DoD Awards Honeywell $239M for Facilities Support Services, Facing Limited Competition

Contract Overview

Contract Amount: $239,372,841 ($239.4M)

Contractor: Honeywell International, Inc

Awarding Agency: Department of Defense

Start Date: 2003-11-06

End Date: 2025-09-30

Contract Duration: 7,999 days

Daily Burn Rate: $29.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: 200412!001846!2100!W912DY!* !DACA8797D0013 !A!N! !N!0012 !51 !20031106!20100930!001325240!001325240!139691877!N!HONEYWELL INTERNATIONAL INC !2701 4TH AVE S !MINNEAPOLIS !JA!55422!24260!051!37!FORT BRAGG !CUMBERLAND !N CAROLINA!+000001482140!N!N!000000000000!H935!OTHER QUALITY CNTL SVCS/SERVICE & TRADE EQUIPMENT !S1 !SERVICES !000 !* !561210!E! !5!B!M!D!A! !99990909!B! ! !N!Z!A!U!J!2!002!A! !Z!N!Z! ! !N!C!N! ! ! !Z!Z!A!A!000!A!B!N! ! ! ! ! ! !0001! !

Place of Performance

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

State: North Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $239.4 million to HONEYWELL INTERNATIONAL, INC for work described as: 200412!001846!2100!W912DY!* !DACA8797D0013 !A!N! !N!0012 !51 !20031106!20100930!001325240!001325240!139691877!N!HONEYWELL INTERNATIONAL INC !2701 4TH AVE S !MINNEAPOLIS !JA!55422!24260!051!37!FORT BRAGG !CUMB… Key points: 1. Significant contract value of $239M for facilities support services. 2. Honeywell International, Inc. is the sole awardee, raising competition concerns. 3. The contract spans nearly 17 years, indicating long-term reliance. 4. Services fall under Facilities Support, a broad and essential sector.

Value Assessment

Rating: questionable

The contract value of $239M over nearly 17 years suggests a substantial investment. Benchmarking against similar long-term facilities support contracts is difficult without more granular data on specific services provided.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'limited competition,' suggesting that not all potential vendors were solicited or able to bid. This limits price discovery and potentially leads to higher costs for the government.

Taxpayer Impact: The limited competition and long duration may result in taxpayers paying more than necessary for these essential facilities support services.

Public Impact

Military bases rely on these services for operational readiness. Long-term contracts can impact budget predictability for the Department of Defense. Potential for cost overruns due to limited competition over an extended period.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Facilities Support Services sector, which is crucial for maintaining government infrastructure. Spending in this sector can vary significantly based on the scale and type of facilities managed.

Small Business Impact

The data indicates that small businesses were not a factor in this award, as the 'SB' flag is 'N'. This represents a missed opportunity for small business engagement and economic development.

Oversight & Accountability

The 'Delivery Order' type suggests this may be part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract, requiring oversight to ensure fair pricing and performance across all orders.

Related Government Programs

Risk Flags

Tags

facilities-support-services, department-of-defense, nc, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $239.4 million to HONEYWELL INTERNATIONAL, INC. 200412!001846!2100!W912DY!* !DACA8797D0013 !A!N! !N!0012 !51 !20031106!20100930!001325240!001325240!139691877!N!HONEYWELL INTERNATIONAL INC !2701 4TH AVE S !MINNEAPOLIS !JA!55422!24260!051!37!FORT BRAGG !CUMBERLAND !N CAROLINA!+000001482140!N!N!000000000000!H935!OTHER QUALITY CNTL SVCS/SERVICE & TRADE EQUIPMENT !S1 !SERVICES !000 !* !561210!E! !5!B!M!D!A! !999

Who is the contractor on this award?

The obligated recipient is HONEYWELL INTERNATIONAL, INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $239.4 million.

What is the period of performance?

Start: 2003-11-06. End: 2025-09-30.

What specific facilities support services are included in this $239M contract to assess value?

The contract description 'OTHER QUALITY CNTL SVCS/SERVICE & TRADE EQUIPMENT' is vague. A detailed breakdown of services, such as maintenance, repair, logistics, and specialized equipment support, is needed to accurately assess the value proposition and compare it to market rates for similar comprehensive facilities management contracts.

What are the risks associated with a limited competition award for nearly 17 years?

Limited competition over such a long period increases the risk of vendor complacency, reduced innovation, and potentially inflated prices due to a lack of market pressure. It also limits the government's ability to leverage new technologies or more cost-effective solutions that may emerge over the contract's lifespan.

How effective is this contract in ensuring the operational readiness of Fort Bragg?

While Honeywell is a large contractor, the effectiveness hinges on the quality and timeliness of the services provided. The long duration and limited competition raise questions about whether alternative, potentially more innovative or cost-effective, service models could better ensure long-term operational readiness and efficiency.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesFacilities Support ServicesFacilities Support Services

Product/Service Code: QUALITY CONTROL, TEST, INSPECTIONOTHER QUALITY, TEST, INSPECT SVCS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Honeywell International Inc

Address: 1985 DOUGLAS DRIVE, GOLDEN VALLEY, MN, 55422

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $67,525,701

Exercised Options: $67,525,701

Current Obligation: $239,372,841

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DACA8797D0013

IDV Type: IDC

Timeline

Start Date: 2003-11-06

Current End Date: 2025-09-30

Potential End Date: 2025-09-30 00:00:00

Last Modified: 2023-09-26

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