DHS awards $33.6M for FEMA Risk Map support, highlighting engineering services for critical infrastructure

Contract Overview

Contract Amount: $33,606,549 ($33.6M)

Contractor: Starr II, a Joint Venture

Awarding Agency: Department of Homeland Security

Start Date: 2019-08-30

End Date: 2021-02-05

Contract Duration: 525 days

Daily Burn Rate: $64.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS AWARD FEE

Sector: Other

Official Description: THE PURPOSE OF THIS TASK ORDER IS TO OBTAIN A CONTRACTOR TO PROVIDE PRODUCTION AND TECHNICAL SERVICES (PTS) STANDARD OPERATIONS 5 SUPPORT FOR RISK MAP, HMTAP, AND TARC FOR REGIONS 2, 5, 7, 9, AND 10.

Place of Performance

Location: MOUNT WEATHER, CLARKE County, VIRGINIA, 20135

State: Virginia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $33.6 million to STARR II, A JOINT VENTURE for work described as: THE PURPOSE OF THIS TASK ORDER IS TO OBTAIN A CONTRACTOR TO PROVIDE PRODUCTION AND TECHNICAL SERVICES (PTS) STANDARD OPERATIONS 5 SUPPORT FOR RISK MAP, HMTAP, AND TARC FOR REGIONS 2, 5, 7, 9, AND 10. Key points: 1. Contract focuses on essential operational support for risk assessment and mapping tools. 2. Competition was full and open, suggesting a competitive bidding process. 3. The contract type is Cost Plus Award Fee, which incentivizes performance. 4. Services are critical for understanding and mitigating natural disaster impacts. 5. The duration of the task order is approximately 1.75 years. 6. The awardee, STARR II, a joint venture, will provide specialized engineering services.

Value Assessment

Rating: good

The contract's value of $33.6 million for nearly two years of support appears reasonable given the specialized nature of the services. Benchmarking against similar contracts for FEMA's Risk Map program would provide a more precise value-for-money assessment. The Cost Plus Award Fee structure allows for performance-based incentives, which can drive efficiency and effectiveness, but also requires careful monitoring to ensure costs remain controlled.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This task order was awarded under full and open competition, indicating that multiple bidders had the opportunity to submit proposals. The specific number of bidders is not provided, but the open competition suggests a healthy market for these engineering and technical support services. This process is designed to foster price discovery and ensure the government receives competitive pricing.

Taxpayer Impact: Taxpayers benefit from a competitive process that aims to secure the best value for their investment in critical disaster preparedness and response infrastructure.

Public Impact

Citizens in FEMA Regions 2, 5, 7, 9, and 10 will benefit from improved risk assessment and mapping. Services support the National Flood Insurance Program (NFIP) by providing data for flood maps. The contract contributes to the nation's resilience against natural disasters. Workforce implications include employment for specialized engineers and technical support staff.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Award Fee contracts require robust oversight to ensure award fees are justified and costs are managed effectively.
The specific performance metrics and award fee criteria are not detailed, making it difficult to assess the incentive structure's effectiveness.
The duration of the task order is relatively short, which might limit long-term strategic planning for the supported programs.

Positive Signals

Awarded under full and open competition, indicating a competitive market for these services.
The task order supports critical FEMA functions related to disaster risk assessment and mitigation.
The contractor is a joint venture, potentially bringing together diverse expertise.

Sector Analysis

This contract falls within the Engineering Services sector (NAICS 541330), which is a significant part of the federal contracting landscape, particularly for agencies like FEMA. The market for these services is competitive, with many firms offering specialized expertise in areas like risk assessment, geospatial analysis, and disaster management support. Federal spending in this area is often driven by regulatory requirements and the need for ongoing infrastructure and environmental assessments.

Small Business Impact

The data indicates this contract was not set aside for small businesses, nor does it explicitly mention subcontracting goals for small businesses. Further analysis would be needed to determine if small businesses are involved in the subcontracting chain and to what extent.

Oversight & Accountability

Oversight for this task order would primarily reside with the Federal Emergency Management Agency (FEMA) contracting officers and program managers. The Cost Plus Award Fee structure necessitates close monitoring of contractor performance against defined metrics to ensure award fees are earned appropriately. Transparency regarding performance evaluations and award fee determinations would be key to assessing accountability.

Related Government Programs

National Flood Insurance Program
Risk Mapping, Assessment, and Planning (Risk MAP)
Hazard Mitigation Technical Assistance Program (HMTAP)
Disaster Recovery Reform Act (DRRA) programs

Risk Flags

Cost Plus Award Fee contract requires diligent oversight.
Performance metrics for award fee are not publicly detailed.
Geographic scope adds complexity and potential cost.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $33.6 million to STARR II, A JOINT VENTURE. THE PURPOSE OF THIS TASK ORDER IS TO OBTAIN A CONTRACTOR TO PROVIDE PRODUCTION AND TECHNICAL SERVICES (PTS) STANDARD OPERATIONS 5 SUPPORT FOR RISK MAP, HMTAP, AND TARC FOR REGIONS 2, 5, 7, 9, AND 10.

