Department of Homeland Security

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FEMA's Sourcing for Disaster Response Goods & Services
 

OIG-09-96 August 2009

Table of Contents/Abbreviations 

Table of Contents 

Executive Summary.............................................................................................................1
 

Background..........................................................................................................................2 

Multiple Mechanisms Available for Sourcing................................................................ 3 

Advantages and Disadvantages of Each Sourcing Mechanism ...................................... 8 

Results of Audit .................................................................................................................10 

FEMA’s Sourcing Process............................................................................................ 10 

Multiple Mechanisms Used to Source Selected Goods and Services........................... 14 

Single-Point Ordering ................................................................................................... 15 

Internal and External Pressure Impacts Sourcing Decisions ........................................ 19 

Conclusion .................................................................................................................... 20 

Recommendations......................................................................................................... 21 

Management Comments and OIG Analysis ................................................................. 21 

Appendices 

Appendix A: Purpose, Scope and Methodology 

Appendix B: Management Comments to the Draft Report 

Appendix C: Selected Information Technology Systems Used in the Sourcing Process 

Appendix D: NRF Emergency Support Functions 

Appendix E: List of Related Reports

 Appendix F: Major Contributors to this Report 

Appendix G: Report Distribution 
 

 

Table of Contents/Abbreviations 

Abbreviations 

ARF Action Request Form 

DHS Department of Homeland Security 

DLA Defense Logistics Agency 

EMAC Emergency Management Assistance Compact 

ESF Emergency Support Function 

FAR Federal Acquisition Regulation 

FEMA Federal Emergency Management Agency 

GAO Government Accountability Office 

GSA General Services Administration 

IAA Interagency Agreement 

ICS Incident Command System 

IFMIS Integrated Financial Management Information System 

IT Information Technology 

JFO Joint Field Office 

LIMS Logistics Information Management System III 

MA Mission Assignment 

MOA Memorandum of Agreement 

MOU Memorandum of Understanding 

NRCC National Response Coordination Center 

NRF National Response Framework 

NIMS National Incident Management System 

OIG Office of Inspector General 

PSMA Pre-Scripted Mission Assignments 

RRCC Regional Response Coordination Center 

USACE U.S. Army Corps of Engineers 

USDA U.S. Department of Agriculture 
FEMA’s Sourcing for Disaster Response Goods and Services
 

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OIG
 Department of Homeland Security 

Office of Inspector General 

Executive Summary 

When disaster strikes, the Federal Emergency Management Agency 

(FEMA) must be prepared to quickly provide goods and services to help 

state and local governments respond to the disaster. These resources can 

range from water and meals to tarps and blankets. Goods and services can 

be provided directly by FEMA, by another federal agency under direction 

from FEMA, or by the private sector through a contract with FEMA or 

another federal agency. 

FEMA has four primary sourcing mechanisms available to use in 

responding to a disaster: (1) warehoused goods; (2) mission assignments; 

(3) interagency agreements; and (4) contracts. FEMA needs to develop a 

clear, overarching strategy that guides decision making on which of these 

sourcing mechanisms to use to meet a particular need. 

FEMA’s disaster sourcing decisions are process driven and not compliant 

with the National Incident Management System. Decision making follows 

a linear process that is stove-piped within the Joint Field Office and 

among various levels of FEMA. This approach does not allow FEMA to 

centralize disaster sourcing decision making and limits its ability to: 

•	 Implement an overarching sourcing strategy; 

•	 Minimize unnecessary duplication; 

•	 Take advantage of resource ordering efficiencies; and 

•	 Create transparency and maintain visibility over the entire 

resource ordering process. 

Operational procedures that guide FEMA’s disaster response call for a 

single-point ordering concept to provide goods and services efficiently and 

effectively, while minimizing the risk of duplication and waste. However, 

implementation of this concept has been limited owing to existing 

stovepipes, overreliance on the existing sourcing process, and poor 

integration of information technology systems. 

We recommend that FEMA adopt the single-point ordering concept and 

invest in the necessary information technology systems to make sourcing 

and supply movement transparent. 
 

 

Background 

The Federal Emergency Management Agency’s (FEMA) primary mission 

is to reduce the loss of life and property and protect the Nation from all 

hazards, including natural disasters, acts of terrorism, and other manmade 

disasters, by leading and supporting the Nation in a risk-based, 

comprehensive emergency management system of preparedness, 

protection, response, recovery, and mitigation. 

When an emergency or disaster occurs, current doctrine dictates that 

government agencies and organizations most local to the situation act as 

first responders. When state and local governments become overwhelmed 

by the size or scope of the disaster, state officials may request assistance 

from the federal government. 

A member of the Texas Forest Service moves a batch of meals ready to eat (MRE) in a 

warehouse in Tyler, TX. Photo by Patsy Lynch/FEMA. 

In large emergencies or disasters, FEMA can provide goods and services, 

such as food, water, ice, tarps, generators, search and rescue teams, 

sheltering, and evacuation assistance. 

When Hurricane Gustav, and later Hurricane Ike, threatened the Gulf 

Coast, FEMA prepared to assist the affected states and to provide goods 

and services necessary to alleviate the impacts of these hurricanes. Table 

1 illustrates some of the assets that were deployed to Texas in anticipation 

of Hurricane Gustav. 

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Table 1. Examples of Assets Deployed for Hurricane Gustav 

Asset Quantity 

Emergency Meals 855,760 

Comfort / Hygiene Kits 100,000 

Blankets 41,000 

Cots 16,600 

Liters of Water 17,000 

Medical Care Beds Staffed by 12 Teams 3,360 

Specialty Medical Response Teams 10 

Urban Search and Rescue Teams 9 

Source: OIG, based on information provided by FEMA 

We performed an audit of FEMA’s sourcing for disaster goods and 

services in response to hurricanes Gustav and Ike, which struck the Gulf 

Coast in September 2008. We focused on six common goods and 

services: water, ice, emergency meals, tarps, generators, and pet/animal 

services. We limited our audit to goods and services provided to assist 

Texas in responding to hurricanes Gustav and Ike. We examined FEMA’s 

use of its primary sourcing mechanisms,1

 discussed below, each of which 

has different associated procedures, costs, and risks. Our objective was to 

assess FEMA’s decisionmaking strategy for choosing which sourcing 

mechanism to use for different goods and services. (See Appendix A.) 

