Booz Allen Hamilton awarded $36.16M for FEMA capability validation and exercise delivery support

Contract Overview

Contract Amount: $36,161,374 ($36.2M)

Contractor: Booz Allen Hamilton Inc

Awarding Agency: Department of Homeland Security

Start Date: 2019-02-01

End Date: 2022-09-30

Contract Duration: 1,337 days

Daily Burn Rate: $27.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: CAPABILITY VALIDATION AND EXERCISE DELIVERY SUPPORT SERVICES

Place of Performance

Location: MCLEAN, FAIRFAX County, VIRGINIA, 22102

State: Virginia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $36.2 million to BOOZ ALLEN HAMILTON INC for work described as: CAPABILITY VALIDATION AND EXERCISE DELIVERY SUPPORT SERVICES Key points: 1. Contract provides essential support for FEMA's critical mission functions. 2. Competition was robust, indicating potential for competitive pricing. 3. Performance period spans over three years, suggesting a need for sustained support. 4. Contract type is Time and Materials, which can pose cost control challenges. 5. The awardee has a significant presence in government contracting. 6. This contract supports national preparedness and response capabilities.

Value Assessment

Rating: good

The contract value of $36.16 million over approximately three years appears reasonable for specialized support services in emergency management. Benchmarking against similar contracts for exercise development and validation support is challenging without more granular data on the specific tasks and deliverables. However, given the complexity of FEMA's mission and the need for expert support, the pricing is likely competitive within the specialized government contracting market. The Time and Materials (T&M) pricing structure, while offering flexibility, warrants close monitoring to ensure cost efficiency and prevent scope creep.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple qualified vendors had the opportunity to bid. The presence of five bidders suggests a healthy level of competition for this requirement. A competitive bidding process generally leads to better price discovery and can result in more favorable terms for the government. The agency's decision to use full and open competition implies confidence that the market could adequately meet the requirement.

Taxpayer Impact: Taxpayers benefit from the competitive nature of this award, as it likely drove down costs compared to a sole-source or limited competition scenario. The multiple bids received suggest that government funds are being used efficiently to secure necessary support services.

Public Impact

Federal Emergency Management Agency (FEMA) benefits directly through enhanced capability validation and exercise delivery. Services support the development and execution of exercises crucial for national preparedness and disaster response. Geographic impact is national, as FEMA's mission covers all U.S. states and territories. Workforce implications include the potential for specialized roles in exercise design, facilitation, and evaluation.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials (T&M) contract type can lead to cost overruns if not closely managed.
The duration of the contract (over three years) requires ongoing vigilance to ensure continued value.
Dependence on a single contractor for critical support functions could pose a risk if performance falters.

Positive Signals

Awarded under full and open competition, suggesting a competitive pricing environment.
The contractor, Booz Allen Hamilton, is a well-established entity with extensive experience in government services.
The contract directly supports FEMA's core mission of disaster preparedness and response.

Sector Analysis

This contract falls within the Engineering Services sector, specifically supporting government program management and operational readiness. The market for federal support services, particularly in emergency management and national security, is substantial. Booz Allen Hamilton is a major player in this space, competing with other large government contractors. Comparable spending benchmarks would typically involve analysis of other contracts for exercise support, simulation, and training services across various federal agencies.

Small Business Impact

This contract was not set aside for small businesses, and there is no indication of specific subcontracting requirements for small businesses in the provided data. The award to a large prime contractor like Booz Allen Hamilton suggests that the primary focus was on technical capability and past performance. This may limit direct opportunities for small businesses to participate as prime contractors on this specific award, though they could potentially be involved as subcontractors.

Oversight & Accountability

Oversight for this contract would primarily reside with the contracting officer and program managers within FEMA. The Time and Materials (T&M) nature of the contract necessitates robust oversight to monitor labor hours, costs, and adherence to the scope of work. Transparency is facilitated through contract reporting mechanisms. While specific Inspector General (IG) jurisdiction is not detailed here, FEMA's Office of Inspector General typically has oversight over agency spending and contract performance.

