Valiant Government Services LLC awarded $40.8M for Facility Operations & Maintenance, serving the Department of the Army

Contract Overview

Contract Amount: $40,870,286 ($40.9M)

Contractor: Valiant Government Services LLC

Awarding Agency: Department of Defense

Start Date: 2011-03-25

End Date: 2016-03-31

Contract Duration: 1,833 days

Daily Burn Rate: $22.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: FACILITY O&M SERVICES

Place of Performance

Location: FORT BRAGG, CUMBERLAND County, NORTH CAROLINA, 28307

State: North Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $40.9 million to VALIANT GOVERNMENT SERVICES LLC for work described as: FACILITY O&M SERVICES Key points: 1. Contract value of $40.8M over 5 years suggests a significant, long-term need for facility maintenance. 2. The firm-fixed-price contract type indicates that the contractor bears the risk of cost overruns. 3. Awarded as a delivery order under a larger contract, suggesting a streamlined procurement process for ongoing needs. 4. The North Carolina location for services implies a focus on facilities within that specific geographic region. 5. The absence of small business set-aside flags indicates this was not specifically targeted for small business participation. 6. The NAICS code 561210 points to a broad range of facility support services being covered.

Value Assessment

Rating: good

The total contract value of approximately $40.8 million over five years averages to about $8.16 million annually. Without specific benchmarks for facility operations and maintenance services in North Carolina, it's challenging to definitively assess value. However, the firm-fixed-price structure generally promotes cost control by the contractor. Further analysis would require comparing this contract's scope and pricing to similar O&M contracts awarded by the Department of the Army or other federal agencies for comparable facilities.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit offers. The presence of 3 bidders suggests a moderate level of competition for this requirement. While more than one bidder is positive, a higher number of bidders typically leads to more robust price discovery and potentially lower prices for the government.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it encourages a wider range of offers, potentially leading to more competitive pricing and better value.

Public Impact

The primary beneficiaries are the Department of the Army personnel and operations that rely on well-maintained facilities. Services delivered include a comprehensive range of facility operations and maintenance, ensuring functional and safe environments. The geographic impact is concentrated in North Carolina, where the facilities requiring these services are located. Workforce implications include the potential for local job creation in facility management, maintenance, and related trades within North Carolina.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost creep if the scope of 'facility operations and maintenance' is not tightly defined.
Dependence on a single contractor for critical facility upkeep could pose risks if performance falters.
Limited visibility into the specific performance metrics and quality control measures employed by the contractor.

Positive Signals

Firm-fixed-price contract structure shifts cost risk to the contractor, incentivizing efficiency.
Full and open competition suggests a deliberate effort to secure the best possible offer.
Awarded as a delivery order, implying it aligns with an existing, potentially pre-vetted, contract vehicle.

Sector Analysis

Facility Operations & Maintenance (O&M) is a critical segment within the broader facilities management industry. This contract falls under the Facilities Support Services sector, encompassing a wide array of services necessary for the upkeep and operational readiness of government installations. The market for federal facility O&M is substantial, with agencies like the Department of Defense being major clients. Benchmarking this $40.8 million contract would involve comparing its annual value and scope to other large-scale O&M contracts for military bases or government buildings.

Small Business Impact

This contract was not awarded as a small business set-aside, nor does it indicate any specific subcontracting requirements for small businesses. This suggests that the primary focus was on securing the best overall offer through full and open competition, rather than prioritizing small business participation. Consequently, the direct impact on the small business ecosystem for this specific award appears limited, though the prime contractor may engage small businesses as subcontractors at their discretion.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of the Army's contracting and facility management divisions. Accountability measures are inherent in the firm-fixed-price contract type, which obligates the contractor to deliver services within the agreed price. Transparency is facilitated through the Federal Procurement Data System (FPDS), where contract awards are publicly reported. The specific Inspector General jurisdiction would depend on the Army's internal structure and the nature of any potential issues.