Multiple Mechanisms Available for Sourcing 

FEMA has four primary sourcing mechanisms available for providing 

disaster response goods and services: (1) warehoused goods; (2) mission 

assignments; (3) interagency agreements; and (4) contracts. 

Warehoused Goods 

FEMA maintains an inventory of goods that might be needed in a disaster. 

These goods are currently warehoused at nine distribution centers: six in 

the continental United States and an additional three in Guam, Hawaii and 

Puerto Rico. (See Figure 1.) 

1

 FEMA also uses government purchase cards for individual purchases. We did not examine purchase cards as a 

sourcing mechanism because they are generally designed for small individual purchases that do not exceed the 

simplified acquisition threshold of $250,000. We are conducting a separate audit of FEMA’s use of purchase cards 

and plan to issue a report in 2010. 

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 Disaster Information System

Clearinghouse (DISC)

 

-

 Frederick 

Moffett Field 

Cumberland

Winchester 

Atlanta 

Ft. Worth 

 Pacific – Hawaii 

- Pacific – Guam Caribbean – Puerto Rico 

 

Figure 1. FEMA Distribution Centers 

Source: OIG, based on information provided by FEMA 

Most of the distribution centers store commonly needed disaster resources 

such as cots, blankets, emergency meals, bottled water, emergency 

generators, hygiene kits, plastic sheeting (roofing), and tarps. An 

inventory list dated July 7, 2008, contained thousands of items, including 

many commodities typically needed in the wake of a disaster, from those 

listed above to filing cabinets, desk lamps, pry bars, and jumper cables. 

Table 2 shows additional examples of goods that FEMA had on hand 

during the 2008 hurricane season 

Table 2. Examples of FEMA’s Warehoused Goods in 

Place During the 2008 Hurricane Season 

Disposable diapers Ladders 

Earthquake supply kits Lanterns 

First aid kits Pet carriers 

Flashlights Plastic sheeting 

Folding cots Portable commodes 

Gas cans Tents 

Emergency meals Wheelchairs 

Source: OIG, based on information provided by FEMA 

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In anticipation of a disaster, FEMA may begin moving disaster 

commodities from distribution centers to pre-positioning sites, referred to 

as Incident Support Bases or staging areas, near the potentially impacted 

area. By pre-positioning goods for anticipated needs, FEMA can rapidly 

move resources into an affected area post-disaster. Generally, FEMA will 

pre-position enough resources to last for approximately 3 days, thereby 

providing time to assess actual needs and bring in additional resources 

from the distribution centers or by using other sourcing mechanisms. 

Mission Assignments 

A mission assignment is a work order issued by FEMA to another federal 

agency that directs the completion of a specific task to meet urgent, 

immediate, and short-term needs. The assigned federal agency must 

complete the mission assignment within 60 days after the declaration, 

unless FEMA extends the authorized performance period. 

To expedite the delivery of federal assistance, FEMA developed 236 PreScripted Mission Assignments (PSMA) with 29 federal agencies prior to 

the 2008 hurricane season. These PSMAs include statements of work and 

cost estimates that are prepared prior to a disaster and can be modified and 

placed in the FEMA mission assignment form to meet event-specific 

needs. 

Although FEMA had developed some PSMAs prior to Hurricane Katrina, 

Section 653 of the Post-Katrina Emergency Management Reform Act of 

20062 (Post-Katrina Reform Act) required the FEMA Administrator, in 

coordination with federal agencies with responsibilities under the National 

Response Plan,3 to develop PSMAs to address logistics, communications, 

mass care, health services, and public safety activities, in order to expedite 

the delivery of federal disaster assistance. Table 3 provides examples of 

PSMAs that were developed by the time hurricanes Gustav and Ike struck. 

2

 Public Law 109-295, Department of Homeland Security Appropriations Act of 2007, Title VI – National 

Emergency Management. 

3

 The National Response Plan was replaced by the National Response Framework, effective March 22, 2008. 

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Table 3. Examples of PSMAs in Place During the 2008 

Hurricane Season 

Agency Description of Work 

Environmental Protection 

Agency 

Conduct oil and hazardous materials 

field operations 

Federal Protective Service Contract security officers 

National Geospatial 

Intelligence Agency 

Support FEMA urban search and 

rescue operations 

National Park Service Support FEMA search and rescue 

disaster removal operations 

U.S. Army Corps of 

Engineers 

Oversight of state and/or local 

entities’ debris operations 

U.S. Army Corps of 

Engineers 

Planning and preparation for 

temporary roofing 

U.S. Coast Guard Mobile communication teams 

U.S. Department of 

Agriculture 

Personnel to control the spread of 

animal disease agents 

U.S. Department of 

Defense 

Aircraft and personnel to support 

medical patient evacuation 

U.S. Department of 

Health and Human 

Services 

Medical evacuation of patients 

U.S. Forest Service Emergency road clearing 

Source: OIG, based on information provided by FEMA 

Interagency Agreements 

An interagency agreement (IAA) is another mechanism FEMA uses to 

obtain supplies or services from another federal agency.4 These 

agreements can be used for both emergency response and long-term needs. 

Pre-disaster IAAs are developed before an actual event and then activated 

as needed. 

FEMA also uses IAAs to access contracts held by other federal agencies. 

For example, FEMA has IAAs in place with the Defense Logistics Agency 

(DLA) and the General Services Administration (GSA) for a number of 

items, including water and emergency meals. These agreements allow 

FEMA to request certain goods or services from these agencies; then the 

agencies use their own sourcing mechanisms, including contracts they 

have in place, to provide the requested resources. Table 4 provides 

4

 IAAs include Memorandums of Understanding (MOU) and Memorandums of Agreement (MOA). An IAA within 

the same department is known as an intra-agency agreement. For example, FEMA’s agreement with the U.S. Coast 

Guard, another DHS component, to patrol waterways is an intra-agency agreement. 

FEMA’s Sourcing for Disaster Response Goods and Services
 

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examples of IAAs that FEMA had in place during the 2008 hurricane 

season. 

