FEMA awards $9.4M for 20,000 disaster housing inspections in North Carolina post-Hurricane Helene

Contract Overview

Contract Amount: $9,417,832 ($9.4M)

Contractor: WSP USA Services Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2024-09-29

End Date: 2025-08-28

Contract Duration: 333 days

Daily Burn Rate: $28.3K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: HOUSING INSPECTION SERVICES (HIS) - WSP USA SERVICES, INC. 20,000 INSPECTIONS IN SUPPORT OF PRESIDENTIALLY DECLARED DISASTER IN THE STATE OF NORTH CAROLINA AS A RESULT OF HURRICANE HELENE.

Place of Performance

Location: ATLANTA, DEKALB County, GEORGIA, 30341

State: Georgia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $9.4 million to WSP USA SERVICES INC. for work described as: HOUSING INSPECTION SERVICES (HIS) - WSP USA SERVICES, INC. 20,000 INSPECTIONS IN SUPPORT OF PRESIDENTIALLY DECLARED DISASTER IN THE STATE OF NORTH CAROLINA AS A RESULT OF HURRICANE HELENE. Key points: 1. Contract value appears reasonable given the scope of 20,000 inspections in a disaster zone. 2. Full and open competition suggests a competitive bidding process, potentially leading to better pricing. 3. Fixed-price contract type shifts performance risk to the contractor. 4. Contract duration of 333 days aligns with the need for post-disaster recovery support. 5. The contract supports critical disaster response and recovery efforts for affected residents. 6. Geographic focus on North Carolina highlights targeted federal aid distribution.

Value Assessment

Rating: good

The contract's fixed-price nature for a defined scope of 20,000 inspections provides a clear benchmark. While direct comparisons are difficult without more data on similar large-scale disaster inspection contracts, the price per inspection is approximately $471. This rate seems within a reasonable range for specialized inspection services in a disaster-affected area, considering mobilization, personnel, and reporting requirements. The value is further supported by the critical nature of the services provided in disaster recovery.

Cost Per Unit: Approximately $471 per inspection.

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit a bid. This suggests a robust bidding process where multiple companies likely vied for the opportunity. The level of competition is generally positive for price discovery and ensuring the government receives competitive offers.

Taxpayer Impact: Full and open competition typically benefits taxpayers by driving down costs through market forces and encouraging a wider pool of qualified contractors to offer their services.

Public Impact

Provides essential housing inspection services to residents impacted by Hurricane Helene in North Carolina. Supports the Federal Emergency Management Agency's (FEMA) disaster response and recovery mission. Facilitates the assessment of damage to homes, aiding in the allocation of federal assistance. Contributes to the restoration of safe and habitable living conditions for affected populations. The services are geographically focused on areas within North Carolina declared disaster zones.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for contractor to face unforeseen logistical challenges in remote or heavily damaged areas.
Ensuring consistent quality and thoroughness across 20,000 inspections requires strong contractor oversight.

Positive Signals

Fixed-price contract aligns incentives for efficient service delivery.
Contractor's established presence and experience likely contribute to effective execution.
Clear scope of work and defined deliverables provide a solid framework for performance.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically focusing on building inspection services. The market for disaster response and recovery services is often characterized by surge capacity needs, with specialized firms like WSP USA Services, Inc. playing a crucial role. Comparable spending benchmarks are difficult to establish precisely due to the unique nature of disaster declarations, but the scale of this contract indicates a significant federal investment in post-disaster housing assessment.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses stemming from a set-aside provision. However, the prime contractor may engage small businesses as subcontractors, depending on their own subcontracting plans and the availability of qualified small business providers in the affected region.

Oversight & Accountability

Oversight for this contract is likely managed by the Federal Emergency Management Agency (FEMA), a component of the Department of Homeland Security. FEMA typically employs contract officers and program managers to monitor performance, ensure compliance with contract terms, and verify the quality of services rendered. Transparency is facilitated through contract databases and reporting requirements. Inspector General jurisdiction would fall under the Department of Homeland Security's Office of Inspector General for potential audits or investigations.

