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PROCUREMENT UNDER FEMA AWARDS

Requirements for Recipients and Subrecipients when Procuring Services & Supplies with FEMA Grant Funding

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Procurement rules for FEMA grants under the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Rules)Uniform Rules codified in full at 2 C.F.R. Part 200, procurement rules at 2 C.F.R. §§ 200.317 ‐ 200.326Not addressing other req’ts under Fed law, EOs, other regs, or other rules in 2 C.F.R. Part 200

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More than about getting the lowest price.Also includes other objectives:Full & open competitionSocioeconomic inclusionPrevent favoritism, collusion, fraud, waste & abuse

The Federal Acquisition Regulation (FAR) DOES NOT APPLY to procurements under FEMA awardsThe FAR applies to Federal Government’s own procurements. 

Instead, the Uniform Rules’s procurement standards at 2 C.F.R. §§ 200.317 – 200.326 apply to NFEs

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State Non-Federal Entities(state agencies, instrumentalities of the

state, and territories)

Other Non-Federal Entities(local governments, tribal governments,

IHEs, hospitals, and other nonprofit organizations)

2 C.F.R. § 200.317 2 C.F.R. §§ 200.318 through 200.326

Synopsis:

• (1) Must follow same policies and procedures they use for procurements from its non-Federal funds;

• (2) Comply with § 200.322 (procurement of recovered materials); and

• (3) Include any clauses required by § 200.326 (contract provisions)

Synopsis:

(1) Follow their own documented procurement procedures;

(2) Ensure procedures reflect applicable state, local, and tribal laws and regulations;

(3) Ensure procurements comply with applicable Federal law; and

(4) Ensure procurements comply with the standards identified in 2 C.F.R. §§ 200.318 through 200.326

Notes: (1) “State” – means any state of the United States, the District of Columbia, the Commonwealth of Puerto Rico, U.S. Virgin Islands, Guam, American Samoa, the Commonwealth of the Northern Mariana Islands, and any agency or instrumentality thereof exclusive of local governments.(2) Although not expressly applicable to states, in order to ensure reasonable costs, FEMA strongly encourages states to follow the limitations for time & materials contracts under 2 C.F.R. § 200.318(j) (especially including a cost ceiling that contractor exceeds at its own risk), and FEMA strongly discourages the use of cost-plus-percentage-of-cost contracts. See 2 C.F.R. §§ 200.318(j), 200.323(d).

6Dollar Thresholds & Procurement Method Tiers

Very Informal:Micro‐Purchase Procedures

≤10,000 (Micro‐Purchase 

Threshold)

Formal:Sealed Bidding OR Competitive Proposals

> $250,000

Informal:Small Purchase Procedures

> $10,000 AND≤ $250,000 (Simplified Acquisition 

Threshold)

For Prep Grants, see GPD Information Bulletin 434

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2 C.F.R. § 200.322 2 C.F.R. § 200.321 2 C.F.R. § 200.320 

2 C.F.R. § 200.323  2 C.F.R. § 200.324  2 C.F.R. § 200.325  2 C.F.R. § 200.326 

2 C.F.R. § 200.319 2 C.F.R. § 200.318 

General Procurement

Standards

Methods of Procurement

Socio-Economic

Contracting

Procurement of Recovered

Materials

Contract Cost and Price

Review of Procurements

Bonding Requirements

Contract Provisions

Overview of Standards

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Competition

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Procurement Disaster Assistance Team Resources

– For resources applicable to FEMA’s Public Assistance Program, please go to: www.fema.gov/procurement‐disaster‐assistance‐team

– Field Manual

– Supplement

– Procurement Checklist

– Contract Provisions Template

– Cost or Price Analysis Guide

– Pre‐Recorded Webinar Series

– Links to other resources

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