Elevator maintenance contract awarded to Elevate Enterprises LLC for over $33 million
Contract Overview
Contract Amount: $33,476 ($33.5K)
Contractor: Elevate Enterprises LLC
Awarding Agency: Department of State
Start Date: 2023-09-30
End Date: 2026-11-05
Contract Duration: 1,132 days
Daily Burn Rate: $30/day
Competition Type: COMPETED UNDER SAP
Number of Offers Received: 6
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: ELEVATOR MAINTENANCE SERVICES
Place of Performance
Location: DEL RIO, VAL VERDE County, TEXAS, 78840
State: Texas Government Spending
Plain-Language Summary
Department of State obligated $33,475.75 to ELEVATE ENTERPRISES LLC for work described as: ELEVATOR MAINTENANCE SERVICES Key points: 1. Contract value appears high for elevator maintenance services, warranting a closer look at the scope and duration. 2. The contract was competed under Simplified Acquisition Procedures (SAP), suggesting a focus on smaller value procurements. 3. A firm-fixed-price contract type generally offers cost certainty for the government. 4. The duration of the contract (over 3 years) is substantial for maintenance services. 5. The specific services and performance metrics will be key to assessing value for money. 6. Geographic location in Texas may influence labor costs and market rates.
Value Assessment
Rating: fair
The contract value of $33.48 million over approximately 3 years for elevator maintenance services is substantial. Without detailed service level agreements and performance metrics, it is difficult to benchmark value effectively. Comparing this to similar large-scale, multi-year elevator maintenance contracts across federal agencies would be necessary to determine if the pricing is competitive. The firm-fixed-price structure provides cost predictability, but the overall value hinges on the quality and efficiency of the services delivered.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was competed under Simplified Acquisition Procedures (SAP), which are typically used for procurements valued at or below the simplified acquisition threshold (currently $250,000). However, this contract significantly exceeds that threshold. This suggests that either the procurement was broken down into smaller components, or there was a misunderstanding in the competition method description. If it was truly competed under SAP, it implies a broad outreach to potential vendors. The number of bidders (6) is a positive indicator of competition within the SAP framework.
Taxpayer Impact: Competition under SAP, if applied appropriately for this contract value, should theoretically lead to competitive pricing for taxpayers. However, the discrepancy in the contract value versus typical SAP usage raises questions about the effectiveness of the competition in securing the best possible price.
Public Impact
The primary beneficiaries are the users of facilities managed by the International Boundary and Water Commission: U.S.-Mexico, ensuring safe and reliable elevator operations. Services include the maintenance and repair of elevators, crucial for accessibility and functionality within government buildings. The geographic impact is concentrated in Texas, where the contract is being performed. The contract supports jobs in the elevator maintenance and repair industry within the specified region.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for overpayment given the high contract value and the use of SAP, which may not yield the most competitive pricing for larger sums.
- Scope creep risk if the definition of 'maintenance' is not clearly delineated, potentially leading to increased costs.
- Dependence on a single contractor for critical infrastructure maintenance over an extended period.
Positive Signals
- Firm-fixed-price contract provides cost certainty for the government.
- Competition, indicated by 6 bidders, suggests a degree of market interest and potential for reasonable pricing.
- The contract is for essential services, ensuring operational continuity of facilities.
Sector Analysis
This contract falls within the Commercial and Industrial Machinery and Equipment Repair and Maintenance sector. This sector is vital for maintaining the operational readiness of government facilities and infrastructure. The market for elevator maintenance is typically characterized by specialized service providers, with varying degrees of competition depending on geographic location and contract size. Federal spending in this area is consistent, supporting the upkeep of numerous government buildings nationwide.
Small Business Impact
There is no indication that this contract was specifically set aside for small businesses, nor is there information on subcontracting plans. Given the large contract value, it is unlikely to be a small business set-aside. Further analysis would be needed to determine if small businesses are participating as subcontractors.
Oversight & Accountability
Oversight for this contract would likely fall under the purview of the International Boundary and Water Commission: U.S.-Mexico, which is part of the Department of State. Standard contract administration and performance monitoring processes would be in place. Transparency would depend on the agency's reporting practices and the availability of performance data. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.
Related Government Programs
- General Services Administration (GSA) Schedules for facilities maintenance
- Department of Defense (DoD) facilities maintenance contracts
- Other agency-specific building operations and maintenance contracts
Risk Flags
- Potential for misapplication of Simplified Acquisition Procedures (SAP) given the contract value.
- Lack of detailed performance metrics and SLAs makes value assessment difficult.
- Limited insight into contractor's past performance on federal contracts.
Tags
elevator-maintenance, facilities-maintenance, department-of-state, international-boundary-and-water-commission, texas, purchase-order, firm-fixed-price, competed, machinery-repair, commercial-services, long-term-contract
Frequently Asked Questions
What is this federal contract paying for?
