BAY MINETTE, Ala – The Baldwin County Commission was notified April 13 that its second appeal to the Federal Emergency Management Agency (FEMA) has allowed for $3.6 million related to tipping fees and tipping fee interest incurred during Hurricanes Ivan and Dennis to be reimbursed to the county.

“This is great news and it comes at a great time,” said Frank Burt, Baldwin County Commission Chairman. “We have a great working relationship with the state and it has proved to be successful.”

Fees were initially questioned during a 2008 Office of Inspector General (OIG) Audit that identified $10.5 million in costs associated in Hurricanes Ivan, Dennis and Katrina that the OIG recommended to FEMA should not be reimbursed to the county.

The Baldwin County Commission worked with the Alabama Emergency Management Agency and the county hired attorney Ernest Abbott to present Baldwin County’s position surrounding the proper response it had taken during debris removal.

As a result, FEMA Regional Director disallowed $5.8 million of the original $10.5 million finding of the OIG audit.

The Baldwin County Commission’s initial appeal of this $5.8 million disallowance was denied in April 2010. In May and June, 2010, the Baldwin County Commission sought arbitration of the $520,000 in questioned costs related to Hurricane Katrina, and submitted a second appeal to FEMA for the remaining $5.2 million disallowance. The U.S. Civilian Board of Contract Appeals awarded Baldwin County all of the Hurricane Katrina costs in September 2010.

The Baldwin County Commission’s second appeal to FEMA covered three items: approximately $3 million for tipping fees, $573,000 for interest earned on tipping fees and $1.6 million for stump removal related to Hurricanes Ivan and Dennis.

FEMA has determined that the $3.6 million for tipping fees and interest earned was eligible for reimbursement.

The Baldwin County Commission is now responsible for only $1.6 million of the original $10.5 million. This $1.6 million is for stump removal costs related to Hurricane Ivan which FEMA has deemed ineligible for reimbursement.