Related Government Programs

FEMA Disaster Housing Assistance Programs
Post-Disaster Infrastructure Assessment Contracts
Federal Emergency Management Agency (FEMA) Support Services
Building Inspection and Code Compliance Services

Risk Flags

Potential for scope creep if disaster damage assessment requirements expand beyond initial definitions.
Risk of contractor performance issues impacting the speed and quality of aid delivery.
Geographic challenges in accessing all affected properties due to lingering disaster impacts.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $9.4 million to WSP USA SERVICES INC.. HOUSING INSPECTION SERVICES (HIS) - WSP USA SERVICES, INC. 20,000 INSPECTIONS IN SUPPORT OF PRESIDENTIALLY DECLARED DISASTER IN THE STATE OF NORTH CAROLINA AS A RESULT OF HURRICANE HELENE.

Who is the contractor on this award?

The obligated recipient is WSP USA SERVICES 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 $9.4 million.

What is the period of performance?

Start: 2024-09-29. End: 2025-08-28.

What is the track record of WSP USA Services, Inc. in performing similar disaster inspection contracts for FEMA or other federal agencies?

WSP USA Services, Inc. is a large, established engineering and professional services firm with a broad range of capabilities, including disaster response and recovery. While specific details on past FEMA disaster inspection contracts of this exact scale are not provided in the summary data, the company has a history of performing large-scale infrastructure, environmental, and program management services for government agencies. Their experience in complex projects suggests they possess the organizational capacity and technical expertise to manage a contract of this magnitude. Further investigation into their past performance reports and contract history with FEMA would provide a more definitive assessment of their track record for this specific type of service.

How does the per-inspection cost of approximately $471 compare to historical FEMA disaster inspection contracts or similar services in the private sector?

The per-inspection cost of approximately $471 is a key metric for evaluating value. Without direct access to historical FEMA contract data for comparable disaster inspection services or detailed private sector market rates, a precise benchmark is challenging. However, considering the scope (20,000 inspections), the specialized nature of disaster assessment (which may involve structural integrity, safety, and habitability), mobilization costs in a disaster zone, and the need for qualified inspectors, this rate appears to be within a plausible range. Factors like the geographic spread of inspections, the complexity of damage, and reporting requirements can significantly influence per-unit costs. A more thorough analysis would involve comparing this rate against similar contracts awarded by FEMA or other disaster relief organizations, as well as consulting industry cost data for specialized inspection services.

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

Primary risks include potential delays due to unforeseen logistical challenges in disaster-affected areas, ensuring consistent quality and accuracy across a large volume of inspections, and contractor performance issues. Mitigation strategies are embedded in the contract structure. The fixed-price nature shifts some financial risk to the contractor, incentivizing efficiency. The full and open competition process aims to select a capable and reliable contractor. FEMA's oversight mechanisms, including performance monitoring and quality control checks, are crucial for mitigating performance and quality risks. Clear contract deliverables and reporting requirements also aid in risk management by providing measurable outcomes.

What is the expected effectiveness of these housing inspections in supporting North Carolina's disaster recovery efforts?

The effectiveness of these housing inspections is expected to be high in supporting North Carolina's disaster recovery. By systematically assessing damage to 20,000 homes, these inspections provide critical data for FEMA and state/local agencies to prioritize aid, determine eligibility for assistance programs, and plan for long-term recovery. Accurate and timely inspections are foundational for ensuring that affected residents receive the appropriate support needed to repair or rebuild their homes, thereby contributing to the restoration of community resilience and economic stability in the disaster-stricken areas.

How does this contract's value and scope compare to overall federal spending on disaster response and housing assistance in recent years?

This $9.4 million contract for 20,000 housing inspections represents a specific component of the broader federal disaster response and housing assistance landscape. Federal spending on disaster response can fluctuate significantly year-to-year, heavily influenced by the frequency and severity of natural disasters. FEMA's overall budget for disaster relief and recovery often runs into the tens of billions of dollars annually, encompassing a wide array of services beyond housing inspections, such as temporary housing, debris removal, infrastructure repair, and mitigation efforts. Therefore, while substantial, this contract is a focused investment within a much larger federal commitment to disaster recovery. Its value is significant in its direct contribution to assessing housing needs post-Hurricane Helene.

Industry Classification

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

Product/Service Code: QUALITY CONTROL, TEST, INSPECTION › QUALITY CONTROL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 70FBR924R00000028

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Enterra Holdings Ltd

Address: 13530 DULLES TECHNOLOGY DR STE 300, HERNDON, VA, 20171

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

Financial Breakdown

Contract Ceiling: $9,422,068

Exercised Options: $9,422,068

Current Obligation: $9,417,832

Actual Outlays: $9,412,702

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 70FB8020D00000002

IDV Type: IDC

Timeline