Table 4. Examples of IAAs in Place During the 2008 

Hurricane Season 

Agency Good/Service 

Defense Logistics Agency Emergency meals 

Federal Bureau of 

Investigation 

Fingerprint processing 

Federal Protective Service Guard services 

General Services 

Administration 

Contract support for information 

systems operations 

General Services 

Administration 

Water 

Immigration and Customs 

Enforcement 

Transportation of the FEMA 

Administrator 

U.S. Coast Guard Oversight of debris removal from 

navigable waterways 

U.S. Department of 

Housing and Urban 

Development 

Disaster Housing Assistance 

Program 

Source: OIG, based on information provided by FEMA 

Contracts 

A contract is another means available to FEMA for obtaining goods and 

services. FEMA’s contracting is regulated by the Federal Acquisition 

Regulation (FAR), which permits certain exceptions in emergency 

situations, as outlined in FAR Part 18-Emergency Acquisitions. 

The DHS OIG, the President’s Council on Integrity and 

Efficiency/Executive Council on Integrity and Efficiency,5

 and the 

Government Accountability Office (GAO) all reported in the wake of 

Hurricane Katrina that FEMA’s contracting suffered from poor predisaster planning and preparation.6 

In response to this shortcoming, Section 691 of the Post-Katrina Reform 

Act required FEMA to identify “recurring disaster response requirements, 

5

 The Inspector General Reform Act of 2008 (Public Law 110-409) combined these two councils into the Council of 

the Inspectors General on Integrity and Efficiency. 

6

 See, for example, Department of Homeland Security Office of Inspector General, Hurricane Katrina Temporary
 

Housing Technical Assistance Contracts (OIG-08-88), August 2008; President’s Council on Integrity and
 

Efficiency/Executive Council on Integrity and Efficiency, PCIE ECIE Oversight of Gulf Coast Hurricane Recovery:
 

A Semiannual Report to Congress, October 2006; Government Accountability Office, Hurricane Katrina: 

Improving Federal Contracting Practices in Disaster Recovery Operations (GAO-06-714T), May 4, 2006. 

FEMA’s Sourcing for Disaster Response Goods and Services
 

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including specific goods and services, for which the Agency is capable of 

contracting for in advance of a natural disaster or act of terrorism or other 

man-made disaster in a cost effective manner” and “a contracting strategy 

that maximizes the use of advance contracts to the extent practical and 

cost-effective.” 

As of July 10, 2008, FEMA reported having 44 advance contracts in place 

for disaster response. FEMA assessed suitability for advanced contracting 

using such factors as inventory carrying costs; length of shelf life; storage 

and handling considerations; and availability of pre-positioned material, as 

well as contracts held by federal partners. Table 5 contains examples of 

services for which FEMA had developed advance contracts prior to the 

2008 hurricane season. 

Table 5. Examples of Advance Contracts in Place During 

the 2008 Hurricane Season 

Type of Service 

Ambulance services 

Base camp support 

Disaster legal services 

Evacuation planning and operational support 

Generator maintenance 

Hotel authorization (intake management) for disaster victims 

Housing inspection services 

Maintenance of disaster housing 

Temporary housing support 

Source: OIG, based on information provided by FEMA 

FEMA stated in its report to Congress that it had identified 13 categories 

of goods and 9 categories of services that would be appropriate for predisaster contracting.7

 While pre-disaster contracts were in place for the 

services listed above, no contracts were in place for goods as of July 10, 

2008. 

Advantages and Disadvantages of Each Sourcing Mechanism 

Each sourcing mechanism has advantages and disadvantages. For 

example, a primary advantage of maintaining goods in warehouses is that 

these goods are immediately available to FEMA. The disadvantage is that 

most stocked goods have a shelf life and, in quiet disaster seasons, goods 

may expire. FEMA tries to counterbalance this problem by having a 

centralized warehouse disbursement system, so that goods with a limited 

shelf life are sent out to the next disaster, with less regard for physical 

7

 This report was required in Section 691 of the Post-Katrina Reform Act. 

FEMA’s Sourcing for Disaster Response Goods and Services
 

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storage location. FEMA also performs a feasibility review of goods that 

are within 6 months of their expiration date. If no immediate need is 

determined, goods might be disposed of through GSA or donated to a 

federal, state, or local partner, or to charity. 

Mission Assignments 

Mission assignments allow FEMA to quickly task federal partners to 

provide critical resources, services or expertise. This allows FEMA to 

focus on its own mission without having to develop expertise in a number 

of fields already available from other federal agencies. However, FEMA 

must ensure that disaster relief funds are used appropriately and are not 

used by another federal agency to augment its regular appropriations. 

Some FEMA officials told us that mission assigned activities are not 

always closely monitored by FEMA. As a result, mission assigned 

agencies might inappropriately bill FEMA for activities outside the scope 

of the mission assignment. 

Interagency Agreements 

IAAs offer important benefits, including access to pre-qualified sources, 

the ability to leverage resources, and access to a broad range of goods and 

services using streamlined procedures that permit rapid response. Because 

the task becomes the responsibility of another federal agency, however, 

there is some loss of visibility on FEMA’s part. Additionally, when 

FEMA uses IAAs to access contracts let by another agency, that agency 

generally charges FEMA a fee. FEMA acquisition officials said that in 

some cases, they believe it would be more cost effective to use FEMA 

contracts. 

Contracts 

Contracts in place before a disaster might speed the delivery of assistance 

and result in a better negotiated price than would be possible in the midst 

of disaster response. A disadvantage is that advance contracts for services 

often require a guaranteed minimum amount, or standby fee, that must be 

paid to the vendor whether or not the contract is ever used. FEMA 

officials said they find it difficult to obtain funds for standby fees, and 

they are sometimes criticized for wasting funds when an advance contract 

is never activated because of a quiet disaster season. 

FEMA’s Sourcing for Disaster Response Goods and Services
 

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Results of Audit 

FEMA’s Sourcing Process 

FEMA does not have an overarching, agency-wide strategy or policy for 

disaster sourcing. However, as discussed below, each directorate/sectio n 

involved in sourcing does have processes in place. 

