FOR IMMEDIATE RELEASE: May 21, 2003
CONTACT: Mary Charles, Communications Officer, (816) 513-1356
Preliminary tornado cost estimates released (REVISED)
The City’s share of the cost of the response and cleanup for the May 4 tornado is preliminarily estimated to be $202,980. That amount represents the City’s 15 percent obligation ($96,034) toward the estimated FEMA eligible costs of $640,229 plus the estimated ineligible City expenses of $106,946.
Because the federal government declared the event an official disaster, $640,229 may qualify for reimbursement: 75 percent by FEMA and 10 percent by the State of Missouri. All reimbursements are anticipated within one year.
The total estimated costs include approximately $301,000 for labor; about $123,000 for equipment; and $322,000 in damage. Property damage is under a self-insurance policy and only the deductible of $150,000 is eligible for reimbursement.
The breakdown of estimated expenses is as follows:
Total Labor – $301,775 in total City costs; $252,829 in FEMA eligible costs; and $214,905 in estimated potential reimbursement.
Total Equipment – $123,400 in total City costs; $123,400 in FEMA eligible costs; and $104,890 in estimated potential reimbursement.
Total Damage – $322,000 in total City costs; $264,000 in FEMA eligible costs; and $224,400 in estimated potential reimbursement.
Total City costs – $747,175.
Total FEMA eligible costs – $640,229.
Total estimated potential reimbursement – $544,195