FEMA awards $183M for Hurricane Ida lodging, including tents and shelters, to Cotton Commercial USA

Contract Overview

Contract Amount: $183,079,578 ($183.1M)

Contractor: Cotton Commercial USA, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2021-09-02

End Date: 2022-02-02

Contract Duration: 153 days

Daily Burn Rate: $1.2M/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: CONTRACT FOR CONTAINERIZED LODGING UNITS SOFT-SIDED TENTS AND RESPONDER SHELTERING UNITS IN SUPPORT OF THE STATE OF LOUISIANA BECAUSE OF HURRICANE IDA

Place of Performance

Location: AMELIA, SAINT MARY County, LOUISIANA, 70340

State: Louisiana Government Spending

Plain-Language Summary

Department of Homeland Security obligated $183.1 million to COTTON COMMERCIAL USA, INC. for work described as: CONTRACT FOR CONTAINERIZED LODGING UNITS SOFT-SIDED TENTS AND RESPONDER SHELTERING UNITS IN SUPPORT OF THE STATE OF LOUISIANA BECAUSE OF HURRICANE IDA Key points: 1. Significant award for disaster relief, highlighting the need for rapid deployment of temporary housing. 2. Focus on soft-sided tents and responder sheltering units indicates a need for flexible and quickly deployable solutions. 3. The contract's duration and value suggest a substantial, ongoing need for these services in disaster-prone areas. 4. Facilities Support Services sector is critical for emergency response and recovery operations.

Value Assessment

Rating: fair

The contract value of $183M is substantial. Without specific benchmarks for containerized lodging and soft-sided tents in disaster zones, a precise value assessment is difficult. However, the scale suggests a significant need and potentially a premium for rapid deployment and availability.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not competed, indicating a limited competition approach. This may have been due to the urgent nature of the disaster response following Hurricane Ida. Limited competition can sometimes lead to higher prices compared to fully competed contracts.

Taxpayer Impact: Taxpayer funds are being used for essential disaster relief. While the cost is high, it addresses a critical need for shelter and support for affected populations and responders.

Public Impact

Provides essential temporary housing and shelter for individuals and emergency responders impacted by Hurricane Ida. Supports the recovery efforts in Louisiana by ensuring availability of critical infrastructure like lodging units. Demonstrates the federal government's commitment to disaster preparedness and response.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under Facilities Support Services, a sector crucial for government operations, especially during emergencies. The spending aligns with the need for rapid deployment of temporary infrastructure in response to natural disasters, a common requirement for agencies like FEMA.

Small Business Impact

The contract was awarded to Cotton Commercial USA, Inc. There is no indication from the provided data whether small businesses were involved as subcontractors or if this award specifically targeted small business participation.

Oversight & Accountability

The award was made by the Department of Homeland Security (FEMA). Oversight would typically involve monitoring contract performance, delivery schedules, and adherence to terms. The duration and value suggest ongoing monitoring is necessary.

Related Government Programs

Risk Flags

Tags

facilities-support-services, department-of-homeland-security, la, definitive-contract, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $183.1 million to COTTON COMMERCIAL USA, INC.. CONTRACT FOR CONTAINERIZED LODGING UNITS SOFT-SIDED TENTS AND RESPONDER SHELTERING UNITS IN SUPPORT OF THE STATE OF LOUISIANA BECAUSE OF HURRICANE IDA

Who is the contractor on this award?

The obligated recipient is COTTON COMMERCIAL USA, 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 $183.1 million.

What is the period of performance?

Start: 2021-09-02. End: 2022-02-02.

What was the justification for not competing this contract fully, given the significant dollar amount?

The justification for not competing this contract fully likely stems from the urgent and immediate need for disaster relief following Hurricane Ida. In such crisis situations, agencies often utilize limited competition or sole-source awards to expedite the procurement process and ensure essential resources are deployed rapidly to affected areas, prioritizing speed over the potential cost savings of a full competition.

How does the per-unit cost of these lodging units compare to similar disaster relief procurements?

Without specific data on the per-unit cost breakdown for containerized lodging units, soft-sided tents, and responder sheltering units, a direct comparison is challenging. However, given the limited competition and the urgency associated with disaster response, it is plausible that the per-unit costs may be higher than those achieved through fully competed, non-emergency procurements. Benchmarking would require detailed cost data for similar rapid-deployment solutions.

What mechanisms are in place to ensure the effectiveness and quality of the delivered lodging and sheltering units?

Effectiveness and quality are typically ensured through contract performance standards, inspection protocols, and acceptance criteria outlined in the contract. FEMA would likely have personnel on the ground to verify that the delivered units meet the specified requirements for safety, habitability, and functionality. Post-deployment feedback and performance reviews would also contribute to assessing the overall effectiveness of the procured resources.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesFacilities Support ServicesFacilities Support Services

Product/Service Code: PURCHASE OF STRUCTURES/FACILITIESPURCHASE BUILDINGS

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 70FBR621R00000023

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5443 KATY HOCKLEY CUT-OFF RD, KATY, TX, 77493

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

Financial Breakdown

Contract Ceiling: $1,323,586,992

Exercised Options: $183,079,578

Current Obligation: $183,079,578

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Timeline

Start Date: 2021-09-02

Current End Date: 2022-02-02

Potential End Date: 2022-02-03 00:00:00

Last Modified: 2022-03-24

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