* For questions, please contact Art Jones ajones@ohsep.louisiana.gov at (225) 925-7555 or Richard Weiser rweiser@ohsep.louisiana.gov at (225) 925-7556.

Debris Removal Fact Sheet For Local Governments

Under a Presidential disaster declaration for Louisiana, the Federal Emergency Management Agency (FEMA) may provide assistance to State and local governments for costs associated with debris removal operations. (Debris removal operations include collection, pick-up, hauling, and disposal at a temporary site, segregation, reduction, and final disposal). This document provides information on the eligibility of debris removal operations for Public Assistance funding.

Questions: Questions regarding debris operations or the Public Assistance Program in general should be referred to the Louisiana Office of Homeland Security and Emergency Preparedness (LHLS/EP), Disaster Recovery Division Chief, Mr. Art Jones at (225) 925-7500.

General Work Eligibility: Determination of eligibility is a FEMA responsibility. Removal and disposal of debris that is a result of the disaster, and is on public property, is eligible for Federal assistance. Public property includes roads, streets, and publicly-owned facilities. Removal of debris from parks and recreation areas is eligible when it affects public health and safety, or limits the use of those facilities.

Debris Removal from Private Property: Disaster-related debris may only be removed from private property if it is pre-approved by the Federal Disaster Recovery Manager, is a public health and safety hazard, and if the work is performed by an eligible applicant, such as a municipal or county government. The cost of debris removal by private individuals is not eligible under the Public Assistance Program; however, within a specific time period, a private property owner may move disaster-related debris to the curbside for pick-up by an eligible applicant. That time period will be established by FEMA in coordination with the State. (The cost of picking up reconstruction debris and normal garbage pick-up is not eligible for FEMA reimbursement).

Eligible Costs: If an applicant uses force-account personnel and equipment, the cost of the equipment and overtime costs for personnel are eligible for Federal funding. If an applicant chooses to award a contract(s) for debris operations, the costs of the contracts also are eligible for Federal funding. Applicants should exercise judicious care in contracting for debris operations, since by law, FEMA is authorized only to assist with reasonable costs. Reasonable costs are those that are fair and equitable for the type of work performed. If desired, FEMA staff will provide technical assistance on this subject prior to contract award. Debris costs for Hurricane Lili ranged from $3.68 up to $30.00 per cu yd. A value of $9.17 per cu yd was determined to be the average. A cu yd price of $15.80 was the recommended upper limit for reasonable cost.

Direct Federal Assistance: If disaster-related debris removal and disposal operations are beyond the capability of State and local governments to perform or contract for the work, the State may request direct Federal assistance. In such instances, FEMA will give to the U.S. Army Corps of Engineers a mission assignment to prepare, execute, and monitor contracts for debris operations.

Use of Contractors: If an applicant decides to award contracts for debris removal, FEMA advises the following:

· Do not allow contractors to make eligibility determinations; they have no authority to do so.

· Utilize pre-negotiated contracts if available.

· Consider using qualified local contractors because of their familiarity with the area.

· Utilize formal competitive procedures when time permits. If time does not permit use of normal competitive procedures, competitive bids still may be obtained using a reduced time frame for submittal of bids.

Request copies of references, licenses, and financial records from unknown contractors.

· Document procedures used to obtain contractors.

· Do not accept contractor-provided contracts without close review. FEMA can provide technical assistance on contracts and contract procedures.

FEMA does not recommend, pre-approve, or certify any debris contractor.

FEMA does not certify or credential personnel other than official employees and Technical Assistance Contract personnel assigned to the disaster by FEMA.

Only FEMA has the authority to make eligibility determinations.

