ESBD_484611_1769121721664_Attachment B - Insurance Appraisal Report.pdf

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Project # 798350 P/W # 1592

Project Category E - Buildings and Equipment

Project Title Hail Damage to Health Dept Building

Project Size Small

Activity Completion Date

6/17/2026

Process Step Pending Applicant Project Review

Project Type Estimated Costs

Applicant Hays County (209-99209-00)

Event 4781DR-TX (4781DR)

Declaration Date 5/17/2024

Incident Start Date 4/26/2024

Incident End Date 6/5/2024

Department of Homeland Security Federal Emergency Management Agency

General Info

Damage Description and Dimensions

The Disaster # 4781DR, which occurred between 04/26/2024 and 06/05/2024, caused:

Damage #1415160; Hays County Health Department Building General Facility Information:

Facility Type: Building Building Type: Clinic Facility: Health Department Building Facility Description: It is 15000 SF area building used by Hays County residence. The exterior component of the building consisted of metal framed, wooden panel windows, PTAC unit grilles, and aluminum downspout and gutters. The roof was covered with 26-gauge steel r-panels, fastened to a wood roof deck. Mansard metal roof with 5/12 pitch. Top appurtenances were limited to plumbing vents with neoprene flashing.

Year Built: 1981 Location Description: 101 Thermon Dr San Marcos TX, 78668 GPS Latitude/Longitude: 29.85304, -97.95864 Number of Stories: 1

General Damage Information:

Date Damaged: 5/9/2024 Cause of Damage: Hail and Wind damage.

Building Damage:

29.85304, -97.95864 :

Building Exterior, 23 each of Aluminum Down Spouts & Guters, 22.5 LF long, Damaged due to Hail & Wind , 0% work completed.

Building Exterior, 2 each of Three-ton, Heat Pump-Exterior Coil Unit., Destroyed due to Hail and Wind., 0% work completed.

Building Exterior, 2 each of Central air cond. system-refrigerant, Evacuation., Destroyed due to Hail and Wind., 0% work completed.

Building Exterior, 2 each of Central air cond. system- recharge -13 lb. refrigerant., Destroyed due to Hail and Wind., 0% work completed.

Building Exterior, Drip Edge, 785 LF long, Destroyed due to Hail and Wind., 0% work completed.

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1415160 Hays County Health Department Building

Building Exterior, Valley "W" Flashing for metal roofing, 398 LF long, Destroyed due to Hail and Wind., 0% work completed.

Building Exterior, End wall flashing for metal roofing -26 gauge, 60 LF long, Destroyed due to Hail and Wind., 0% work completed.

Building Exterior, 16,816 SF of Metal roofing ribbed 26 gauge 1/8inch and 1/2inch, Destroyed due to Hail and Wind., 0% work completed.

Building Exterior, 11 each of Neoprene pipe jack flashing for metal roofing, Destroyed due to Hail and Wind., 0% work completed.

Building Exterior, Steel rake/gable trim-color finish, 72 LF long, Destroyed due to Hail and Wind., 0% work completed.

Building Exterior, Hip/Ridge cap-metal roofing, 628 LF long, Destroyed due to Hail and Wind., 0% work completed.

Final Scope

Work to be Completed

The applicant will utilize contract and (or) force account for exterior repairs to Hays County Health Department Building to restore this facility to its pre-disaster design, function and capacity (in-kind) within the existing footprint.

