DHS FEMA awards $551K FFP purchase order for essential waste management services in Massachusetts

Contract Overview

Contract Amount: $5,510 ($5.5K)

Contractor: DBI Waste Systems Inc

Awarding Agency: Department of Homeland Security

Start Date: 2025-04-02

End Date: 2027-04-06

Contract Duration: 734 days

Daily Burn Rate: $8/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 9

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: FIRM FIXED PRICED (FFP) PURCHASE ORDER WASTE MANAGEMENT SERVICES AT THE REGIONAL FEDERAL REGIONAL CENTER (FRC) - AWARD UNDER EO IMPLEMENTING DOGE INITIATIVE SECTION 2(D) PUBLIC SAFETY EXCEPTION - ESSENTIAL WASTE REMOVAL SERVICES AT FEDERAL REGIONAL C

Place of Performance

Location: MAYNARD, MIDDLESEX County, MASSACHUSETTS, 01754

State: Massachusetts Government Spending

Plain-Language Summary

Department of Homeland Security obligated $5,510 to DBI WASTE SYSTEMS INC for work described as: FIRM FIXED PRICED (FFP) PURCHASE ORDER WASTE MANAGEMENT SERVICES AT THE REGIONAL FEDERAL REGIONAL CENTER (FRC) - AWARD UNDER EO IMPLEMENTING DOGE INITIATIVE SECTION 2(D) PUBLIC SAFETY EXCEPTION - ESSENTIAL WASTE REMOVAL SERVICES AT FEDERAL REGIONAL C Key points: 1. The contract is a Firm Fixed Price (FFP) purchase order, indicating a clear scope and predictable costs for essential waste removal. 2. Awarded under a public safety exception related to an EO implementing the DOGE initiative, highlighting the critical nature of the service. 3. The contract was competed under Simplified Acquisition Procedures (SAP), suggesting a focus on efficiency for smaller dollar value procurements. 4. The duration of the contract is approximately two years, providing consistent service delivery for the Federal Regional Center (FRC). 5. The service category is Solid Waste Collection, a fundamental operational requirement for federal facilities. 6. The contract was awarded to DBI Waste Systems Inc., a provider of waste management solutions.

Value Assessment

Rating: good

The contract value of $551,000 over approximately two years for waste management services at a Federal Regional Center appears reasonable. While specific benchmarks for this exact service at this location are not readily available, the FFP structure helps control costs. The competition level, though under SAP, suggests a degree of market vetting. Further analysis would require comparing pricing with similar contracts for waste management at comparable federal facilities.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under Simplified Acquisition Procedures (SAP), which typically involves a limited number of bidders compared to full and open competition. While the specific number of bids received is not detailed, SAP aims for efficient procurement of goods and services below certain dollar thresholds. This method can still yield competitive pricing if a sufficient number of qualified vendors are aware of and participate in the solicitation.

Taxpayer Impact: For taxpayers, competition under SAP generally leads to fair market pricing, though the potential for broader competition under full and open procedures might yield even greater cost savings.

Public Impact

Federal Regional Center (FRC) in Massachusetts benefits from consistent and essential waste removal services. Ensures public safety and operational continuity at the FRC by maintaining sanitary conditions. Supports the local economy through the provision of waste management services by a private sector contractor. Maintains a clean and functional environment for federal employees and visitors at the facility.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for limited competition due to SAP procedures, which might not engage the broadest possible vendor pool.
Reliance on a single vendor for essential services could pose a risk if the vendor experiences performance issues or financial instability.

Positive Signals

Firm Fixed Price contract structure provides cost certainty and reduces the risk of cost overruns for the government.
Award under a public safety exception underscores the critical and non-disruptible nature of the required service.
The contract duration of approximately two years ensures continuity of essential services.

Sector Analysis

The waste management services sector is a mature and essential industry supporting all levels of government and private enterprise. Federal agencies, like FEMA, rely on these services for the basic functioning of their facilities. Spending in this sector is consistent, driven by operational needs. Comparable spending benchmarks would involve analyzing contracts for solid waste collection and disposal at other federal buildings or regional centers across the nation.

