The Applicant must submit a proposed statement of work for use of any excess funds, along with a project timeline to the Recipient within 90 days of completing its last Alternative Procedures Project. The Recipient must forward the request to FEMA within 180 days of date the last Alternative Procedures Project was completed. FEMA evaluates the proposed use of excess funds for reasonableness to ensure prudent use of funds. FEMA also evaluates the submitted project timeline and approves an appropriate deadline for work completion, not to exceed the overall disaster period of performance..

The Applicant may use the excess funds for the following:

• Cost-effective hazard mitigation measures that will reduce the risk of damage in future incidents.
• The Applicant may use the funds for hazard mitigation on facilities not damaged in the incident, provided the facilities would otherwise be eligible for Public Assistance funding, and toward hazard mitigation activities on other Alternative Procedures Projects.
• Activities that improve future Public Assistance Program Permanent Work operations, such as training and planning for future disaster recovery operations.

Unacceptable uses of excess funds includes:

• Payment of debts
• Payment of the non-Federal share of Public Assistance projects or other Federal awards
• Operating expenses
• Cost overruns on other Public Assistance projects
• Incorporation into the community's General Fund
• Restoring a facility not damaged in the declared incident
• Restoring a facility that would not otherwise be eligible for Public Assistance funding obtain-and-maintain requirements for insurance apply to work funded with excess funds, as appropriate