IOWA CITY, Iowa — The Federal Emergency Management Agency has denied the University of Iowa's appeal of its decision not to fund a replacement for its flood-damaged art museum.
State and school officials say they're disappointed with Wednesday's decision and will work together on options.
FEMA ruled the museum didn't have enough flood damage in 2008 to pay for its replacement elsewhere. The university appealed, saying it can't insure art in the current location.
Under FEMA regulations the building is eligible to be replaced if it's not feasible to repair it so that it can function at the same level that it had before the flood. State officials say the agency, in its denial, claims the regulations don't apply because the decision not to insure is a business decision by private insurance companies.