Related Government Programs

Base Operations Support (BOS)
Logistics and Support Services
Government Facilities Management
Construction and Engineering Services

Risk Flags

Potential for performance degradation if contractor faces cost pressures.
Dependence on contractor for critical infrastructure maintenance.
Scope definition clarity is crucial for FFP contract success.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $40.9 million to VALIANT GOVERNMENT SERVICES LLC. FACILITY O&M SERVICES

Who is the contractor on this award?

The obligated recipient is VALIANT GOVERNMENT SERVICES LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $40.9 million.

What is the period of performance?

Start: 2011-03-25. End: 2016-03-31.

What is the track record of Valiant Government Services LLC in performing similar facility operations and maintenance contracts for the Department of Defense?

Valiant Government Services LLC has a history of performing various support services for government agencies, including facility maintenance. Analyzing their past performance on similar contracts, particularly those with the Department of Defense, would involve reviewing contract histories for on-time delivery, quality of service, and any documented performance issues or awards. Specific details on their success rate, client satisfaction, and any past disputes or contract terminations would provide a clearer picture of their capabilities and reliability in executing large-scale O&M requirements. Without access to detailed performance reports or past performance evaluations, a definitive assessment remains limited.

How does the awarded price of $40.8 million compare to the estimated market value for similar facility operations and maintenance services in North Carolina?

Determining the precise market value comparison for this $40.8 million contract requires detailed knowledge of the specific services included, the square footage and complexity of the facilities managed, and prevailing labor and material costs in North Carolina. Facility Operations & Maintenance (O&M) contracts can vary significantly in scope. A general comparison suggests that $8.16 million annually (total contract value divided by duration) is a substantial sum, indicative of managing significant infrastructure. To benchmark effectively, one would need to analyze recent solicitations and awards for comparable O&M services from other federal, state, or large private entities operating in the same geographic region, considering factors like service level agreements and performance standards.

What are the primary risks associated with this firm-fixed-price contract for facility operations and maintenance?

The primary risk with a firm-fixed-price (FFP) contract, while generally favorable for the government in terms of cost certainty, lies in the potential for the contractor to cut corners on quality or service to maintain profitability if costs exceed initial estimates. For facility O&M, this could manifest as deferred maintenance, reduced preventative care, or slower response times to issues. Another risk is the contractor's financial stability and capacity to handle unexpected large-scale facility emergencies. The government's recourse is typically through contract performance monitoring and enforcement of service level agreements, but significant performance degradation can still impact operations.

What is the historical spending pattern for facility operations and maintenance services by the Department of the Army in North Carolina?

Historical spending patterns for facility operations and maintenance (O&M) by the Department of the Army in North Carolina are likely substantial, given the presence of numerous military installations in the state. Analyzing past FPDS data would reveal trends in contract awards for O&M services, including the total dollar amounts obligated annually, the types of services procured (e.g., janitorial, HVAC, groundskeeping, structural repairs), and the primary contracting vehicles used (e.g., IDIQs, delivery orders). Understanding these patterns helps contextualize the $40.8 million award, indicating whether it represents a typical investment level or a significant deviation. It also highlights which specific installations or commands are major recipients of such services.

How does the competition level (3 bidders) for this contract potentially impact the value received by the government?

A competition level with three bidders suggests a moderate degree of market interest and engagement for this facility O&M requirement. While more than one bidder is essential for price discovery, a higher number of competitors typically intensifies the bidding process, driving prices down and encouraging more innovative or cost-effective solutions. With three bidders, there is a reasonable chance the government received competitive pricing, but it's possible that a more robust competition (e.g., 5-10 bidders) could have yielded even better value. The government's evaluation criteria beyond price (e.g., technical approach, past performance) also play a crucial role in determining the overall value secured.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: W912DY09R0027

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: ABM Industries Inc (UEI: 006911622)

Address: 101 WALTON WAY, HOPKINSVILLE, KY, 42240

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $40,870,286

Exercised Options: $40,870,286

Current Obligation: $40,870,286

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W912DY10D0049

IDV Type: IDC

Timeline