EMCOR Government Services awarded $21.7M for facilities support, with a 1337-day duration

Contract Overview

Contract Amount: $21,696,218 ($21.7M)

Contractor: Emcor Government Services, Inc

Awarding Agency: Department of Defense

Start Date: 2014-10-01

End Date: 2018-05-30

Contract Duration: 1,337 days

Daily Burn Rate: $16.2K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: IGF::OT::IGF 4TH OPTION FFP PWD WASHINGTON

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20001

State: District of Columbia Government Spending

Plain-Language Summary

Department of Defense obligated $21.7 million to EMCOR GOVERNMENT SERVICES, INC for work described as: IGF::OT::IGF 4TH OPTION FFP PWD WASHINGTON Key points: 1. Value for money appears fair given the contract duration and scope. 2. Competition dynamics indicate a full and open process, suggesting potential for competitive pricing. 3. Risk indicators are moderate, typical for long-term facilities support contracts. 4. Performance context is based on a fixed-price structure, incentivizing contractor efficiency. 5. Sector positioning is within facilities support services, a critical component of government operations.

Value Assessment

Rating: fair

The total award amount of $21.7 million over approximately 3.6 years for facilities support services suggests a moderate annual spend. Benchmarking against similar large-scale facilities management contracts is challenging without more granular service details. However, the firm-fixed-price structure implies that EMCOR assumed the risk for cost overruns, which can be a positive indicator of value if performance is met efficiently. The duration of the contract also allows for economies of scale.

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 specific number of bidders is not provided, but the designation suggests a robust competitive process. A full and open competition generally leads to better price discovery and potentially lower costs for the government compared to limited or sole-source procurements.

Taxpayer Impact: A full and open competition provides taxpayers with assurance that the government sought the best possible value by allowing a wide range of qualified contractors to bid, fostering a competitive environment that can drive down prices.

Public Impact

The Department of the Navy benefits from consistent and reliable facilities support services. Services delivered likely include maintenance, repair, and operational support for government facilities. Geographic impact is concentrated in the District of Columbia, supporting federal operations in the capital. Workforce implications include employment opportunities for skilled trades and facility management professionals.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if not managed tightly due to the long duration.
Reliance on a single contractor for critical facilities operations could pose a risk if performance falters.

Positive Signals

Firm-fixed-price contract incentivizes cost control and efficiency from the contractor.
Full and open competition suggests a competitive award process, potentially leading to better pricing.
Long contract duration allows for stability and potential for long-term relationship building for consistent service delivery.

Sector Analysis

Facilities Support Services (NAICS 561210) is a broad category encompassing a wide range of services essential for the operation and maintenance of government and commercial buildings. This sector is highly competitive, with numerous providers ranging from small specialized firms to large integrated service companies. The total federal spending in this sector is substantial, reflecting the government's extensive real estate portfolio. This contract fits within the broader trend of outsourcing facility management to specialized contractors to achieve efficiency and focus on core missions.

Small Business Impact

The contract was awarded under full and open competition and does not indicate a small business set-aside. There is no explicit information on subcontracting plans for small businesses. Without specific set-aside goals or reporting, the direct impact on the small business ecosystem is unclear, though large prime contractors often utilize small businesses for specialized support services.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the requiring activity within the Department of the Navy. Performance standards and deliverables would be monitored to ensure compliance with the contract terms. Transparency is generally maintained through contract award databases, though detailed performance metrics may not always be publicly available. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Base Operations Support Services
Logistics and Support Services
Government Facilities Management
Maintenance, Repair, and Operations (MRO)

Risk Flags

Potential for performance degradation over the contract's long duration.
Risk of inadequate quality control if oversight is not rigorous.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $21.7 million to EMCOR GOVERNMENT SERVICES, INC. IGF::OT::IGF 4TH OPTION FFP PWD WASHINGTON

Who is the contractor on this award?

The obligated recipient is EMCOR GOVERNMENT SERVICES, INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $21.7 million.

What is the period of performance?

Start: 2014-10-01. End: 2018-05-30.

What specific facilities support services were included in this $21.7 million contract?

The provided data indicates the contract falls under NAICS code 561210, Facilities Support Services, for the Department of the Navy. While the exact breakdown of services is not detailed, this category typically encompasses a wide range of activities necessary for the operation and maintenance of facilities. These can include, but are not limited to, general building maintenance, custodial services, groundskeeping, pest control, refuse collection, security systems maintenance, and potentially specialized technical support for building systems like HVAC, electrical, and plumbing. The firm-fixed-price nature suggests a defined scope of services for which EMCOR Government Services is responsible.

How does the annual cost of this contract compare to similar facilities support contracts for the Department of the Navy?

The total award of $21.7 million over a period of 1337 days (approximately 3.6 years) equates to an average annual cost of roughly $6 million. Comparing this figure requires access to a database of similar Department of the Navy contracts for facilities support, specifying the scope, location, and duration. Without such comparative data, it's difficult to definitively state whether this represents a high, low, or average cost. However, for a large contract covering significant facilities in the District of Columbia, an annual spend in the millions is not unusual, especially considering the complexity and criticality of government facility operations.

What are the primary risks associated with a long-term facilities support contract like this one?

Primary risks for long-term facilities support contracts include potential contractor underperformance, leading to disruptions in essential services. Cost escalation beyond the fixed price is mitigated by the contract type, but scope creep can occur if requirements are not clearly defined and managed. Technological obsolescence in maintenance equipment or practices could also be a risk if the contractor does not invest in upgrades. Furthermore, a long-term reliance on a single provider can reduce flexibility and make it harder to adapt to changing government needs or to switch providers if performance issues arise. Ensuring robust oversight and clear communication channels is crucial to mitigate these risks.

What is the significance of the contract being a 'Delivery Order' under a larger contract vehicle?

The data indicates this award is a 'Delivery Order' (AW: DELIVERY ORDER). This suggests that the $21.7 million was not a standalone contract but rather an order placed against a pre-existing indefinite-delivery indefinite-quantity (IDIQ) contract or a similar type of contract vehicle. IDIQ contracts allow agencies to procure supplies or services over a period of time up to a specified maximum amount. Delivery orders define the specific quantities, prices, and delivery/performance dates for a particular task or requirement within the scope of the parent IDIQ contract. This approach provides flexibility for the agency to order what it needs when it needs it, while the initial competition for the IDIQ vehicle establishes overall terms and pricing.

How does the firm-fixed-price (FFP) contract type influence contractor behavior and government risk?

A Firm-Fixed-Price (FFP) contract type places the primary responsibility for cost control and efficiency on the contractor, EMCOR Government Services in this case. The contractor agrees to a set price for the defined scope of work, meaning they bear the risk of cost overruns. This incentivizes the contractor to manage resources effectively, minimize waste, and complete the work within budget to maximize their profit. For the government, the primary benefit is cost certainty; the total price is known upfront, simplifying budgeting. The main risk for the government is that the contractor might cut corners on quality or service to protect their profit margin if oversight is insufficient. However, for services like facilities support, the FFP structure is common and generally effective when performance standards are well-defined.

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: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: N4008009R0478

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

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

Address: 2800 CRYSTAL DRIVE, STE 600, ARLINGTON, VA, 22202

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

Financial Breakdown

Contract Ceiling: $30,892,888

Exercised Options: $30,892,888

Current Obligation: $21,696,218

Contract Characteristics

Commercial Item: SERVICES PURSUANT TO FAR 12.102(G)

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N4008010D0464

IDV Type: IDC

Timeline