Emergency management doctrine calls for response to begin at the local 

level. Therefore, local jurisdictions usually attempt to fulfill needs 

themselves, from existing resources, mutual aid agreements,8 or by 

contracting with the private sector. If the disaster is beyond its 

capabilities, a local jurisdiction may request assistance from the county or 

state government. When the state receives a request for assistance from a 

local government, it attempts to address the request using existing or 

commercial resources, or through the Emergency Management Assist ance 

Compact (EMAC)9 or other mutual aid agreement. If the state cannot 

fulfill the need, the state’s governor can request federal assistance. 

Federal assistance is authorized by the Robert T. Stafford Disaster Relief 

and Emergency Assistance Act (Stafford Act). Stafford Act assistance is 

available from FEMA if the President determines that an event is of 

sufficient severity and magnitude to warrant an emergency or major 

disaster declaration under this Act and that supplementary federal 

assistance is warranted to alleviate the damages or hardship. When federal 

assistance is approved, FEMA uses its sourcing mechanisms to provide 

requested goods and services. 

During disaster response, sourcing decision makers do not always follow 

the same script. Under FEMA’s current approach, the Operations Section 

Chief is the initial primary decision maker. Because of the importance of 

the mission and exigency of operations, Operations Section Chiefs often 

use the sourcing mechanisms with which they are most comfortable and 

that they perceive as having been most successful in their past experience . 

Figure 2 illustrates the general process FEMA uses to decide the sourcing 

mechanism to be used to meet a particular need. This figure represents 

sourcing as it takes place once a Joint Field Office (JFO) has been 

established.10 

8

 Mutual aid can be provided locality to locality, such as when one county’s fire department helps another county 

respond to a large fire, or state to state, such as when one state’s National Guard troops assist in another state. 

9

 Mutual aid responses are usually facilitated through the EMAC. EMAC provides the legal foundation for one state 

providing assistance to another through a mutual aid agreement and addresses issues such as cost reimbursement, 

workers’ compensation, and liability coverage for responders. 

10 For a no-notice event, such as an earthquake, the National Response Coordination Center (NRCC), located at 

FEMA Headquarters, would be the first line in sourcing decisions. 

FEMA’s Sourcing for Disaster Response Goods and Services
 

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The state submits an 

Action Request Form 

(ARF) to FEMA 

FEMA logs the ARF into 

the Action Tracking 

System and forwards it 

onto the Operations 

Section Chief to 

determine eligibility 

No 

Interagency Agreements or Contracts 

Coordinates with other federal agencies and/or 

federal contracting officials to obtain needed 

goods and services 

Mission Assignments (MA) 

Coordinates with ESFs and other federal 

agencies to obtain goods and services via 

mission assignments 

Decision Point 1: 

FEMA’s Operations Chief 

determines eligibility

 Logistics processes 

e-Tasker to direct 

FEMA assets from 

distribution centers 

Request is 

not eligible,

 state notified 

Request is eligible 

Decision Point 2: 

FEMA’s Operations Chief 

determines whether request 

can be met by FEMA 

through warehoused 

goods 

Yes 

Decision Point 3: 

FEMA’s Operations Chief 

evaluates the sourcing 

options or mechanisms 

Decision Point 4: 

If a MA is not used, FEMA’s 

Logistic Chief determines the 

sourcing methods* 

* If the request cannot be met by an 

interagency agreement or contract, the 

Logistics Section Chief will refer the request 

back to the Operations Section Chief 

Referral made 

to Logistics 

Responsible JFO Section Chiefs 

Operations Section Logistics Section Finance/Administration Section 

Source: OIG, based on information provided by FEMA 

Figure 2. FEMA’s Sourcing Process 

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The sourcing process begins when a state submits a resource request to 

FEMA via an Action Request Form (ARF).11 This can occur at multiple 

FEMA coordination response locations, but commonly the Regional 

Response Coordination Center (RRCC) handles requests from the state 

until a JFO is operational. 

FEMA enters the ARF information into the Action Tracking System, 

which is intended to track the request to disposition.12 

Decision Point 1: Once the resource request is entered into the Action 

Tracking System, the Operations Section Chief reviews the request to 

determine if the requirement is (1) clearly stated, (2) eligible for federal 

assistance, (3) beyond state and local capability, and (4) not the statutory 

authority of another federal agency. If these criteria are not met, the 

Operations Section Chief will return the ARF to the state.13 If these 

criteria are met, the request will be evaluated to determine if the 

requirement can be filled through FEMA’s warehoused goods. 

Decision Point 2: If the request can be met with warehoused goods, the 

FEMA Logistics Section will direct FEMA assets from the distribution 

centers to a location closer to the disaster. Based on distribution center 

inventory information, FEMA can determine whether adequate 

warehoused resources are available. FEMA officials stated that requests 

for commodities such as water and meals are automatically forwarded to 

the Logistics Section to be supplied by FEMA’s distribution centers. 

If the need cannot be met through FEMA warehoused goods, then FEMA 

uses other mechanisms to address the request. The Operations Section 

Chief meets with FEMA’s federal partners to ascertain whether the good 

or service would be available by mission assignment. 

Decision Point 3: The Operations Section Chief may decide to address the 

requirement by mission assignment and coordinates with the appropriate 

Emergency Support Function (ESF) or other federal agency to develop a 

scope of work and cost estimate.14 FEMA officials cite three primary 

reasons for using mission assignments: 

1.	 The requirement is time-sensitive and normally involves health 

and safety issues. 

11 Other federal agencies can also make requests to FEMA using the ARF. For illustration purposes we limit our
 

discussion to disaster requests from states. 12 See Appendix C for descriptions of information technology systems used in the sourcing process. 

13 The Operations Section Chief may also return the ARF to the state if the requested resource or service can be 

addressed more effectively by the state and included in the state’s claim for reimbursement under FEMA’s Public
 

Assistance (PA) Program, if that assistance is available to the state as designated in disaster declaration. 14 See Appendix D for a description of the Emergency Support Functions.
 

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2.	 FEMA has a history of using mission assignments to address 

certain requirements. 

3.	 Senior leaders specifically direct the use of a mission 

assignment. 

Decision Point 4: If the Operations Section Chief decides to refer the 

requirement to the Logistics Section instead of addressing the requirement 

by mission assignment, the Logistics Section Chief will determine if the 

request can be met by an IAA with another federal agency such as GSA or 

DLA. If the request cannot be met by an IAA, the Logistics Section Chief 

may submit a request for contract services or refer the request back to the 

Operations Section Chief for further mission assignment consideration. 

