Fee, Fie, Foe … FEMA!

June 4, 2020

City Manager Dale Martin

The City of Fernandina Beach has been waiting for reimbursement from FEMA for damage caused by Hurricane Matthew in 2016 to the Fernandina Harbor Marina, also known simply as the City Marina.  Despite initial assurances that FEMA would fund the repair/replacement of the marina’s north and south attenuator docks, FEMA apparently has had second thoughts.  

City Manager Dale Martin provided the Fernandina Beach City Commissioners (FBCC) and the media with FEMA’s written responses to the city’s requests during the June 2, 2020 FBCC Regular Meeting.  The news was a formalization of conversations that have occurred over the intervening years between various FEMA officials and the City, with Representative John Rutherford’s office intervening on the City’s behalf. 

In two letters to Martin both dated May 28, 2020, Saidat Thomas, FEMA’s Region IV Infrastructure Branch Director wrote:

“The Department of Homeland Security’s Federal Emergency Management Agency (FEMA) has determined that the replacement of the southern wave attenuator and associated improved codes and standards requirements due to replacement, are not eligible for Public Assistance funding.” 

[The City claimed $6,421,595 in repair expense; FEMA denied $5,796,827 of the expense.]

AND

“The Department of Homeland Security’s Federal Emergency Management Agency (FEMA) has determined that the replacement of the northern wave attenuator and associated improved codes and standards requirements due to replacement, are not eligible for Public Assistance funding. In addition, funding for replacement of the fuel dock and fuel building has been reduced due to cost reasonableness of the fuel dock building (562 SF) and the ADA gangway.”

[The City claimed $1,444,563.68 in repair expense; FEMA denied $192,994.68 of the claim.]

These rulings represent a reversal of earlier FEMA decisions.  

The City early in the process filed all necessary paperwork, including back up paperwork justifying the damages caused by the hurricane and the need for replacement of the attenuators along with the upgrades to meet current code.  The City’s decision to reconfigure the other docks in the south basin was not related to Matthew damage and not claimed as such in the FEMA grant application.

Following initial consultant work and FEMA informal commitment to fund the repairs, FEMA lost the City’s paperwork.  New FEMA people reviewed the City’s grant requests and rendered dramatically different opinions.  Meanwhile, the City proceeded with repairs based upon initial FEMA assurances that most of the expenses would be reimbursed.

In email exchange with Rep. Rutherford’s office, Martin said, “Still trying to wrap my head around how FEMA has been able to determine the repair/replacement cost based upon a document that apparently doesn’t exist.”

The City has 60 days to appeal the FEMA decisions, which it plans to do.  It generally takes about 90 days to process an appeal.  The City must first appeal to the FEMA office that rejected the original claim.  To strengthen its appeal, the City will contract with a third party to review all the documentation provided to justify both storm damage and reasonable expenses.

Currently, it is assumed that the case will need to move to the second level of appeal, which will be to the FEMA regional office in Atlanta, GA.  Congressman Rutherford continues to be engaged in the process.

A final resolution is expected by the end of the calendar year.  Based upon discussions with consultants and various federal officials, Martin remains optimistic that the City will prevail in its appeals.

If the appeals are not successful, city taxpayers will be on the hook for approximately $6M of marina repair expenses related to Hurricane Matthew.