Order Code RS22280
September 26, 2005
CRS Report for Congress
Received through the CRS Web
Hurricane Katrina Recovery:
Contracting Opportunities
L. Elaine Halchin
Analyst in American National Government
Government and Finance Division
Summary
Companies unfamiliar with the federal procurement process may find useful
information at several government websites, including those of the General Services
Administration (GSA) and the Small Business Administration (SBA). Usually, agency
solicitations for goods and services valued at amounts over $25,000 may be found on
the government’s Federal Business Opportunities (FedBizOpps) website. While the
U.S. Army Corps of Engineers (USACE) posted several hurricane recovery related
solicitations on FedBizOpps following Hurricane Katrina, some agencies may be posting
solicitations, and offering other types of access to contracting opportunities, on their
individual websites. Monitoring several federal government websites, instead of just
FedBizOpps, may be an effective way to track contracting opportunities related to
Hurricane Katrina recovery and reconstruction efforts. Under the Robert T. Stafford
Disaster Relief and Emergency Assistance Act, and as codified in 42 U.S.C. § 5150,
preference is to be given, in the expenditure of federal funds for major disaster or
emergency assistance activities, to private organizations, companies, and individuals
residing or doing business primarily in the affected area. However, this provision does
not guarantee that these groups and individuals will be awarded any contracts.
Overview of the Federal Procurement Process
Major Steps
After an agency has determined its requirements for particular goods or services, it
issues a solicitation, which is a “request [to interested companies] to submit offers or
quotations to the Government.”1 If the agency is using sealed bid procedures, the
solicitation is called an “invitation for bid” (IFB); for negotiated procurements, the
1 FAR Supbart 2.1. “FAR” refers to the Federal Acquisition Regulation. Rules governing the
federal procurement process are codified in the FAR, which consists of Parts 1-53 of Title 48 of
the Code of Federal Regulations (C.F.R.), and which is available at [http://www.arnet.gov/far].
Congressional Research Service ˜ The Library of Congress

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solicitation is called a “request for proposal” (RFP).2 With some exceptions, solicitations
that exceed $25,000 are posted on the Federal Business Opportunities (FedBizOpps)
website, at [http://www.fedbizopps.gov], which is the single point-of-entry for federal
government contracting opportunities.3 Posting solicitations on this website is consistent
with, and supports the federal government’s policy of, full and open competition, which
means that “all responsible sources are permitted to compete.”4
Businesses interested in competing for the opportunity to be awarded a contract
prepare their proposals according to, at a minimum, information and instructions provided
in the solicitation and the Federal Acquisition Regulation (FAR).5 In addition to
identifying the procuring agency, a solicitation describes the services or items to be
purchased, identifies the evaluation factors that will be used in selecting a source,
stipulates the format and contents of proposals, references applicable contract clauses, and
provides a due date for the submission of offers.6 Agency officials review and evaluate
bids and proposals, select one or more contractors to do the work, and award the
contract(s). After a contractor has begun work, agency personnel then administer and
monitor the contract.
Other Than Full and Open Competition
Several key characteristics of this process change when an agency conducts a
procurement under other than full and open competition, which is popularly referred to
as “sole source” or “no bid” contracting.” Notably, instead of posting a solicitation on
the FedBizOpps website, agency personnel provide the solicitation to one or more
companies that they believe are capable of meeting the agency’s requirements. Other than
full and open competition is permitted under the following, as quoted from the FAR.
Only one responsible source and no other supplies or services will satisfy agency
requirements.
When the supplies or services required by the agency are available
from only one responsible source, or, for DOD, NASA, and the Coast Guard, from
only one or a limited number of responsible sources, and no other type of supplies or
services will satisfy agency requirements.
Unusual and compelling urgency. When the agency’s need for the supplies or
services is of such an unusual and compelling urgency that the Government would be
2 See FAR Part 14 (sealed bidding) and Part 15 (negotiated contracting).
3 Contracting officers are required to publicize contract actions (for example, solicitations), and
contract actions in amounts exceeding $25,000 are to be publicized on the FedBizOpps website.
(FAR §§ 5.002, 5.003, 5.101(a), and 5.102(a)(1).) However, exceptions to this requirement exist.
For example, a contracting officer does not have to submit the notice of a contracting action to
FedBizOpps when it involves other than full and open competition and the rationale is an unusual
and compelling urgency. (FAR § 5.202(2)(2).)
4 41 U.S.C. § 253; FAR Subparts 2.1 and 6.1.
5 While the solicitation and the FAR are the primary sources of information, other applicable
documents might include, for example, the agency’s supplement to the FAR.
6 An offeror is a business that submits a bid or a proposal (that is, an offer) in response to a
solicitation.