Gutters/Downspouts

A. Remove and replace 23 LF of Aluminum Downspouts & Gutters

HVAC

A. Remove and replace 2 each of Central Air Cond. System- Recharge -13 Lb. Refrigerant.

B. Remove and replace 2 each of Central Air Cond. System-Refrigerant, Evacuation.

C. Remove and replace 2 each of Three-Ton, Heat Pump-Exterior Coil Unit

Roofing

A. Remove and replace 16,816 SF of Metal Roofing Ribbed, 26 Gauge

B. Remove and replace 785 LF of Drip Edge

C. Remove and replace 60 LF of End Wall Flashing for Metal Roofing -26 Gauge

D. Remove and replace 398 LF of Valley "W" Flashing for Metal Roofing

E. Remove and replace 628 LF of Hip/Ridge Cap-Metal Roofing

F. Remove and replace 11 each of Neoprene Pipe Jack Flashing for Metal Roofing

G. Remove and replace 72 LF of Steel Rake/Gable Trim-Color Finish

Work to be Completed Total: $241,711.00

Cost Estimating Format Total: $514,629.00

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Project Notes:

1. All site estimates for work to be completed were generated using RS Means. See attachment labeled 798350 – 4781 TX CRC Cost Estimate.xlsx and 798350 – 4781 TX – CRC Costing Spreadsheet.xlsx

2. A Cost Estimating Format (CEF) has been created for this project. See attachment labeled: 798350 – 4781 TX CRC Cost Estimate.xlsx

3. The SOW differs from the DDD as items have been rolled up for common damages. See “Roll-up PT” tab in cost estimate spreadsheet.

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CRC Gross Cost $514,629.00 Total 406 HMP Cost $0.00 Total Insurance Reductions ($489,629.00)

CRC Net Cost $25,000.00 Federal Share (75.00%) $18,750.00 Non-Federal Share (25.00%) $6,250.00

Cost

Code Quantity Unit Total Cost Section 9000 (CEF Cost Estimate) 1.00 Lump Sum $514,629.00 Uncompleted

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Award Information Version Information

Version

Eligibility Status

Current Location

Bundle Number

Project Amount

Cost Share

Federal Share Obligated

Date Obligated

Drawdown History

EMMIE Drawdown Status As of Date IFMIS Obligation # Expenditure Number Expended Date Expended Amount No Records

Obligation History

Version # Date Obligated Obligated Cost Cost Share IFMIS Status IFMIS Obligation #

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Subgrant Conditions

As described in Title 2 Code of Federal Regulations (C.F.R.) § 200.333, financial records, supporting documents, statistical records and all other non-Federal entity records pertinent to a Federal award must be retained for a period of three (3) years from the date of submission of the final expenditure report or, for Federal awards that are renewed quarterly or annually, from the date of the submission of the quarterly or annual financial report, respectively, as reported to the Federal awarding agency or pass-through entity in the case of a subrecipient. Federal awarding agencies and pass-through entities must not impose any other record retention requirements upon non-Federal entities. Exceptions are stated in 2 C.F.R.

§200.333(a) – (f)(1) and (2). All records relative to this project are subject to examination and audit by the State, FEMA and the Comptroller General of the United States and must reflect work related to disaster-specific costs.

In the seeking of proposals and letting of contracts for eligible work, the Applicant/Subrecipient must comply with its Local, State (provided that the procurements conform to applicable Federal law) and Federal procurement laws, regulations, and procedures as required by FEMA Policy 2 CFR Part 200, Procurement Standards, §§ 317-326.

The Recipient must submit its certification of the subrecipient’s completion of all of its small projects and compliance with all environmental and historic preservation requirements within 180 days of the applicant’s completion of its last small project, or the latest approved deadline, whichever is sooner.

When any individual item of equipment purchased with PA funding is no longer needed, or a residual inventory of unused supplies exceeding $5,000 remains, the subrecipient must follow the disposition requirements in Title 2 Code of Federal Regulations (C.F.R.) § 200.313-314.

The terms of the FEMA-State Agreement are incorporated by reference into this project under the Public Assistance award and the applicant must comply with all applicable laws, regulations, policy, and guidance. This includes, among others, the Robert T. Stafford Disaster Relief and Emergency Assistance Act; Title 44 of the Code of Federal Regulations; FEMA Policy No. 104-009-2, Public Assistance Program and Policy Guide; and other applicable FEMA policy and guidance.

