FEMA's $37M Public Assistance Technical Assistance Contracts III awarded to Fluor Enterprises for Hurricane Harvey recovery support

Contract Overview

Contract Amount: $37,009,690 ($37.0M)

Contractor: Fluor Enterprises, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2017-09-17

End Date: 2019-01-07

Contract Duration: 477 days

Daily Burn Rate: $77.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: IGF::CT::IGF PUBLIC ASSISTANCE (PA) TECHNICAL ASSISTANCE CONTRACTS (TAC) III CONTRACTOR IS REQUIRED TO PROVIDE ENGINEERING, INSURANCE, AND OTHER PROFESSIONAL SERVICES SUPPORTING THE PA PROGRAM AS A RESULT OF HURRICANE HARVEY DR-4332-TX.

Place of Performance

Location: AUSTIN, TRAVIS County, TEXAS, 78753

State: Texas Government Spending

Plain-Language Summary

Department of Homeland Security obligated $37.0 million to FLUOR ENTERPRISES, INC. for work described as: IGF::CT::IGF PUBLIC ASSISTANCE (PA) TECHNICAL ASSISTANCE CONTRACTS (TAC) III CONTRACTOR IS REQUIRED TO PROVIDE ENGINEERING, INSURANCE, AND OTHER PROFESSIONAL SERVICES SUPPORTING THE PA PROGRAM AS A RESULT OF HURRICANE HARVEY DR-4332-TX. Key points: 1. Contract provides essential engineering and professional services for disaster recovery. 2. Competition was full and open, suggesting a robust bidding process. 3. Contract duration of 477 days indicates a significant, medium-term recovery effort. 4. Services are critical for supporting FEMA's Public Assistance program in Texas. 5. The contract type (Time and Materials) can pose cost control challenges if not closely managed. 6. This award is part of a larger framework (TAC III) for technical assistance.

Value Assessment

Rating: good

The total award amount of $37,009,689.86 for engineering and professional services related to Hurricane Harvey recovery appears reasonable given the scale of the disaster and the scope of services required. Benchmarking against similar large-scale disaster recovery contracts is challenging due to unique disaster impacts and specific service needs. However, the contract's duration and the nature of the support suggest a significant investment in technical expertise for a complex recovery operation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a full and open competition, indicating that multiple bidders had the opportunity to submit proposals. The presence of 4 bidders (as indicated by 'no': 4) suggests a competitive environment, which typically leads to better pricing and service offerings for the government. The full and open nature of the competition is a positive indicator for achieving value for taxpayer money.

Taxpayer Impact: A full and open competition generally benefits taxpayers by fostering a competitive environment that can drive down costs and improve the quality of services received, ensuring federal funds are used efficiently.

Public Impact

Texans affected by Hurricane Harvey benefit from accelerated and effective recovery services. Engineering, insurance, and professional services are delivered to support the Public Assistance program. The geographic impact is concentrated in Texas, specifically areas affected by Hurricane Harvey. The contract supports a workforce of engineers and technical professionals engaged in disaster recovery.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials contract type requires diligent oversight to prevent cost overruns.
The significant dollar amount necessitates robust financial tracking and performance monitoring.
Ensuring the quality and timeliness of engineering services is crucial for effective recovery.

Positive Signals

Awarded under full and open competition, indicating a competitive bidding process.
Services directly support critical disaster recovery efforts for Hurricane Harvey.
The contract is part of a broader framework (TAC III) for technical assistance, suggesting established processes.

Sector Analysis

This contract falls within the Engineering Services sector (NAICS 541330), a critical component of infrastructure development and disaster recovery. The market for such services is substantial, particularly in regions prone to natural disasters. FEMA's reliance on these services highlights the importance of specialized technical expertise in managing large-scale recovery operations. Comparable spending benchmarks are difficult to establish precisely due to the unique nature of each disaster, but significant federal investments are common for major recovery efforts.

Small Business Impact

The provided data does not indicate any specific small business set-aside or subcontracting requirements for this particular delivery order. As a large contract awarded through full and open competition, the primary contractor, Fluor Enterprises, Inc., would typically manage its own subcontracting strategy. Further analysis would be needed to determine if small businesses were involved in the subcontracting chain or if there were specific goals set for their participation.

Oversight & Accountability

Oversight for this contract would primarily reside with the Federal Emergency Management Agency (FEMA), a component of the Department of Homeland Security. As a delivery order under a larger contract vehicle (TAC III), oversight mechanisms likely include performance reviews, financial audits, and adherence to the terms and conditions of the contract. Transparency is generally maintained through federal contract databases and reporting requirements. The Inspector General for the Department of Homeland Security would have jurisdiction for audits and investigations related to potential fraud, waste, or abuse.

