FEMA Spends $70.4M on Mobile Homes from Champion Home Builders for Louisiana Disaster Relief

Contract Overview

Contract Amount: $70,440,448 ($70.4M)

Contractor: Champion Home Builders, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2005-09-21

End Date: 2005-12-01

Contract Duration: 71 days

Daily Burn Rate: $992.1K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: MOBILE HOMES

Place of Performance

Location: BATON ROUGE, EAST BATON ROUGE County, LOUISIANA, 70821

State: Louisiana Government Spending

Plain-Language Summary

Department of Homeland Security obligated $70.4 million to CHAMPION HOME BUILDERS, INC. for work described as: MOBILE HOMES Key points: 1. Significant expenditure of $70.4M for mobile homes highlights disaster response needs. 2. Sole-source procurement raises questions about price discovery and potential overspending. 3. Contract awarded to Champion Home Builders, a major player in the industry. 4. Focus on disaster relief (LA) indicates a critical, time-sensitive need.

Value Assessment

Rating: questionable

The contract value of $70.4M for 1 unit (likely a large batch) is difficult to assess without per-unit cost data. Given the 'NOT COMPETED' status, it's hard to determine if the price reflects fair market value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was not competed, indicating a sole-source award. This method limits price discovery and may lead to higher costs for taxpayers compared to a competitive process.

Taxpayer Impact: The lack of competition for a substantial contract value suggests potential for inefficient use of taxpayer funds.

Public Impact

Provides essential temporary housing for disaster victims in Louisiana. Addresses immediate shelter needs following a significant event (likely Hurricane Katrina given the dates). Supports recovery efforts by offering a critical resource for displaced individuals and families.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition
High contract value
Limited transparency on unit cost

Positive Signals

Addresses critical need for housing
Supports disaster recovery

Sector Analysis

The procurement falls under the manufacturing of mobile homes, a sector often utilized for temporary housing solutions during emergencies. Spending benchmarks are difficult to establish without competitive data.

Small Business Impact

No indication of small business involvement in this sole-source contract.

Oversight & Accountability

The sole-source nature of this award warrants scrutiny to ensure the government obtained the best possible value and that the process was justified.

Related Government Programs

Travel Trailer and Camper Manufacturing
Department of Homeland Security Contracting
Federal Emergency Management Agency Programs

Risk Flags

Sole-source award
High dollar value
Lack of per-unit cost data
Potential for inflated pricing due to lack of competition

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $70.4 million to CHAMPION HOME BUILDERS, INC.. MOBILE HOMES

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 $70.4 million.

What is the period of performance?

Start: 2005-09-21. End: 2005-12-01.

What was the per-unit cost of the mobile homes, and how does it compare to market rates for similar units at the time?

The provided data does not specify the per-unit cost, making direct comparison to market rates impossible. The total award of $70.4M for one contract line item suggests a large quantity, but without a quantity figure, unit cost analysis is speculative. Further investigation into FEMA's procurement records would be needed to ascertain this crucial detail.

Were there any emergency justifications that precluded a competitive bidding process for this significant mobile home procurement?

Given the dates (September-December 2005) and the location (Louisiana), this contract likely relates to Hurricane Katrina relief efforts. Such catastrophic events often necessitate rapid procurement, which can sometimes lead to sole-source awards under emergency provisions. However, the specific justification for bypassing competition should be documented and reviewed for appropriateness.

What was the long-term effectiveness and disposition of these mobile homes provided by Champion Home Builders?

The data does not provide information on the long-term effectiveness or what happened to the mobile homes after their initial use. Typically, disaster housing units may be repurposed, sold, or decommissioned. Understanding their lifecycle and ultimate fate would offer insights into the overall value and sustainability of this procurement.

Industry Classification

NAICS: Manufacturing › Motor Vehicle Body and Trailer Manufacturing › Travel Trailer and Camper Manufacturing

Product/Service Code: PREFAB STRUCTURES/SCAFFOLDING

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Champion Enterprises Holdings, LLC (UEI: 962565607)

Address: 2701 CAMBRIDGE CT, STE-300, AUBURN HILLS, MI, 11

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $70,440,448

Exercised Options: $70,440,448

Current Obligation: $70,440,448

Parent Contract

Parent Award PIID: HSFEHQ05D4332

IDV Type: IDC

Timeline