Army awards $79.3M for facilities operations, highlighting a competitive contract with a 360-day duration

Contract Overview

Contract Amount: $14,584,220 ($14.6M)

Contractor: LB & B Associates Inc

Awarding Agency: Department of Defense

Start Date: 2005-10-05

End Date: 2006-09-30

Contract Duration: 360 days

Daily Burn Rate: $40.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 10

Pricing Type: COST PLUS AWARD FEE

Sector: Other

Official Description: 200605!600156!2100!W911S7!U. S. ARMY ENGINEER CENTER !W911S704D0018 !A!N! !N!1000 ! !20051005!20060930!793374034!793374034!793374034!N!L B & B ASSOCIATES INC !9891 BROKENLAND PKWY !COLUMBIA !MD!21046!25264!169!29!FORT LEONARD WOOD !PULASKI !MISSOURI !+000011072656!N!N!000000000000!S216!FACILITIES OPERATIONS SUPPORT SERVICES !S1 !SERVICES !000 !* !561210!E! !5!A!S! ! !D!20060930!B! ! !A! !A!N!R!2!010!B! !C!N!Z! ! !N!C!Y! ! ! !A!A!A!A!000!A!D!N! ! ! !Y! ! !0001! !

Place of Performance

Location: FORT LEONARD WOOD, PULASKI County, MISSOURI, 65473

State: Missouri Government Spending

Plain-Language Summary

Department of Defense obligated $14.6 million to LB & B ASSOCIATES INC for work described as: 200605!600156!2100!W911S7!U. S. ARMY ENGINEER CENTER !W911S704D0018 !A!N! !N!1000 ! !20051005!20060930!793374034!793374034!793374034!N!L B & B ASSOCIATES INC !9891 BROKENLAND PKWY !COLUMBIA !MD!21046!25264!169!29!FORT LEONARD WOOD !PULA… Key points: 1. The contract was awarded under full and open competition, suggesting a robust bidding process. 2. The total value of $79.3M for a 360-day period indicates significant operational support requirements. 3. The contract type is Cost Plus Award Fee (CPAF), which incentivizes contractor performance but requires careful oversight. 4. The primary NAICS code 561210 points to a focus on facilities support services. 5. The contract was awarded to L B & B ASSOCIATES INC, a company with a track record in government contracting. 6. The performance period is relatively short (360 days), suggesting a need for ongoing re-competition or contract modifications.

Value Assessment

Rating: fair

The contract value of $79.3 million for approximately one year of facilities operations support appears substantial. Benchmarking against similar contracts for facilities operations support services is difficult without more specific details on the scope of work and geographic location. However, the Cost Plus Award Fee (CPAF) contract type suggests that the government is willing to pay a premium for performance that exceeds expectations, but it also necessitates rigorous monitoring to ensure costs are reasonable and that award fees are justified.

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 bids. The data shows 10 bids were received, which suggests a healthy level of competition for this requirement. A competitive environment generally leads to better price discovery and potentially more favorable terms for the government.

Taxpayer Impact: The full and open competition with multiple bidders is beneficial for taxpayers as it likely drove down costs through competitive pressure, ensuring the government received a fair market price for the services.

Public Impact

The primary beneficiaries are the U.S. Army Engineer Center and potentially personnel at Fort Leonard Wood, Missouri, who will receive enhanced facilities operations support. The services delivered include comprehensive facilities operations support, crucial for maintaining military installations. The geographic impact is centered around Fort Leonard Wood, Missouri, supporting its operational readiness. The contract implies a workforce of individuals skilled in facilities maintenance and operations, contributing to local employment in Missouri.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The Cost Plus Award Fee (CPAF) structure requires diligent oversight to ensure that award fees are earned based on demonstrable performance and not simply for meeting minimum requirements.
The relatively short contract duration of 360 days may lead to frequent re-competition or modifications, potentially increasing administrative burden and associated costs.
Without detailed performance metrics, it's challenging to assess the true value-for-money achieved through the award fee component.

Positive Signals

The contract was awarded through full and open competition, indicating a robust and fair bidding process.
The receipt of 10 bids suggests strong market interest and a competitive landscape, which is positive for price negotiation.
The CPAF structure, if managed effectively, can incentivize superior performance from the contractor, leading to higher quality services.

Sector Analysis

Facilities Support Services (NAICS 561210) is a significant sector within the broader professional, scientific, and technical services industry. This contract represents a substantial investment in maintaining critical infrastructure for the U.S. Army. Comparable spending in this sector can vary widely based on the scale and complexity of the facilities managed. Government contracts for facilities operations often involve a wide range of services, from routine maintenance to specialized technical support, and are a key component of defense spending.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (SS=false, SB=false). Therefore, there are no direct subcontracting implications for small businesses mandated by a set-aside. However, the prime contractor, L B & B ASSOCIATES INC, may choose to subcontract portions of the work to small businesses as part of their overall business strategy or to meet broader federal subcontracting goals, though this is not explicitly detailed in the award data.

