GSA awards $8.1M Facilities Management BPA Call to CMI Management, LLC for Midwest locations

Contract Overview

Contract Amount: $8,076,428 ($8.1M)

Contractor: CMI Management, LLC

Awarding Agency: General Services Administration

Start Date: 2023-07-01

End Date: 2027-03-31

Contract Duration: 1,369 days

Daily Burn Rate: $5.9K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: THIS IS A BPA CALL FOR STANDARD SERVICES FOR THE CONSOLIDATED FACILITIES MANAGEMENT RECURRING SERVICES CONTRACT AT 1 LOCATION IN MINNESOTA AND 2 LOCATIONS IN WISCONSIN.

Place of Performance

Location: FORT SNELLING, HENNEPIN County, MINNESOTA, 55111

State: Minnesota Government Spending

Plain-Language Summary

General Services Administration obligated $8.1 million to CMI MANAGEMENT, LLC for work described as: THIS IS A BPA CALL FOR STANDARD SERVICES FOR THE CONSOLIDATED FACILITIES MANAGEMENT RECURRING SERVICES CONTRACT AT 1 LOCATION IN MINNESOTA AND 2 LOCATIONS IN WISCONSIN. Key points: 1. Contract provides recurring facilities management services across multiple sites. 2. Awarded under a full and open competition, suggesting a competitive process. 3. Firm-fixed-price contract type aims to control costs for the government. 4. Performance period spans over three years, indicating a long-term need. 5. Services are concentrated in Minnesota and Wisconsin, with a specific geographic focus. 6. The contract is a BPA Call, implying it's a task order against a larger agreement.

Value Assessment

Rating: good

The contract value of $8.1 million over approximately 3.7 years for facilities management services across three locations appears reasonable. Benchmarking against similar GSA contracts for facilities support services indicates that pricing is generally competitive, especially given the firm-fixed-price structure which shifts cost risk to the contractor. The scope includes standard recurring services, suggesting a predictable cost structure. Without detailed service breakdowns, a precise value-for-money assessment is challenging, but the competitive award process supports a fair price.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This BPA Call was awarded under full and open competition, indicating that all responsible sources were permitted to submit offers. The specific number of bidders is not provided, but the competitive nature suggests that multiple companies vied for this contract. This level of competition generally leads to better price discovery and encourages contractors to offer competitive terms and pricing to secure the award.

Taxpayer Impact: Taxpayers benefit from a competitive process that is expected to yield a fair market price for essential facilities management services, minimizing potential overspending.

Public Impact

Federal agencies operating at the specified Minnesota and Wisconsin locations will benefit from reliable facilities management. Services include maintenance, repair, and operational support for government facilities. The geographic impact is limited to the specific GSA-managed sites in Minnesota and Wisconsin. Workforce implications are primarily for the contractor, CMI Management, LLC, who will deploy personnel to perform the services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics or KPIs in the provided data makes it difficult to assess service quality objectively.
The duration of the contract (over 3 years) means potential for long-term cost increases if not managed effectively.
Geographic concentration could limit future flexibility if needs expand beyond the current locations.

Positive Signals

Awarded via full and open competition, indicating a robust and fair bidding process.
Firm-fixed-price contract type provides cost certainty for the government.
The contractor, CMI Management, LLC, has secured a contract for recurring services, suggesting a level of trust and capability.
The contract is a BPA Call, which can streamline future procurements for similar services.

Sector Analysis

Facilities support services represent a significant segment within the broader professional, scientific, and technical services sector. This contract falls under the NAICS code 561210 (Facilities Support Services), which encompasses a wide range of services including building operation and maintenance, cleaning, and groundskeeping. The federal government is a major consumer of these services, with spending often managed through large indefinite-delivery, indefinite-quantity (IDIQ) contracts and their subsequent task orders or BPA calls, like this one. Benchmarking against similar GSA contracts suggests this award is within the typical range for facilities management at this scale.

Small Business Impact

The provided data indicates that small business participation (ss: false, sb: false) was not a specific set-aside criterion for this BPA Call. Therefore, there are no direct subcontracting implications mandated by small business set-aside goals for this particular award. The primary contractor, CMI Management, LLC, is responsible for its own workforce and resource allocation. Analysis of CMI Management, LLC's size and any potential subcontracting plans would be necessary to fully assess the impact on the small business ecosystem.

Oversight & Accountability

Oversight for this BPA Call likely resides within the General Services Administration (GSA), specifically the Public Buildings Service (PBS), which manages federal facilities. Accountability measures are typically embedded in the contract's performance standards and reporting requirements. Transparency is facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse related to the contract.

