Smithsonian Institution awards $30M for facilities support at Udvar-Hazy Center, with EMCOR Government Services Inc. as contractor

Contract Overview

Contract Amount: $30,062,121 ($30.1M)

Contractor: Emcor Government Services, Inc

Awarding Agency: Smithsonian Institution

Start Date: 2005-04-28

End Date: 2012-11-30

Contract Duration: 2,773 days

Daily Burn Rate: $10.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 11

Pricing Type: FIXED PRICE INCENTIVE

Sector: Other

Official Description: OPERATIONS AND MAINTENANCE OF UDVAR-HAZY CENTER, DULLES

Place of Performance

Location: CHANTILLY, FAIRFAX County, VIRGINIA, 20151

State: Virginia Government Spending

Plain-Language Summary

Smithsonian Institution obligated $30.1 million to EMCOR GOVERNMENT SERVICES, INC for work described as: OPERATIONS AND MAINTENANCE OF UDVAR-HAZY CENTER, DULLES Key points: 1. Contract value appears reasonable for a multi-year facilities support services agreement. 2. Full and open competition suggests a competitive bidding process was utilized. 3. Fixed Price Incentive contract type introduces performance-based incentives for the contractor. 4. Contract duration of over 2,000 days indicates a long-term service requirement. 5. The services provided are essential for the operational readiness of a major museum facility.

Value Assessment

Rating: good

The contract value of approximately $30 million over its duration suggests a substantial investment in maintaining the Udvar-Hazy Center. Benchmarking against similar large-scale facilities support contracts for federal institutions would provide a clearer picture of value for money. However, given the scope of supporting a major Smithsonian facility, the pricing appears within a reasonable range, assuming quality service delivery.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. With 11 bidders participating, the level of competition was robust. This suggests that the Smithsonian Institution likely received competitive pricing and a range of service offerings, fostering price discovery and potentially leading to better value.

Taxpayer Impact: A high level of competition benefits taxpayers by driving down costs and ensuring that the government secures services at a fair market price.

Public Impact

The National Air and Space Museum's Udvar-Hazy Center benefits from consistent and reliable facility maintenance. Visitors and staff experience a well-maintained and safe environment at the museum. The contract supports jobs within the facilities management and maintenance sector. Operations at a key national cultural and scientific institution are sustained.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if incentive targets are not met efficiently.
Dependence on a single contractor for critical facility operations.

Positive Signals

Full and open competition suggests a strong initial vetting of potential service providers.
Fixed Price Incentive contract type encourages contractor performance and efficiency.
Long contract duration allows for stable service provision and potential for economies of scale.

Sector Analysis

Facilities Support Services (NAICS 561210) is a broad sector encompassing a wide range of services necessary for the operation and maintenance of buildings and grounds. This contract falls within the government's significant spending on maintaining its vast real estate portfolio. Comparable spending benchmarks would involve analyzing other large federal facilities maintenance contracts, particularly those for museums, research centers, or large administrative complexes.

Small Business Impact

The data indicates that this contract was not set aside for small businesses, and there is no explicit mention of small business subcontracting requirements. Therefore, the direct impact on the small business ecosystem is likely minimal, unless EMCOR Government Services, Inc. voluntarily engages small businesses as subcontractors for specialized services.

Oversight & Accountability

Oversight for this contract would typically be managed by the Smithsonian Institution's contracting officers and program managers. Accountability measures are embedded within the Fixed Price Incentive contract structure, which links contractor payment to performance outcomes. Transparency is generally maintained through federal procurement databases, though specific performance metrics and oversight reports may not be publicly accessible.

Related Government Programs

National Air and Space Museum Operations
Smithsonian Institution Facilities Management
Federal Building Maintenance Contracts
Government Support Services

Risk Flags

Long-term contract duration may limit flexibility for adopting new technologies.
Reliance on a single contractor for critical infrastructure could pose operational risks.
Performance incentives require careful monitoring to ensure effectiveness.

Frequently Asked Questions

What is this federal contract paying for?

