44 C.F.R. § 13.36(b) requires applicants to comply with all Federal standards, including the requirement to maintain records detailing the significant history of a procurement. 44 C.F.R. § 13.36(c) requires applicants to allow for full and open competition, which prohibits the use of geographical preferences in the evaluation of bids or proposals unless applicable Federal statutes expressly mandate or encourage such preference. The Applicants imposed local preference; further, Stafford Act § 307(a) applies to federal government contracting and not to applicants.

44 C.F.R. §§13.36, 13.43. OMB Circular A-87, att. A § C(2). DAP9525.9, at 6-7.