DHS FEMA awarded M.C. Dean $53M for specialty trade contracting, with 4 bids received

Contract Overview

Contract Amount: $53,047,840 ($53.0M)

Contractor: M. C. Dean, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2011-09-22

End Date: 2015-04-22

Contract Duration: 1,308 days

Daily Burn Rate: $40.6K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: PROJECT "EIU".

Place of Performance

Location: BLUEMONT, LOUDOUN County, VIRGINIA, 20135

State: Virginia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $53.0 million to M. C. DEAN, INC. for work described as: PROJECT "EIU". Key points: 1. Contract value appears reasonable given the duration and scope of specialty trade services. 2. Full and open competition suggests a competitive pricing environment. 3. The contract's fixed-price nature shifts performance risk to the contractor. 4. Performance period spanned nearly four years, indicating a substantial project. 5. Specialty trade contracting is a broad category, making direct comparisons challenging without specific service details. 6. The contract was awarded under the "All Other Specialty Trade Contractors" NAICS code.

Value Assessment

Rating: good

The contract's total value of $53 million over approximately 3.6 years suggests an average annual value of around $14.7 million. Without specific details on the services rendered, it's difficult to benchmark precisely. However, for large-scale specialty trade services, particularly those supporting federal agencies like FEMA, this level of expenditure is not uncommon. The firm-fixed-price contract type indicates that the contractor assumed the risk for cost overruns, which can be a positive indicator of value if the work was completed successfully within budget.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that while initial solicitations might have had limitations, the final award was made through a broad competitive process. Four bids were received, which suggests a moderate level of competition. While more bidders could potentially drive prices lower, four offers are generally sufficient to provide a reasonable basis for price comparison and selection.

Taxpayer Impact: The competitive nature of the award process, with four bidders, likely resulted in a more favorable price for taxpayers compared to a sole-source or limited competition scenario.

Public Impact

The primary beneficiary of this contract was the Department of Homeland Security (FEMA), receiving essential specialty trade services. Services likely included a range of construction-related trades necessary for facility maintenance, repair, or minor construction projects. The geographic impact was primarily within Virginia, where the contract was administered. The contract supported skilled labor within the specialty trade sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific service details makes it hard to assess if the full value was realized.
The broad NAICS code could mask inefficiencies if specific trades were over-priced.
Contract duration might have led to price escalation if not managed carefully.

Positive Signals

Firm-fixed-price contract shifts cost risk to the contractor.
Competitive bidding process likely ensured a fair market price.
Award to a single contractor for a defined period suggests a streamlined delivery.

Sector Analysis

Specialty trade contracting encompasses a wide array of skilled trades, including electrical, plumbing, HVAC, and carpentry, often supporting larger construction or maintenance projects. The market for these services is substantial, with significant government spending allocated annually. This contract fits within the broader construction and facilities maintenance sector, where government agencies are major clients. Benchmarking is difficult without knowing the specific trades involved, but federal spending on construction and related services often runs into billions of dollars annually.

Small Business Impact

This contract was not set aside for small businesses, and there is no indication of subcontracting requirements for small businesses. The award went to M. C. Dean, Inc., a large federal contractor. This means the direct impact on the small business ecosystem for this specific award is minimal, though large prime contractors often engage small businesses for specialized tasks not covered by their core capabilities.

Oversight & Accountability

The contract was awarded by the Department of Homeland Security (FEMA), which has established oversight mechanisms for its procurements. As a firm-fixed-price contract, performance monitoring would be key. Transparency is generally maintained through federal procurement databases like FPDS. Inspector General oversight would apply to ensure the integrity of the procurement process and contract performance.

Related Government Programs

Department of Homeland Security Contracts
Federal Emergency Management Agency Contracts
Specialty Trade Services Contracts
Construction and Facilities Maintenance Contracts

Risk Flags

Lack of specific service details hinders granular value assessment.
Broad NAICS code may obscure specific cost drivers.
Contract duration requires careful performance monitoring.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $53.0 million to M. C. DEAN, INC.. PROJECT "EIU".

Who is the contractor on this award?

The obligated recipient is M. C. DEAN, 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 $53.0 million.

What is the period of performance?

Start: 2011-09-22. End: 2015-04-22.

