Pursuant to a legislative requirement, GAO reviewed the Federal Emergency Management Agency's (FEMA) interim rule on property acquisition and relocation grants in the wake of Hurricane Floyd. GAO noted that: (1) the interim final rule provides guidance on the administration of grants of $215 million for the acquisition and relocation of properties affected by Hurricane Floyd and surrounding events for hazard mitigation purposes; and (2) FEMA complied with applicable requirements in promulgating the rule.