GSA awards $19.6M for facilities support services at 201 Varick Street, NY

Contract Overview

Contract Amount: $19,568,736 ($19.6M)

Contractor: South Dade AIR Conditioning & Refrigeration Inc

Awarding Agency: General Services Administration

Start Date: 2021-12-01

End Date: 2026-11-30

Contract Duration: 1,825 days

Daily Burn Rate: $10.7K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: BPA CALL ISSUED FOR O&M SERVICES AT 201 VARICK STREET

Place of Performance

Location: NEW YORK, NEW YORK County, NEW YORK, 10014

State: New York Government Spending

Plain-Language Summary

General Services Administration obligated $19.6 million to SOUTH DADE AIR CONDITIONING & REFRIGERATION INC for work described as: BPA CALL ISSUED FOR O&M SERVICES AT 201 VARICK STREET Key points: 1. Contract value represents a significant investment in maintaining federal building infrastructure. 2. Competition dynamics suggest a potentially competitive bidding environment for facilities services. 3. Performance period of five years indicates a long-term need for these services. 4. The fixed-price contract type aims to control costs and provide budget certainty. 5. Facilities support services are critical for the operational readiness of federal facilities.

Value Assessment

Rating: good

The contract value of $19.6 million over five years for O&M services at a single facility appears reasonable, though a direct comparison to similar contracts for facilities of comparable size and complexity would provide a more definitive assessment. The firm-fixed-price structure suggests an effort to manage costs effectively. Benchmarking against industry standards for facilities maintenance in major metropolitan areas like New York would be necessary to fully assess value for money.

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 specific number of bidders is not provided, but the full and open nature suggests a robust competitive process, which typically leads to better pricing and service offerings for the government.

Taxpayer Impact: A full and open competition generally benefits taxpayers by fostering a competitive environment that drives down prices and encourages innovation, ensuring the government receives the best possible value for its spending.

Public Impact

Federal employees and visitors benefit from a well-maintained and operational building at 201 Varick Street. Essential operations and maintenance services ensure the continuous functioning of the federal facility. The contract supports the local economy in New York through employment opportunities for skilled maintenance personnel. Ensures compliance with safety and environmental regulations for the federal building.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics in the provided data makes it difficult to assess service quality.
Potential for cost overruns if unforeseen maintenance issues arise beyond the scope of the fixed-price contract.
Dependence on a single contractor for critical building operations could pose a risk if performance falters.

Positive Signals

Firm-fixed-price contract provides cost certainty for the government.
Long-term contract (5 years) allows for stable service provision and relationship building.
Awarded through full and open competition, suggesting a competitive selection process.

Sector Analysis

Facilities Support Services, categorized under NAICS code 561210, is a broad sector encompassing a wide range of services necessary for the operation and maintenance of buildings and other physical structures. This contract fits within the broader government spending on real property maintenance and operations, which is a significant component of federal agency budgets. Comparable spending benchmarks would involve analyzing other GSA contracts for similar facilities in major urban centers.

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 stemming from a small business set-aside. The competition was full and open, meaning large businesses were likely the primary bidders and awardees.

Oversight & Accountability

Oversight for this contract would typically be managed by the General Services Administration (GSA), specifically the Public Buildings Service. Accountability measures are inherent in the firm-fixed-price contract, requiring the contractor to deliver specified services within the agreed-upon price. Transparency is facilitated through contract award databases, though detailed performance reports may not always be publicly accessible.

Related Government Programs

Federal Buildings Fund
Public Buildings Service Operations and Maintenance
GSA Real Property Management

Risk Flags

Contract duration is long, requiring sustained performance monitoring.
Reliance on a single contractor for critical building operations.
Scope of work may evolve, potentially leading to change orders.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $19.6 million to SOUTH DADE AIR CONDITIONING & REFRIGERATION INC. BPA CALL ISSUED FOR O&M SERVICES AT 201 VARICK STREET

Who is the contractor on this award?

The obligated recipient is SOUTH DADE AIR CONDITIONING & REFRIGERATION INC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Public Buildings Service).

What is the total obligated amount?

The obligated amount is $19.6 million.

What is the period of performance?

Start: 2021-12-01. End: 2026-11-30.

What is the historical spending pattern for facilities support services at 201 Varick Street?

Historical spending data for facilities support services specifically at 201 Varick Street prior to this $19.6 million award is not detailed in the provided information. However, the issuance of a new 5-year contract suggests a continuing need for these services. To understand historical patterns, one would need to access previous contract awards and spending records for this specific facility managed by the General Services Administration. This would involve looking at prior O&M contracts, their values, durations, and the contractors involved to identify trends in service requirements and costs over time.

How does the awarded amount compare to similar facilities in New York City?

A precise comparison of the $19.6 million award for facilities support services at 201 Varick Street to similar facilities in New York City requires detailed data on the size, age, complexity, and specific services provided at those comparable facilities. Without such granular information, it's challenging to definitively benchmark this contract. However, given that 201 Varick Street is a federal building in a major metropolitan area, the investment reflects the costs associated with maintaining such infrastructure. Factors like square footage, building systems (HVAC, electrical, plumbing), security requirements, and the scope of O&M services (janitorial, repairs, preventive maintenance) would all influence cost. A comprehensive analysis would involve comparing cost per square foot or cost per building system maintenance hour against a portfolio of similar government or large commercial properties.

What are the key performance indicators (KPIs) for this contract?

The provided data does not specify the key performance indicators (KPIs) for this particular contract. Typically, for Operations and Maintenance (O&M) services, KPIs would focus on aspects such as response times for service requests, completion rates for preventive maintenance tasks, building system uptime, energy efficiency targets, and compliance with safety and environmental standards. The General Services Administration (GSA) usually establishes performance standards within the contract's Statement of Work (SOW). The contractor's adherence to these KPIs would be monitored, often through regular performance reviews and potentially through a Contractor Performance Assessment Reporting System (CPARS) record, which influences future contracting opportunities.

What is the track record of South Dade Air Conditioning & Refrigeration Inc. with the federal government?

Information regarding the specific track record of South Dade Air Conditioning & Refrigeration Inc. with the federal government is not detailed in the provided data snippet. To assess their track record, one would typically consult the Contractor Performance Assessment Reporting System (CPARS), which contains past performance evaluations for federal contracts. This system provides insights into a contractor's history regarding quality of work, timeliness, cost control, and customer satisfaction on previous government projects. A review of CPARS would reveal their experience with similar types of contracts, their performance ratings, and any significant issues or commendations received.

What is the potential impact of this contract on the local New York economy?

This $19.6 million contract for facilities support services is likely to have a positive impact on the local New York economy. The primary impact will be through job creation, as the contractor, South Dade Air Conditioning & Refrigeration Inc., will need to employ skilled personnel for maintenance, repair, and operational tasks at the 201 Varick Street facility. These jobs can range from HVAC technicians and electricians to general maintenance staff and supervisors. Additionally, the contractor may procure materials, supplies, and services from local vendors and businesses, further stimulating economic activity. The consistent flow of contract revenue also contributes to the stability of the awarded company and its local workforce.

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 BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 14510 SW 284TH ST, HOMESTEAD, FL, 33033

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

Financial Breakdown

Contract Ceiling: $62,604,672

Exercised Options: $19,568,736

Current Obligation: $19,568,736

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47PC0622A0001

IDV Type: BPA

Timeline