State Dept. Awards $36M Facilities Maintenance Contract to PACARCTIC, LLC, Lacking Competition

Contract Overview

Contract Amount: $36,263,683 ($36.3M)

Contractor: Pacarctic, LLC

Awarding Agency: Department of State

Start Date: 2018-11-01

End Date: 2026-08-31

Contract Duration: 2,860 days

Daily Burn Rate: $12.7K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: COMPLETE FACILITIES MAINTENANCE SERVICES PORTSMOUTH CONSULAR CENTER

Place of Performance

Location: PORTSMOUTH, ROCKINGHAM County, NEW HAMPSHIRE, 03801

State: New Hampshire Government Spending

Plain-Language Summary

Department of State obligated $36.3 million to PACARCTIC, LLC for work described as: COMPLETE FACILITIES MAINTENANCE SERVICES PORTSMOUTH CONSULAR CENTER Key points: 1. Significant contract value of $36.26 million over nearly 8 years. 2. Sole-source award raises concerns about potential overpricing and lack of market pressure. 3. Facilities Support Services sector is crucial for government operations. 4. No small business participation noted, potentially missing opportunities for smaller enterprises.

Value Assessment

Rating: questionable

The contract's firm fixed price structure is standard, but the lack of competition makes a direct pricing assessment difficult. Without competitive bids, it's hard to determine if the $36.26 million represents fair market value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was awarded on a sole-source basis, meaning no other vendors were considered. This significantly limits price discovery and may lead to higher costs for taxpayers.

Taxpayer Impact: The absence of competition for a contract of this magnitude could result in millions of dollars in potentially avoidable excess spending.

Public Impact

Taxpayers may be overpaying for essential facilities maintenance due to lack of competition. The long duration of the contract (until 2026) locks in current pricing without market adjustments. Lack of small business involvement means missed opportunities to support smaller economic players.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under Facilities Support Services, a broad category essential for the operational continuity of government facilities. Benchmarks for this sector vary widely based on scope and location, but competitive bidding typically ensures better value.

Small Business Impact

The data indicates no small business participation in this contract. This is a missed opportunity to leverage the capabilities of smaller businesses and could represent a failure to meet small business contracting goals.

Oversight & Accountability

The sole-source nature of this award warrants further scrutiny from oversight bodies to ensure the price paid is justified and that future procurements explore competitive options.

Related Government Programs

Risk Flags

Tags

facilities-support-services, department-of-state, nh, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $36.3 million to PACARCTIC, LLC. COMPLETE FACILITIES MAINTENANCE SERVICES PORTSMOUTH CONSULAR CENTER

Who is the contractor on this award?

The obligated recipient is PACARCTIC, LLC.

Which agency awarded this contract?

Awarding agency: Department of State (Department of State).

What is the total obligated amount?

The obligated amount is $36.3 million.

What is the period of performance?

Start: 2018-11-01. End: 2026-08-31.

What justification was provided for the sole-source award, and were alternative competitive strategies considered?

The provided data states the contract was 'NOT AVAILABLE FOR COMPETITION,' implying a justification was made, likely citing specific circumstances or vendor capabilities. However, without further documentation, it's unclear if alternative competitive strategies were thoroughly explored or if this was the most cost-effective path for the government.

How does the per-unit cost of services compare to industry benchmarks, given the lack of competitive data?

Directly comparing per-unit costs is challenging due to the sole-source nature of this award. Without competitive bids, it's difficult to establish a reliable benchmark. An independent cost analysis or review of historical pricing for similar services at other government facilities would be necessary to assess value for money.

What measures are in place to ensure the quality and effectiveness of services provided by PACARCTIC, LLC under this contract?

While the contract type is firm fixed price, ensuring quality relies heavily on the Department of State's contract management and performance monitoring. Robust inspection protocols, clear performance standards, and regular feedback mechanisms are crucial to guarantee the effectiveness of the facilities maintenance services.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesFacilities Support ServicesFacilities Support Services

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTYMAINT, ALTER, REPAIR BUILDINGS

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3800 CENTERPOINT DR STE 502, ANCHORAGE, AK, 99503

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, DoT Certified Disadvantaged Business Enterprise, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $43,259,439

Exercised Options: $39,734,099

Current Obligation: $36,263,683

Actual Outlays: $8,738,293

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 19AQMM18D0117

IDV Type: IDC

Timeline

Start Date: 2018-11-01

Current End Date: 2026-08-31

Potential End Date: 2026-08-31 00:00:00

Last Modified: 2026-02-13

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