FEMA awards $7.25M for 10,000 housing inspections in South Carolina post-Hurricane Helene

Contract Overview

Contract Amount: $7,251,964 ($7.3M)

Contractor: WSP USA Services Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2024-10-01

End Date: 2025-07-31

Contract Duration: 303 days

Daily Burn Rate: $23.9K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: HOUSING INSPECTION SERVICES (HIS) - WSP USA SERVICES, INC. 10,000 INSPECTIONS IN SUPPORT OF PRESIDENTIALLY DECLARED DISASTER IN THE STATE OF SOUTH 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 $7.3 million to WSP USA SERVICES INC. for work described as: HOUSING INSPECTION SERVICES (HIS) - WSP USA SERVICES, INC. 10,000 INSPECTIONS IN SUPPORT OF PRESIDENTIALLY DECLARED DISASTER IN THE STATE OF SOUTH CAROLINA AS A RESULT OF HURRICANE HELENE. Key points: 1. Contract focuses on essential post-disaster housing inspections, critical for recovery efforts. 2. Full and open competition suggests a potentially competitive bidding process. 3. Fixed-price contract type provides cost certainty for the government. 4. Short performance period (9 months) indicates an urgent need for services. 5. Contractor has experience in disaster response and inspection services. 6. Geographic focus on South Carolina highlights regional disaster resilience needs.

Value Assessment

Rating: good

The contract's value of approximately $7.25 million for 10,000 housing inspections equates to roughly $725 per inspection. This rate appears reasonable given the specialized nature of post-disaster assessments, which often involve travel, detailed reporting, and adherence to strict timelines. Benchmarking against similar disaster response contracts would provide further insight, but the scope and urgency suggest this is a fair price for essential services.

Cost Per Unit: Approximately $725 per inspection.

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The number of bidders is not specified, but this procurement method generally fosters a competitive environment, which can lead to better pricing and service quality. The agency sought proposals from qualified contractors capable of performing the required housing inspections.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it encourages multiple companies to bid, driving down costs and ensuring the government receives the best value for its investment.

Public Impact

Residents of South Carolina affected by Hurricane Helene will benefit from timely housing inspections, facilitating their recovery process. The contract delivers critical housing inspection services, assessing damage and ensuring habitability. Geographic impact is concentrated in South Carolina, addressing specific disaster-related needs. Workforce implications include the potential for temporary employment for inspectors and support staff in the affected region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if disaster assessment needs exceed initial projections.
Dependence on contractor's ability to mobilize and deploy inspectors rapidly.
Risk of delays if access to damaged properties is restricted.

Positive Signals

Clear definition of 10,000 inspections provides a defined scope.
Fixed-price contract limits cost overruns for the government.
Short performance period aligns with urgent post-disaster needs.

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 urgent needs and specialized capabilities. FEMA frequently procures such services following major natural disasters. Comparable spending benchmarks would involve analyzing other large-scale disaster inspection contracts awarded by federal agencies.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). While WSP USA Services, Inc. is a large firm, there may be opportunities for small businesses to participate as subcontractors, particularly in local staffing or support roles. Further analysis of subcontracting plans would be needed to assess the direct impact on the small business ecosystem.

Oversight & Accountability

Oversight will likely be managed by the Federal Emergency Management Agency (FEMA) contracting officers and program managers. Accountability measures are embedded in the firm-fixed-price contract, requiring completion of the specified number of inspections to the agency's satisfaction. Transparency is generally maintained through federal procurement databases, though specific inspection reports may be internal.

Related Government Programs

Disaster Housing Assistance Programs
Post-Disaster Redevelopment Programs
Emergency Management Services
Building Code Enforcement

Risk Flags

Urgent Need for Services
Potential for Rapid Mobilization Challenges
Geographic Concentration of Work

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $7.3 million to WSP USA SERVICES INC.. HOUSING INSPECTION SERVICES (HIS) - WSP USA SERVICES, INC. 10,000 INSPECTIONS IN SUPPORT OF PRESIDENTIALLY DECLARED DISASTER IN THE STATE OF SOUTH 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 $7.3 million.

What is the period of performance?

Start: 2024-10-01. End: 2025-07-31.

What is the track record of WSP USA Services, Inc. in performing similar disaster housing inspection contracts?

WSP USA Services, Inc. has a significant track record in providing engineering, environmental, and construction services, including disaster response and recovery support. They have been involved in numerous large-scale projects, often in partnership with government agencies like FEMA. While specific details on past housing inspection contracts for disaster relief are not provided in this data snippet, their broad experience suggests a capacity to handle such requirements. A deeper dive into their past performance reports and contract history with FEMA would offer more precise insights into their capabilities and success rates in similar engagements.

How does the per-inspection cost of $725 compare to industry benchmarks for post-disaster housing inspections?

The per-inspection cost of approximately $725 is within a reasonable range for specialized post-disaster housing inspections. These assessments often require trained personnel, travel to potentially difficult-to-access locations, detailed documentation, and adherence to strict reporting standards under time pressure. Factors influencing this cost include the complexity of damage assessment, the geographic spread of affected properties, and the urgency of the recovery effort. While specific industry benchmarks for post-disaster housing inspections can vary widely based on region and disaster severity, this rate is generally considered fair for the critical services provided by qualified professionals.

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

Key risks include the potential for delays in accessing damaged properties due to ongoing recovery operations or property owner availability, the need for rapid mobilization of qualified inspectors, and the possibility of scope expansion if damage is more extensive than initially assessed. Mitigation strategies likely involve close coordination with local authorities and property owners, pre-qualification and rapid deployment protocols for inspectors, and clear communication channels between FEMA and WSP USA Services, Inc. The firm-fixed-price nature of the contract also incentivizes efficient performance and cost control, mitigating financial risks for the government.

How effective is FEMA's use of full and open competition for disaster response services like housing inspections?

Utilizing full and open competition for disaster response services like housing inspections is generally an effective strategy for FEMA. It allows a broad range of qualified contractors to compete, fostering innovation and potentially driving down costs through market forces. This approach ensures that FEMA can access the best available expertise and capacity when it is most needed, often under significant time constraints. While the process requires robust evaluation, it typically leads to better value for taxpayers and ensures that the agency can scale its response effectively to meet the demands of a disaster.

What is the historical spending pattern for housing inspection services by FEMA in disaster-affected regions?

FEMA's spending on housing inspection services historically increases significantly in years with major natural disasters, particularly hurricanes, floods, and wildfires. The agency allocates substantial funds to assess damage, ensure habitability, and support recovery efforts in affected areas. Spending patterns are highly variable year-to-year, directly correlating with the frequency and severity of declared disasters. Contracts for these services are often awarded rapidly following a disaster declaration and can range from millions to tens of millions of dollars, depending on the scale of the event and the number of inspections required.

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: 70FBR424R00000029

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: $7,254,168

Exercised Options: $7,254,168

Current Obligation: $7,251,964

Actual Outlays: $7,246,036

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