FEMA awards $80.8M for construction and project management support to aid Puerto Rico recovery

Contract Overview

Contract Amount: $80,818,438 ($80.8M)

Contractor: AECOM Recovery

Awarding Agency: Department of Homeland Security

Start Date: 2018-04-02

End Date: 2021-01-20

Contract Duration: 1,024 days

Daily Burn Rate: $78.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: FEMA REQUIRES UP TO 83 TECHNICAL SPECIALISTS TO PROVIDE CONSTRUCTION AND PROJECT MANAGEMENT TECHNICAL SUPPORT SERVICES INCLUSIVE OF PERFORMING DAMAGE ASSESSMENTS, FORMULATING SOWS AND COST ESTIMATES TO RESTORE FACILITIES FOR HAZARD MITIGATION PROPOSALS IN ACCORDANCE WITH THE U.S. DEPARTMENT OF HOMELAND SECURITY FEDERAL EMERGENCY MANAGEMENT AGENCY FEMA PA GRANT PROGRAMS, FEMA DR 4339 PR. THIS AWARD IS TEAM 4 OF FOUR MULTIPLE AWARDS TO FOUR TEAMS EACH COMPRISED OF 83 TECHNICAL SPECIALIST.

Place of Performance

Location: GUAYNABO, SAN JUAN County, PUERTO RICO, 00968

Plain-Language Summary

Department of Homeland Security obligated $80.8 million to AECOM RECOVERY for work described as: FEMA REQUIRES UP TO 83 TECHNICAL SPECIALISTS TO PROVIDE CONSTRUCTION AND PROJECT MANAGEMENT TECHNICAL SUPPORT SERVICES INCLUSIVE OF PERFORMING DAMAGE ASSESSMENTS, FORMULATING SOWS AND COST ESTIMATES TO RESTORE FACILITIES FOR HAZARD MITIGATION PROPOSALS IN ACCORDANCE WITH THE U.S.… Key points: 1. Contract provides essential technical expertise for hazard mitigation and facility restoration. 2. Multiple awards suggest a strategic approach to securing broad technical capabilities. 3. The duration and scope indicate a significant, long-term commitment to recovery efforts. 4. Focus on damage assessments and cost estimates is critical for effective grant program execution. 5. The contract's success hinges on the quality and timeliness of technical support provided.

Value Assessment

Rating: good

The contract value of $80.8 million for up to 83 technical specialists over approximately 3 years appears reasonable given the critical nature of disaster recovery support. While specific per-unit cost benchmarks are not readily available without more granular data on specialist roles and rates, the overall award size aligns with the extensive support required for large-scale recovery operations like those in Puerto Rico following DR 4339. The multiple-award strategy also suggests an effort to ensure competitive pricing and access to a diverse pool of expertise.

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 contractors had the opportunity to bid. The data shows this is one of four multiple awards to four different teams, each comprising 83 technical specialists. This approach likely fostered a competitive environment, driving better pricing and a wider range of technical solutions for FEMA's needs.

Taxpayer Impact: A full and open competition ensures that taxpayer dollars are used efficiently by leveraging market competition to obtain the best value for essential disaster recovery services.

Public Impact

Puerto Rican residents and businesses benefit from accelerated facility restoration and hazard mitigation. Technical specialists provide crucial support for FEMA's Public Assistance grant programs. Geographic impact is concentrated in Puerto Rico, addressing specific recovery needs. The contract supports a workforce of technical specialists in construction and project management.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if initial damage assessments are not clearly defined.
Reliance on a large number of specialists could lead to coordination challenges.
Ensuring consistent quality of technical support across all awarded teams is crucial.

Positive Signals

Multiple awards ensure redundancy and flexibility in technical support.
The focus on specific recovery needs in Puerto Rico demonstrates targeted resource allocation.
The contract structure allows for scaling support based on evolving disaster recovery requirements.

Sector Analysis

This contract falls within the Engineering Services sector, specifically supporting government disaster recovery and public infrastructure projects. The market for such services is substantial, driven by federal and state agencies responding to natural disasters. FEMA's use of multiple awards for technical support is a common strategy to ensure broad coverage and specialized expertise for complex, geographically dispersed recovery efforts, benchmarking against similar large-scale disaster response contracts.

Small Business Impact

The provided data indicates that small business participation (sb: false) was not a specific set-aside requirement for this particular award. While AECOM Recovery is the prime contractor, the potential for subcontracting opportunities to small businesses within the construction and engineering support fields exists, though it is not explicitly detailed in this award notice. Further analysis would be needed to determine the extent of small business involvement.

Oversight & Accountability

Oversight is likely managed by FEMA program officials responsible for the Public Assistance grant process. Accountability measures would be tied to the delivery of technical support services, adherence to SOWs, and timely completion of damage assessments and cost estimates. Transparency is facilitated through the federal procurement system, with award details publicly available, though specific performance metrics are not detailed here.