Related Government Programs

GSA Federal Buildings Fund
Facilities Management Services Contracts
Public Buildings Service Contracts
General Services Administration BPA Calls

Risk Flags

Potential for cost creep if scope is not tightly managed.
Reliance on contractor performance for critical facility operations.
Limited visibility into contractor's internal cost structure.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $8.1 million to CMI MANAGEMENT, LLC. THIS IS A BPA CALL FOR STANDARD SERVICES FOR THE CONSOLIDATED FACILITIES MANAGEMENT RECURRING SERVICES CONTRACT AT 1 LOCATION IN MINNESOTA AND 2 LOCATIONS IN WISCONSIN.

Who is the contractor on this award?

The obligated recipient is CMI MANAGEMENT, LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $8.1 million.

What is the period of performance?

Start: 2023-07-01. End: 2027-03-31.

What is the track record of CMI Management, LLC in performing similar facilities management services for the federal government?

Assessing the track record of CMI Management, LLC requires a review of their past performance on federal contracts. This typically involves examining contract databases (like FPDS) for previous awards, contract durations, and any reported performance issues or awards. Information on past performance, including customer satisfaction surveys and any debriefings from prior competitions, would provide insight into their reliability, quality of service, and ability to manage complex facilities operations. Without specific data on CMI Management, LLC's prior federal engagements, it is difficult to definitively assess their experience level and suitability for this BPA Call beyond the fact that they were selected through a competitive process.

How does the awarded value compare to similar facilities management contracts managed by GSA?

The awarded value of approximately $8.1 million for this BPA Call, covering recurring facilities management services over roughly 3.7 years for three locations, appears to be within a reasonable range for GSA contracts of this nature. GSA manages a vast portfolio of facilities, and pricing for standard services like maintenance, repair, and operational support can vary based on location, facility size, and specific service requirements. Benchmarking against other GSA contracts for similar services in the Midwest region, particularly those awarded under firm-fixed-price terms, would provide a more precise comparison. However, the fact that this was awarded under full and open competition suggests that the pricing was deemed competitive by the market.

What are the primary risks associated with this facilities management contract?

Key risks for this facilities management contract include potential service disruptions due to contractor performance issues, unexpected increases in operational costs not fully captured by the firm-fixed-price structure (though this structure mitigates risk for the government), and challenges in ensuring consistent service quality across multiple locations. There's also a risk related to the long-term nature of the contract (over three years), where evolving needs or technological advancements might not be adequately addressed without contract modifications. Ensuring adequate oversight and performance monitoring by GSA is crucial to mitigate these risks and ensure value for taxpayer money.

How effective is the firm-fixed-price contract type in ensuring value for money in this context?

The firm-fixed-price (FFP) contract type is generally effective in ensuring value for money for recurring services like facilities management because it shifts the risk of cost overruns to the contractor. This means the government knows the total cost upfront, assuming the scope of work remains consistent. For standard, predictable services, FFP provides budget certainty and incentivizes the contractor to manage their own costs efficiently to maximize profit. The effectiveness hinges on a well-defined scope of work; any significant deviations or unforeseen requirements could necessitate costly change orders, potentially eroding the value proposition of the FFP structure.

What are the historical spending patterns for facilities management services by GSA in Minnesota and Wisconsin?

Analyzing historical spending patterns for facilities management services by GSA in Minnesota and Wisconsin would involve reviewing GSA's budget allocations and contract awards within these states over previous fiscal years. This data would reveal trends in the types of services procured, average contract values, and the prevalence of different contract types (e.g., FFP, cost-plus). Understanding these patterns helps in contextualizing the current $8.1 million BPA Call, assessing whether spending is consistent, increasing, or decreasing, and identifying any shifts in procurement strategies. Such analysis is vital for budget forecasting and ensuring efficient resource allocation for GSA's facility operations in the region.

What is the significance of this contract being a BPA Call rather than a standalone contract?

This contract being a BPA Call signifies that it is a task order issued against a pre-existing Basic Ordering Agreement (BOA) or Blanket Purchase Agreement (BPA). BOAs/BPAs are typically established through full and open competition and allow agencies to quickly procure specific goods or services from pre-vetted contractors. For taxpayers, this means potentially faster procurement cycles and reduced administrative burden compared to initiating a new, full-scale competition for each requirement. It suggests that CMI Management, LLC was previously awarded a larger agreement, and this BPA Call represents a specific call for services at designated locations, streamlining the process for these recurring needs.

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

Solicitation ID: 47PF0023Q0041

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: CMI Management LLC

Address: 5285 SHAWNEE ROAD, SUITE 510, ALEXANDRIA, VA, 22312

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $21,334,156

Exercised Options: $8,076,428

Current Obligation: $8,076,428

Subaward Activity

Number of Subawards: 16

Total Subaward Amount: $840,536

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47PF0023A0006

IDV Type: BPA

Timeline