Community Based Flood Insurance
Pursuant to the authority of FAR 6.302-1 The Department of Health and Human Services (DHHS), Program Support Center (PSC), Acquisition Management Services, on behalf of the of the Department of Homeland Security (DHS), Federal Emergency Management Agency (FEMA), Flood Insurance and Mitigation Administration (FIMA), intends to negotiate on a sole source basis, a cost reimbursement order under the PSC Basic Ordering Agreement (BOA) with the National Academy of Sciences, for a study on "Community Based Flood Insurance".
NAS has the unique ability to assemble the Nation's most eminent scholars and other experts, who are appointed by the President of the Academy to provide their expertise without compensation on committees and boards, which render advice and guidance of the highest quality and unparalleled objectivity to address national issues of high priority. Accordingly, NAS is uniquely qualified to provide the measure of expertise, independence, objectivity and audience acceptance necessary to meet the program requirements. NAS stands alone in its level of expertise and capacity required to complete the proposed study on the feasibility of providing community-based flood insurance.
FEMA believes that an assessment of the community based flood insurance options can best be carried out by the experts available to the NAS. FEMA has determined that the National Research Council (NRC) of the National Academy of Sciences is the only contractor capable of convening a consensus panel which would provide an appropriate, non-biased, open expert forum to discuss and assess how voluntary community based flood insurance policies may affect communities having varying economic bases, geographic locations, flood hazard characteristics or classifications, and flood management approaches. The NAS is the best option to produce this legislatively mandated report with a high degree of credibility.
As the working arm of the NAS, the NRC has extensive experience convening expert committees from a variety of fields to provide objective, credible, and scientific recommendations addressing extremely complex ethical and social policy issues, such as are the topics of this proposed study. The NRC's selection of experts draws on nationally known experts in the field, with specific consideration of the overall balance of viewpoints on the committee. Studies are undertaken by distinguished individuals selected for their extensive expertise and experience in the topics under study. The NRC can secure the participation of experts whom it invites to serve. The National Academies work is made possible by 6,000 of the world's top scientists, engineers, and other professionals who volunteer their time without compensation to serve on committees and participate in activities.
A cost reimbursement order will be negotiated and awarded under the PSC Basic Ordering Agreement with the National Academy of Sciences. The anticipated period of performance shall be for nine (9) months from date of award. Under the existing National Flood Insurance Program (NFIP) framework, the federal government, through FEMA, provides flood insurance in participating communities to cover flood-related losses and damages sustained by residential and commercial structures. Although all flood risk insured under this program is underwritten by the federal government, policies are written and serviced by private Write-Your-Own ("WYO") insurance companies. FEMA dictates minimum floodplain management standards, and also identifies flood hazards by producing Flood Insurance Rate Maps (FIRMs). Community participation in the program, and access to federally-backed flood insurance for individual property owners within that community, is voluntary and contingent upon community adoption of minimum floodplain management standards and the FIRM. Additional provisions under the program incentivize the adoption of standards and mitigation beyond the federally mandated minimums. Recent legislative changes to the NFIP require FEMA to consider other options for delivery of flood insurance to communities. Under the Community Based Insurance option, the federal government would continue to back flood insurance contracts in exchange for community adoption and enforcement of minimum floodplain management standards. The federal government would also continue to issue FIRMs and perform structure-based risk assessments. However, under this policy, communities - not the individual property owner - would be the policyholder. The single, community-wide premium would be determined by aggregating the dollar sum of all the individual risk assessments conducted on structures throughout that community. For the purposes of evaluation, it is assumed that participating communities will generally choose to distribute the cost of the premium according to an individual's assessed flood risk, and that non-CRS communities will elect to not participate in the program.
The purpose of this acquisition is to obtain the services of the National Academy of Sciences (NAS)/National Research Council (NRC) to convene a consensus panel and to provide FEMA/FIMA with a consensus report resulting from this panel's discussion on the feasibility of implementing a community-based flood insurance program under the National Flood Insurance Program (NFIP). The study report should assess options, methods, and strategies for making available voluntary community-based flood insurance policies through the NFIP. Further the report should evaluate the advisability of making available voluntary community-based flood insurance policies to communities, subdivisions of communities, and areas of residual risk. Various considerations should be taken into account including an analysis of how voluntary community-based flood insurance policies:
• Would affect communities having varying economic bases, geographic locations, flood hazard characteristics or classifications, and flood management approaches; and
• Could satisfy the applicable requirements under section 102 of the Flood Disaster Protection Act of 1973 (42 U.S.C. 4012a)
The required report will be submitted by FEMA to the Committee on Banking, Housing, and Urban Affairs of the Senate and the Committee on Financial Services of the House of Representatives. The study report shall include recommendations for:
• The best manner to incorporate voluntary community-based flood insurance policies into the National Flood Insurance Program; and
• A strategy to implement voluntary community-based flood insurance policies that would encourage communities to undertake flood mitigation activities, including the construction, reconstruction, or improvement of levees, dams, or other flood control structures.
This is not a solicitation for competitive proposals. All responsible sources that have the requisite qualifications to perform the work above may submit a statement of capabilities via e-mail to NathanJ.Wolf@fema.dhs.gov, which will be considered by the agency. The e-mail subject line must reference: FEMA-14-PSC-NAS Capability Statement Submission. Responses must be double-spaced with 1" margins on all sides and use a standard font no smaller than 12 point. The statement of capabilities must include: Cover Letter/Capabilities Statement illustrating organization's technical capabilities and expertise, as it relates to the requirements presented in this notice. The response must be sequentially numbered, beginning on the first page after the table of contents. Responses are due by September 12, 2014, 12:00 PM (NOON) Eastern Time. Responses received after the due date and time may not be considered.
A determination by the Government not to compete this requirement based upon responses to this Notice is solely within the discretion of the Government. Information received will be considered solely for the purpose of determining whether to conduct a competitive requirement.
Nathan J. Wolf, Contract Specialist, Phone 2026464082, Email nathanj.wolf@fema.dhs.gov
