FEMA's $5.25M contract for flood map updates awarded to STARR II, a joint venture, under full and open competition

Contract Overview

Contract Amount: $5,254,987 ($5.3M)

Contractor: Starr II, a Joint Venture

Awarding Agency: Department of Homeland Security

Start Date: 2019-09-13

End Date: 2023-06-30

Contract Duration: 1,386 days

Daily Burn Rate: $3.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS AWARD FEE

Sector: Other

Official Description: FY19 PRODUCTION AND TECHNICAL SERVICES FOR REGION IX RISK MAP PROGRAM FOR THE PURPOSE OF UPDATING THE TECHNICAL DATA FOR THE PRODUCTION OF FLOOD MAPS.

Place of Performance

Location: MOUNT WEATHER, CLARKE County, VIRGINIA, 20135

State: Virginia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $5.3 million to STARR II, A JOINT VENTURE for work described as: FY19 PRODUCTION AND TECHNICAL SERVICES FOR REGION IX RISK MAP PROGRAM FOR THE PURPOSE OF UPDATING THE TECHNICAL DATA FOR THE PRODUCTION OF FLOOD MAPS. Key points: 1. Contract aims to update technical data for flood map production, a critical component of FEMA's risk assessment. 2. The award was made under a full and open competition, suggesting a robust bidding process. 3. The contract type is Cost Plus Award Fee, which incentivizes performance but requires careful oversight. 4. The duration of the contract is over three years, indicating a significant, ongoing need for these services. 5. The North American Industry Classification System (NAICS) code 541330 points to engineering services, a specialized field. 6. The contract was awarded as a Delivery Order, suggesting it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract.

Value Assessment

Rating: fair

The contract value of $5.25 million over approximately three years for updating technical data for flood maps appears reasonable given the specialized nature of engineering services. However, without specific benchmarks for similar flood map update projects or detailed cost breakdowns, a precise value-for-money assessment is challenging. The Cost Plus Award Fee structure allows for performance incentives, but it also necessitates diligent monitoring to ensure costs remain controlled and that award fees are justified by exceptional performance. Comparing this to other FEMA contracts for similar geospatial data or engineering services would provide better context.

Cost Per Unit: N/A

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 a bid. The fact that it was competed suggests that FEMA sought the best value through a competitive process. The number of bidders is not specified, but a full and open competition generally leads to more competitive pricing and a wider range of technical solutions.

Taxpayer Impact: A full and open competition is generally favorable for taxpayers as it increases the likelihood of obtaining services at competitive prices and encourages innovation among potential contractors.

Public Impact

The primary beneficiaries are communities and individuals at risk of flooding, who will receive more accurate and up-to-date flood maps. The services delivered include updating technical data essential for the production of flood maps, crucial for disaster preparedness and mitigation. The geographic impact is likely nationwide, as FEMA's flood mapping responsibilities cover all areas within the United States. The contract supports the engineering and technical services sector, potentially involving skilled professionals in hydrology, geospatial analysis, and engineering.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Award Fee contracts can lead to cost overruns if not managed tightly, as contractor profits are tied to performance metrics that may be subjective.
The duration of the contract (over 3 years) requires sustained oversight to ensure continued quality and adherence to evolving technical standards.
Updating technical data for flood maps is a complex process; ensuring the accuracy and reliability of the updated data is paramount to avoid misinformed risk assessments.

Positive Signals

Awarded under full and open competition, suggesting a competitive process that likely yielded a fair price and qualified contractor.
The contract addresses a critical government function: providing accurate flood risk information to protect lives and property.
The use of a joint venture (STARR II) may indicate a collaborative approach bringing diverse expertise to the project.

Sector Analysis

The engineering services sector, particularly those related to geospatial data, environmental consulting, and risk assessment, is a significant market for federal contracts. FEMA, as part of the Department of Homeland Security, relies heavily on such services to fulfill its mandate of preparing for, protecting against, and responding to natural disasters. The market for flood mapping and related data services is driven by regulatory requirements and the increasing need for accurate risk assessment in the face of climate change and development. Comparable spending benchmarks would involve looking at other contracts for hydrological studies, geographic information system (GIS) services, and environmental engineering.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, the primary contractor, STARR II (a joint venture), is likely a larger entity or a consortium of entities. There is no explicit information on subcontracting plans for small businesses within this specific delivery order. However, large prime contractors are often encouraged or required to subcontract portions of their work to small businesses on larger IDIQ vehicles from which this delivery order may have been issued.

