Over $321M Awarded for Hurricane Helene Debris Removal in North Carolina

Contract Overview

Contract Amount: $321,374,818 ($321.4M)

Contractor: Ashbritt Inc

Awarding Agency: Department of Defense

Start Date: 2025-02-01

End Date: 2025-07-30

Contract Duration: 179 days

Daily Burn Rate: $1.8M/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: HURRICANE HELENE BUNCOMBE COUNTY WATERWAYS DEBRIS REMOVAL

Place of Performance

Location: ASHEVILLE, BUNCOMBE County, NORTH CAROLINA, 28801

State: North Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $321.4 million to ASHBRITT INC for work described as: HURRICANE HELENE BUNCOMBE COUNTY WATERWAYS DEBRIS REMOVAL Key points: 1. Contract awarded to a single vendor, Ashbritt Inc., for a significant sum. 2. The contract duration is relatively short, spanning just under six months. 3. The scope of work involves debris removal, a critical post-disaster service. 4. The contract is a firm-fixed-price type, which can help control costs. 5. The award was made under full and open competition. 6. The contract is for services in North Carolina, specifically Buncombe County.

Value Assessment

Rating: fair

The total award of over $321 million for debris removal services is substantial. Benchmarking this against similar large-scale disaster recovery contracts is challenging due to the unique nature and scale of each event. However, the firm-fixed-price structure suggests an attempt to cap costs. Without more granular data on the specific services rendered and the volume of debris, a precise value-for-money assessment is difficult, but the scale warrants careful scrutiny.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. The specific number of bidders is not provided, but the fact that it was competed openly suggests a competitive process was initiated. This approach is generally favored to ensure fair pricing and access to a broad range of qualified contractors.

Taxpayer Impact: A full and open competition aims to leverage market forces to secure the best possible pricing for taxpayers, although the ultimate cost-effectiveness depends on the bids received and the execution of the contract.

Public Impact

Residents and businesses in Buncombe County, North Carolina, will benefit from the removal of debris, facilitating recovery and restoration of services after Hurricane Helene. The services delivered include waste collection and disposal, crucial for public health and safety. The geographic impact is focused on North Carolina, specifically Buncombe County. The contract will likely involve significant local workforce engagement for debris removal operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The large contract value raises questions about potential cost overruns if not managed tightly.
Reliance on a single vendor for such a critical and large-scale operation could pose risks if performance issues arise.
The short duration for a large debris removal effort might indicate an aggressive timeline that could impact quality or safety.

Positive Signals

The firm-fixed-price contract type provides cost certainty for the government.
Awarding under full and open competition suggests a robust process to select a qualified vendor.
The contract addresses a critical need for disaster recovery in a specific region.

Sector Analysis

The debris removal sector is a critical component of disaster response and recovery, often involving specialized equipment and personnel. This contract falls under the broader 'Other Waste Collection' industry. The market for disaster recovery services can be highly variable, driven by the frequency and severity of natural disasters. Large-scale contracts like this are typically awarded to established firms with proven capabilities in emergency response.

Small Business Impact

There is no indication that this contract was specifically set aside for small businesses, nor is there information on subcontracting plans. Given the scale and specialized nature of large-scale debris removal, it is common for prime contractors to utilize their own resources or a network of pre-qualified subcontractors, which may or may not include small businesses.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and their representatives within the Department of the Army. Accountability measures would be defined in the contract terms and conditions, including performance standards and reporting requirements. Transparency is generally facilitated through contract award databases, though detailed operational oversight is internal.

Related Government Programs

FEMA Disaster Relief Fund
Army Corps of Engineers Civil Works Programs
State and Local Emergency Management Agency Contracts

Risk Flags

Large contract value
Single vendor award for critical service
Short contract duration for extensive work

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $321.4 million to ASHBRITT INC. HURRICANE HELENE BUNCOMBE COUNTY WATERWAYS DEBRIS REMOVAL

Who is the contractor on this award?

The obligated recipient is ASHBRITT INC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $321.4 million.

What is the period of performance?

Start: 2025-02-01. End: 2025-07-30.

What is the typical cost per cubic yard for debris removal in disaster zones, and how does this contract's potential cost compare?

The cost per cubic yard for debris removal can vary significantly based on the type of debris (e.g., vegetative, construction and demolition, hazardous), the location, accessibility, and the specific contract terms. While a precise per-unit cost for this contract isn't provided, industry benchmarks for large-scale disaster debris removal can range from $15 to $50 per cubic yard, sometimes higher for specialized removal or processing. Given the $321 million award over a short period, the implied volume of debris must be substantial. Without knowing the exact volume or type of debris Ashbritt Inc. is contracted to remove, a direct comparison is difficult. However, the sheer magnitude of the award suggests a significant debris management operation is anticipated.

What is Ashbritt Inc.'s track record with large-scale federal debris removal contracts, particularly post-hurricane events?

Ashbritt Inc. has a significant history of performing large-scale debris removal and management services for federal, state, and local governments, particularly in response to major hurricanes and natural disasters. They have been awarded numerous contracts by agencies like FEMA and the U.S. Army Corps of Engineers following events such as Hurricanes Katrina, Maria, Harvey, and Ian. Their experience includes managing vast quantities of debris, coordinating logistics, and ensuring compliance with environmental regulations. This extensive background suggests they possess the operational capacity and expertise required for a contract of this magnitude, though performance on any specific contract can vary.

What are the key performance indicators (KPIs) and risk mitigation strategies embedded within this contract?

While specific KPIs and risk mitigation strategies are detailed within the contract's statement of work and performance work statement (which are not publicly available in this data snippet), typical KPIs for debris removal contracts include timely removal rates, adherence to disposal site requirements, proper documentation of debris volumes, and compliance with environmental regulations. Risk mitigation strategies often involve pre-disaster planning, clear communication protocols, robust oversight by government representatives, performance bonds, and liquidated damages clauses for failure to meet performance standards. The firm-fixed-price nature of this contract also inherently shifts some cost risk to the contractor.

How does the $321 million award compare to historical federal spending on debris removal for similar-sized disaster events in North Carolina or the Southeast region?

The $321 million award is a substantial figure, placing it among the larger federal contracts for debris removal. Historical spending on similar events varies greatly depending on the scale of the disaster, the geographic area affected, and the duration of the recovery effort. For instance, major hurricanes like Katrina or Maria resulted in hundreds of millions, even billions, in debris removal costs across affected regions. While North Carolina has experienced significant hurricane impacts, an award of this magnitude for a single county, even for a major event like Hurricane Helene, suggests either a particularly severe impact on Buncombe County or a comprehensive, potentially longer-term debris management strategy being funded. Benchmarking requires comparing the volume and type of debris, duration, and specific services against past events.

What is the potential impact of a single vendor being awarded such a large contract on market competition and future pricing for similar services?

Awarding a contract of this magnitude to a single vendor, even after full and open competition, can have mixed impacts on market competition. On one hand, it demonstrates that the government sought competitive bids. On the other hand, it concentrates a significant amount of work and revenue with one company, potentially making it harder for smaller or less experienced firms to compete for future large-scale contracts if they lack the capacity or bonding required. For taxpayers, the long-term effect depends on whether this vendor's performance and pricing set a favorable precedent or if the concentration of work leads to reduced future competition and potentially higher prices in subsequent disaster events.

Industry Classification

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

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 565 E HILLSBORO BLVD, DEERFIELD BEACH, FL, 33441

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

Financial Breakdown

Contract Ceiling: $321,374,818

Exercised Options: $321,374,818

Current Obligation: $321,374,818

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W912EK22D0002

IDV Type: IDC

Timeline