Types of Debris Contracts: There are three general types of contracts that may be used for debris operations:

(1) Time and Materials Contracts may be used for short periods of time immediately after the disaster to mobilize contractors for emergency removal efforts. They must have a dollar ceiling or a not-to-exceed limit for hours (or both), and should be terminated immediately when this limit is reached. For FEMA reimbursement, such contracts should be limited to 70 hours of actual work. The contract should state that:

(a) the price for equipment applies only when equipment is operating,

(b) the hourly rate includes operator, fuel, maintenance, and repair,

(d) the community does not guarantee a minimum number of hours.

(2) Unit Price Contracts are based on weights (tons) or volume (cubic yards) of debris hauled, and should be used when the scope-of-work is not well defined. They require close monitoring of pick-up, hauling, and dumping to ensure that quantities are accurate. Unit price contracts may be complicated by the need to segregate debris for disposal.

(3) Lump Sum Contracts establishes the total contract price using a one-item bid from the contractor. They should be used only when the scope of work is clearly defined, with areas of work and quantities of material clearly identified. Lump-sum contracts can be defined in one of two ways:

(a) area method, where the scope of work is based on a one-time clearance of a specified area; and

(b) pass method, where the scope of work is based on a certain number of passes through a specified area, such as a given distance along a right-of-way.

Ineligible Contracts: FEMA will not provide funding for the following types of contracts:

(a) cost-plus-percentage of cost contracts,

(b) contracts contingent upon receipt of State or Federal disaster assistance funding, or

Contract Monitoring: The applicant should monitor the contractor’s activities to ensure satisfactory performance. Monitoring includes:

(a) verification that all debris picked up is a direct result of the disaster;

(b) measuring and inspecting trucks to ensure they are fully loaded;

(d) verification that the contractor is working in its assigned contract areas;

(e) verification that all debris reduction and disposal sites have access control and security.

FEMA can provide assistance with monitoring if necessary. If an applicant has insufficient staff to properly monitor debris contract operations, the cost of hiring of additional staff for monitoring (or contracting for monitoring) is eligible for Federal funding.

Documentation: To ensure that processing of Federal funding is done as quickly as possible, applicants should keep the following information: debris estimates, procurement information (bid requests, bid tabulations, etc.), contracts, invoices, and monitoring information (load tickets, scale records). If an applicant does debris removal, the payroll and equipment hours must be kept.

Technical Assistance FEMA and the State may provide technical assistance with planning, carrying out, and monitoring of debris removal operations. Applicants in need of technical assistance should contact the LHSEP at the number given in the first paragraph.

SAMPLE RIGHT-OF-ENTRY PERMIT

(INCLUDES HOLD HARMLESS AND INSURANCE CLAUSES)

Right of Entry Permit Permit No. ____

Property Address/Description

___________________________ ______________________________

City Name (Owner or Tenant)

___________________________ ______________________________

County Date

Right of Entry

I certify that I am the owner, or an owner’s authorized agent, of the property described above. I grant, freely and without coercion, the right of access and entry to said property to the (eligible applicant), its agents, contractors, and subcontractors, for the purpose of demolishing, removing and/or clearing any or all storm-generated debris of whatever nature from the above-described property.

Hold Harmless

I understand that this permit is not an obligation upon the government to perform debris removal. I agree to hold harmless the United States Government, the Federal Emergency Management Agency (FEMA), the State of Louisiana, and any of their agencies, agents, contractors, and subcontractors, for damages of any type whatsoever, either to the above-described property or to persons situated thereon. I release, discharge, and waive any action, either legal or equitable, that might arise by reason of any action of the above entities, while removing storm-generated debris from the property. I will mark any sewer lines, septic tanks, water lines, and utilities located on the described property.

Duplication of Benefits

Most homeowner’s insurance policies have coverage to pay for removal of storm-generated debris. I understand that Federal law (42 United States Code 5155 et seq.) requires me to reimburse (eligible applicant) the cost of removing the storm-generated debris to the extent covered in my insurance policy. I also understand that I must provide a copy of the proof/statement of loss from my insurance company to (eligible applicant). If I have received payment, or when I receive payment, for debris removal from my insurance company, or any other source, I agree to notify and send payment and proof/statement of loss to (eligible applicant). I understand that all disaster related funding, including that for debris removal from private property, is subject to audit.