Related Government Programs

FEMA Public Assistance Program
Hurricane Harvey Disaster Relief
Technical Assistance Contracts (TAC)
Engineering and Professional Services
Disaster Recovery Support

Risk Flags

Potential for cost overruns due to Time and Materials contract type.
Ensuring consistent quality of engineering and professional services.
Timeliness of service delivery impacting recovery timelines.
Complexity of managing large-scale disaster recovery operations.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $37.0 million to FLUOR ENTERPRISES, INC.. IGF::CT::IGF PUBLIC ASSISTANCE (PA) TECHNICAL ASSISTANCE CONTRACTS (TAC) III CONTRACTOR IS REQUIRED TO PROVIDE ENGINEERING, INSURANCE, AND OTHER PROFESSIONAL SERVICES SUPPORTING THE PA PROGRAM AS A RESULT OF HURRICANE HARVEY DR-4332-TX.

Who is the contractor on this award?

The obligated recipient is FLUOR ENTERPRISES, 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 $37.0 million.

What is the period of performance?

Start: 2017-09-17. End: 2019-01-07.

What is the track record of Fluor Enterprises, Inc. in performing similar disaster recovery and technical assistance contracts for federal agencies?

Fluor Enterprises, Inc. has a significant history of undertaking large-scale engineering, procurement, and construction (EPC) projects, including those for government agencies and in disaster recovery contexts. They have been involved in major infrastructure projects and have experience with complex federal contracts. While specific details on their performance for FEMA's Public Assistance Technical Assistance Contracts (TAC) III are not fully detailed in the provided data, their broader experience suggests a capacity to handle such demanding work. A deeper dive into past performance reviews, contract close-outs, and any past performance information systems (like CPARS) would provide a more granular assessment of their track record specifically for similar federal contracts, including any issues related to cost, schedule, or quality.

How does the cost of this contract compare to other similar technical assistance contracts awarded by FEMA or other agencies for disaster recovery?

Directly comparing the cost of this $37 million contract to 'similar' contracts is challenging due to the unique variables of each disaster event, the specific scope of services required, and the duration of the contract. FEMA's Public Assistance Technical Assistance Contracts (TAC) III program itself is designed to provide a framework for various technical support needs, implying a range of award sizes. However, for major disaster recovery efforts like Hurricane Harvey, significant funding for engineering, planning, and oversight is standard. Without access to a comprehensive database of FEMA's TAC awards and comparable disaster recovery contracts across different agencies, a precise benchmark is difficult. The contract's duration (477 days) and the 'Time and Materials' pricing structure are key factors influencing its total cost, which would need to be evaluated against the deliverables and market rates for specialized engineering and insurance services.

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

Key risks associated with this contract include potential cost overruns due to the Time and Materials (T&M) pricing structure, which can be less predictable than fixed-price contracts if not managed diligently. Scope creep, where the services required expand beyond the initial agreement, is another risk. Ensuring the quality and timeliness of the engineering and professional services is critical for effective disaster recovery; delays or substandard work could impede rebuilding efforts. Mitigation strategies likely involve robust oversight by FEMA, including detailed tracking of labor hours and materials, regular performance reviews, and clear communication channels with Fluor Enterprises. Strong contract management, including defined milestones and deliverables, helps manage scope and ensures accountability for service quality.

How effective has FEMA's Public Assistance Technical Assistance Contracts (TAC) III program been in supporting disaster recovery efforts historically?

The Public Assistance Technical Assistance Contracts (TAC) program, including TAC III, is FEMA's mechanism for procuring specialized expertise to support its core mission of disaster response and recovery. Historically, these contracts have been crucial for providing the technical, engineering, and management support necessary to help state, local, tribal, and territorial governments navigate the complexities of the Public Assistance process. The program aims to ensure that recovery projects are well-planned, compliant with regulations, and efficiently executed. While specific program-wide effectiveness metrics can be complex to quantify, the continued use and renewal of these contract vehicles suggest they are perceived as valuable tools for FEMA. Challenges can arise, as with any large-scale contracting effort, related to ensuring consistent quality, managing costs, and timely delivery of services across diverse disaster scenarios.

What has been the trend in federal spending on engineering and professional services for disaster recovery over the past five years?

Federal spending on engineering and professional services for disaster recovery has generally trended upwards over the past five years, driven by an increase in the frequency and severity of natural disasters, as well as significant federal investments in rebuilding infrastructure. Agencies like FEMA, the Army Corps of Engineers, and the Department of Transportation consistently procure these services to assess damage, design repairs, manage projects, and provide technical guidance. The total outlays can fluctuate significantly year-to-year based on the scale of major disaster events. This specific contract, awarded in 2017, reflects spending during a period of substantial disaster activity, including major hurricanes. The overall trend indicates a sustained and often growing need for specialized technical support in disaster recovery.

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: 4

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Fluor Corporation

Address: 100 FLUOR DANIEL DR, GREENVILLE, SC, 29607

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $50,775,420

Exercised Options: $37,009,690

Current Obligation: $37,009,690

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HSFEHQ12D0880

IDV Type: IDC

Timeline