If the Logistics Section Chief decides to contract for the required service 

or resource, a contract service request will be forwarded to the 

Finance/Administration Section Chief. If the contract service request is 

approved, the Finance/Administration Section will work with the 

appropriate FEMA program management and acquisition personnel to 

solicit, evaluate, and negotiate the contract award. 

Figure 2 shows the various decision making points within the JFO’s 

unified command structure. This approach: 

•	 Does not comply with the National Incident Management 

System (NIMS); 

•	 Does not allow FEMA to centralize disaster sourcing 

decision making; and 

•	 Limits FEMA’s ability to apply an overarching sourcing 

strategy, minimize unnecessary duplication, take advantage 

of resource ordering efficiencies, and maintain visibility 

over the entire resource ordering process. 

Sourcing options which may be more efficient or cost effective are not 

always explored. Additionally, the current sourcing process places a 

significant amount of resource ordering responsibility in the Operations 

Section, which is not consistent with NIMS. According to NIMS, the 

Logistics Section is responsible for ordering, receiving, processing, 

storing, inventorying, and distributing all incident-related resources and 

supplies. 

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FEMA’s Sourcing for Disaster Response Goods and Services 

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Warehoused 

Goods 

Interagency 

Agreements 

Mission 

Assignments Contracts 

Water FEMA GSA USACE Private 

Sector 

Ice USACE 

Emergency 

Meals FEMA DLA Private 

Sector 

Generators and 

Generator 

Installation16 

FEMA USACE 

Tarps FEMA Private 

Sector 

Pet/Animal 

Services 

GSA, 

USDA USDA 

 

Multiple Mechanisms Used to Source Selected Goods and Services 

We focused on six goods and services that FEMA commonly provides 

during a disaster. Table 6 presents sourcing mechanisms that FEMA used 

to provide the selected goods and services in response to hurricanes 

Gustav and Ike in Texas. The table shows that FEMA sometimes uses 

multiple mechanisms to source a particular good or service. For example, 

FEMA used all four mechanisms to provide water. FEMA also: 

•	 Had a supply of water, emergency meals, generators, and tarps in 

its warehouses and used these resources during the response. 

•	 Used an IAA with the General Services Administration (GSA) for 

water and one with the Defense Logistics Agency (DLA) for 

emergency meals. 

•	 Used PSMAs with the U.S. Army Corps of Engineers (USACE) 

for water, ice, and generator installation. 

•	 Used IAAs with GSA and the U.S. Department of Agriculture 

(USDA), as well as a PSMA with USDA for pet and animal 

services. 

•	 Used private sector contracts for water, emergency meals and 

tarps.15 

Table 6. Sourcing Mechanisms FEMA Used in Responding to 

 Hurricanes Gustav and Ike in Texas 

Source: OIG, based on information provided by FEMA

15 FEMA did not have contracts for water, emergency meals, or tarps in place prior to the 2008 hurricane season and
 

had to award contracts post-disaster for these goods. 

16 FEMA provided generators from its warehoused goods and used mission assignments with USACE for generator 

installation.
 
Multiple sourcing mechanisms increase FEMA’s flexibility to meet needs 

in a timely manner. However, while FEMA does have some sourcing 

mechanisms in place before a disaster, it does not always take advantage 

of this flexibility once a disaster occurs. FEMA officials said that when 

deciding what source to use to fulfill a state’s request for assistance, they 

often rely on what they believe has worked best in the past. The choice is 

based on an individual’s own experiences, which may have been 

influenced by lessons learned from previous disasters, best practices and 

training, but this demonstrates that FEMA does not follow one strategy for 

sourcing. Relying on previous experience may not account for better 

sourcing alternatives. 

Single-Point Ordering 

FEMA needs an overarching disaster sourcing strategy. FEMA’s current 

disaster sourcing process is linear, resulting in fragmented decision 

making. NIMS prescribes single-point ordering under the Incident 

Command System (ICS). 

National Incident Management System 

Homeland Security Presidential Directive-5, Management of Domestic 

Incidents, directs the Secretary of Homeland Security to develop and 

administer NIMS. This system is intended to provide a comprehensive 

and consistent approach for federal, state, and local governments to work 

together effectively and efficiently to prepare for, respond to, and recover 

from domestic incidents. 

NIMS includes a core set of concepts, principles, terminology, and 

technologies covering, among others, the ICS, which is a standardized 

management tool that represents “best practices” in emergency 

management across the country. All federal agencies are directed to use 

NIMS in their domestic incident management and emergency prevention, 

preparedness, response, recovery, and mitigation activities. NIMS creates 

a proactive system to assist those responding to incidents or planned 

events and is built on existing emergency management structures. 

According to NIMS, a unified command works best when, among other 

elements, the participating members co-locate and establish a single 

system for ordering/sourcing resources. This co-location usually takes 

place at a JFO. Figure 3 illustrates resource ordering roles and 

responsibilities under the ICS structure. Under this configuration, the 

Logistics Section, specifically the Supply Unit, is responsible for ordering, 

receiving, processing, storing, inventorying, and distributing all incidentrelated resources and supplies. 

FEMA’s Sourcing for Disaster Response Goods and Services
 

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Figure 3. Resource Ordering Roles and Responsibilities Under ICS 

Source: OIG, based on information provided by FEMA 

According to DHS’ JFO Activation and Operations Interagency Integrated 

Standard Operating Procedure (Interim Approval, April 2006), the JFO 

Logistics Section Chief can fill operational requirements: 

•	 From resources at the JFO logistics base, including privatesector resources available to the JFO (warehoused goods); 

•	 By direct mission assignment or memorandum of agreement to 

another agency (mission assignment or interagency/intraagency agreement); or 

•	 By preparing a requisition and recommending commercial 

sources for goods and services to the JFO 

Finance/Administration Section (contract or interagency 

agreement). 

According to this document, for resources that are still not readily 

available through the options above, the JFO Logistics Section Chief can 

pass the requirement to FEMA’s RRCC or the NRCC for action. This 

approach is further supported by FEMA job aids17 issued in April 2008 for 

17 FEMA job aids, or Disaster Workforce Task Books, are written to clarify and review the tasks that make up 

particular positions at a JFO. 

