+----------+---+---------------------------------------------------------+
| A        |   | The Hazard Mitigation Grant Program may provide a State |
| vailable |   | with not more than 15 percent of the total estimated    |
| Ass      |   | Federal grant assistance (excluding any associated      |
| istance\ |   | administrative costs) provided under Sections 403, 406, |
| ![       |   | 407, 408, 410, 411, 416, and 701 of the Stafford Act.   |
| ](media/ |   |                                                         |
| image1.w |   | The total of Section 404 grants for project and         |
| mf){widt |   | management grants\                                      |
| h="0.559 |   | may not exceed the mitigation ceiling, but the          |
| 72222222 |   | subgrantee and grantee\                                 |
| 22222in" |   | administrative costs (sliding scales from 44 CFR        |
| height   |   | 206.439) do not count\                                  |
| ="0.5229 |   | against the ceiling.^1^                                 |
| 16666666 |   |                                                         |
| 6667in"} |   | These Federal grants may be used to fund up to 75       |
|          |   | percent of an approved mitigation measure. States or    |
|          |   | local applicants provide non-Federal funds to pay for   |
|          |   | the remaining 25 percent of eligible project costs.     |
+----------+---+---------------------------------------------------------+
|         |   |                                                         |
+----------+---+---------------------------------------------------------+
| How the  |   | The ceiling is the guaranteed level of hazard           |
| Award    |   | mitigation project and management cost funding in a     |
| Limit Is |   | particular disaster. The FEMA regional Mitigation       |
| Ca       |   | Division will coordinate the hazard mitigation          |
| lculated |   | estimated ceiling, lock-in ceiling, and final lock-in   |
|          |   | ceiling with the State.                                 |
|          |   |                                                         |
|          |   | FEMA's quarterly Disaster Finance Status Report is the  |
|          |   | mechanism for calculating the mitigation ceiling. It    |
|          |   | contains the Regional Director's projections for all of |
|          |   | a region's declarations, including the projections data |
|          |   | for other disaster programs. The Region may use the     |
|          |   | most recent or closest quarterly status report. The     |
|          |   | Disaster Finance Status Report is pre-encoded to        |
|          |   | perform these three steps:                              |
|          |   |                                                         |
|          |   | 1.  Take the total Federal share of program costs for   |
|          |   |     all relevant Stafford Act programs;                 |
|          |   |                                                         |
|          |   | 2.  Remove any administrative costs; and                |
|          |   |                                                         |
|          |   | 3.  Multiply this total by 15 percent to automatically  |
|          |   |     calculate the mitigation ceiling.                   |
+----------+---+---------------------------------------------------------+
| Ti       |   | The following timeframe indicates the schedule for      |
| meframes |   | establishing the HMGP estimated ceiling and lock-in     |
| for      |   | ceiling.                                                |
| Lock-In  |   |                                                         |
| of HMGP  |   | -   **3** **Months:** The HMGP estimated ceiling will   |
| Ceiling  |   |     be established initially within 90 days of the      |
|          |   |     disaster declaration. It will be maintained until   |
|          |   |     the first ceiling review at 6 months.               |
|          |   |                                                         |
|          |   | -   **6** **Months:** The estimate will be reevaluated  |
|          |   |     based upon the ceiling calculated by the Disaster   |
|          |   |     Finance Status Report. The lock-in ceiling will     |
|          |   |     reflect any increase or decrease in the resulting   |
|          |   |     estimate. Only at the time of this initial HMGP     |
|          |   |     ceiling review shall a decrease in available funds  |
|          |   |     be incorporated into the lock-in. Subsequent        |
|          |   |     reviews will result in a change to the ceiling only |
|          |   |     when the review reflects an increase. This first    |
|          |   |     lock-in represents the [minimum]{.underline} amount |
|          |   |     of HMGP funds available for a given disaster.       |
+----------+---+---------------------------------------------------------+

^\
1^ For disasters declared prior to 10/1/97 the management costs do not
count against the HMGP ceiling.

+----------+---+---------------------------------------------------------+
| Ti       |   | -   **12 Months:** A final review of the lock-in        |
| meframes |   |     ceiling will be conducted 12 months after the       |
| for      |   |     disaster declaration. The resulting estimate will   |
| Lock-In  |   |     impact the final lock-in amount only if it reflects |
| of HMGP  |   |     an increase.                                        |
| Ceiling\ |   |                                                         |
| (Co      |   |                                                         |
| ntinued) |   |                                                         |
+----------+---+---------------------------------------------------------+
| Ex       |   | The Regional Director may extend the timeframe to       |
| tensions |   | include an additional review at 18 months after the     |
| to the   |   | disaster declaration, if the State requests it          |
| Lock-In  |   | [and]{.underline} demonstrates that the disaster is so  |
| Ceiling  |   | catastrophic that it is causing major fluctuations in   |
| T        |   | the estimated ceiling. If the resulting estimate has    |
| imeframe |   | increased, the final lock-in amount will reflect the    |
|          |   | increase.                                               |
+----------+---+---------------------------------------------------------+
| Appl     |   | States should complete the review and prioritization of |
| ication/ |   | subgrantee applications within 90 days after the State  |
| Su       |   | Hazard Mitigation Plan is approved. Generally this      |
| bmission |   | results in a deadline between 9 and 18 months after the |
| T        |   | disaster declaration, but the deadline rarely exceeds   |
| imeframe |   | 18 months.                                              |
+----------+---+---------------------------------------------------------+
| Ex       |   | The Regional Director may extend the above timeframes   |
| tensions |   | in 90-day increments, in the event of extraordinary     |
|          |   | circumstances or to allow a State to adjust to an       |
|          |   | increase in the HMGP lock-in ceiling, upon written      |
|          |   | request from the State. Extensions beyond 18 months     |
|          |   | after the disaster declaration are to be granted in     |
|          |   | rare circumstances only.                                |
+----------+---+---------------------------------------------------------+
| T        |   | Within 24 months of the disaster declaration, FEMA will |
| imeframe |   | make determinations on all applications and project     |
| for FEMA |   | summaries, and will complete all obligations for        |
| To       |   | approved applications. FEMA will de-allocate any HMGP   |
| Obligate |   | funds not obligated or committed to a pending project   |
| Program  |   | application after the 24-month obligation deadline has  |
| Funds    |   | passed. The availability of unused funds expires at     |
|          |   | this time.                                              |
+----------+---+---------------------------------------------------------+
|         |   |                                                         |
+----------+---+---------------------------------------------------------+
| Ex       |   | The Regional Director may extend the deadline by 90     |
| tensions |   | days, in the event of extraordinary circumstances, or   |
|          |   | to reflect extensions granted to the State.             |
+----------+---+---------------------------------------------------------+