ADJUSTERS INTERNAT I ONAL . COM D I S A S T E R R E C O V E R Y T O D A Y summaries should mirror the line items shown on the PW. The major categories are Force Account Labor; Equipment Usage; Force Account Materials and Purchases; and Procurements and Contracts. More than one cost summary may be required, especially for larger PWs. Sample no. 1, page 5, exhibits how a lead cost summary may be set up. Additional supporting summary schedules should then be prepared for each line item. These supporting cost summaries should provide sufficient detail to enable the auditor to trace the costs, listed in the summaries, back to the source document. The cost summaries should be updated, at least monthly, and included in the PW file. Regular updates and reviews of cost summaries assist the applicant to better manage the funding process and decide whether a supplemental PW needs to be requested. Tip #5: Support Costs with Source Documentation Accurate and complete documentation helps accelerate the Public Assistance process, maximize reimbursements, and minimize deobligations during the final inspection and audit processes. All eligible costs must be supported by source documentation that clearly identifies costs related to the disaster. Source documentation supporting eligible costs can be the product of applicant systems and procedures that are already in place. If current records do not provide the necessary amount of detail, supplemental documentation will be required. The FEMA Project Officers (POs) who write the original PW’s typically only perform a random review of source documentation. However, during the final audit, a state or FEMA auditor performs a more detailed review. Where adequate source documentation is not available, applicants may be required to repay any FEMA funding related to that cost. Clearly it is more efficient (and likely to produce more accurate results) if adequate source documentation is required and maintained by the applicant at the time that the costs are incurred. As a rule of thumb, all source documentation intended to support eligible disaster-related costs should include the details of to whom, where, what, when and why the cost was incurred. A few basic checklists for the most frequently used types of source documentation are displayed in Sample no. 2, page 6. Applicants should ensure that systems are in place to capture all the details required by FEMA and the state at the time the documentation is created and approved. Only adequately detailed supporting documentation should be included in summary sheets used for tracking disaster-related costs. If, for example, a contractor neglects to include specific details on an invoice, such as time, site and a detailed description of duties performed, etc., authorization for payment of that invoice should be withheld until the requisite details have been included. Tip #6: Keep Tabs on Contractors In recent years, FEMA has taken an active role in monitoring the performance of contractors and vendors. For example, FEMA has sent out “Debris Police” to ensure that contractors and/or departments are not overcharging for debris removal. In effect, FEMA charges an applicant to take the same precautions they would take if it were their money being spent (e.g. not paying an invoice until it is reconciled and signed off on by a project manager). When working with contracts, applicants should keep the following in mind: • If a contract involves a per-unit pay scale, the applicants should always be on hand to verify the amount being claimed. • Where possible, items such as debris should actually be weighed as opposed to guessing the cubic yards or tonnage. • No contractor invoice should be paid unless the project manager has approved it. • If a contractor is working on a time-and-expense basis (if no other alternative exists), appli- cants must be reasonably certain that the hours charged are actually being worked. In recent years, FEMA has taken an active role in monitoring the performance of contractors and vendors.
RkJQdWJsaXNoZXIy NjIxNjMz