FEMA awards $6.3M contract for manufactured home manufacturing and installation in Hawaii

Contract Overview

Contract Amount: $6,295,499 ($6.3M)

Contractor: Dynamic Group, LLC

Awarding Agency: Department of Homeland Security

Start Date: 2024-09-09

End Date: 2025-09-08

Contract Duration: 364 days

Daily Burn Rate: $17.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: MANUFACTURING, TRANSPORTATION, FFAE AND INSTALLATION OF THE INITIAL 10 MINIMUM QUANTITY ATTHUS

Place of Performance

Location: HAIKU, MAUI County, HAWAII, 96708

State: Hawaii Government Spending

Plain-Language Summary

Department of Homeland Security obligated $6.3 million to DYNAMIC GROUP, LLC for work described as: MANUFACTURING, TRANSPORTATION, FFAE AND INSTALLATION OF THE INITIAL 10 MINIMUM QUANTITY ATTHUS Key points: 1. Contract focuses on essential housing solutions for disaster recovery. 2. Dynamic Group, LLC secured the award through full and open competition. 3. The contract duration is one year, indicating a focused, short-term need. 4. Fixed-price structure aims to control costs for the government. 5. This award is part of a broader FEMA effort to provide housing assistance. 6. The specific NAICS code points to a niche manufacturing requirement.

Value Assessment

Rating: good

The contract value of $6.3 million for 10 minimum quantity units appears reasonable given the specialized nature of manufactured housing for disaster relief. Benchmarking against similar FEMA contracts for manufactured housing, the per-unit cost would likely fall within an expected range, considering transportation, installation, and customization needs. The firm-fixed-price structure provides cost certainty for the agency.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded using full and open competition, suggesting that multiple vendors had the opportunity to bid. The presence of 3 bids indicates a moderate level of competition for this specialized requirement. A competitive process generally leads to better price discovery and potentially more favorable terms for the government.

Taxpayer Impact: Full and open competition ensures that taxpayer dollars are used efficiently by leveraging market forces to secure the best possible price and value for these critical housing units.

Public Impact

Disaster-affected individuals and families in Hawaii will benefit from the provision of manufactured homes. The contract delivers essential housing solutions, crucial for recovery and stability. Geographic impact is focused on Hawaii, addressing specific regional needs. The contract supports the manufacturing and installation workforce, potentially creating or sustaining jobs in these sectors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for delays in delivery or installation impacting disaster victims.
Quality control issues with manufactured homes could arise, requiring additional oversight.
Transportation logistics in Hawaii could present unique challenges and cost overruns.

Positive Signals

Firm-fixed-price contract provides cost certainty.
Awarded through full and open competition, suggesting competitive pricing.
Contract duration is clearly defined, allowing for focused execution.

Sector Analysis

The manufacturing sector, specifically for manufactured homes, plays a vital role in providing rapid housing solutions, particularly in disaster-prone areas. This contract fits within the broader government procurement landscape for emergency response and housing assistance. Comparable spending benchmarks for manufactured housing can vary significantly based on customization, volume, and logistical complexities, but FEMA's consistent need in disaster recovery highlights the importance of this sector.

Small Business Impact

This contract does not appear to have a small business set-aside component, as indicated by 'sb: false'. While the primary awardee is Dynamic Group, LLC, there is no explicit information provided regarding subcontracting plans with small businesses. Further analysis would be needed to determine if small businesses are involved in the supply chain or installation processes.

Oversight & Accountability

Oversight for this contract will likely be managed by the Federal Emergency Management Agency (FEMA), a component of the Department of Homeland Security. The firm-fixed-price nature of the contract provides a degree of cost control. Transparency is generally maintained through federal procurement databases, and the Inspector General for DHS would have jurisdiction over any potential fraud, waste, or abuse.

Related Government Programs

FEMA Disaster Housing Assistance Programs
Department of Homeland Security Procurement
Manufactured Housing Industry Support
Emergency Preparedness and Response Contracts

Risk Flags

Potential for delivery delays impacting disaster victims.
Logistical challenges specific to island state delivery and installation.
Ensuring quality and durability of manufactured homes in varied environmental conditions.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $6.3 million to DYNAMIC GROUP, LLC. MANUFACTURING, TRANSPORTATION, FFAE AND INSTALLATION OF THE INITIAL 10 MINIMUM QUANTITY ATTHUS

Who is the contractor on this award?

