Ruidoso debris removal begins under $75 million emergency state contract

SANTA FE — Work crews have started removing the charred remains of hundreds of homes in the Ruidoso area, under a $75 million emergency contract a state agency entered into with a Texas-based debris removal firm.

The state Department of Homeland Security and Emergency Management said in an emergency determination form that quick action on the contract was necessary, due to recurrent flooding after fires destroyed an estimated 900 homes in the area.

An agency spokeswoman said bids were requested from vendors that specialize in debris removal, and DRC Emergency Services was selected in part for submitting the lowest of nine total bids. The six-month contract started July 18, less than one month after Gov. Michelle Lujan Grisham declared a state of emergency.

“Criteria that were looked at when deciding which contractor would be selected included a cost analysis, how quickly the company could begin their work, and the services and equipment that the contactor has available to them,” agency spokeswoman Danielle Silva told the Journal.

She also said the agency did not focus in its review on past federal lawsuits that DRC Emergency Services has faced accusing the firm of underpaying workers or not paying subcontractors.

The company was also briefly suspended from bidding on federal contracts in 2014 after allegedly failing to ensure local subcontractors got an adequate share of the clean-up work resulting from tornado damage in Missouri, according to Louisville Public Media.

Meanwhile, the Ruidoso-area debris removal work is following guidelines set by the Federal Emergency Management Agency and the state will be reimbursed by FEMA for the cost of the contract, Silva said.

State Rep. Harlan Vincent, R-Glencoe, who hosted a recent fire response summit in Ruidoso, said he was glad the state moved quickly on the emergency contract.

He said about the rubble from about 400 destroyed homes has been approved for removal, saying, “They’re getting ready to start removing that debris.”

“Before long, we’re going to get this all cleaned up, and it’s going to be outstanding,” Vincent added.

Under New Mexico’s procurement laws, contracts for all goods and services that cost more than $60,000 are typically required to be awarded after a competitive bidding process with certain timelines.

But there are allowable exceptions for emergency situations that include floods, fires, epidemics and riots. An emergency determination allows for expedited timelines during the bidding process.

Overall, the number of emergency contracts issued by New Mexico state agencies, local governments, schools and higher education institutions surged during the COVID-19 pandemic due to spending on tests, face masks and other supplies, according to a 2021 Legislative Finance Committee report.