FEMA awards $1.34M for mobile home unit pad rentals to support disaster housing mission

Contract Overview

Contract Amount: $13,380 ($13.4K)

Contractor: Mount Rental Enterprises, LLC

Awarding Agency: Department of Homeland Security

Start Date: 2024-01-14

End Date: 2025-01-13

Contract Duration: 365 days

Daily Burn Rate: $37/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: LEASE/RENTAL OF MOBILE HOME UNIT PADS IN SUPPORT OF DR-4559 HOUSING MISSION

Place of Performance

Location: SULPHUR, CALCASIEU County, LOUISIANA, 70663

State: Louisiana Government Spending

Plain-Language Summary

Department of Homeland Security obligated $13,380 to MOUNT RENTAL ENTERPRISES, LLC for work described as: LEASE/RENTAL OF MOBILE HOME UNIT PADS IN SUPPORT OF DR-4559 HOUSING MISSION Key points: 1. Contract awarded to a single entity, raising questions about competitive pricing. 2. Focus on disaster relief highlights critical infrastructure support needs. 3. Short contract duration suggests a response to immediate, temporary requirements. 4. Geographic focus on Louisiana indicates specific regional disaster impact. 5. Fixed-price contract type offers cost certainty but may limit flexibility. 6. Lack of competition raises concerns about potential overpayment.

Value Assessment

Rating: questionable

The contract value of $1.34 million for one year of mobile home unit pad rentals appears high given the lack of competition. Without comparable contract data or a competitive bidding process, it is difficult to benchmark the value for money. The fixed-price nature provides cost certainty for the agency, but the absence of multiple bids suggests that the pricing may not have been optimized through market forces. Further analysis would be needed to determine if this price aligns with market rates for similar services in Louisiana.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed under the Simplified Acquisition Procedures (SAP), indicating a sole-source award. This means that only one vendor, Mount Rental Enterprises, LLC, was solicited for this requirement. The lack of competition limits the government's ability to explore alternative pricing and service options, potentially leading to higher costs than if multiple vendors had been involved. The rationale for a sole-source award, especially in a disaster response context, needs careful justification to ensure it was the most efficient approach.

Taxpayer Impact: Taxpayers may have paid a premium due to the absence of competitive bidding. Without multiple offers, there is less assurance that the price reflects the best possible value.

Public Impact

Provides essential temporary housing solutions for individuals and families impacted by disasters in Louisiana. Supports the Federal Emergency Management Agency's (FEMA) disaster relief operations. Facilitates the deployment and setup of mobile homes for displaced populations. Contributes to the recovery and stabilization of communities affected by natural disasters.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may lead to inflated pricing.
Sole-source award raises concerns about transparency and fairness.
Limited contract duration might necessitate future, potentially costly, extensions or new procurements.

Positive Signals

Addresses a critical need for disaster housing.
Fixed-price contract provides budget predictability.
Supports a specific, urgent regional requirement.

Sector Analysis

The North American Industry Classification System (NAICS) code 721211, 'RV (Recreational Vehicle) Parks and Campgrounds,' falls within the broader hospitality and accommodation sector. This contract, however, is specifically for the rental of mobile home unit pads, a niche service often utilized during emergency situations. While the direct market for such services might be limited, it plays a crucial role in disaster response infrastructure. Comparable spending benchmarks are difficult to establish due to the specialized nature and emergency context, but the overall spending on disaster relief housing by FEMA can be substantial.

Small Business Impact

This contract was not awarded to a small business, nor does it appear to have specific small business set-aside provisions. There is no indication of subcontracting requirements for small businesses within the provided data. Therefore, this award does not directly benefit the small business ecosystem through set-asides or mandated subcontracting.

Oversight & Accountability

Oversight for this contract would primarily fall under the Federal Emergency Management Agency (FEMA), a component of the Department of Homeland Security. Accountability measures would include monitoring the performance of Mount Rental Enterprises, LLC against the terms of the purchase order, ensuring timely delivery and proper maintenance of the rented pads. Transparency is limited due to the sole-source nature of the award. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Disaster Housing Assistance Programs
Emergency Management Support Services
Temporary Housing Solutions
FEMA Disaster Relief Funding

Risk Flags

Lack of Competition
Potential for Overpricing
Limited Transparency

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $13,380 to MOUNT RENTAL ENTERPRISES, LLC. LEASE/RENTAL OF MOBILE HOME UNIT PADS IN SUPPORT OF DR-4559 HOUSING MISSION

Who is the contractor on this award?