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seriously injured unless the agency is permitted to limit the number of sources from
which it solicits bids or proposals, full and open competition need not be provided for.
Industrial mobilization; engineering, developmental, or research capability; or
expert services.
Full and open competition need not be provided for when it is
necessary to award the contract to a particular source or sources in order to maintain
a facility, producer, manufacturer, or other supplier ... to establish or maintain an
essential engineering, research or development capability ... [or] to acquire the
services of an expert or neutral person for any current or anticipated litigation or
dispute.
International agreement. Full and open competition need not be provided for when
precluded by the terms of an international agreement or a treaty between the United
States and a foreign government or international organization, or the written directions
of a foreign government reimbursing the agency for the cost of the acquisition of the
supplies or services for such government.
Authorized or required by statute. Full and open competition need not be provided
for when a statute expressly authorizes or requires that the acquisition be made
through another agency or from a specified source; or the agency’s need is for a brand
name commercial item for authorized resale.
National security. Full and open competition need not be provided for when the
disclosure of the agency’s needs would compromise the national security unless the
agency is permitted to limit the number of sources from which it solicits bids or
proposals.
Public interest. Full and open competition need not be provided for when the agency
head determines that it is not in the public interest in the particular acquisition
concerned.7
A contracting officer is required to justify, in writing, other than full and open competition
actions, certify the accuracy and completeness of the justification, and obtain approval
from the appropriate agency authority.8 When not providing for full and open
competition, a contracting officer, nevertheless, is to solicit offers “from as many potential
sources as is practicable under the circumstances.”9 In practice, this may mean that a
contracting officer contacts a small number of companies, or possibly only one, when
seeking a firm that can meet an agency’s particular requirements.
Information from federal agencies and the news media indicates that, at least
initially, federal agencies involved in Katrina recovery efforts have resorted to other than
7 FAR §§ 6.302-1- 6.302-7. Statutory authority for other than full and open competition is found
in 41 U.S.C. 253(c) (civilian agencies) and 10 U.S.C. 2304 (Department of Defense).
8 FAR § 6.303-1(a).
9 FAR § 6.301(d).

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full and open competition for some contracts.10 It is not known to CRS which rationale
or rationales are being used to justify other than full and open competition.
Resources
General Information on Federal Government Contracting
Both the General Services Administration (GSA) and the Small Business
Administration (SBA) provide information and offer assistance to firms seeking to do
business with the federal government. The websites for these agencies,
[http://www.gsa.gov] and [http://www.sba.gov], provide information useful to small
businesses. For example, a link from the GSA home page is “Small Business
Assistance.” An additional website that offers information for would-be government
contractors is Business.gov, at [http://www.business.gov], which is a component of the
federal government’s official web portal, FirstGov.

Finding Contracting Opportunities Related
to Recovery and Reconstruction Efforts

As federal agencies continue to respond to immediate needs and deal with the
challenges of a massive contracting effort aimed at rebuilding the affected area, the
location and extent of information about contracting opportunities may vary from agency
to agency. While some agencies are using FedBizOpps to post their solicitations, others
are not and may not for some time. Therefore, finding relevant contracting opportunities
may necessitate visiting selected agency websites as well as FedBizOpps.
Department of Homeland Security (DHS) and Federal Emergency
Management Agency (FEMA). The Department of Homeland Security maintains a
National Emergency Resource Registry, at [https://www.swern.gov/]. Companies
interested in contracting opportunities or making donations related to the recovery from
Hurricane Katrina may register on this site. FEMA’s website, “Doing Business with
FEMA,” at [http://www.fema.gov/ofm/business.shtm], provides information to would-be
vendors. At this time, it is unclear whether FEMA is accepting information directly from
businesses that would like to do work for the agency.
10 U.S. Army Corps of Engineers, “Debris Removal Contracts Awarded for Hurricane Recovery
E f f o r t s , ” n e w s r e l e a s e , P A - 0 5 - 1 0 , S e p t . 1 5 , 2 0 0 5 , a v a i l a b l e a t
[http://www.hq.usace.army.mil/cepa/releases/Katrinacontracts.htm]; U.S. Army Corps of
Engineers, “Hurricane Katrina Consolidated Contract Listing 9/16/05,” available at
[http://www.usace.army.mil/KatrinaRpt9_12HAC.pdf]; Leslie Wayne, “Cruise Ships, Spurned
by Evacuees, Are Home to Displaced City Workers and Families,” New York Times, Sept. 16,
2005, available at [http://www.nytimes.com/2005/09/16 /national/nationalspecial/16cruise.html];
Federal Emergency Management Agency, “FEMA Contracts to Provide Housing Relief for
Displaced Hurricane Victims,” news release, HQ-05-228, Sept. 8, 2005, available at
[http://www.fema.gov/news/newsrelease.fema?id=18708]; Kimberly Palmer, “Relief Efforts
Spawn Quick Contracts,” Government Executive, Daily Briefing, Sept. 8, 2005, available at
[http://www.govexec.com/dailyfed/0905/090805k1.htm].