Department of State awarded $33,475.75 to ELEVATE ENTERPRISES LLC. ELEVATOR MAINTENANCE SERVICES
Who is the contractor on this award?
The obligated recipient is ELEVATE ENTERPRISES LLC.
Which agency awarded this contract?
Awarding agency: Department of State (International Boundary and Water Commission: U.S.-Mexico).
What is the total obligated amount?
The obligated amount is $33,475.75.
What is the period of performance?
Start: 2023-09-30. End: 2026-11-05.
What is the specific breakdown of services included in this elevator maintenance contract, and how does it compare to industry standards for similar contracts?
The provided data does not detail the specific services included in the elevator maintenance contract beyond the general description. To assess value, a detailed review of the contract's Statement of Work (SOW) is required. This would outline the scope of preventive maintenance, corrective maintenance, emergency response, and any included parts or labor. Comparing this SOW to industry standards for similar contracts, particularly those awarded by agencies like the General Services Administration (GSA) or the Department of Defense (DoD) for comparable facilities, would reveal if the scope is standard or unusually broad. Benchmarking against industry pricing models for specific maintenance tasks (e.g., per elevator, per service call, or as a percentage of asset value) would also be crucial for a thorough value-for-money assessment.
How does the awarded price of $33.48 million compare to historical spending on elevator maintenance by the International Boundary and Water Commission or similar agencies?
Historical spending data for elevator maintenance by the International Boundary and Water Commission (IBWC) or comparable agencies is not provided in the current data. To conduct this comparison, one would need to access historical contract databases (e.g., FPDS-NG) and filter for similar services (NAICS code 811310) awarded by the IBWC or agencies with similar facility portfolios and geographic locations. Analyzing trends in pricing, contract duration, and competition levels over time would help determine if the current award represents an increase, decrease, or stable spending pattern. Understanding the historical context is vital for identifying potential anomalies or confirming consistent budgetary allocation for these essential services.
What are the specific performance metrics and service level agreements (SLAs) associated with this contract, and how will contractor performance be monitored?
The provided data does not specify the performance metrics or Service Level Agreements (SLAs) for this elevator maintenance contract. Effective contract oversight relies heavily on clearly defined and measurable performance standards. These typically include response times for service calls, uptime guarantees for elevators, preventive maintenance schedules, and quality of repair standards. The contract's administration team, likely within the International Boundary and Water Commission, would be responsible for monitoring the contractor's adherence to these SLAs. This monitoring process usually involves regular reporting, site inspections, and performance reviews. The absence of this information in the summary data makes it difficult to assess the risk of underperformance or the mechanisms in place to ensure service quality.
Given the contract value significantly exceeds typical SAP thresholds, what was the justification for using Simplified Acquisition Procedures, and were there any limitations imposed by this method?
The data indicates the contract was 'COMPETED UNDER SAP,' yet the value of $33.48 million far exceeds the current Simplified Acquisition Threshold (SAT), which is $250,000. This discrepancy suggests a potential misclassification or a specific agency interpretation of SAP rules. Typically, procurements above the SAT require more formal advertising and competition methods (e.g., full and open competition under FAR Part 15). If SAP procedures were indeed followed, it might imply the contract was broken into smaller procurements, or that specific exceptions or waivers were applied, which would require justification. The limitations of SAP include reduced competition outreach and potentially less rigorous evaluation criteria compared to larger procurement methods, which could impact the final price and value obtained for taxpayers.
What is the track record of Elevate Enterprises LLC in performing similar federal contracts, particularly regarding performance, timeliness, and cost control?
Information regarding the track record of Elevate Enterprises LLC in performing similar federal contracts is not included in the provided data. A comprehensive assessment of contractor performance would require reviewing their past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), any past disputes or claims, and their history with similar maintenance contracts. Examining their success in meeting deadlines, staying within budget on previous projects, and the quality of their work is crucial for understanding the risk associated with this new award. Without this historical performance data, it is challenging to gauge the reliability and capability of Elevate Enterprises LLC for this significant contract.
Industry Classification
NAICS: Other Services (except Public Administration) › Commercial and Industrial Machinery and Equipment (except Automotive and Electronic) Repair and Maintenance › Commercial and Industrial Machinery and Equipment (except Automotive and Electronic) Repair and Maintenance
Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT
Competition & Pricing
Extent Competed: COMPETED UNDER SAP
Solicitation Procedures: SIMPLIFIED ACQUISITION
Offers Received: 6
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 9498 US HIGHWAY 87 E, SAN ANTONIO, TX, 78263
Business Categories: Category Business, Limited Liability Corporation, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $60,212
Exercised Options: $33,476
Current Obligation: $33,476
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Timeline
Start Date: 2023-09-30
Current End Date: 2026-11-05
Potential End Date: 2028-11-05 00:00:00
Last Modified: 2026-04-08
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