Smithsonian Institution awarded $30.1 million to EMCOR GOVERNMENT SERVICES, INC. OPERATIONS AND MAINTENANCE OF UDVAR-HAZY CENTER, DULLES

Who is the contractor on this award?

The obligated recipient is EMCOR GOVERNMENT SERVICES, INC.

Which agency awarded this contract?

Awarding agency: Smithsonian Institution (Smithsonian Institution).

What is the total obligated amount?

The obligated amount is $30.1 million.

What is the period of performance?

Start: 2005-04-28. End: 2012-11-30.

What is the track record of EMCOR Government Services, Inc. in performing similar large-scale facilities support contracts for federal agencies?

EMCOR Government Services, Inc. has a history of performing large-scale facilities support and maintenance contracts for various federal agencies. Their experience often includes managing complex building systems, grounds maintenance, and specialized technical services. A review of their past performance on contracts of similar size and scope, particularly for cultural or scientific institutions, would be necessary to fully assess their capability and reliability for this specific Smithsonian contract. Past performance evaluations and any reported issues or successes on previous government contracts would provide valuable context for understanding their track record.

How does the awarded price compare to industry benchmarks for similar facilities support services at large cultural institutions?

To benchmark the awarded price of approximately $30 million, one would need to compare it against industry data for facilities support services at comparable large cultural institutions, such as major museums or national archives. This would involve analyzing the scope of services (e.g., HVAC, electrical, plumbing, janitorial, security, groundskeeping), the square footage of the facilities, and the duration of the contracts. Without access to proprietary benchmarking data or detailed cost breakdowns, a precise comparison is difficult. However, the value appears substantial, suggesting a comprehensive service package is being procured.

What are the key performance indicators (KPIs) and incentive structures within the Fixed Price Incentive (FPI) contract type for this agreement?

The Fixed Price Incentive (FPI) contract type implies that the final price is based on the contractor's performance against agreed-upon targets. Key performance indicators (KPIs) would likely include metrics related to system uptime, response times for maintenance requests, energy efficiency, safety compliance, and overall facility condition. The incentive structure would define how deviations from target cost and schedule impact the final price paid to EMCOR Government Services, Inc. This could involve sharing in cost savings if performance exceeds targets or sharing in cost overruns if performance falls short, up to certain limits, thereby motivating the contractor to achieve optimal outcomes.

What is the historical spending pattern for facilities support services at the Udvar-Hazy Center or similar Smithsonian facilities?

Analyzing historical spending patterns for facilities support at the Udvar-Hazy Center would involve examining previous contracts awarded for similar services. This would reveal trends in contract values, durations, and the incumbent contractors over time. Comparing this to spending on other Smithsonian facilities of comparable size and complexity would provide context on whether this $30 million award represents an increase, decrease, or stable level of investment. Understanding these patterns can help identify potential efficiencies or escalating costs in facility maintenance over the years.

What are the potential risks associated with a long-term (2,773 days) facilities support contract, and how are they mitigated?

Long-term facilities support contracts carry risks such as potential for contractor complacency, difficulty in adapting to evolving technological needs or regulatory changes, and the risk of price escalation beyond initial projections if not carefully managed. Mitigation strategies often include robust performance monitoring, regular contract reviews, clear change order processes, and incorporating flexibility clauses to address unforeseen circumstances. The FPI structure itself aims to mitigate cost risks by aligning contractor incentives with performance and cost control. The Smithsonian Institution's oversight mechanisms are crucial for identifying and addressing these risks proactively throughout the contract's lifespan.

Industry Classification

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

Product/Service Code: SUBSISTENCE

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 11

Pricing Type: FIXED PRICE INCENTIVE (L)

Evaluated Preference: NONE

Contractor Details

Parent Company: Roberts Immigration LAW Group, LLC (UEI: 017106386)

Address: 320 23RD. STREET, SOUTH, ARLINGTON, VA, 08

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

Financial Breakdown

Contract Ceiling: $30,062,121

Exercised Options: $30,062,121

Current Obligation: $30,062,121

Contract Characteristics

Multi-Year Contract: Yes

Timeline