Who is the contractor on this award?

The obligated recipient is STARR II, A JOINT VENTURE.

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 $33.6 million.

What is the period of performance?

Start: 2019-08-30. End: 2021-02-05.

What is the historical spending trend for FEMA's Risk Map program and similar engineering support contracts?

Historical spending on FEMA's Risk Map program and related engineering support contracts has generally shown an increasing trend over the past decade, driven by evolving climate science, increased frequency of extreme weather events, and legislative mandates like the Disaster Recovery Reform Act. While specific figures for the Risk MAP program fluctuate annually based on appropriations and program priorities, the overall federal investment in disaster preparedness, mitigation, and mapping services has been substantial. For instance, FEMA's budget consistently allocates significant funds towards hazard identification and risk assessment. Comparable contracts for engineering and technical services supporting federal agencies often range from tens to hundreds of millions of dollars annually, depending on the scope and duration. Analyzing past awards for similar services, such as geospatial analysis, hydrological modeling, and technical consulting for agencies like the Army Corps of Engineers or the National Oceanic and Atmospheric Administration, can provide a benchmark for understanding the typical cost structures and contract values within this sector.

How does the Cost Plus Award Fee (CPAF) structure typically impact contractor performance and cost control in engineering services contracts?

The Cost Plus Award Fee (CPAF) contract structure is designed to incentivize contractor performance by allowing for a base cost reimbursement plus an additional award fee determined by the government based on performance against pre-defined criteria. For engineering services, this can be effective in driving high-quality outcomes, innovation, and adherence to project milestones. Contractors are motivated to exceed expectations to maximize their fee. However, CPAF also presents challenges for cost control. Since the government reimburses allowable costs, there's a risk of cost overruns if the base cost estimate is inaccurate or if the scope of work expands without proper adjustments. Effective implementation requires clear, objective, and measurable performance standards, as well as rigorous government oversight to ensure award fees are earned legitimately and that costs remain reasonable and allocable. Without strong oversight, there's a potential for costs to escalate beyond what might be achieved under a fixed-price contract, even with the performance incentive.

What are the key performance indicators (KPIs) typically used to evaluate contractors providing Production and Technical Services (PTS) for FEMA's Risk Map program?

Key Performance Indicators (KPIs) for contractors providing Production and Technical Services (PTS) for FEMA's Risk Map program typically focus on the accuracy, timeliness, and usability of the data and products delivered. Common KPIs include the accuracy of flood hazard data and mapping products against established standards, the on-time delivery of project milestones and final deliverables, the completeness and quality of technical documentation, and the responsiveness to government feedback and requests for revisions. For services supporting Risk MAP, specific metrics might relate to the number of effective Flood Insurance Rate Maps (FIRMs) updated or created, the successful integration of new data sources, and the efficiency of data processing workflows. The effectiveness of the award fee structure in a CPAF contract hinges on these KPIs being clearly defined, measurable, and directly linked to the program's objectives of improving flood risk understanding and mitigation efforts across the nation.

What is the typical track record of joint ventures like STARR II in delivering complex engineering and technical support services to federal agencies?

Joint ventures, such as STARR II, are frequently utilized by federal agencies to bring together specialized expertise and resources from multiple parent companies to tackle complex projects. Their track record can be highly variable, depending on the experience and capabilities of the individual member companies and the effectiveness of their internal management structure. Many joint ventures have a strong history of successfully delivering large-scale, technically demanding contracts across various sectors, including engineering, IT, and defense. However, the success of a joint venture often hinges on clear communication, defined roles and responsibilities, and robust governance. Agencies often select joint ventures when a single company may not possess all the necessary qualifications or capacity. Evaluating STARR II's specific track record would involve examining the past performance of its constituent companies and any prior joint ventures they may have formed, particularly on similar government contracts.

How does the geographic scope (Regions 2, 5, 7, 9, and 10) impact the complexity and cost of providing FEMA Risk Map support services?

The broad geographic scope, encompassing FEMA Regions 2, 5, 7, 9, and 10, significantly increases the complexity and potential cost of providing Risk Map support services. These regions span diverse geographical terrains, varying regulatory environments, and distinct hazard profiles (e.g., coastal flooding, riverine flooding, seismic activity, wildfires). Supporting multiple regions requires the contractor to possess expertise in a wide array of flood risk assessment methodologies, data standards, and stakeholder engagement practices tailored to each area. It necessitates managing logistics across vast distances, coordinating with numerous state and local partners, and potentially integrating data from disparate sources. The cost implications arise from the need for broader technical expertise, increased travel and operational expenses, and the management overhead required to oversee operations across such a wide and varied geographical footprint.

Industry Classification

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

Product/Service Code: ARCHITECT/ENGINEER SERVICES › ARCH-ENG SVCS - GENERAL

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Address: 3901 CALVERTON BLVD STE 400, CALVERTON, MD, 20705

Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $34,061,740

Exercised Options: $33,935,864

Current Obligation: $33,606,549

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: HSFE6015D0005

IDV Type: IDC

Timeline