Oversight & Accountability

Oversight for this Cost Plus Award Fee contract would typically be managed by the U.S. Army Corps of Engineers or the specific contracting command responsible for Fort Leonard Wood. Accountability measures are built into the CPAF structure through performance evaluations that determine award fees. Transparency is generally facilitated through contract award databases, though specific performance reports and fee determinations may not be publicly available. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Base Operations Support Services
Facilities Maintenance Contracts
Logistics and Support Services
Department of Defense Construction and Facilities Management

Risk Flags

Cost Plus Award Fee (CPAF) requires diligent oversight to ensure value.
Short contract duration may lead to administrative overhead.
Performance metrics for award fee determination need to be robust.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $14.6 million to LB & B ASSOCIATES INC. 200605!600156!2100!W911S7!U. S. ARMY ENGINEER CENTER !W911S704D0018 !A!N! !N!1000 ! !20051005!20060930!793374034!793374034!793374034!N!L B & B ASSOCIATES INC !9891 BROKENLAND PKWY !COLUMBIA !MD!21046!25264!169!29!FORT LEONARD WOOD !PULASKI !MISSOURI !+000011072656!N!N!000000000000!S216!FACILITIES OPERATIONS SUPPORT SERVICES !S1 !SERVICES !000 !* !561210!E! !5!A!S! ! !D!200

Who is the contractor on this award?

The obligated recipient is LB & B ASSOCIATES 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 $14.6 million.

What is the period of performance?

Start: 2005-10-05. End: 2006-09-30.

What is the specific scope of 'Facilities Operations Support Services' covered under this contract?

The provided data identifies the service as 'FACILITIES OPERATIONS SUPPORT SERVICES' under NAICS code 561210. This typically encompasses a broad range of activities necessary for the upkeep and operation of physical facilities. These services can include, but are not limited to, general maintenance and repair of buildings and grounds, custodial services, pest control, refuse collection, security services, and potentially specialized technical services like HVAC maintenance, electrical systems upkeep, and plumbing. The exact scope would be detailed in the contract's Performance Work Statement (PWS), which outlines the specific tasks, standards, and deliverables expected from the contractor, L B & B ASSOCIATES INC, for the duration of the contract at Fort Leonard Wood, Missouri.

How does the 'Cost Plus Award Fee' (CPAF) structure influence contractor behavior and government oversight for this contract?

The Cost Plus Award Fee (CPAF) contract type allows the contractor to be reimbursed for all allowable costs incurred, plus a fee that is composed of a fixed base amount and an award amount. The award amount is determined based on the contractor's performance against pre-defined criteria and metrics outlined in the contract. This structure incentivizes the contractor, L B & B ASSOCIATES INC, to exceed minimum performance standards to earn a higher fee. For the government, it necessitates robust oversight and performance evaluation mechanisms to ensure that award fees are justified and that the contractor is delivering exceptional value. This requires clear metrics, regular performance reviews, and objective assessments to prevent cost overruns and ensure mission success at Fort Leonard Wood.

What is the historical spending pattern for facilities operations support services at Fort Leonard Wood or similar Army installations?

Analyzing historical spending patterns for facilities operations support services at Fort Leonard Wood or similar Army installations requires access to detailed historical contract data. This specific contract, valued at approximately $79.3 million over 360 days, represents a significant annual expenditure. Generally, large military installations require substantial and continuous investment in facilities operations to maintain readiness and operational capability. Spending in this category can fluctuate based on infrastructure needs, modernization efforts, and changes in contracting strategies (e.g., shifting from in-house services to contracted support). A comprehensive analysis would involve examining prior contracts for similar services at this installation and comparing them to contracts at other bases of comparable size and mission to identify trends, cost efficiencies, and potential areas for savings.

What is the track record of L B & B ASSOCIATES INC in performing similar government contracts?

L B & B ASSOCIATES INC has been awarded this $79.3 million contract for facilities operations support services. To assess their track record, one would need to examine their past performance on similar government contracts, particularly those with the Department of Defense or other federal agencies. Key indicators include their history of on-time delivery, quality of service, compliance with contract terms, and any past performance issues or disputes. Information on past performance can often be found in federal procurement databases or through agency performance evaluation reports. A strong track record in delivering facilities support services would provide greater confidence in their ability to successfully execute this current contract at Fort Leonard Wood.

How does the competition level (10 bidders) for this contract compare to the average for facilities support services contracts?

Receiving 10 bids for this facilities operations support services contract, awarded under full and open competition, suggests a healthy level of market interest. The average number of bids can vary significantly depending on the specific service, contract value, and agency. However, for a contract of this magnitude ($79.3 million) within the Department of Defense, 10 bidders generally indicates a competitive marketplace. In some highly specialized or niche service areas, the number of bidders might be lower, while for more common services, it could be higher. The strong competition here is a positive signal for the government, likely contributing to favorable pricing and service offerings.

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

Offers Received: 10

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Address: 9891 BROKEN LAND PARKWAY,, COLUMBIA, MD, 03

Business Categories: Category Business, Not Designated a Small Business, Woman Owned Business

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W911S704D0018

IDV Type: IDC

Timeline