FEMA awards $53.3M for flood map modernization, with 7 orders under a firm-fixed-price contract

Contract Overview

Contract Amount: $53,272,900 ($53.3M)

Contractor: Michael Baker JR., Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2004-03-11

End Date: 2005-01-11

Contract Duration: 306 days

Daily Burn Rate: $174.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: MULTI-HAZARD FLOOD MAP MODERNIZATION

Place of Performance

Location: BEAVER, BEAVER County, PENNSYLVANIA, 15009

State: Pennsylvania Government Spending

Plain-Language Summary

Department of Homeland Security obligated $53.3 million to MICHAEL BAKER JR., INC. for work described as: MULTI-HAZARD FLOOD MAP MODERNIZATION Key points: 1. Contract value represents a significant investment in national flood risk assessment. 2. Competition dynamics suggest a potentially competitive bidding environment for this type of service. 3. The firm-fixed-price structure aims to control costs and provide budget certainty. 4. Contract duration of 306 days indicates a focused, project-specific scope. 5. The award falls within engineering services, a critical component of infrastructure planning. 6. Modernizing flood maps is essential for accurate risk assessment and mitigation strategies.

Value Assessment

Rating: good

The total award of $53.3 million for flood map modernization appears reasonable given the scope of national-level data collection and analysis. Benchmarking against similar large-scale geospatial data contracts would provide further context, but the firm-fixed-price nature suggests an effort to establish clear cost expectations. The number of delivery orders (7) indicates a structured approach to task execution within the larger contract framework.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple qualified vendors had the opportunity to bid. With 7 delivery orders issued, it suggests that the initial competition was robust enough to establish a strong base contract from which task-specific work could be efficiently ordered. This level of competition is generally favorable for price discovery and ensuring that the government receives competitive pricing.

Taxpayer Impact: Full and open competition for this contract likely resulted in better pricing for taxpayers by encouraging multiple firms to offer their best proposals.

Public Impact

Benefits communities nationwide by providing updated flood risk information. Delivers essential data for FEMA's flood insurance programs and disaster preparedness. Impacts local governments and planning agencies responsible for land use and development. Supports the engineering and geospatial analysis workforce involved in map creation.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if modernization requirements are not clearly defined in delivery orders.
Reliance on a single prime contractor for a critical national infrastructure service.
Ensuring data accuracy and consistency across all modernized flood maps.
Timeliness of delivery orders to meet critical planning and regulatory deadlines.

Positive Signals

Firm-fixed-price contract provides cost certainty for the government.
Full and open competition suggests a competitive market for these services.
Multiple delivery orders indicate a structured and manageable execution plan.
Focus on modernizing critical flood hazard data.

Sector Analysis

This contract falls within the Engineering Services sector, specifically focusing on geospatial analysis and risk assessment for flood hazards. The market for such services is driven by government mandates for disaster preparedness and infrastructure resilience. Comparable spending benchmarks would involve other large-scale federal contracts for mapping, surveying, and environmental consulting services, often awarded to specialized firms with expertise in geographic information systems (GIS) and hydrological modeling.

Small Business Impact

While this contract was awarded under full and open competition and does not explicitly mention small business set-asides, the prime contractor, Michael Baker Jr., Inc., may engage small businesses for subcontracting opportunities. The nature of large-scale engineering and data modernization projects often involves specialized tasks that can be outsourced to smaller, niche firms, potentially benefiting the small business ecosystem. Further analysis of subcontracting plans would be needed to confirm the extent of small business involvement.

Oversight & Accountability

Oversight for this contract would primarily reside with the Federal Emergency Management Agency (FEMA), a component of the Department of Homeland Security. Mechanisms likely include regular progress reviews, performance monitoring of delivery orders, and adherence to contract specifications. Transparency is generally maintained through contract award databases and public reporting. The Inspector General for DHS would have jurisdiction over potential fraud, waste, or abuse related to this contract.

Related Government Programs

National Flood Insurance Program
Disaster Mitigation Planning
Geospatial Information Systems (GIS) Services
Hazard Mapping and Risk Assessment
Infrastructure Resilience Programs

Risk Flags

Potential for outdated data if modernization is not continuous.
Dependence on contractor expertise for critical national infrastructure data.
Risk of cost overruns if scope is not tightly managed across delivery orders.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $53.3 million to MICHAEL BAKER JR., INC.. MULTI-HAZARD FLOOD MAP MODERNIZATION

Who is the contractor on this award?

