Federal Emergency Management Agency: Opportunities Exist to Strengthen Oversight of Administrative Costs for Major Disasters, Report to Congressional Requesters [open pdf - 5MB]
From the Highlights: "FEMA leads federal efforts to respond to and recover from disasters, and provides grants to states and localities through the DRF [Disaster Relief Fund]. For each major disaster, funds can be obligated from the DRF to cover administrative costs--the costs of providing and managing disaster assistance--for FEMA, states, tribes, localities, and certain nonprofits, among others. [The] GAO [United States Government Accountability Office] was asked to review these administrative costs along with FEMA policy changes. This report addresses the extent to which DRF funds were obligated to cover (1) FEMA's administrative costs for major disasters during fiscal years 2004 through 2013, and the steps FEMA has taken to control these costs, and (2) Grantee and subgrantee administrative costs for PA [Public Assistance] grants, and the impact FEMA's 2007 policy changes had on PA program administrative costs reimbursements. GAO analyzed FEMA's administrative costs data and policies and PA guidance for administrative cost reimbursements; and interviewed FEMA, state, and local officials."
Government Accountability Office: http://www.gao.gov/