FEMA Plans Set-Asides for Hurricane Recovery The Federal Emergency Management Agency says it will set aside 15 hurricane recovery contracts worth up to $100 million each for small businesses and 8(a) firms, with a preference for companies in the Gulf Coast region. Following heavy congressional criticism of its use of sole-source contracts and large national corporations in the aftermath of Hurricane Katrina, FEMA promised more opportunities for local and minority firms. But in the past month the proportion of work going to minority businesses has barely increased, from 1.5 percent to 1.8 percent of the $3.1 billion awarded, the Associated Press reported. At a Nov. 8 hearing before the Sen ate Small Business Committee, Rep. Bennie Thompson (D-MS) said contracts for hurricane relief should meet the 23% governmentwide small business goal. “I am from Mississippi and I know sharecropping when I see it,” Thompson said in written testimony. The five-year set-aside contracts will be for maintenance and support of temporary housing. Eight will be awarded to 8(a) companies and seven to other small businesses, FEMA said. The RFPs were due to be released by Nov. 18 at www.rebuildingthegulfcoast.gov. Awards are anticipated by Feb. 1. Each indefinite delivery, indefinite quantity contract will cover maintenance and deactivation of roughly 6,700 housing units. SBA has expanded its security bond guarantees for companies working on hurricane recovery. Normally the guarantees are available only to companies with annual receipts of $6 million or less. Under an interim rule published Nov. 14, SBA said guarantees will be available for companies who qualify as small under its size standards – annual receipts of $28.5 million in the case of many construction categories. This new standard applies only to construction and service businesses working on contracts in the hurricane disaster areas.