FEMA awards $17.4M for Housing Inspection Services to WSP USA, supporting operational costs
Contract Overview
Contract Amount: $17,378,275 ($17.4M)
Contractor: WSP USA Services Inc.
Awarding Agency: Department of Homeland Security
Start Date: 2013-09-30
End Date: 2019-01-31
Contract Duration: 1,949 days
Daily Burn Rate: $8.9K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: COST NO FEE
Sector: Other
Official Description: IGF::CT::IGF TASK ORDER TO SUPPORT OPERATIONAL COST FOR THE HOUSING INSPECTION SERVICES.
Place of Performance
Location: HERNDON, FAIRFAX County, VIRGINIA, 20170
State: Virginia Government Spending
Plain-Language Summary
Department of Homeland Security obligated $17.4 million to WSP USA SERVICES INC. for work described as: IGF::CT::IGF TASK ORDER TO SUPPORT OPERATIONAL COST FOR THE HOUSING INSPECTION SERVICES. Key points: 1. Contract value of $17.4M over nearly 6 years. 2. WSP USA Services Inc. is the sole awardee. 3. Potential risk associated with a single vendor for extended duration. 4. Services fall under Building Inspection Services (NAICS 541350).
Value Assessment
Rating: fair
The contract's 'COST NO FEE' structure suggests a focus on service delivery rather than profit margin, making direct pricing comparisons difficult. The benchmark of $8,917 (likely a total contract value indicator) needs further context to assess value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating a competitive bidding process. However, it is a delivery order, suggesting it might be part of a larger indefinite-delivery contract, and the specific price discovery for this order needs more detail.
Taxpayer Impact: Taxpayer funds are used for operational support of housing inspection services, essential for disaster recovery efforts.
Public Impact
Supports critical housing inspection services, vital for disaster relief and recovery. Ensures operational continuity for FEMA's inspection programs. Contract duration of nearly 6 years suggests a long-term need for these services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of detailed cost breakdown for 'COST NO FEE'.
- Extended contract duration without clear performance metrics.
- Potential for vendor lock-in despite initial competition.
Positive Signals
- Awarded under full and open competition.
- Supports essential government function (housing inspections).
Sector Analysis
Building inspection services are crucial for regulatory compliance and safety, particularly after natural disasters. Spending in this sector can fluctuate based on federal disaster response needs and infrastructure projects.
Small Business Impact
The data indicates no specific set-aside for small businesses, and the prime contractor is WSP USA Services Inc., a large entity. Further analysis would be needed to determine if small businesses were involved as subcontractors.
Oversight & Accountability
The contract is a delivery order under a larger IDIQ, suggesting oversight may be managed at the parent contract level. The 'COST NO FEE' structure warrants scrutiny to ensure efficient use of funds.
Related Government Programs
- Building Inspection Services
- Department of Homeland Security Contracting
- Federal Emergency Management Agency Programs
Risk Flags
- Extended contract duration.
- Lack of profit/fee may obscure true cost drivers.
- Potential for sole-source reliance despite initial competition.
- Limited detail on specific services and performance metrics.
Tags
building-inspection-services, department-of-homeland-security, va, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $17.4 million to WSP USA SERVICES INC.. IGF::CT::IGF TASK ORDER TO SUPPORT OPERATIONAL COST FOR THE HOUSING INSPECTION SERVICES.
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 $17.4 million.
What is the period of performance?
Start: 2013-09-30. End: 2019-01-31.
What specific operational costs are covered by this contract, and how is 'COST NO FEE' reconciled with taxpayer value?
The 'COST NO FEE' designation typically means the contractor is reimbursed for allowable costs without an additional fee or profit. This contract likely covers direct labor, materials, and indirect costs associated with providing housing inspection services. Reconciling taxpayer value requires ensuring these costs are reasonable, allocable, and directly support the government's mission, with oversight focused on cost control and efficient service delivery rather than profit margins.
Given the nearly 6-year duration, what mechanisms are in place to mitigate risks associated with vendor performance and potential cost creep?
Mitigation strategies for long-term contracts include robust performance monitoring, clearly defined deliverables and service level agreements, and regular performance reviews. The government should ensure contract clauses allow for adjustments based on performance and market conditions. Periodic re-competition or market research can also help prevent vendor lock-in and ensure continued value, even if the incumbent is considered for future awards.
How does the 'FULL AND OPEN COMPETITION' for this delivery order ensure the best possible pricing and service quality for housing inspection services?
Full and open competition theoretically ensures that multiple qualified vendors can bid, fostering a competitive environment that drives down prices and improves service quality. For a delivery order, the pricing is often established by the parent IDIQ contract, which itself underwent full and open competition. However, the effectiveness depends on the specific terms of the IDIQ and whether this particular order leveraged competitive task order awards or was a sole-source task order under a competitively awarded IDIQ.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Building Inspection Services
Product/Service Code: QUALITY CONTROL, TEST, INSPECTION › INSPECTION SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 2
Pricing Type: COST NO FEE (S)
Evaluated Preference: NONE
Contractor Details
Parent Company: Enterra Holdings Ltd
Address: 465 SPRINGPARK PL, HERNDON, VA, 20170
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $163,153,338
Exercised Options: $17,378,275
Current Obligation: $17,378,275
Actual Outlays: $-10,960,380
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: HSFE8013D0070
IDV Type: IDC
Timeline
Start Date: 2013-09-30
Current End Date: 2019-01-31
Potential End Date: 2019-03-29 00:00:00
Last Modified: 2025-10-09
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