FEMA’s Sourcing for Disaster Response Goods and Services
 

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various positions within the Operations and Logistics sections. These job 

aids indicate that: 

•	 The Operations Section Chief’s responsibilities include 

identifying requirements and forwarding requests for supplies, 

services, equipment, or other support to the Logistics Section. 

•	 The Logistics Section Chief’s responsibilities include 

monitoring financial activities for logistics operations, supplies, 

and equipment resources through the single-point ordering 

process. 

•	 The ordering unit leader’s responsibilities include 

establishing a single-point ordering system for all 

resources. 

•	 The ordering manager or specialist’s responsibilities 

include providing resource ordering and tracking 

functions. 

The National Response Framework (NRF), the federal government’s plan 

for integrating domestic prevention, preparedness, response, and recovery 

plans into one all-discipline, all-hazards plan, also supports the singlepoint ordering concept. ESF 7 – Logistics Management and Resource 

Support Annex (ESF-7) to the NRF states that the logistics management 

structure is responsible for establishing and executing IAAs, 

MOAs/MOUs with other federal agencies and nongovernmental 

organizations, as well as standby logistics contracts with private sources. 

ESF-7 also states that the logistics management structure at the 

regional/field/JFO level is responsible for implementing a single-point 

ordering process. 

Obstacles to FEMA’s Implementation of Single-Point Ordering 

There are obstacles that must be overcome in order to fully implement the 

single-point ordering approach called for in operational procedures that 

guide FEMA’s disaster response. One senior FEMA official outlined two 

major obstacles. He stated that the current sourcing process is stove-piped 

between the Operations and Logistics sections, and it will be difficult to 

break down those barriers. Additionally, he said that there is a level of 

comfort in the way disaster sourcing is currently performed. This is 

consistent with what other FEMA officials told us, in that they tend to use 

the sourcing mechanism that has been successful for them in the past. 

We were also told that FEMA directorates (at the headquarters level) and 

divisions (at the regional level) operate independently instead of 

collaboratively. During the Gustav response, both FEMA Headquarters 

and the FEMA Region worked on acquiring pet supplies without realizing 

FEMA’s Sourcing for Disaster Response Goods and Services
 

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that their efforts were duplicative. This lack of coordination led to an 

over-ordering of pet supplies. Operational stove-pipes have created a 

fragmented process for ordering resources such as personnel,18 supplies 

and commodities. A single-point ordering concept would help bring order 

to the disaster sourcing process and minimize duplication. This concept 

would also allow for a more methodical approach for responding to 

disaster requirements. 

One FEMA logistics official stated that a single-point ordering and 

tracking system is needed because currently there are many disaster 

sourcing decision points, resulting in limited visibility over the ordering 

process. This concept would bring together those responsible for 

obtaining goods and services for a disaster under one system. Ordering 

and coordination between the operations, logistics and acquisition groups, 

and other federal ordering agencies such as GSA, USACE, and DLA, 

would occur at a single point. This official also stressed the need to track 

ordered resources from request to disposition, suggesting that the 

responsibility for tracking should be placed in the Logistics Section, 

consistent with FEMA job aids. 

An additional obstacle is the multiple, non-integrated systems currently 

used in the ordering process. For example, the JFO 

Finance/Administration Section uses the Automated Deployment Database 

to request and track personnel. Active contracts are kept in ProTrac, the 

software used by contracting officers. The Operations and Logistics 

sections use the Enterprise Coordination and Approval Processing System 

(eCAPS) to process mission assignments and 40-1s (FEMA’s Requisition 

and Commitment for Services and Supplies form), respectively. The 

Logistics Section uses e-Tasker to request commodities, the Logistics 

Information Management System III (LIMS) for property inventory, and 

information technology (IT) equipment is requested through yet a separate 

system. FEMA’s various IT systems do not interface, which creates 

problems in tracking requests and accounting for property. FEMA 

officials stressed that to perform single-point ordering effectively, FEMA 

needs a system, preferably web-based, that will integrate these 

independent systems. 

Single-point ordering can contribute to FEMA’s ability to balance 

effectiveness, agility, reliability, speed, visibility, and cost in sourcing. 

Single-point ordering is discussed at FEMA, but it has not yet been 

implemented and will work well only if it is supported by integrated IT 

systems. 

18 While this report focuses on goods and services, another resource that would fall under the single point ordering 

system is disaster personnel, who are currently deployed through the Finance/Administration Section. 

FEMA’s Sourcing for Disaster Response Goods and Services
 

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On April 16, 2009, shortly after our fieldwork ended, FEMA’s Acting 

Administrator issued a memorandum directing all regional administrators 

to immediately implement the newly developed operations and logistics 

integration guidance. This guidance is the product of a task force 

established to develop guidance for and to ensure complete transparency 

through communications and coordination between Operations and 

Logistics at all levels during preparedness, response and recovery 

operations. The task force developed guidance documentation that places 

responsibility for establishing single-point ordering in the Logistics 

Section. The single-point ordering process described in the guidance 

appears to be very similar to what we describe above and recommend 

FEMA implement. 

We discussed this new guidance with FEMA officials involved in its 

creation, who estimated that single-point ordering is 5 years from full 

implementation. Roles must be better defined, and buy-in from key 

players is critical. Further challenges include obtaining necessary funding, 

training all of the staff in this concept, and developing IT systems that 

integrate effectively. 

Internal and External Pressure Impacts Sourcing Decisions 

Some sourcing decisions are made in response to pressure from internal 

and external officials and are not necessarily based on actual need or a 

request from the affected state. While FEMA’s job aids, the NRF and 

other disaster response manuals provide guidance on the sourcing process, 

this guidance is sometimes short-circuited by officials, often political 

appointees or elected representatives of the disaster area, who use their 

influence to ensure that goods and services are provided. While often 

well-meaning, this pressure can result in waste when the goods or services 

are not needed and can be disruptive to the sourcing process. For 

example, during hurricanes Gustav and Ike, FEMA Headquarters pushed 

$30 million of water and ice to Texas even though the state did not request 

this assistance because Texas had its own water and ice contracts in place. 

When power was restored to the hurricane region earlier than had been 

expected, FEMA determined that the prudent decision was to allow the 

unused ice to melt. FEMA would not have ordered the ice if FEMA’s 

appointed leadership had not applied pressure on logistics decision 

makers. 

