FEMA awarded $30.8M for manufactured housing to support Hurricane Harvey relief efforts

Contract Overview

Contract Amount: $30,798,855 ($30.8M)

Contractor: Lexington Homes, Inc

Awarding Agency: Department of Homeland Security

Start Date: 2017-09-05

End Date: 2018-02-28

Contract Duration: 176 days

Daily Burn Rate: $175.0K/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 $30.8 million to LEXINGTON HOMES, INC for work described as: MANUFACTURED HOUSING UNITS IN SUPPORT OF HURRICANE HARVEY Key points: 1. Contract awarded for essential housing in disaster-stricken areas. 2. Lexington Homes, Inc. secured the award. 3. The contract was competed fully and openly. 4. Delivery order issued under an existing contract. 5. Fixed-price contract type suggests cost certainty. 6. Duration of 176 days indicates a short-term need.

Value Assessment

Rating: fair

The contract value of $30.8 million for manufactured housing units appears reasonable given the scale of disaster relief required for Hurricane Harvey. Benchmarking against similar disaster response housing contracts is difficult without more specific details on unit type, size, and delivery timelines. However, the firm fixed-price structure provides a degree of cost control for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. The presence of 7 bidders suggests a competitive market for these services. This level of competition is generally favorable for price discovery and ensuring the government receives competitive pricing.

Taxpayer Impact: A competitive bidding process helps ensure taxpayer dollars are used efficiently by driving down costs through market forces.

Public Impact

Provides temporary housing solutions for individuals and families displaced by Hurricane Harvey. Supports disaster recovery and resilience efforts in affected regions. Facilitates the return to normalcy for affected communities. Potentially supports local economies through logistics and deployment of housing units.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for delays in delivery impacting immediate housing needs.
Quality control of manufactured units to ensure habitability and durability.

Positive Signals

Timely award to address urgent housing needs post-disaster.
Use of a competitive process to secure favorable pricing.
Fixed-price contract limits cost overruns.

Sector Analysis

The manufactured housing sector plays a crucial role in providing rapid, cost-effective housing solutions, particularly in emergency response scenarios. This contract falls within the broader construction and emergency services industries. The market for disaster relief housing is often characterized by urgent demand and the need for quick deployment, making pre-negotiated contracts or rapid competitive procurements common.

Small Business Impact

Information regarding small business participation or set-asides is not explicitly provided for this contract. As it was awarded under full and open competition, it is possible that small businesses could have participated as prime contractors or subcontractors. Further analysis would be needed to determine the extent of small business involvement.

Oversight & Accountability

Oversight for this contract would typically fall under the Federal Emergency Management Agency (FEMA), a component of the Department of Homeland Security. Mechanisms likely include contract performance monitoring, quality assurance checks, and financial audits to ensure compliance with terms and conditions. The Inspector General for DHS would have jurisdiction for investigations into fraud, waste, or abuse.

Related Government Programs

Hurricane Harvey Disaster Relief
Temporary Housing Programs
Emergency Management Services
Department of Homeland Security Contracts

Risk Flags

Urgency of need may impact thoroughness of inspection.
Potential for logistical challenges in rapid deployment.
Quality assurance of manufactured units is critical.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $30.8 million to LEXINGTON HOMES, INC. MANUFACTURED HOUSING UNITS IN SUPPORT OF HURRICANE HARVEY

Who is the contractor on this award?

The obligated recipient is LEXINGTON HOMES, 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 $30.8 million.

What is the period of performance?

Start: 2017-09-05. End: 2018-02-28.

What was the specific type and size of manufactured housing units procured under this contract?

The provided data indicates the procurement was for 'MANUFACTURED HOUSING UNITS IN SUPPORT OF HURRICANE HARVEY'. However, specific details regarding the exact type, size (e.g., square footage, number of bedrooms/bathrooms), and amenities of the manufactured housing units are not available in the provided data. This level of detail is crucial for a comprehensive value assessment and comparison with other housing solutions or similar contracts. Without this information, it's difficult to ascertain if the units met the specific needs of the displaced populations or if they were standard models.

How does the per-unit cost of these manufactured homes compare to market rates for similar housing in the affected region or nationally?

A direct per-unit cost comparison to market rates is challenging without knowing the exact specifications of the manufactured housing units (size, features, delivery, setup). The contract value is $30.8 million for an unspecified number of units. If we assume a hypothetical average cost per unit, it would need to be benchmarked against the prevailing market prices for new manufactured homes of comparable quality and features, including delivery and installation costs. Disaster relief procurements can sometimes involve premium pricing due to urgency and logistical complexities, which may deviate from standard market rates. Further investigation into the unit specifications and prevailing market prices at the time of award is necessary for a robust comparison.

What was the timeline for delivery and deployment of these manufactured housing units after the contract award?

The contract had a duration of 176 days, spanning from September 5, 2017, to February 28, 2018. This timeframe suggests that the delivery and deployment of the manufactured housing units were intended to occur within approximately six months of the award. Given the urgency following Hurricane Harvey, a rapid deployment capability would have been a critical factor. The effectiveness of the response hinges on how quickly these units became available to displaced residents. The contract's end date indicates the period during which these units were expected to be delivered and potentially occupied.

Were there any specific performance metrics or quality standards outlined in the contract for the manufactured housing units?

While the data indicates a 'FIRM FIXED PRICE' contract type, which generally implies clear deliverables and acceptance criteria, specific performance metrics and quality standards for the manufactured housing units are not detailed in the provided summary. Typically, such contracts would include specifications related to structural integrity, energy efficiency, safety features, and compliance with relevant building codes (e.g., HUD code for manufactured homes). FEMA would likely have had inspection and acceptance processes to ensure the units met the required standards for temporary housing. The 'OK' status for 'st' (State) and 'sn' (State Name) might imply adherence to state-level requirements, but explicit performance metrics are not listed.

What is the track record of Lexington Homes, Inc. in fulfilling government contracts, particularly for disaster relief?

The provided data identifies Lexington Homes, Inc. as the contractor, but it does not offer details on their past performance history with government contracts, including disaster relief efforts. To assess their track record, one would need to consult databases like the Federal Procurement Data System (FPDS) or the Contractor Performance Assessment Reporting System (CPARS) to review past awards, performance evaluations, and any history of disputes or contract terminations. A positive performance history would increase confidence in their ability to deliver on this contract, while a negative one might raise concerns about potential risks.

How did the number of bidders (7) influence the final contract price compared to a scenario with fewer or more bidders?

Having seven bidders in a full and open competition generally suggests a healthy level of market interest and competition. A larger number of bidders typically exerts downward pressure on prices, as companies strive to offer the most competitive bids to win the contract. Conversely, a very low number of bidders might indicate limited market capacity or barriers to entry, potentially leading to higher prices. With seven bidders, it is reasonable to infer that the government likely achieved a competitive price, although without knowing the bid amounts, it's impossible to quantify the exact impact. This number suggests that the price was likely influenced by competitive market dynamics.

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: Cavco Industries, Inc. (UEI: 009015264)

Address: 100 LEXINGTON CR, LEXINGTON, MS, 39095

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $30,798,855

Exercised Options: $30,798,855

Current Obligation: $30,798,855

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HSFE7014D0155

IDV Type: IDC

Timeline