The DHS Standard Terms and Conditions in effect as of the declaration date of this emergency declarations or major disaster, as applicable, are incorporated by reference into this project under the Public Assistance grant, which flow down from the Recipient to subrecipients unless a particular term or condition indicates otherwise.

The Uniform Administrative Requirements, Cost Principles, and Audit Requirements set forth at Title 2 Code of Federal Regulations (C.F.R.) Part 200 apply to this project award under the Public Assistance grant, which flow down from the Recipient to all subrecipients unless a particular section of 2 C.F.R. Part 200, the FEMA-State Agreement, or the terms and conditions of this project award indicate otherwise. See 2 C.F.R. §§ 200.101 and 110.

The subrecipient must submit a written request through the Recipient to FEMA before it makes a change to the approved scope of work in this project. If the subrecipient commences work associated with a change before FEMA approves the change, it will jeopardize financial assistance for this project. See FEMA Policy No. 104-009-2, Public Assistance Program and Policy Guide.

Pursuant to section 312 of the Stafford Act, 42 U.S.C. 5155, FEMA is prohibited from providing financial assistance to any entity that receives assistance from another program, insurance, or any other source for the same work. The subrecipient agrees to repay all duplicated assistance to FEMA if they receive assistance for the same work from another Federal agency, insurance, or any other source. If an subrecipient receives funding from another federal program for the same purpose, it must notify FEMA through the Recipient and return any duplicated funding.

Insurance

Additional Information

11/20/2025 Project reworked for removal of DI 1415161. Insurance and GM changes made.

There are no additional insurance related concerns following the rework of this project.

Michael Toton / Insurance Specialist

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CRC Central / Denton, TX

6/25/2025

GENERAL INFORMATION

Event: 4781DR-TX (4781DR)

Project: [798350] Hail Damage to Historical Courthouse and Health Dept Building

Category of Work: Cat E - Buildings & Equipment

Applicant: Hays County (209-99209-00)

Event Type: Severe Storms / Wind and Hail

Cause of Loss: Hail

Incident Period: 4/26/2024 to 6/5/2024

Total Public Assistance Amount: $514,629.00

COMMERCIAL INSURANCE INFORMATION

Does the Applicant have a Commercial Policy: Yes

Policyholder (Named Insured) per Policy Documents: Hays County

Policy Issued by: Texas Association of Counties Risk Management Pool

Policy Number: Member Number 1050

Policy Period: From: 7/1/2023 To: 7/1/2024

Policy Valuation: Scheduled Policy

Policy Limits: $269,388,580.00

RCV or ACV: Replacement Cost Value

Deductible Type: Per Occurrence:

Does the Applicant’s Commercial Policy extend coverage for the damage described in this project: Yes

The amount of the deductible being funded in this project is $25,000.00.

The amount of the deductible previously funded in other project(s) for the facilities listed in this project are $0.00.

Final Insurance Settlement Status: Actual Insurance proceeds have been received, and additional insurance proceeds are anticipated.

The amount of Actual Insurance Proceeds applied for Project: $18,087.88

The amount of Anticipated Insurance Proceeds applied for Project: $471,541.12

NUMBER OF DAMAGED INVENTORIES INCLUDED IN THIS PROJECT: (2)

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Damaged Inventory (DI) #1415160:

Hays County Health Department Building

Number of damaged locations included in this DI: (1)

Location Description: 101 Thermon Dr San Marcos TX, 78668

GPS Coordinates: 29.85304, -97.95864

Cause of Loss: Hail

SOV / Schedule #: 30-1

SOV / Schedule Amount: $3,250,000.00

Applicable Deductible Amount: $25,000.00

Damage Inventory Amount: $514,629.00 Prior Obtain and Maintain Requirement:

No prior insurance requirements were found for this facility.