FEMA’s Sourcing for Disaster Response Goods and Services
 

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A resident of Galveston Island gets ice, food and water at a distribution site. 

Photo by Patsy Lynch/FEMA. 

FEMA will always face a certain level of political pressure. Single-point 

ordering will not stop this type of pressure, but if it is supported by IT 

systems that provide increased visibility and transparency, 19 it will 

provide a focal point for such input and increase the availability of 

information on what goods and services have been requested, ordered, and 

delivered.20 

Conclusion 

FEMA is called upon to provide essential goods and services to help state 

and local governments respond to disasters. While FEMA is generally 

successful in delivering these goods and services, duplication and waste 

does occur. This is the result of a linear, stove-piped process and a lack of 

integrated systems. 

The National Incident Management System, based on “best practices” in 

emergency management, prescribes single-point ordering, under which the 

Logistics Section is responsible for ordering all incident-related resources 

and supplies. Coupled with an integrated IT system, implementing this 

19 FEMA is in the process of developing Total Asset Visibility (TAV) that will provide better visibility and tracking
 

of FEMA assets, but this system is not yet fully operational. 

20 The impact of political pressure on FEMA’s disaster response activities is further examined in the Management
 

Advisory Report, FEMA’s Response to Hurricane Ike (OIG-09-78), issued in June 2009. 

FEMA’s Sourcing for Disaster Response Goods and Services
 

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concept will allow greater transparency over disaster sourcing and 

delivery, and will increase FEMA’s effectiveness in disaster response. 

Recommendations 

We recommend that the Administrator, Federal Emergency Management 

Agency: 

Recommendation 1: Implement the single-point ordering concept 

prescribed by the National Incident Management System, coordinating all 

sourcing through the Logistics Section. 

FEMA officials have indicated that full implementation of the single-point 

ordering concept could take up to 5 years. Therefore, we recommend that, 

as an incremental step, the Administrator develop a timeline and interim 

steps for co-locating the appropriate personnel from the 

Finance/Administration Section and the Operations Section with the 

Ordering Unit in the Logistics Section, as discussed in the “FEMA 

Integrated Operations and Logistics Guidance” dated April 6, 2009. 

Recommendation 2: Invest in the necessary information technology 

systems to ensure full integration of existing FEMA systems to support 

single-point ordering and enhance visibility over the sourcing process. 

Management Comments and OIG Analysis 

FEMA concurs with our recommendations and will provide us with a 

detailed corrective action plan, with timeframes, in 90 days. We consider 

the two recommendations resolved but open, pending receipt and review 

of FEMA’s corrective action plan. 

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Appendix A 

Purpose, Scope, and Methodology 

Our objective was to review (1) FEMA’s plans and strategies for 

sourcing goods and services in response to disasters, and (2) 

FEMA’s ability to manage and implement its plans and strategies 

for sourcing. We reviewed relevant laws, federal regulations, and 

DHS and FEMA policies and guidance. We also reviewed 

congressional testimony and prior Office of Inspector General and 

Government Accountability Office audit reports. 

We conducted our audit from July 2008 to March 2009, analyzing 

FEMA’s plans and strategies for sourcing disaster goods in 

response to hurricanes Gustav and Ike in Texas. Specifically, we 

reviewed the following four sourcing mechanisms: (1) warehoused 

goods; (2) mission assignments; (3) interagency agreements; and 

(4) contracts, and the decision-making processes for deciding 

which sourcing mechanism to use. 

We met with FEMA officials at headquarters and in the field, and 

with the State Coordinator for Resources & Logistics in the Texas 

Emergency Management Division. During September, October 

and November 2008, we were onsite at the Austin JFO, which was 

coordinating FEMA’s response to the hurricanes in Texas. 

We selected and examined six resources FEMA provided in the 

wake of hurricanes Gustav and Ike in Texas: water, ice, emergency 

meals, tarps, generators and their installation, and pet/animal 

services, to determine whether FEMA has a strategy for choosing a 

sourcing mechanism to use for each of these resources. 

We conducted this audit under the authority of the Inspector 

General Act of 1978, as amended, and according to generally 

accepted government auditing standards. 

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Appendix B 

Management Comments to the Draft Report 

FEMA’s Sourcing for Disaster Response Goods and Services
 

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Appendix C 

Selected Information Technology Systems Used in the Sourcing Process 

Action Tracking System is a computerized tracking database used 

by the Action Tracker to maintain status and disposition of all 

incoming action requests. 

Automated Deployment Database (ADD) is used to identify and 

deploy personnel to disaster sites. 

eCAPS is used to provide electronic coordination and approval of 

the Requisition and Commitment for Services and Supplies 

(FEMA Form 40-1) and Mission Assignments (MA). This is a 

web-based service and will support all 40-1s and MAs processed in 

FEMA that are disaster related. 

eTasker is a web-based system designed to provide FEMA 

Logistics Management Coordinators with an automated, 

standardized system to record all activities associated with 

fulfilling requests for goods or resources submitted. 

Integrated Financial Management Information System (IFMIS) is 

FEMA’s official accounting system that maintains and processes 

all financial data. IFMIS is the source of all FEMA financial data 

for both internal and external reporting. 

Logistics Information Management System III (LIMS) is the 

system of record for personal property accountability requirements. 

Personal property includes items such as computers, cell phones, 

generators, and office furniture. 

ProTrac is the contract management and tracking software used by 

the Acquisition Management Division. 

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Appendix D 

NRF Emergency Support Functions 

The Emergency Support Function (ESF) structure is used to coordinate federal 

interagency support for incident response. Various federal agencies are assigned as ESF 

coordinators, primary agencies, or support agencies. These roles are further defined in 

the ESFs Annexes to the National Response Framework (NRF). 

This table identifies the ESFs and the basic responsibilities of each. 