Related Government Programs

FEMA Public Assistance Program
Hazard Mitigation Grant Program
Disaster Recovery Support Services
Construction Management Services
Engineering Consulting Services

Risk Flags

Potential for cost overruns due to time and materials pricing.
Risk of inconsistent service quality across multiple awarded teams.
Coordination challenges in managing a large number of technical specialists.
Dependency on accurate initial damage assessments for effective project planning.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $80.8 million to AECOM RECOVERY. FEMA REQUIRES UP TO 83 TECHNICAL SPECIALISTS TO PROVIDE CONSTRUCTION AND PROJECT MANAGEMENT TECHNICAL SUPPORT SERVICES INCLUSIVE OF PERFORMING DAMAGE ASSESSMENTS, FORMULATING SOWS AND COST ESTIMATES TO RESTORE FACILITIES FOR HAZARD MITIGATION PROPOSALS IN ACCORDANCE WITH THE U.S. DEPARTMENT OF HOMELAND SECURITY FEDERAL EMERGENCY MANAGEMENT AGENCY FEMA PA GRANT PROGRAMS, FEMA DR 4339 PR. THIS AWARD IS TEAM 4 OF FOUR MULTIPLE AWARDS TO FOUR TEAMS EACH COMPRISED OF 83 TECHNICAL SPECIALIST.

Who is the contractor on this award?

The obligated recipient is AECOM RECOVERY.

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 $80.8 million.

What is the period of performance?

Start: 2018-04-02. End: 2021-01-20.

What is the track record of AECOM Recovery in providing similar disaster recovery technical support services?

AECOM, the parent company, has a significant global presence and extensive experience in engineering, construction, and program management, including disaster recovery and resilience services. They have been involved in numerous large-scale recovery efforts following major disasters across the United States and internationally. Their track record includes providing technical assistance, project management, and engineering solutions for infrastructure repair and rebuilding. Specific to FEMA, AECOM has a history of supporting disaster response and recovery operations, often through large, complex contracts. Evaluating AECOM Recovery's specific performance on this contract would require reviewing performance reports and any associated quality assurance data, which are not publicly detailed in this award notice.

How does the per-specialist cost compare to similar FEMA technical support contracts?

Determining an exact per-specialist cost is challenging without knowing the exact mix of roles (e.g., project managers, engineers, inspectors) and their respective billing rates within the 83 specialists per team. However, the total award of $80.8 million spread across four teams (approximately $20.2 million per team) for a duration of roughly 1024 days (about 2.8 years) suggests a daily rate per team of around $19,700. This figure encompasses all personnel, overhead, and profit. Benchmarking this against other large-scale disaster recovery support contracts would require a detailed comparison of contract types (e.g., time and materials vs. fixed price), scope of work, geographic location, and the specific skill sets required. Given the specialized nature of disaster assessment and recovery management, these rates are likely within a reasonable range for such critical support.

What are the primary risks associated with this contract and how are they mitigated?

Key risks include potential delays in service delivery impacting recovery timelines, quality control issues with damage assessments and cost estimates, and challenges in coordinating multiple teams across a large geographic area like Puerto Rico. Mitigation strategies likely involve robust contract management by FEMA, including performance monitoring, regular progress reviews, and clear communication channels. The multiple-award approach itself can mitigate risk by providing alternative sources of support if one team underperforms. Furthermore, the contract's time-and-materials nature allows for flexibility but requires diligent oversight to manage costs effectively and prevent scope creep. Ensuring the qualifications and experience of the technical specialists are maintained is also critical.

How effective has FEMA been in utilizing technical support contracts for disaster recovery in Puerto Rico?

FEMA's utilization of technical support contracts, like this one, is crucial for managing the complexities of disaster recovery, particularly in areas like Puerto Rico which faced significant devastation from Hurricane Maria (DR 4339). These contracts enable FEMA to rapidly deploy specialized expertise for damage assessments, project formulation, and grant administration, which are essential for efficient recovery. The effectiveness is often measured by the speed and quality of restoration efforts, the accuracy of cost estimations, and the overall progress in rebuilding resilient infrastructure. While specific performance metrics for this contract aren't detailed, the ongoing need for such support underscores its perceived necessity. Challenges in Puerto Rico's recovery have been well-documented, and technical support contracts are a key component of the federal response, aiming to streamline processes and ensure compliance with grant requirements.

What is the historical spending trend for similar engineering and technical support services by FEMA?

FEMA's spending on engineering and technical support services has historically fluctuated based on the frequency and severity of natural disasters. Following major events like hurricanes, earthquakes, or floods, there is a significant surge in demand for these services to support damage assessments, debris removal oversight, infrastructure repair planning, and grant management. Contracts for technical specialists, project managers, and engineers are common across various FEMA programs, including Public Assistance and Hazard Mitigation. Over the years, FEMA has increasingly relied on multiple-award indefinite-delivery/indefinite-quantity (IDIQ) contracts to ensure rapid access to a broad range of technical expertise. The total annual spending can range from hundreds of millions to over a billion dollars in years with extensive disaster activity, with specific contract values like this $80.8 million award being typical for large-scale, multi-year recovery operations.

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: 4

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: AECOM

Address: 3101 WILSON BLVD STE 900, ARLINGTON, VA, 22201

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

Financial Breakdown

Contract Ceiling: $95,022,031

Exercised Options: $80,818,438

Current Obligation: $80,818,438

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HSFEHQ12D0879

IDV Type: IDC

Timeline