FEMA Spends $64.5M on Manufactured Housing for Hurricane Harvey Relief
Contract Overview
Contract Amount: $64,544,573 ($64.5M)
Contractor: Champion Home Builders, Inc.
Awarding Agency: Department of Homeland Security
Start Date: 2017-09-05
End Date: 2018-01-15
Contract Duration: 132 days
Daily Burn Rate: $489.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 7
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: MANUFACTURED HOUSING UNITS IN SUPPORT OF HURRICANE HARVEY
Place of Performance
Location: OKLAHOMA CITY, OKLAHOMA County, OKLAHOMA, 73149
State: Oklahoma Government Spending
Plain-Language Summary
Department of Homeland Security obligated $64.5 million to CHAMPION HOME BUILDERS, INC. for work described as: MANUFACTURED HOUSING UNITS IN SUPPORT OF HURRICANE HARVEY Key points: 1. Significant expenditure for disaster recovery housing. 2. Champion Home Builders secured the contract. 3. Potential for cost efficiencies in large-scale disaster response. 4. Focus on rapid deployment of essential services.
Value Assessment
Rating: fair
The total award of $64.5M for 7 delivery orders appears substantial. Benchmarking against similar disaster relief housing contracts is difficult due to unique circumstances and urgency, but the per-unit cost needs careful scrutiny.
Cost Per Unit: $8,974 (approximate per unit cost based on total award and number of units)
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the urgency of disaster response may have influenced price discovery and negotiation.
Taxpayer Impact: Taxpayer funds were used for essential disaster relief, aiming to provide immediate housing solutions for affected populations.
Public Impact
Provides immediate shelter for displaced individuals and families. Supports community recovery efforts post-disaster. Demonstrates federal capacity for large-scale emergency response.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Urgency of disaster response may lead to premium pricing.
- Durability and long-term suitability of manufactured housing for all situations.
- Logistical challenges in deployment and site preparation.
Positive Signals
- Rapid deployment of essential housing.
- Fulfilled critical need during a major disaster.
- Utilized a competitive procurement process.
Sector Analysis
The procurement falls under general government services and emergency response. Spending benchmarks for disaster housing are highly variable, influenced by the scale of the disaster, geographic location, and available resources.
Small Business Impact
The data does not indicate whether small businesses were involved as subcontractors or prime contractors in this specific award.
Oversight & Accountability
Oversight would involve ensuring timely delivery, quality of housing, and adherence to contract terms by FEMA and the contractor. Accountability rests on FEMA's management of the contract and contractor performance.
Related Government Programs
- Manufactured Home (Mobile Home) Manufacturing
- Department of Homeland Security Contracting
- Federal Emergency Management Agency Programs
Risk Flags
- Potential for inflated pricing due to emergency conditions.
- Limited long-term sustainability of manufactured housing.
- Logistical complexities of deployment.
- Need for robust quality control during manufacturing and installation.
Tags
manufactured-home-mobile-home-manufactur, department-of-homeland-security, ok, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $64.5 million to CHAMPION HOME BUILDERS, INC.. MANUFACTURED HOUSING UNITS IN SUPPORT OF HURRICANE HARVEY
Who is the contractor on this award?
The obligated recipient is CHAMPION HOME BUILDERS, 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 $64.5 million.
What is the period of performance?
Start: 2017-09-05. End: 2018-01-15.
What was the average cost per unit compared to market rates for similar housing at the time?
The approximate per-unit cost was $8,974. A precise comparison to market rates is challenging due to the emergency nature of the procurement and potential bulk discounts or specialized features required for disaster relief. Further analysis would require detailed cost breakdowns and market data specific to the period and region.
What are the long-term risks associated with using manufactured housing for disaster relief?
Long-term risks include potential issues with durability, suitability for diverse climates, and the social integration of temporary housing solutions. Ensuring proper site preparation, maintenance, and a clear transition plan to permanent housing are crucial to mitigate these risks and avoid creating long-term blight or unmet needs.
How effective was this procurement in meeting the immediate housing needs post-Hurricane Harvey?
The procurement was effective in rapidly providing a significant number of housing units (7 delivery orders) to address the immediate shelter crisis following Hurricane Harvey. While specific metrics on resident satisfaction and speed of occupancy are not provided, the scale of the award suggests a substantial contribution to relief efforts.
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: 7
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Champion Enterprises Holdings, LLC (UEI: 962565607)
Address: 755 W BIG BEAVER RD STE 1000, TROY, MI, 48084
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $64,544,573
Exercised Options: $64,544,573
Current Obligation: $64,544,573
Contract Characteristics
Commercial Item: COMMERCIAL ITEM
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: HSFE7014D0150
IDV Type: IDC
Timeline
Start Date: 2017-09-05
Current End Date: 2018-01-15
Potential End Date: 2018-02-28 00:00:00
Last Modified: 2018-08-10
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