If the Applicant uses equipment that has no established State, Territorial, Tribal, or Local rate, FEMA reimburses that equipment based on the FEMA rate.
If FEMA does not have a rate established for the equipment, the Applicant may either submit a rate for approval or request that FEMA provide a rate.
If the Applicant submits a rate, it must include documentation demonstrating that each component of the rate is comparable to current market prices. The rate cannot be based on rental rates as such rates include cost components, such as profit, that are above and beyond what is necessary to operate and maintain force account equipment.