The obligated recipient is DYNAMIC GROUP, LLC.

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 $6.3 million.

What is the period of performance?

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

What is the track record of Dynamic Group, LLC in fulfilling government contracts, particularly for manufactured housing or disaster relief?

Information regarding Dynamic Group, LLC's specific track record with government contracts, especially in manufactured housing or disaster relief, is not detailed in the provided data. A thorough review of federal procurement databases (like SAM.gov or FPDS) would be necessary to assess past performance, contract history, and any performance evaluations. Understanding their experience with similar projects, delivery timelines, and quality of work is crucial for evaluating the risk associated with this award. Without this specific data, it's difficult to definitively assess their reliability for this critical FEMA contract.

How does the per-unit cost of these manufactured homes compare to market rates for similar housing solutions in Hawaii?

The provided data does not include a specific per-unit cost breakdown, only the total contract value for a minimum quantity of 10 units. To compare this to market rates in Hawaii, one would need to research the cost of new manufactured homes of comparable size and features, including delivery and installation expenses, in that specific geographic region. Factors such as transportation costs to the islands, local labor rates for installation, and any specific customization required by FEMA for disaster relief would influence this comparison. A detailed cost analysis would be required to determine if this contract represents a competitive price point relative to the Hawaiian market.

What are the primary risks associated with the manufacturing and installation of manufactured homes for disaster relief purposes?

Key risks include potential delays in manufacturing due to supply chain disruptions or production capacity issues, which could impede timely delivery to disaster-affected areas. Installation risks involve logistical challenges in remote or damaged locations, potential for damage during transport, and ensuring compliance with local building codes and environmental regulations. Furthermore, quality control during manufacturing and installation is critical to ensure the homes are safe, habitable, and durable. The firm-fixed-price nature of the contract shifts some cost risk to the contractor, but performance failures could still lead to delays and unmet needs for beneficiaries.

What is the expected effectiveness of these manufactured homes in addressing FEMA's disaster housing needs in Hawaii?

Manufactured homes are generally considered an effective interim housing solution following disasters, offering a relatively quick deployment option compared to traditional construction. Their effectiveness in Hawaii will depend on factors such as the specific disaster's impact, the availability of suitable land for installation, and the speed of the manufacturing and delivery process. FEMA's use of this type of housing suggests it meets certain criteria for rapid deployment and basic habitability. However, the long-term effectiveness and resident satisfaction will also be influenced by the quality of the homes and the support provided to occupants.

What has been the historical spending pattern for manufactured home manufacturing and installation by FEMA or DHS?

Historical spending data for manufactured home manufacturing and installation by FEMA or DHS is not provided in the current data snippet. To analyze this, one would need to examine past contract awards for similar services over several fiscal years. This would involve looking at the volume of contracts, total expenditure, average contract values, and the frequency of such awards. Understanding historical spending patterns can help contextualize the current $6.3 million award, indicating whether it represents a typical, increased, or decreased level of investment in this area.

Are there any specific performance metrics or key performance indicators (KPIs) tied to this contract to measure success?

The provided data does not specify the performance metrics or Key Performance Indicators (KPIs) for this contract. Typically, government contracts, especially those involving critical services like disaster housing, include clauses related to delivery timelines, quality standards, installation completion, and compliance with specifications. FEMA would likely have internal monitoring processes and potentially contractual requirements for the contractor to report on progress against these metrics. A review of the full contract document would be necessary to identify any explicit KPIs or performance standards.

Industry Classification

NAICS: Manufacturing › Other Wood Product Manufacturing › Manufactured Home (Mobile Home) Manufacturing

Product/Service Code: PREFAB STRUCTURES/SCAFFOLDING

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3045 WESTFORK DR, BATON ROUGE, LA, 70816

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: $6,295,499

Exercised Options: $6,295,499

Current Obligation: $6,295,499

Actual Outlays: $6,295,499

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 70FBR924D00000005

IDV Type: IDC

Timeline