FEMA reimburses costs incurred by Tribal and local governments and Private Nonprofits using three types of contract payment obligations:
- Fixed-price
- Cost-reimbursement
- to a limited extent, Time and materials
The specific contract types related to each of these are described in FEMA’s Procurement Guidance for Recipients and Subrecipients Under 2 Code of Federal Regulations Part 200 (Uniform Rules).
Tribal and local governments and private nonprofits must include required provisions in all contracts awarded and maintain oversight to ensure contractors perform according to the conditions and specifications of the contract and any purchase orders.
- FEMA does not reimburse costs incurred under a cost plus a percentage of cost contract or a contract with a percentage of construction cost method