What specific specialty trade services were provided under this contract?

The provided data indicates the contract falls under NAICS code 238990, 'All Other Specialty Trade Contractors.' This is a broad category that can include a wide range of services such as concrete contractors, structural steel erectors, masonry contractors, stonework contractors, demolition contractors, and more. Without access to the contract's statement of work or detailed task orders, the precise nature of the services rendered (e.g., electrical, plumbing, HVAC, general construction support, specialized repairs) remains unspecified. This lack of detail limits a granular assessment of value for money and performance effectiveness.

How does the $53 million contract value compare to similar FEMA specialty trade contracts?

Comparing the $53 million contract value requires context regarding the duration and scope. This contract spanned approximately 3.6 years (September 2011 to April 2015), averaging about $14.7 million annually. FEMA, like other large federal agencies, issues numerous contracts for construction, maintenance, and specialty trades. Larger, multi-year contracts for significant facility upgrades or new construction can easily reach tens or hundreds of millions of dollars. For ongoing maintenance and a variety of specialized repair services over several years, $53 million is within a plausible range for a contract of this nature and duration, though specific benchmarks are hard to establish without detailed service comparisons.

What is the track record of M. C. Dean, Inc. with federal contracts, particularly with DHS/FEMA?

M. C. Dean, Inc. is a well-established large federal contractor with a significant history of performance across various agencies, including the Department of Homeland Security and FEMA. They specialize in complex engineering, procurement, and construction (EPC) services, often involving electrical, mechanical, and systems integration. Their extensive portfolio includes numerous prime contracts, many of which are substantial in value. While specific performance metrics for this particular $53 million contract are not detailed here, M. C. Dean's general track record suggests they are a capable provider of large-scale technical and construction services to the federal government. A deeper dive into past performance evaluations and contract close-out data would provide more specific insights.

What were the primary risks associated with this contract, and how were they managed?

Key risks for a contract of this nature and duration include scope creep, cost overruns (though mitigated by the fixed-price structure), contractor performance issues, and potential delays. The firm-fixed-price (FFP) contract type inherently transfers most of the cost risk to the contractor, M. C. Dean, Inc. Management of performance risk would rely on robust government oversight, including regular progress reviews, site inspections, and adherence to quality control standards outlined in the contract. The 4-bid competitive award process also helps mitigate the risk of selecting an unqualified or overpriced vendor. The contract's duration (1308 days) suggests a need for careful project management to ensure timely completion and avoid extended performance risks.

How does the 'Full and Open Competition After Exclusion of Sources' designation impact taxpayer value?

This designation implies that while there might have been initial restrictions or specific requirements that led to excluding certain sources early on (perhaps related to specific technical capabilities or security clearances), the final award was made through a broad, competitive solicitation process. 'Full and Open Competition' is generally the preferred method for maximizing taxpayer value because it allows the widest possible range of qualified vendors to compete, driving down prices through market forces. Receiving four bids suggests that the competition, even after any initial exclusions, was sufficient to foster price discovery and likely resulted in a more cost-effective outcome than a sole-source or limited competition award.

What is the historical spending trend for similar specialty trade contracts by FEMA?

Historical spending by FEMA on specialty trade contracts, particularly under NAICS code 238990, would likely show significant variability year-over-year, influenced by disaster response needs, infrastructure projects, and facility maintenance requirements. FEMA's budget and contracting activities can fluctuate based on national emergencies and preparedness initiatives. While this specific $53 million contract represents a substantial single award, FEMA likely awards numerous smaller contracts for similar services annually. Analyzing FEMA's overall spending on construction and specialty trades over the past decade would reveal trends, potentially showing peaks during major disaster recovery periods and more stable spending for routine maintenance and upgrades. Without access to detailed historical spending data aggregated by NAICS code for FEMA, precise trend analysis is not possible.

Industry Classification

NAICS: Construction › Other Specialty Trade Contractors › All Other Specialty Trade Contractors

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 22461 SHAW RD, DULLES, VA, 10

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

Financial Breakdown

Contract Ceiling: $53,047,840

Exercised Options: $53,047,840

Current Obligation: $53,047,840

Contract Characteristics

Cost or Pricing Data: NO

Timeline