Reduction(s):

The Hays County Health Department Building was damaged during the declared event. There is scheduled coverage for the building in the primary insurance policy, actual insurance proceeds have been received ($18,087.88) and additional insurance proceeds are anticipated. Therefore, a reduction is being made to this facility in the amount of $18,087.88 in actual insurance proceeds received and $471,541.12 in anticipated insurance proceeds. ($514,629.00 CRC Cost - $25,000.00 Deductible - $18,087.88 actual insurance proceeds received = $471,541.12 anticipated insurance proceeds.)

Obtain and Maintain Requirement:

An Obtain & Maintain Requirement is being required for Building, for the peril of Wind and Hail for Hays County Health Department Building, 101 Thermon Dr San Marcos TX, 78668, GPS 29.85304, -97.95864 in the amount of $514,629.00.

(Insurable Repair Amount)

Insurance Proceeds Statement:

In accordance with 44 CFR §206.250-253, in the absence of an actual settlement, anticipated insurance recoveries will be deducted from this project based on Applicant’s insurance policy limits. FEMA subsequently adjusts the eligible costs based on the actual amount of insurance proceeds the Applicant receives after a final settlement.

FEMA’s Recovery Policy FP 206-086-1, Public Assistance Policy on Insurance (June 29, 2015), requires applicants to take reasonable efforts to recover insurance proceeds that it is entitled to receive from its insurers. FEMA will consider final insurance settlements that may be less than the insurance policy limits when an applicant demonstrates that it has taken reasonable efforts to recover insurance proceeds that it is entitled on a case-by-case basis.

Standard Insurance Comments

FEMA Policy 206-086-1 PART 2: Other Insurance-Related Provisions. (Sections 312 and 406(d) of the Stafford Act)

A. Duplication of Benefits. FEMA cannot provide assistance for disaster-related losses that duplicate benefits available to an applicant from another source, including insurance.

1. Before FEMA approves assistance for a property, an applicant must provide FEMA with information about any actual or

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2. FEMA will reduce assistance to an applicant by the amount of its actual or anticipated insurance proceeds.

3. Applicants must take reasonable efforts to recover insurance proceeds that they are entitled to receive from their insurer(s).

FEMA Policy 206-086-1 H. Subsequent Assistance. When a facility that received assistance is damaged by the same hazard in a subsequent disaster:

1. If the applicant failed to maintain the required insurance from the previous disaster, then the facility is not eligible for assistance in any subsequent disaster.

2. Upon proof that the applicant maintained its required insurance, FEMA will reduce assistance in the subsequent disaster by the amount of insurance required in the previous disaster regardless of:

a. The amount of any deductible or self-insured retention the applicant assumed (i.e., “retained risk”).

Obtain and Maintain Requirements:

44 CFR § 206.253 Insurance requirements for facilities damaged by disasters other than flood.

(a) Prior to approval of a Federal grant for the restoration of a facility and its contents which were damaged by a disaster other than flood, the recipient shall notify the Regional Administrator of any entitlement to insurance settlement or recovery for such facility and its contents. The Regional Administrator shall reduce the eligible costs by the actual amount of insurance proceeds relating to the eligible costs.

(b)

(1) Assistance under section 406 of the Stafford Act will be approved only on the condition that the recipient obtain and maintain such types and amounts of insurance as are reasonable and necessary to protect against future loss to such property from the types of hazard which caused the major disaster. The extent of insurance to be required will be based on the eligible damage that was incurred to the damaged facility as a result of the major disaster. The Regional Administrator shall not require greater types and extent of insurance than are certified as reasonable by the State Insurance Commissioner.

(2) Due to the high cost of insurance, some applicants may request to insure the damaged facilities under a blanket insurance policy covering all their facilities, an insurance pool arrangement, or some combination of these options. Such an arrangement may be accepted for other than flood damages. However, if the same facility is damaged in a similar future disaster, eligible costs will be reduced by the amount of eligible damage sustained on the previous disaster.