ESF Scope 

1 – Transportation Aviation/airspace management and control 

Transportation safety 

Restoration/recovery of transportation infrastructure 

Movement restrictions 

Damage and impact assessment 

2 – Communications Coordination with telecommunications and IT 

industries 

Restoration and repair of telecommunications 

infrastructure 

Protection, restoration, and sustainment of national 

cyber and IT resources 

Oversight of communications within the federal 

incident management and response structures 

3 – Public Works and Engineering Infrastructure protection and emergency repair 

Infrastructure restoration 

Engineering services and construction management 

Emergency contracting support for life-saving and 

live-sustaining services 

4 - Firefighting Coordination of federal firefighting activities 

Support to wildland, rural, and urban firefighting 

operations 

5 – Emergency Management Coordination of incident management and response 

efforts 

Issuance of mission assignments 

Resource and human capital 

Incident action planning 

Financial management 

6 – Mass Care, Emergency 

Assistance, Housing, and Human 

Services 

Mass care 

Emergency assistance 

Disaster housing 

Human services 

7 – Logistics Management and 

Resource Support 

Comprehensive, national incident logistics planning, 

management, and sustainment capability 

Resource support (facility space, office equipment and 

supplies, contracting services, etc.) 

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ESF Scope 

8 – Public Health and Medical 

Services 

Public health 

Medical 

Mental health services 

Mass fatality management 

9 – Search and Rescue Life-saving assistance 

Search and rescue operations 

10 – Oil and Hazardous Materials 

Response 

Oil and hazardous materials (chemical, biological, 

radiological, etc.) response 

Environmental and short- and long-term cleanup 

11 – Agriculture and Natural 

Resources 

Nutrition assistance 

Animal and plant disease and pest response 

Food safety and security 

Natural and cultural resources and historic properties 

protection 

Safety and well-being of household pets 

12 – Energy Energy infrastructure assessment, repair, and 

restoration 

Energy industry utilities coordination 

Energy forecast 

13 – Public Safety and Security Facility and resource security 

Security planning and technical resource assistance 

Public safety and security support 

Support to access, traffic, and crowd control 

14 – Long-Term Community 

Recovery 

Social and economic community impact assessment 

Long-term community recovery assistance to states, 

local governments, and the private sector 

Analysis and review of mitigation program 

implementation 

15 – External Affairs Emergency public information and protective action 

guidance 

Media and community relations 

Congressional and international affairs 

Tribal and insular affairs 

For further information regarding ESFs and the National Response Framework, please 

see www.fema.gov/emergency/nrf/. 

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Appendix E 

List of Related Reports 

U.S. Coast Guard’s Management of 2005 Gulf Coast Hurricanes Mission Assignment 

Funding (OIG-09-34), March 2009, www.dhs.gov/xoig/assets/mgmtrpts/OIG_09-

34_Mar09.pdf 

FEMA’s Implementation of Best Practices in the Acquisition Process (OIG-09-31), 

February 2009, www.dhs.gov/xoig/assets/mgmtrpts/OIG_09-31_Feb09.pdf 

Internal Controls in the FEMA Disaster Acquisition Process (OIG-09-32), February 

2009, www.dhs.gov/xoig/assets/mgmtrpts/OIG_09-32_Feb09.pdf 

National Communications System’s Management of 2005 Gulf Coast Hurricanes Mission 

Assignment Funding (OIG-09-23), February 2009, 

www.dhs.gov/xoig/assets/mgmtrpts/OIG_09-23_Feb09.pdf 

U.S. Immigration and Customs Enforcement’s Management of 2005 Gulf Coast 

Hurricanes Mission Assignment Funding (OIG-09-22), February 2009, 

www.dhs.gov/xoig/assets/mgmtrpts/OIG_09-22_Feb09.pdf 

Challenges Facing FEMA’s Acquisition Workforce (OIG-09-11), November 2008, 

www.dhs.gov/xoig/assets/mgmtrpts/OIG_09-11_Nov08.pdf 

Hurricane Katrina Multitier Contracts (OIG-08-81), July 2008, 

www.dhs.gov/xoig/assets/mgmtrpts/OIG_08-81_Jul08.pdf 

U.S. Customs and Border Protection’s Management of 2005 Gulf Coast Hurricanes 

Mission Assignment Funding (OIG-08-80), July 2008, 

www.dhs.gov/xoig/assets/mgmtrpts/OIG_08-80_Jul08.pdf 

Logistics Information Systems Need to Be Strengthened at the Federal Emergency 

Management Agency (OIG-08-60), May 2008, 

www.dhs.gov/xoig/assets/mgmtrpts/OIG_08-60_May08.pdf 

FEMA’s Preparedness for the Next Catastrophic Disaster (OIG-08-34), March 2008, 

www.dhs.gov/xoig/assets/mgmtrpts/OIG_08-34_Mar08.pdf 

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Appendix F
 

Major Contributors to This Report.
 

Donald Bumgardner 

Amy Hall 

Moises Dugan 

Trudi Powell 

Jacob Farias 

Kristofer Hensley 

FEMA’s Sourcing for Disaster Response Goods and Services 

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Appendix G 

Report Distribution 

Department of Homeland Security 

Secretary 

Deputy Secretary 

Chief of Staff of Operations 

Chief of Staff of Policy 

Acting General Counsel 

Executive Secretariat 

Director, GAO/OIG Liaison Office 

FEMA Administrator 

FEMA, Chief of Staff 

Assistant Secretary for Office of Policy 

Assistant Secretary for Office of Public Affairs 

Assistant Secretary for Office of Legislative Affairs 

FEMA Audit Liaison (DP8A04) 

Office of Management and Budget 

Chief, Homeland Security Branch 

DHS OIG Budget Examiner 

Congress 

Congressional Oversight and Appropriations Committees, as 

appropriate 

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ADDITIONAL INFORMATION AND COPIES 

To obtain additional copies of this report, please call the Office of Inspector General (OIG) at (202) 254-4100, 

fax your request to (202) 254-4305, or visit the OIG web site at www.dhs.gov/oig. 

OIG HOTLINE 

To report alleged fraud, waste, abuse or mismanagement, or any other kind of criminal or noncriminal 

misconduct relative to department programs or operations: 

• Call our Hotline at 1-800-323-8603; 

• Fax the complaint directly to us at (202) 254-4292; 

• Email us at DHSOIGHOTLINE@dhs.gov; or 

• Write to us at: 

DHS Office of Inspector General/MAIL STOP 2600, 

Attention: Office of Investigations - Hotline, 

245 Murray Drive, SW, Building 410, 

Washington, DC 20528. 

The OIG seeks to protect the identity of each writer and caller.