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FedBizOpps Website. For the time being, agencies involved in recovery efforts
apparently may not be submitting solicitations to FedBizOpps. A message on the website
states: “Due to the immediacy of emergency [contracting] opportunities, it is unlikely that
opportunities dealing with the hurricane will be advertised through the FedBizOpps
system.”11 Nevertheless, the FedBizOpps “Hurricane Katrina Emergency Contracting
Information” page suggests what terms to use (for example, “Florida,” “Hurricane
Katrina,” and “disaster”) when searching the site for these types of contracting
opportunities.12 Also included on this page are links to several federal agency and state
websites. As recovery and reconstruction efforts continue, and as federal, state, and local
governments are able to develop long-term plans for the affected area, it seems likely that,
except for solicitations issued under other than full and open competition, solicitations
related to reconstruction efforts will be posted on the FedBizOpps website. For example,
a search of the FedBizOpps website in mid-September led to two hurricane recovery-
related solicitations that had been issued by the U.S. Army Corps of Engineers.
GSA’s “Katrina Support” E-Mail Address. A business seeking consideration
as a potential source of supplies, equipment, or services to support the hurricane recovery
effort may e-mail GSA via Katrinasupport@gsa.gov, including the information below:
! company name and address;
! person to contact, including business and home telephone numbers, cell
phone number, fax number, e-mail address, and company website
address; and
! succinct description of supplies, services, or equipment the company
offers.
GSA will forward this information to federal contracting officers in multiple agencies
who are involved in the recovery effort. Providing the information, however, does not
guarantee that GSA or any other federal agency will award a contract to the vendor.13
GSA Supply Schedules. GSA has noted that contracting officers working on the
recovery effort are using the following GSA schedules (and possibly others as well): GSA
e-Library, GSA Advantage!, and GSA e-Buy.14 Some categories of items offered on the
GSA Advantage! schedule are industrial pumps and compressors; building construction,
support, maintenance, and repair services; structural building products; security and
control equipment; and refuse disposal and treatment. By selecting the link “How to Get
on Schedule” on the GSA website at [http://www.gsa.gov], companies will find guidance
11 Federal Business Opportunities, “Hurricane Katrina Emergency Contracting Information,”
available at [http://www.fedbizopps.gov/katrina.html].
12 Ibid.
13 General Services Administration, “Office of Marketing, Hurricane Katrina Recovery Vendor
Information,” available at [http://www.gsa.gov].
14 Schedules are lists of goods and services offered by vendors for purchase by all federal entities
and other authorized users. GSA (and certain other agencies) establish and maintain various
schedules. Schedules may also be referred to as “multiple award schedules” (MAS), meaning
that the procuring agency (for example, GSA) awarded contracts to more than one vendor
pursuant to a solicitation.

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on how to get their products and services listed on the appropriate GSA schedule(s).
Initial steps involve identifying applicable GSA-issued solicitations (accessible from the
GSA website), and drafting and submitting a proposal or a bid in response to the
appropriate solicitations.
State and Local Governments. Other contracting opportunities may be found
on state and local government websites. Links to state emergency management agency
websites may be found on the FedBizOpps “Hurricane Katrina Emergency Contracting
Information” page, at [http://www.fedbizopps.gov/katrina.html]. Interested parties should
visit the state websites to determine what contracting opportunities, if any, are available,
and to learn about state government contracting procedures.
U.S. Army Corps of Engineers (USACE). USACE has placed Hurricane
Katrina contracting information on its website, at [http://www.lrl.usace.army.mil/
DisasterEquip/]. Links to subcontracting opportunities may be found at
[http://www.lrl.usace.army.mil/DisasterEquip/contractor.htm]. Additionally, the website
features a function where businesses interested in competing for federal contracts may
register. While registering with USACE does not guarantee that a company will receive
a contract, the site notes that “if a request exists for services or commodities that you
provide, the USACE will make every attempt to solicit your information.”15
Preference for Local Firms and Individuals
While there is no guarantee that, following a major disaster or emergency, recovery
and reconstruction work will be awarded to businesses, organizations, and individuals
affected by the disaster or incident, a provision of the Robert T. Stafford Disaster Relief
and Emergency Assistance Act (P.L. 93-288; 42 U.S.C. §§ 5121-5206) directs that
preference be given, “to the extent feasible and practicable,” to businesses and individuals
from the affected areas.16
Conclusion
Depending on the condition and needs of local cities in the affected area and the pace
of recovery, the federal government’s contracting efforts might continue to include sole
source contracting, in addition to full and open competition, for the foreseeable future.
These factors also might continue to affect agencies’ use of FedBizOpps for some time.
Monitoring several relevant federal government websites possibly could increase the
chance of finding solicitations applicable to a particular company or industry.
15 U.S. Army Corps of Engineers, Vicksburg District, “Hurricane Katrina Support,” available at
[http://www.mvk.usace.army.mil/offices/contract/Katrina/ContractorRegister.php].
16 42 U.S.C. § 5150.