(c) The Regional Administrator shall notify the recipient of the type and amount of insurance required. The recipient may request that the State Insurance Commissioner review the type and extent of insurance required to protect against future loss to a disaster-damaged facility, the Regional Administrator shall not require greater types and extent of insurance than are certified as reasonable by the State Insurance Commissioner.

(d) The requirements of section 311 of the Stafford Act are waived when eligible costs for an insurable facility do not exceed $5,000. The Regional Administrator may establish a higher waiver amount based on hazard mitigation initiatives which reduce the risk of future damages by a disaster similar to the one which resulted in the major disaster declaration which is the basis for the application for disaster assistance.

(e) The recipient shall provide assurances that the required insurance coverage will be maintained for the anticipated life of the restorative work or the insured facility, whichever is the lesser.

(f) No assistance shall be provided under section 406 of the Stafford Act for any facility for which assistance was provided as a result of a previous major disaster unless all insurance required by FEMA as a condition of the previous assistance has been obtained and maintained.

For large projects only: Final Obtain and Maintain requirement amount will be determined during the closeout process after the final actual eligible costs to repair or replace the insurable facility have been determined.

FEMA Policy 206-086-1

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F. Timeframes for Obtaining Insurance. FEMA will only approve assistance under the condition that an applicant obtains and maintains the required insurance.

The applicant must document its commitment to comply with the insurance requirement with proof of insurance.

If an applicant cannot insure a facility prior to grant approval (for example, if a building is being reconstructed), the applicant may provide a letter of commitment stating that they agree to the insurance requirement and will obtain the types and extent of insurance required, followed at a later date by proof of insurance once it is obtained. In these cases, the applicant should insure the property:

a. When the applicant resumes use of or legal responsibility for the property (for example, per terms of construction contract or at beneficial use of the property); or

b. When the scope of work is complete.

D. Modifying the Insurance Requirement. An applicant may request that FEMA modify the insurance requirement if the applicant attempts to comply with the requirement and believes that: the required insurance is not reasonably available; an alternative to the insurance requirement provides adequate protection against future loss to the property; or the required insurance is not necessary to protect against future losses to the property.

1. The applicant should submit its written request to modify the insurance requirement to FEMA through the recipient. The request should include supporting documentation.

2. In its supporting documentation, the applicant should identify and provide relevant evidence, such as:

a. Whether insurance coverage for the hazard or category of property exists, the conditions under which insurers offer coverage, or whether like-situated parties have substantially similar coverage.

b. Whether the applicant can obtain the amount of insurance coverage, and if not, why (for example, if the amount of insurance FEMA requires exceeds the value of the property).

c. The likelihood of repetitive damage.

d. Whether hazard mitigation measures reduce future risk to the property9.

e. Information describing the alternative to insurance and an explanation as to why it provides adequate protection against future loss.

f. The affordability of the types and extent of insurance, including the amount of retained risk required as part of available insurance policies, and the cost of insurance in relation to the applicant’s operating budget; and

g. The possibility of renewing an existing insurance policy.

3. In its request, the applicant should also specify the types and extent of insurance it suggests are reasonably available, adequate, and necessary to protect against future loss, based on the supporting documentation provided.

4. FEMA will consider the request provided by the applicant and work with the applicant and recipient to determine whether it is appropriate to modify the insurance requirement.

E. State Insurance Commissioner Certifications. FEMA will not require greater types and amounts of insurance than are certified as reasonably available, adequate, or necessary by the appropriate State insurance commissioner. The State insurance commissioner cannot waive Federal insurance requirements but may certify the types and extent of insurance reasonable to protect against future loss to an insurable facility.

1. In a certification, a State insurance commissioner should identify the facility or facilities that the certification applies to and certify the types and extent of insurance reasonable to protect against future loss to the property or properties.

