FEMA Should Recover $1.9 Million of Public Assistance Grant Funds Awarded to the Hancock County Utility Authority — Hurricane Katrina

The Authority received a PA award totaling S2.9 million from the Mississippi Emergency Management Agency (State), a FEMA grantee, for damages resulting from Hurricane Katrina, which occurred in August 2005. The award provided 100 percent FEMA funding for emergency protective measures and permanent repairs to buildings and facilities. The award consIsted of 10 large projects and 8 5mall projects. We audited four large projects with awards totaling $2.3 million (see Exhibit. Schedule of Projects Audited). The audit covered the period of August 29, 2005, 10 April 19, 2012, during which the Authority received $2.3 millionIn FEMA funds for the four projects, At the time of our audit , the Authority had completed work on all awarded projects and had submitted a final claim to the State for all project expenditures.