Sworn and attested: Witnessed:

All owners must sign below.

Print Name_________________________ Print Name _____________________________

Signature __________________________ Signature _____________________________

Name of Insurance Company:________________________________ Policy Number:_______________

Please do not remove the following items:___________________________________________________ _____________________________________________________________________________________ ___________________________________________________(Continue on back of sheet if necessary)

DEBRIS CONTRACT INFORMATION FOR APPLICANTS

Many of the problems that affect Federal reimbursement for debris removal, reduction and disposal occur as a result of improper contracting procedures, incomplete or inappropriate contracts, and/or inadequate monitoring of contract operations. FEMA and/or the State can provide technical assistance on the preparation and review of debris contracts and contracting. The following information is provided to assist you in developing and monitoring debris related contracts.

1. FEMA does not certify, credential, or recommend debris contractors.

2. No debris contractor has the authority to make eligibility determinations.

3. You need to make sure that you are familiar with FEMA eligibility, and not allow the contractor to make eligibility determinations. Eligibility information is available in numerous FEMA documents including the Public Assistance Guide (FEMA 322), Public Assistance Applicant Handbook (FEMA 323), and the Public Assistance Debris Management Guide (FEMA 325) It also is available on the FEMA Website, www.fema.gov. If you have eligibility questions, call the State or FEMA.

4. Make sure the debris contract is one that contains a clear and definitive scope of work, monitoring requirements, and specific language that is required for each debris related task.

5. Do not sign a contract provided by a contractor until it has been thoroughly reviewed by your legal representative.

6. Use competitive bidding unless impossible to do otherwise. Many applicants have received competitive bids in very short time frames.

7. You are responsible for payment of services contracted, regardless of whether or not such services are eligible for reimbursement by FEMA. Remember that FEMA is not a party to a debris-related contract entered into by you and a contractor.

8. Be aware of the limitations of time and material contracts. It is FEMA policy to reimburse for only the first 70 hours of a time and materials contract. Some contracts contain time and material clauses for certain types of work, and costs of such work may not be fully reimbursable.

9. All types of contracts must contain a requirement that records be kept that shows the amount of debris pickup-up, hauled, and/or reduced to determine reasonable costs.

10. Every contract should contain a “Termination for Convenience” clause. An example of such a clause is as follows:

“This contract may be terminated at any time for the convenience of (the contracting entity). If this clause is executed, (the contracting entity) agrees to pay the contractor for all work completed through the termination date, as well as any demobilization costs that were a part of the original contract.”

11. The contract should contain a cap on the cost. When that cap is reached, a review of work accomplished and work completed should be conducted to determine work remaining. If necessary, the contract can then be modified to reflect more accurate information.

12. Be sure the contract has a reasonable period of performance for the work to be done. Monitor the work effort to ensure compliance with the schedule for completion.

13. Many services offered for a fee by contractors (training in preparing Project Worksheets, documentation requirements, eligibility information, etc.) may be available free from FEMA or the State. Be sure you are aware of those services.

14. Make sure costs are reasonable. FEMA pays only reasonable costs.

15. In some instances, it may be necessary to use temporary debris storage and/or reduction sites. Such sites are expensive to develop, manage and restore. Don’t sign a contract for the development and management of such sites unless you know it is necessary. Call the State for assistance.

16. You, not the contractor, are responsible for monitoring and certifying debris operations. Be sure you have sufficient staff deployed for that task. If you do not have enough staff, hiring additional staff is eligible for funding according to the disaster cost share (usually 75% Federal, 25% non-Federal); however, those costs must be reasonable. It is not necessary to use registered professional engineers for monitoring. Many applicants find that construction inspectors are very appropriate.

Debris Removal Fact Sheet For Local Governments