2. The certification should include supporting information regarding the availability, adequacy, and necessity of insurance such as:

a. Insurance market conditions, including market competition and the relative size of voluntary and residual markets within the State and declared area.

b. Reasonable risk management practices based on the applicant’s function, size, and operating budget;

c. Additional information related to the hazard(s) and class(es) of property for which the applicant must obtain insurance, the extent of policy limits for each insured property, and related premium costs.

3. FEMA will not accept a State insurance commissioner certification that purports to certify that flood insurance—up to the maximum amount of coverage available through an SFIP— is not reasonably available

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Is this project compliant with EHP laws, regulations, and executive orders?

Yes for properties insurable under the NFIP.

4. FEMA will use the type and amount of insurance certified as reasonably available, adequate, or necessary by the State insurance commissioner to modify the applicant’s insurance requirement.

5. A State insurance commissioner certification regarding an applicant’s property only applies to the current declared event. FEMA does not consider prior certifications when establishing insurance requirements in a subsequent disaster.

FEMA and the recipient will verify proof of insurance, modification, or Insurance Commissioner’s certificate prior to grant closeout to ensure the applicant has complied with the insurance requirement.

An applicant should notify FEMA—in writing through the recipient—of changes to their insurance which impact their ability to satisfy the insurance requirement after it provides proof of insurance to FEMA. This includes changes related to self-insurance. If an applicant fails to do this, FEMA may de-obligate assistance and not provide assistance in a future disaster.

When a Obtain and Maintain requirement has been placed on a facility from a previous disaster the insurance coverage that is required must be procured and in force prior to the Disaster Declaration Date of the current disaster. Regardless of the peril, If the same facility is claimed in the current or future disaster and the prior Obtain and Maintain requirement has not been satisfied that facility it is no longer eligible for FEMA Section 406 assistance. Stafford Act-Sec. 311. Insurance (42 U.S.C. 5154)

Michael Toton, PA Insurance Specialist

CRC Central, Denton, TX

O&M Requirements

Insured Peril

Item Type Description

Required Coverage Amount

General

- Other

Building An Obtain & Maintain Requirement is being required for Building, for the peril of Hail for Hays County Health Department Building, 101 Thermon Dr San Marcos TX, 78668, GPS 29.85304, -97.95864 in the amount of $514,629.00. (Insurable Repair Amount)

$514,629.00

406 Mitigation

There is no additional mitigation information on Hail Damage to Health Dept Building.

Environmental Historical Preservation

EHP Conditions

Any change to the approved scope of work will require re-evaluation for compliance with NEPA and other Laws and Executive Orders.

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Reviewed By SPERRY, CHERYL G. Reviewed On 11/25/2025 3:27 PM CST

Reviewed By Woskie, Micaela Reviewed On 12/03/2025 8:28 AM CST

Signed By Unsigned Signed On Unsigned

This review does not address all federal, state and local requirements. Acceptance of federal funding requires recipient to comply with all federal, state and local laws. Failure to obtain all appropriate federal, state and local environmental permits and clearances may jeopardize funding.

If ground disturbing activities occur during construction, applicant will monitor ground disturbance and if any potential archaeological resources are discovered, will immediately cease construction in that area and notify the State and FEMA.

If any asbestos containing materials, lead based paint and/or other hazardous materials are found during remediation or repair activities, the applicant must comply with all federal, state and local abatement and disposal requirements under the National Emissions Standards for Hazardous Air Pollutants (NESHAP).

EHP Additional Info

There is no additional environmental historical preservation on Hail Damage to Health Dept Building.

Final Reviews

Final Review

Review Comments

Project reworked for removal of DI 1415161. Insurance and GM changes made. I concur with all reviews. It is the responsibility of the Recipient to ensure that costs incurred by the applicant, applicable to this project, are in accordance with all PA Program statutes, regulations, and policies. Any discrepancies and omissions will be resolved at closeout of this application. Cheryl Sperry

Recipient Review

Review Comments

No comments available for the Recipient Review step

Project Signatures

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Project Report