The obligated recipient is MICHAEL BAKER JR., 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 $53.3 million.

What is the period of performance?

Start: 2004-03-11. End: 2005-01-11.

What is the historical spending trend for flood map modernization by FEMA?

Analyzing FEMA's historical spending on flood map modernization reveals a consistent and significant investment over the years, driven by evolving scientific understanding of flood risks and the need to update outdated maps. Prior to this contract, FEMA likely engaged in various initiatives and smaller contracts to address specific regional flood hazards. The total amount awarded for this specific contract, $53.3 million, represents a substantial portion of annual spending dedicated to this critical function. Trends indicate an increasing emphasis on leveraging advanced technologies like GIS and remote sensing to improve accuracy and efficiency. Understanding these historical patterns is crucial for forecasting future budgetary needs and assessing the long-term commitment to flood risk management.

How does the cost per square mile for this flood map modernization compare to industry benchmarks?

Determining the precise cost per square mile for this specific contract is challenging without detailed breakdowns of the geographic areas covered by each of the 7 delivery orders and the specific modernization activities performed. However, flood map modernization projects, especially those involving advanced hydrological modeling and GIS data integration, can range significantly in cost. Industry benchmarks often fall between several hundred to a few thousand dollars per square mile, depending on the complexity of the terrain, the required level of detail (e.g., base flood elevations vs. detailed hydraulic modeling), and the technology employed. Given the $53.3 million total award and the national scope implied, it's reasonable to assume FEMA sought competitive bids to achieve a cost-effective outcome within this range. Further analysis would require access to the specific deliverables and geographic scope of each delivery order.

What are the key performance indicators (KPIs) used to evaluate Michael Baker Jr., Inc.'s performance on this contract?

While specific KPIs are not publicly detailed for this contract, typical performance indicators for flood map modernization projects awarded under firm-fixed-price contracts often include adherence to project schedules, accuracy and completeness of the generated flood maps, compliance with FEMA's technical standards and guidelines, and the effectiveness of communication and reporting. For Michael Baker Jr., Inc., successful completion of each delivery order within the allocated budget and timeframe would be paramount. Quality assurance reviews of the geospatial data and hydraulic models produced would also be critical. FEMA likely employs a system of performance evaluations, potentially including Contractor Performance Assessment Reporting System (CPARS) ratings, to track the contractor's overall performance and inform future contract awards.

What is the potential impact of these modernized flood maps on property insurance rates?

The modernization of flood maps has a direct and significant impact on property insurance rates, particularly for those participating in the National Flood Insurance Program (NFIP). More accurate and up-to-date maps reflect a more precise understanding of flood risk in specific areas. Consequently, properties identified as being in higher-risk zones are likely to see an increase in flood insurance premiums, while those in lower-risk zones might experience a decrease or stabilization. This data-driven approach ensures that insurance rates are more closely aligned with the actual risk exposure, promoting fairer pricing and encouraging mitigation efforts in high-risk areas. The investment in modernization aims to create a more actuarially sound basis for flood insurance pricing.

How does this contract align with broader federal initiatives for climate change adaptation and resilience?

This contract for multi-hazard flood map modernization directly aligns with broader federal initiatives focused on climate change adaptation and resilience. As climate change exacerbates extreme weather events, including more intense rainfall and rising sea levels, accurate flood risk assessments become increasingly critical. Modernized maps provide essential data for communities to understand their vulnerability, plan infrastructure investments, and implement mitigation strategies that account for future climate impacts. FEMA's role in updating these maps is a foundational element of national resilience efforts, enabling better-informed decision-making by federal, state, and local agencies, as well as private sector stakeholders like insurers and developers, to build more resilient communities.

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

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Contractor Details

Parent Company: Michael Baker International, LLC (UEI: 079171269)

Address: 4301 DUTCH RIDGE ROAD, BEAVER, PA, 15009

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $53,272,900

Exercised Options: $53,272,900

Current Obligation: $53,272,900

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: HSFEHQ04D0025

IDV Type: IDC

Timeline