QuickTake: Disaster Debris Removal Requires Preparation
It is never too early to start thinking about the next hurricane season. Last year’s hurricane season brought two major hurricanes to the shores of the east coast, and rebuilding is expected to take years. Debris from storms often includes vegetation, construction materials and more.
Restoration contractors interested in debris removal must first register with the Federal Emergency Management Agency’s (FEMA) System for Award Management (SAM), though it can take up to 30 days to become active. Once active, each contractor is assigned a commercial and government entity (CAGE) code, a five-character identification used by the federal government to identify the facility at a specific location that must be renewed annually. FEMA says its goal is to “seek local companies within the disaster area for goods and services related to a specific disaster when practical and feasible.”
Other Sources of Contracts:
- Army Corps of Engineers
- State emergency departments
- State-based networks like the Disaster Contractors Network in Florida
- Professional registry networks like the U.S. Federal Contractor Registration Service, which can incur a fee and take longer as the application process must meet federal requirements
- Insurance companies, which often have a list of approved private contractors
(https://www.equipmentworld.com/how-to-get-disaster-cleanup-work/)
Preparation ahead of disasters can ensure the business is selected by government agencies, insurers and clients and that the business receives the payments it is entitled to. Al McClaran, part owner of Southern Disaster Recovery, says he has seen companies that just show up with trucks full of equipment and begin working without contracts lose out on their retainer, which can be up to 10 percent and could represent a large portion of their profit. Most contractors working in areas hit by Florence and Michael say they hired subcontractors ahead of time and had to wait to deploy crews until after floodwaters receded.
Advice for Debris Contractors:
- Do get licensed in the state where you’ll be working
- Do follow state rules on liens, bonding and payment protection
- Do make sure workers’ compensation and other insurance is up to date
Through advance preparation, restoration firms can readily offer what FEMA, emergency departments, and clients need, from office supplies, dumpsters, and material moving equipment to translators and other supplies. Part of that preparation also includes establishing an up-to-date, user-friendly website that details what the company offers in terms of services and products. Even after major disasters strike, building relationships with municipal, state, and federal governments can offer additional sources of revenue over the long term, including cleanup after ice storms and other routine incidents. (http://www.aptac-us.org/disaster-contracting-tips-small-businesses/)