Oversight & Accountability

Oversight for this contract would primarily fall under the Federal Emergency Management Agency (FEMA), a component of the Department of Homeland Security. As a Cost Plus Award Fee contract, oversight would focus on monitoring incurred costs, evaluating performance against award fee criteria, and ensuring the technical accuracy and timeliness of the delivered data. Transparency is facilitated through contract award databases like FPDS. Inspector General jurisdiction would typically reside with the Department of Homeland Security's Office of Inspector General, which can investigate allegations of fraud, waste, or abuse.

Related Government Programs

National Flood Insurance Program (NFIP)
FEMA Risk Mapping, Assessment, and Planning (Risk MAP) Program
Geographic Information System (GIS) Services Contracts
Environmental Consulting Services
Disaster Preparedness and Mitigation Programs

Risk Flags

Cost Plus Award Fee contract type requires diligent oversight to manage costs and ensure performance.
Accuracy of updated technical data is critical for effective flood risk assessment.
Potential for scope creep in complex data update projects.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $5.3 million to STARR II, A JOINT VENTURE. FY19 PRODUCTION AND TECHNICAL SERVICES FOR REGION IX RISK MAP PROGRAM FOR THE PURPOSE OF UPDATING THE TECHNICAL DATA FOR THE PRODUCTION OF FLOOD MAPS.

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 $5.3 million.

What is the period of performance?

Start: 2019-09-13. End: 2023-06-30.

What is the track record of STARR II, the joint venture awarded this contract, with FEMA or similar agencies?

STARR II is a joint venture that has been awarded contracts for various services, including technical support and engineering. Information from public databases suggests STARR II has received multiple awards from agencies like FEMA and the U.S. Army Corps of Engineers. These contracts often involve complex technical analyses, mapping, and program support. A detailed review of their past performance on similar contracts, particularly those involving risk assessment, geospatial data, and flood modeling, would be necessary to fully assess their capabilities and reliability for this specific project. Examining past performance evaluations and any documented issues or successes would provide further insight into their suitability.

How does the value of this contract compare to similar flood map update projects undertaken by FEMA or other federal agencies?

Assessing the value requires comparing this $5.25 million contract, spanning over three years, against similar projects. Flood map updates involve complex data collection, analysis, and modeling, making direct comparisons difficult without detailed scope of work and deliverable information. However, projects of this nature, especially those under the Risk MAP program, can range from hundreds of thousands to several million dollars depending on the geographic area covered, the complexity of the terrain, and the specific data requirements. The Cost Plus Award Fee structure also introduces variability. A benchmark analysis would ideally involve examining the cost per square mile mapped or the cost per data point updated for comparable projects, considering factors like inflation and the specific technical methodologies employed.

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

Key risks include the accuracy and completeness of the updated technical data, which directly impacts flood risk assessments and insurance rates. Technical challenges in data acquisition, processing, and modeling, especially in complex terrains, pose another risk. The Cost Plus Award Fee (CPAF) contract type introduces a risk of cost escalation if performance metrics are not tightly managed or if the scope expands. Mitigation strategies likely involve rigorous quality assurance/quality control (QA/QC) processes, clear performance standards and award fee criteria defined in the contract, regular progress reviews, and potentially independent verification of key data outputs. FEMA's oversight team plays a crucial role in monitoring progress and managing these risks.

How effective is the Cost Plus Award Fee (CPAF) contract structure in ensuring value for money for this specific type of service?

The CPAF structure is intended to incentivize contractor performance by linking a portion of the profit to achieving specific performance objectives. For services like updating technical data for flood maps, where quality and accuracy are paramount, CPAF can be effective if the award fee criteria are well-defined, measurable, and aligned with FEMA's objectives. It encourages the contractor to go beyond minimum requirements. However, it also requires robust oversight from FEMA to ensure that costs are reasonable and that award fees are genuinely earned through exceptional performance, not just routine delivery. If not managed carefully, CPAF can lead to higher costs than fixed-price contracts, making effective administration critical for value.

What is the historical spending pattern for flood map updates by FEMA, and how does this contract fit within that trend?

FEMA's spending on flood map modernization and updates has been substantial over the years, particularly through programs like Risk MAP. Historical spending reflects a continuous effort to improve the accuracy and accessibility of flood hazard information nationwide. This $5.25 million contract appears to be a component of this ongoing investment. Analyzing FEMA's budget allocations and contract awards for flood mapping services over the past decade would reveal trends in funding levels, the types of services procured (e.g., data collection, modeling, map production), and the primary contractors involved. This specific contract fits within the broader trend of FEMA utilizing competitive procurements to update critical flood risk data.

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: 2

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: $5,391,344

Exercised Options: $5,391,344

Current Obligation: $5,254,987

Actual Outlays: $5,409

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