The 100 Percent Rule

FEMA also considers mitigation measures to be cost-effective if:

  • The mitigation measure is specifically listed in Appendix J: Cost-Effective Hazard Mitigation Measures of the Public Assistance Program and Policy Guide
  • The cost of the mitigation measure does not exceed 100% of the eligible repair cost (prior to any insurance reductions) of the facility or facilities for which the mitigation measure applies

The items listed in Appendix J were derived from historical mitigation measures FEMA has determined to be cost effective.

If the project costs more than 15% of the total eligible repair cost or 100% of the damaged element repairs, then conduct a Benefit-Cost Analysis.

A pie chart with one section: 100%.