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Newton County authorizes second appeal after FEMA denies grant decision tied to $800,000 receivable
Summary
County staff told commissioners FEMA denied an appeal over acquisition and demolition reimbursments tied to DR-4266, creating about $800,000 in receivables; the court authorized the county attorney to file a second appeal and discussed selling seven properties to recoup funds.
Newton County staff told the Commissioners Court that FEMA denied the county’s appeal of a de-obligation tied to disaster grant DR-4266, leaving the county with a receivable the county estimates at roughly $800,000.
"We owe back approximately $800,000," Miss Misty said, describing the agency’s finding that some demolition costs were unallowable because work occurred outside the contract period. She told the court the county filed its appeal within 60 days of being notified and submitted documentation showing the properties had been demolished.
Misty said FEMA officials visited the county sites and later reiterated the same findings. County staff outlined two options: pursue a second administrative appeal or seek FEMA approval to sell seven properties FEMA said it had no vested interest in, using proceeds to cover the receivable.
Commissioners discussed the program’s intent — preventing re-occupancy in flood-prone areas — but also the county’s limited cash position. "When we don't have the money, we don't have the money," Misty said, urging further appeals. The court voted to authorize the county attorney to prepare and submit a second appeal.
The motion to authorize the appeal was made and seconded and passed unanimously among the commissioners present. No timetable for the second appeal was provided in the meeting record. The court also discussed, but did not immediately authorize, selling the seven properties as an alternative to repaying the de-obligated funds.
Next steps: the county attorney will prepare the second appeal for submission to FEMA; commissioners indicated they expect staff to report back with any new developments or guidance from FEMA.
