Contractors should avoid procrastination when it comes to FEMA registration
A record number of declared disasters hit the United States during 2011 and kept FEMA busy throughout the year: the agency has awarded more than 13,000 contracts since January 2011, according to USASpending. These disasters have included a record number of tornadoes in Joplin, MO, an unexpected earthquake in Washington, DC, wildfires in Texas, and an active hurricane season that produced Hurricane Irene, a historic tropical system that traversed the entire East Coast.
To qualify for FEMA contracts, businesses must obtain a DUNS number, complete CCR registration, submit their ORCA, and submit a FEMA Supplier Profile. While no one likes doing paperwork, let alone tedious government paperwork, contractors may be jeopardizing their chances of getting contracts by putting off registration.
North Carolina Acting State Purchasing Officer Sam Byassee stated on the North Carolina Governor’s Office blog following the unprecedented series of tornadoes that struck his area:
“The aftermath of the recent tornadoes created an unforeseen contracting opportunity for many providers in North Carolina who provide storm recovery services.
Given the urgency of the situation, arrangements had to be handled quickly, efficiently and in accordance with sometimes complicated rules and codes.”
No matter the type of emergency, resources and manpower must be organized immediately after a disaster strikes, or even sooner if possible. When the entire vendor registration process can take a full week to complete at best, it becomes obvious that contractors who wait until the last minute to complete their registration will likely lose FEMA contracts as well.
Once the CCR registration and ORCA filing are complete, they remain valid for a full year and only need to be updated more frequently if circumstances or company details have changed. The D&B and FEMA registration should generally be updated only as necessary.
Due to the nature of FEMA’s mission, spot contract awards are also common after a disaster, as opposed to the complicated and lengthy bidding process that confuses newer and smaller companies. In a written statement issued on September 15, 2011, FEMA Associate Administrator Albert Sligh, Jr. outlined various policies and vehicles that FEMA uses to maximize utilization of local small businesses during disaster response efforts. After the series of tornadoes in “Alabama, Mississippi, Tennessee, Kentucky, and Georgia, $13,358,680 was awarded to local businesses in declared disaster counties and 90 percent of local procurement initiatives went to small businesses within those state”.
Additionally, the statement reports that according to a 2010 study by the National Federation of Independent Business, 30% of businesses are forced to close after a presidential declaration of emergency or disaster. By focusing its procurement efforts within disaster-affected communities, FEMA plays an important role in helping small businesses recover.
Although 20% of people identify themselves as chronic procrastinators according to Psychology Today, business owners should avoid delays when it comes to government contracts. Early preparation and diligence can make the difference between being awarded a contract or missing out on a once-in-a-lifetime opportunity.