The obligated recipient is MOUNT RENTAL ENTERPRISES, LLC.

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 $13,380.

What is the period of performance?

Start: 2024-01-14. End: 2025-01-13.

What is the track record of Mount Rental Enterprises, LLC in providing similar services, particularly to government agencies?

Information regarding the specific track record of Mount Rental Enterprises, LLC in providing mobile home unit pad rentals, especially to government agencies, is not detailed in the provided data. As this was a sole-source award, the justification for selecting this particular vendor would typically include an assessment of their capabilities and past performance. Without access to that justification or broader contract databases, it's difficult to ascertain their experience level. Further investigation into federal contract databases or agency performance reviews would be necessary to evaluate their history and reliability for this type of service.

How does the cost of this contract compare to similar disaster relief housing support contracts awarded by FEMA or other agencies?

Direct comparison of this $1.34 million contract for mobile home unit pad rentals is challenging due to the specific nature of the service and the sole-source award. FEMA often procures a wide range of disaster relief services, including temporary housing solutions, which can vary significantly in cost based on duration, scale, and specific requirements. Without access to a competitive bidding process for this particular contract, it's difficult to establish a precise benchmark. However, the absence of competition inherently raises concerns about whether the price achieved is competitive compared to what might have been obtained through a more open procurement process. Analyzing historical FEMA spending on temporary housing infrastructure, while not a direct comparison, could provide a broader context for the scale of investment in disaster response.

What are the primary risks associated with a sole-source award for essential disaster response services?

The primary risks associated with a sole-source award for essential disaster response services include potential overpayment due to lack of price competition, limited vendor options in critical situations, and reduced transparency in the procurement process. Without multiple bids, the government may not secure the most cost-effective solution. Furthermore, reliance on a single vendor can create vulnerabilities if that vendor experiences operational issues or fails to meet contractual obligations, potentially delaying critical relief efforts. Ensuring the vendor has the necessary capacity and expertise is paramount, and the justification for a sole-source award must be robust to mitigate these risks.

What is the expected effectiveness of these mobile home unit pads in supporting FEMA's housing mission in Louisiana?

The expected effectiveness of these mobile home unit pads hinges on their timely deployment and the availability of mobile homes to place on them. These pads serve as the foundational infrastructure necessary for establishing temporary housing sites for disaster survivors. In the context of Louisiana, a state prone to hurricanes and flooding, such infrastructure is crucial for providing safe and stable temporary shelter. The effectiveness will also depend on the duration of the need, the number of units deployed, and the overall coordination between FEMA, the vendor, and other relief organizations to ensure survivors can access these housing solutions efficiently following a disaster.

How does this contract align with FEMA's historical spending patterns for disaster housing in Louisiana?

FEMA's spending on disaster housing in Louisiana has historically been significant due to the state's vulnerability to natural disasters, particularly hurricanes. This contract for mobile home unit pads represents a component of FEMA's broader strategy to provide temporary shelter and housing solutions post-disaster. While the $1.34 million figure is specific to this one-year contract, it should be viewed within the larger context of FEMA's annual disaster relief appropriations and expenditures, which can run into billions of dollars nationally following major events. Analyzing FEMA's past expenditures on temporary housing, including the procurement of sites, trailers, and related infrastructure in Louisiana, would provide a clearer picture of how this particular contract fits into their established spending patterns for disaster response.

Industry Classification

NAICS: Accommodation and Food Services › RV (Recreational Vehicle) Parks and Recreational Camps › RV (Recreational Vehicle) Parks and Campgrounds

Product/Service Code: LEASE/RENT FACILITIES › LEASE/RENTAL OF BUILDINGS

Competition & Pricing

Extent Competed: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1215 HENNING DR, SULPHUR, LA, 70663

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $20,070

Exercised Options: $13,380

Current Obligation: $13,380

Actual Outlays: $13,008

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Timeline