Related Government Programs

FEMA Preparedness Grants
National Exercise Program
Homeland Security Exercise and Evaluation Program (HSEEP)
Disaster Response and Recovery Support Services

Risk Flags

Potential for cost overruns due to T&M contract type.
Need for robust oversight to manage scope and ensure efficiency.
Contract performance risk associated with a single prime contractor.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $36.2 million to BOOZ ALLEN HAMILTON INC. CAPABILITY VALIDATION AND EXERCISE DELIVERY SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is BOOZ ALLEN HAMILTON INC.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (Federal Emergency Management Agency).

What is the total obligated amount?

The obligated amount is $36.2 million.

What is the period of performance?

Start: 2019-02-01. End: 2022-09-30.

What is Booz Allen Hamilton's track record with FEMA and similar agencies for providing exercise support services?

Booz Allen Hamilton has a long-standing and extensive track record of providing a wide range of professional services to federal agencies, including the Department of Homeland Security (DHS) and FEMA. Their experience encompasses strategic planning, program management, technical support, and cybersecurity. Specifically for exercise support, they have been involved in developing, planning, and evaluating exercises for various government entities, often aligning with frameworks like the Homeland Security Exercise and Evaluation Program (HSEEP). Their history suggests a deep understanding of federal operational requirements and the complexities of large-scale event management. This contract builds upon that established capability, leveraging their expertise to enhance FEMA's readiness and response mechanisms through rigorous validation and exercise delivery.

How does the $36.16 million contract value compare to similar FEMA contracts for exercise support?

Directly comparing the $36.16 million value to similar FEMA contracts for exercise support requires access to a comprehensive database of historical contract awards with detailed scope information. However, based on the duration (approximately 3 years) and the nature of the services (capability validation and exercise delivery), this value appears to be within a reasonable range for specialized support. FEMA frequently procures services for planning, executing, and evaluating exercises to maintain national preparedness. Contracts of this magnitude often involve significant planning, subject matter expertise, and logistical coordination. Without specific comparable contract data, it's difficult to definitively benchmark, but the value suggests a substantial and ongoing requirement for expert support in this critical domain.

What are the primary risks associated with a Time and Materials (T&M) contract for these services?

The primary risk associated with a Time and Materials (T&M) contract for capability validation and exercise delivery support is the potential for cost overruns. Unlike fixed-price contracts, T&M contracts reimburse the contractor for direct labor hours at specified hourly rates and for the actual cost of materials. This structure can incentivize longer task durations or less efficient work if not managed diligently. For FEMA, this means that the total cost could exceed the initial estimate if the scope is not tightly controlled or if unforeseen complexities arise. Effective oversight, clear task definitions, and regular performance reviews are crucial to mitigate these risks and ensure that the government receives good value for its investment.

How effective is full and open competition in ensuring value for money for FEMA's exercise support needs?

Full and open competition is generally considered the most effective method for ensuring value for money when procuring complex services like FEMA's exercise support. By allowing all responsible sources to compete, the government benefits from a wider range of potential solutions and pricing structures. The presence of five bidders in this case indicates a competitive market, which typically drives down prices and encourages innovation. This process allows FEMA to select the offer that provides the best combination of technical capability, past performance, and price. While T&M contracts require careful management regardless of the competition level, the initial competitive award process increases the likelihood that FEMA is obtaining necessary support at a fair and reasonable price.

What is the historical spending trend for FEMA's exercise and preparedness support services?

Analyzing historical spending trends for FEMA's exercise and preparedness support services requires access to detailed budget and contract award data over multiple fiscal years. FEMA's overall budget fluctuates based on national priorities, disaster cycles, and legislative appropriations. Spending on preparedness and exercise support is a critical component, often influenced by evolving threat landscapes and policy directives. While specific figures for this niche are not provided, it's reasonable to assume that FEMA consistently allocates significant resources to ensure readiness, which includes funding for validation, exercise design, and execution support. Trends would likely show sustained investment, potentially with increases during periods of heightened national security focus or following major events.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 5

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Booz Allen Hamilton Holding Corporation

Address: 8283 GREENSBORO DR, MC LEAN, VA, 22102

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $36,161,374

Exercised Options: $36,161,374

Current Obligation: $36,161,374

Subaward Activity

Number of Subawards: 17

Total Subaward Amount: $1,620,077

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00Q14OADU108

IDV Type: IDC

Timeline