and a certification that it is compliant with Internal Revenue Code section 501(c)(3) and State law requirements. Additionally, for the PNP to be eligible, FEMA must first determine whether it “owns or operates an eligible facility. For PNPs, an eligible facility is one that provides critical services or non-critical social services as defined by FEMA (See FEMA’s PAPPG V4 — pages 43-48) General Work Eligibility If your organization is eligible for public assistance, FEMA relies on the following tests to determine what is eligible work: 1. Required as a result of the event. 2. Caused by the event (no pre-existing damage or negligence). 3. Located within the designated disaster area.2 4. The legal responsibility of an eligible Subrecipient. TEST #1 Required as a Result of the Event FEMA holds the Subrecipient responsible for detailing how work is required as a direct result of the event. Typically, this can be accomplished by showing how Emergency Work3 is necessary due to
State government agencies, such as departments of transportation, environment, or parks; Local governments, such as a county, city, town, special district or regional authority, village, or borough; Indian tribes or authorized tribal organizations1 and Alaskan native villages; or Certain private nonprofit (PNP) organizations are eligible Subrecipients if they show they have: • A ruling letter from the U.S. Internal Revenue Service that was in effect as of the declaration date and granted tax exemption under sections 501(c), (d), or (e) of the Internal Revenue Code; or • Documentation from the State substantiating it is a non-revenue producing, nonprofit entity organized or doing business under State law. If the [PNP] organization is not required to obtain 501(c)(3) status or tax-exempt status under applicable State law, the organization must provide articles of association, bylaws, or other documents indicating that it is an organized entity,
“Primarily, Subrecipients know best what needs to be done in the immediate aftermath of a disaster. However, it is common for those efforts to be questioned by FEMA months, or even years, after an event.”
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