PM; Mon., Dec. 29, noon; Wed., Dec. 31, 2 PM; Thurs., Jan. 1, 1 PM; Fri., Jan. 2, 8 AM & 6 PM; Sat., Jan. 3, 3 PM; Mon., Jan. 5, 1:30 PM; Tues., Jan. 6, 3 PM; Wed., Jan. 7, noon; Thurs, Jan. 8, 4 PM; Fri., Jan. 9, 1:30 PM; Sat., Jan., 10, 3 PM; Mon., Jan. 12, 4 PM; Tues., Jan. 13, noon; Wed., Jan. 14, 2 PM; Thurs., Jan. 15, 2 PM; Fri., Jan. 16, noon; Sat., Jan. 17, 3 PM; Mon., Jan. 26, 4 PM; Tues., Jan. 27, noon; Wed., Jan. 28, 4:30 PM; Thurs., Jan. 29, noon; Fri., Jan. 30, 3 PM; Sat., Jan. 31, 4 PM; Mon., Feb. 2, noon; Tues., Feb. 3, 4 PM; Wed., Feb. 4, 4:30 PM; Fri., Feb. 6, noon; Sat., Feb. 7, 9 AM; Mon., Feb. 16, 12:30 PM;  Wed., Feb. 18, noon; Thurs., Feb. 19, 1:30 PM; Fri., Feb. 20, 2 PM; Sat., Feb. 21, 3 PM; Wed., Feb. 25, 1:30 PM; Thurs., Feb. 26, 2:30 PM; Friday, Feb. 27,
 3:30 PM; Tues., Mar. 3, 12:30 PM; Thurs., Mar. 5, noon; Sat., Mar. 7, 10 AM 
5. Next CHAT Meeting 

Time: Meetings on Wed. at 6:30 PM at UNO, usually every other week 

Place: Room 179, UNO Milneburg Hall, on Milneburg Rd. (the road where the brand new dorms are, past the stop sign and the University Center and opposite the Fitness Center.
Building #24: Directions to the Business Bldg are given on the Campus Map for UNO 

NEXT MEETING Wed., Mar. 4. Newcomers are welcome

Best wishes, 

Melanie Ehrlich 
Co-Chairman, Citizens’ Road Home Action Team (CHAT) 
Member, LRA Housing Task Force
http://chatushome.com 
chatlra at yahoo.com
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