Small Business Impact

The data indicates this contract was not specifically set aside for small businesses (ss: false, sb: false). While the procurement was competed under SAP, which can be accessible to small businesses, there is no explicit indication of a small business set-aside. Subcontracting opportunities for small businesses would depend on the prime contractor's policies and the specific needs of the service delivery.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Homeland Security (DHS) and the Federal Emergency Management Agency (FEMA). As a purchase order, it is subject to standard government procurement regulations and oversight. The Firm Fixed Price nature simplifies financial oversight. Performance monitoring would be conducted by the contracting officer's representative (COR) to ensure services meet the contract's requirements. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Federal Facility Maintenance Contracts
Regional Center Operations Support
Emergency Preparedness and Response Services
Solid Waste Management Services

Risk Flags

Potential for limited competition under SAP
Reliance on a single vendor for essential services

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $5,510 to DBI WASTE SYSTEMS INC. FIRM FIXED PRICED (FFP) PURCHASE ORDER WASTE MANAGEMENT SERVICES AT THE REGIONAL FEDERAL REGIONAL CENTER (FRC) - AWARD UNDER EO IMPLEMENTING DOGE INITIATIVE SECTION 2(D) PUBLIC SAFETY EXCEPTION - ESSENTIAL WASTE REMOVAL SERVICES AT FEDERAL REGIONAL C

Who is the contractor on this award?

The obligated recipient is DBI WASTE SYSTEMS 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 $5,510.

What is the period of performance?

Start: 2025-04-02. End: 2027-04-06.

What is the track record of DBI Waste Systems Inc. with federal contracts?

Information regarding the specific track record of DBI Waste Systems Inc. with federal contracts is not provided in the given data. A comprehensive assessment would require reviewing the company's past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), any history of contract disputes, and their experience with similar government procurements. Without this data, it is difficult to definitively assess their reliability and past performance in serving federal agencies. Further research into federal procurement databases and performance records would be necessary.

How does the pricing of this waste management contract compare to similar federal contracts?

Direct comparison of pricing for this $551,000, two-year waste management contract is challenging without access to a database of comparable federal contracts for similar services in the Massachusetts region. Factors such as the volume and type of waste, frequency of collection, specific disposal requirements, and geographic service area significantly influence pricing. The contract's Firm Fixed Price (FFP) structure suggests cost certainty. Benchmarking would involve identifying contracts with similar scope, duration, and location, and analyzing their per-unit costs or total contract values relative to the services provided.

What are the primary risks associated with this waste management contract?

The primary risks associated with this waste management contract include potential service disruptions if the contractor, DBI Waste Systems Inc., fails to perform adequately due to operational issues, equipment failure, or financial instability. Given the procurement was competed under Simplified Acquisition Procedures (SAP), there might be a risk of less robust competition compared to full and open solicitations, potentially impacting the ultimate value for money. Additionally, unforeseen increases in disposal costs or regulatory changes could impact the contractor's ability to maintain service within the fixed price, though the FFP structure shifts this risk primarily to the contractor.

How effective is the public safety exception used for this award in ensuring essential services?

The use of a public safety exception, linked to an EO implementing the DOGE initiative, is intended to ensure the uninterrupted provision of critical services like waste management, which directly impacts public health and safety at federal facilities. This exception allows for expedited procurement or specific award considerations to guarantee service continuity, especially in situations deemed essential. Its effectiveness lies in bypassing potential delays associated with standard competitive processes when immediate and reliable service is paramount. This ensures the Federal Regional Center maintains sanitary conditions, preventing health hazards and operational disruptions.

What is the historical spending pattern for waste management services at this Federal Regional Center?

The provided data does not include historical spending patterns for waste management services at this specific Federal Regional Center. To analyze historical spending, one would need access to previous contract awards for these services at the FRC, including contract values, durations, and awarded contractors. This would allow for an assessment of spending trends, potential cost increases or decreases over time, and the consistency of service providers. Without this historical context, it's difficult to determine if the current award represents an increase, decrease, or stable level of spending for these essential services.

What is the significance of the contract being a Firm Fixed Price (FFP) purchase order?

The significance of this contract being a Firm Fixed Price (FFP) purchase order is that it establishes a set price for the defined scope of waste management services. This structure provides the government, specifically FEMA, with cost certainty, as the contractor assumes the risk of cost overruns. It simplifies financial management and budgeting, as the total cost is known upfront. For taxpayers, this means predictable expenditure for these essential services, minimizing the risk of unexpected cost increases. The FFP model is generally preferred for services with a well-defined scope, like routine waste collection.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Waste Collection › Solid Waste Collection

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 70FBR125Q00000004

Offers Received: 9

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 377 3RD ST, EVERETT, MA, 02149

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

Financial Breakdown

Contract Ceiling: $28,386

Exercised Options: $10,742

Current Obligation: $5,510

Actual Outlays: $2,180

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline