GAO awards $399K facilities support contract to The Building People LLC for field office optimization

Contract Overview

Contract Amount: $399,295 ($399.3K)

Contractor: THE Building People LLC

Awarding Agency: Government Accountability Office

Start Date: 2024-07-03

End Date: 2026-07-01

Contract Duration: 728 days

Daily Burn Rate: $548/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: THE GOVERNMENT ACCOUNTABILITY OFFICE REQUIRES EXPERT ASSISTANCE AND SUPPORT SERVICES TO WORK WITH SEVERAL OF THE AGENCYS FIELD OFFICES TO ACHIEVE FIELD OFFICE OPTIMIZATION SPACE REDUCTION GOALS AT SEVERAL FIELD OFFICES.

Place of Performance

Location: LEESBURG, LOUDOUN County, VIRGINIA, 20175

State: Virginia Government Spending

Plain-Language Summary

Government Accountability Office obligated $399,294.65 to THE BUILDING PEOPLE LLC for work described as: THE GOVERNMENT ACCOUNTABILITY OFFICE REQUIRES EXPERT ASSISTANCE AND SUPPORT SERVICES TO WORK WITH SEVERAL OF THE AGENCYS FIELD OFFICES TO ACHIEVE FIELD OFFICE OPTIMIZATION SPACE REDUCTION GOALS AT SEVERAL FIELD OFFICES. Key points: 1. Contract focuses on optimizing space utilization and reduction goals across multiple GAO field offices. 2. The Building People LLC, a service-disabled veteran-owned small business, is the sole awardee. 3. The contract type is Time and Materials, indicating potential for cost variability based on effort. 4. Performance period spans approximately two years, from July 2024 to July 2026. 5. The North American Industry Classification System (NAICS) code 561210 points to Facilities Support Services. 6. This award is a Delivery Order under an existing contract, not a new competitive procurement.

Value Assessment

Rating: fair

Benchmarking the value of this specific delivery order is challenging without knowing the scope of services and the specific field offices involved. The Time and Materials (T&M) contract type can lead to costs exceeding initial estimates if not carefully managed. Comparing this to similar facilities support contracts would require detailed analysis of the services provided, labor rates, and overhead. Without more granular data on the expected outcomes and the specific optimization strategies, a definitive value-for-money assessment is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded as a sole-source action, meaning it was not competed. The provided data indicates it is 'NOT AVAILABLE FOR COMPETITION'. This suggests that either the specific expertise required is unique to The Building People LLC, or it is a follow-on action to a previous contract where competition was previously addressed. The lack of competition limits price discovery and potentially increases the risk of paying a premium.

Taxpayer Impact: For taxpayers, sole-source awards mean there is no opportunity to benefit from competitive bidding, which typically drives down prices. This can result in higher costs for government services.

Public Impact

GAO field offices will benefit from optimized space, potentially leading to cost savings and improved operational efficiency. Services delivered include expert assistance and support for field office optimization and space reduction. The geographic impact is focused on multiple GAO field offices across various locations. Workforce implications are not explicitly detailed but may involve changes in space allocation and potentially facility management roles.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may lead to higher costs for taxpayers.
Time and Materials contract type carries inherent risk of cost overruns if not managed effectively.
Scope of 'optimization' and 'space reduction' needs clear definition to ensure desired outcomes.

Positive Signals

Award to a service-disabled veteran-owned small business aligns with federal small business goals.
Focus on efficiency and cost reduction through space optimization is a positive fiscal objective.

Sector Analysis

Facilities Support Services, categorized under NAICS code 561210, is a broad sector encompassing a range of services necessary for the operation of commercial and institutional facilities. This includes services such as building operation and maintenance, janitorial services, and space utilization consulting. The market for these services is competitive, with many providers ranging from small local businesses to large national corporations. Government spending in this sector is substantial, supporting the operational needs of federal agencies across various departments and locations. This contract fits within the government's broader efforts to manage its real estate portfolio efficiently.

Small Business Impact

The Building People LLC is identified as a service-disabled veteran-owned small business (SDVOSB). While this award is sole-source, the fact that it is directed to an SDVOSB aligns with federal initiatives to support small businesses, particularly those owned by veterans. The implications for subcontracting are not specified in the provided data. However, as a small business itself, The Building People LLC may be less likely to subcontract significant portions of the work compared to a large prime contractor.

Oversight & Accountability

Oversight for this contract would primarily fall under the Government Accountability Office (GAO) itself, as the contracting agency. Specific oversight mechanisms would likely include regular performance reviews, monitoring of expenditures under the Time and Materials basis, and adherence to the Statement of Work. Accountability measures would be tied to the successful achievement of the field office optimization and space reduction goals. Transparency is generally high for GAO contracts, but detailed public reporting on the specifics of this delivery order's execution may be limited.

Related Government Programs

Federal Real Property Management
Government Facilities Operations
Office Space Optimization Programs
Small Business Contracting Programs
Veteran-Owned Small Business Support

Risk Flags

Sole-source award limits competitive pricing.
Time and Materials contract type requires diligent oversight to control costs.
Scope definition for 'optimization' and 'reduction' is critical for performance measurement.

Frequently Asked Questions

What is this federal contract paying for?

Government Accountability Office awarded $399,294.65 to THE BUILDING PEOPLE LLC. THE GOVERNMENT ACCOUNTABILITY OFFICE REQUIRES EXPERT ASSISTANCE AND SUPPORT SERVICES TO WORK WITH SEVERAL OF THE AGENCYS FIELD OFFICES TO ACHIEVE FIELD OFFICE OPTIMIZATION SPACE REDUCTION GOALS AT SEVERAL FIELD OFFICES.

Who is the contractor on this award?

The obligated recipient is THE BUILDING PEOPLE LLC.

Which agency awarded this contract?

Awarding agency: Government Accountability Office (GAO, Except Comptroller General).

What is the total obligated amount?

The obligated amount is $399,294.65.

What is the period of performance?

Start: 2024-07-03. End: 2026-07-01.

What specific metrics will be used to measure the success of 'field office optimization' and 'space reduction goals'?

The success of 'field office optimization' and 'space reduction goals' will likely be measured through a combination of quantitative and qualitative metrics. Quantitatively, this could include metrics such as square footage reduction per office, cost savings achieved through reduced real estate footprint (e.g., lower lease payments, reduced utility costs), and improved space utilization rates (e.g., higher occupancy per square foot). Qualitatively, success might be assessed through employee feedback on workspace functionality, improved workflow efficiency, and the overall impact on productivity within the optimized spaces. The specific metrics should be clearly defined in the contract's Statement of Work (SOW) and agreed upon by both GAO and The Building People LLC to ensure clear performance expectations and accountability.

How does the pricing structure of this Time and Materials (T&M) contract compare to industry benchmarks for similar facilities support services?

Assessing the pricing structure of this T&M contract against industry benchmarks is challenging without specific details on the labor categories, hourly rates, and overhead applied by The Building People LLC. T&M contracts are inherently variable, and their value is highly dependent on the efficiency and management of the contractor. Industry benchmarks for facilities support services can vary significantly based on geographic location, the complexity of the facility, and the specific services provided (e.g., janitorial, maintenance, space planning). To perform a robust comparison, one would need to analyze the proposed labor rates and indirect cost percentages against established government rate schedules (like GSA schedules) or commercial market surveys for comparable services. The lack of competition for this sole-source award further complicates direct price benchmarking, as there are no competing proposals to evaluate.

What is The Building People LLC's track record with the GAO or other federal agencies for similar space optimization projects?

The Building People LLC has a track record of performing facilities support and related services for federal agencies. Information regarding their specific experience with GAO on space optimization projects would require a deeper dive into contract databases and performance reports. Generally, as a service-disabled veteran-owned small business, they are often awarded contracts related to facilities management, construction, and support services. Their ability to secure this sole-source delivery order suggests a level of trust or prior successful performance, potentially with GAO or within the broader federal contracting landscape. A comprehensive assessment would involve reviewing past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS) and any publicly available project case studies to gauge their expertise in delivering similar outcomes.

What are the potential risks associated with a sole-source award for facilities support services?

The primary risk associated with a sole-source award for facilities support services is the potential for inflated pricing due to the absence of competitive pressure. Without competing bids, the government may not achieve the most cost-effective solution. Another risk is a potential decrease in service quality or innovation, as the contractor may have less incentive to exceed expectations compared to a competitive environment. Furthermore, sole-source awards can raise concerns about fairness and equal opportunity for other capable businesses. In this specific case, the risk is mitigated if The Building People LLC possesses unique capabilities or is fulfilling a critical need that cannot be met by others, or if this is a logical follow-on to a previously competed effort. However, robust oversight and performance management are crucial to ensure value is obtained.

How does this contract align with GAO's overall strategy for managing its physical footprint and real estate costs?

This contract directly aligns with GAO's potential strategy for managing its physical footprint and real estate costs by focusing on 'field office optimization' and 'space reduction goals.' Federal agencies, including GAO, are under continuous pressure to reduce their real estate holdings and associated expenses, such as rent, utilities, and maintenance. By engaging expert support, GAO aims to identify inefficiencies in its current space allocation and implement measures to consolidate or reduce its physical presence. This initiative is likely part of a broader government-wide effort to achieve cost savings and improve the utilization of taxpayer-funded assets. The success of this contract will contribute to GAO's ability to operate more efficiently and potentially free up resources for its core auditing and oversight missions.

Industry Classification

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

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR NONBUILDINGS

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 215 DEPOT CT SE FL 3, LEESBURG, VA, 20175

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Hispanic American Owned Business, HUBZone Firm, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $399,295

Exercised Options: $399,295

Current Obligation: $399,295

Actual Outlays: $152,632

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 05GA0A21D0007

IDV Type: IDC

Timeline