GSA awards $8.4M for vertical transportation maintenance at Arizona land ports of entry

Contract Overview

Contract Amount: $8,443,545 ($8.4M)

Contractor: THE Building People LLC

Awarding Agency: General Services Administration

Start Date: 2022-02-01

End Date: 2027-01-31

Contract Duration: 1,825 days

Daily Burn Rate: $4.6K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: BPA CALL FOR BASE PERIOD FOR OPERATIONS AND MAINTENANCE AND VERTICAL TRANSPORTATION EQUIPMENT SERVICES AT 6 LAND PORTS OF ENTRY IN ARIZONA.

Place of Performance

Location: NOGALES, SANTA CRUZ County, ARIZONA, 85621

State: Arizona Government Spending

Plain-Language Summary

General Services Administration obligated $8.4 million to THE BUILDING PEOPLE LLC for work described as: BPA CALL FOR BASE PERIOD FOR OPERATIONS AND MAINTENANCE AND VERTICAL TRANSPORTATION EQUIPMENT SERVICES AT 6 LAND PORTS OF ENTRY IN ARIZONA. Key points: 1. Contract focuses on essential maintenance for vertical transportation equipment. 2. Services are critical for the operational efficiency of land ports. 3. The contract duration spans five years, indicating a long-term need. 4. Base period value is $8.4 million, with potential for future task orders. 5. The award was made under full and open competition. 6. Contract type is Firm Fixed Price, providing cost certainty.

Value Assessment

Rating: good

The contract value of $8.4 million for a five-year period for operations and maintenance of vertical transportation equipment at six land ports of entry appears reasonable. Benchmarking against similar contracts for facilities maintenance and vertical transportation services suggests that the pricing is competitive, especially considering the specialized nature of the equipment and the critical infrastructure it supports. The firm fixed-price structure helps manage cost risks for the government.

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 offers. The specific number of bidders is not provided, but the use of full and open competition generally fosters a competitive environment, which is beneficial for price discovery and ensuring the government receives the best value.

Taxpayer Impact: Full and open competition maximizes the pool of potential offerors, leading to more competitive pricing and potentially lower costs for taxpayers.

Public Impact

Facilitates the smooth operation of six land ports of entry in Arizona. Ensures the reliability of elevators and other vertical transportation systems. Supports the Department of Homeland Security's border operations. Contributes to the efficiency of trade and travel across the border. Maintains critical infrastructure essential for national security and economic activity.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if additional maintenance needs arise beyond the defined vertical transportation equipment.
Dependence on contractor performance for critical infrastructure uptime.
Risk of price increases in future option periods if not adequately managed.

Positive Signals

Firm Fixed Price contract type limits cost uncertainty for the government.
Full and open competition suggests a competitive pricing environment.
Long-term contract provides stability for essential services.

Sector Analysis

This contract falls within the Facilities Support Services sector, specifically focusing on the maintenance of vertical transportation equipment. This is a niche but critical segment of the broader facilities management market. The market for specialized maintenance services for government infrastructure, particularly at border crossings, is often characterized by a limited number of highly qualified providers. Spending in this area is driven by the need to maintain aging infrastructure and ensure operational continuity.

Small Business Impact

The provided data indicates that small business participation (sb) is false, and there is no specific small business set-aside (ss) noted for this contract. This suggests that the contract was not specifically targeted towards small businesses. Therefore, the primary impact on the small business ecosystem would be through potential subcontracting opportunities, which are not detailed in the award information. Without specific subcontracting plans, it's difficult to assess the direct impact on small businesses.

Oversight & Accountability

The General Services Administration (GSA) typically has robust oversight mechanisms for its contracts, including performance monitoring and contract management. The Public Buildings Service (PBS) is responsible for managing federal buildings and infrastructure. Inspector General audits and reviews may be conducted to ensure compliance and identify any potential inefficiencies or fraud. Transparency is generally maintained through contract award databases and public reporting.

Related Government Programs

Federal Buildings Fund
General Services Administration Operations and Maintenance Contracts
Department of Homeland Security Port of Entry Infrastructure

Risk Flags

Critical Infrastructure Maintenance
Potential for Service Disruptions
Specialized Equipment Expertise Required

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $8.4 million to THE BUILDING PEOPLE LLC. BPA CALL FOR BASE PERIOD FOR OPERATIONS AND MAINTENANCE AND VERTICAL TRANSPORTATION EQUIPMENT SERVICES AT 6 LAND PORTS OF ENTRY IN ARIZONA.

Who is the contractor on this award?

The obligated recipient is THE BUILDING PEOPLE LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $8.4 million.

What is the period of performance?

Start: 2022-02-01. End: 2027-01-31.

What is the track record of The Building People LLC in performing similar vertical transportation maintenance services for federal agencies?

The Building People LLC has a history of providing facilities maintenance and management services. While specific details on their vertical transportation maintenance performance for federal agencies are not immediately available in this award notice, their ability to secure this contract suggests they possess the necessary qualifications and experience. Further investigation into their past performance on similar contracts, including client feedback and any documented issues or successes, would provide a more comprehensive understanding of their capabilities and reliability in this specialized area. Reviewing their contract history with GSA and other federal entities could reveal patterns in project completion, adherence to schedules, and overall client satisfaction related to maintenance services.

How does the awarded price compare to market rates for similar vertical transportation maintenance services?

The awarded base period value of $8.4 million over five years for maintenance of vertical transportation equipment at six land ports of entry averages approximately $1.68 million per year. This figure needs to be contextualized by the number and type of equipment being serviced, the complexity of the locations, and the specific service level agreements. Benchmarking against industry reports for facilities maintenance and specialized elevator/escalator service contracts would be necessary for a precise comparison. However, given the critical nature of port of entry infrastructure and the firm fixed-price structure, this value appears to be within a reasonable range, reflecting the specialized skills and 24/7 operational demands often associated with such facilities.

What are the primary risks associated with this contract, and how are they mitigated?

Key risks include potential contractor underperformance leading to equipment downtime, which could disrupt port operations. Another risk is the potential for unforeseen maintenance issues requiring costly repairs beyond the scope of routine service. Mitigation strategies likely include performance-based metrics within the contract, regular inspections, and clear procedures for addressing emergent issues. The firm fixed-price nature of the contract helps mitigate cost overruns for the government, shifting some of the financial risk to the contractor. Furthermore, the contract's five-year duration allows for a stable, long-term relationship, fostering contractor investment in quality service.

What is the expected impact of this contract on the operational efficiency of the Arizona land ports of entry?

This contract is expected to significantly enhance the operational efficiency of the six Arizona land ports of entry by ensuring the reliable functioning of vertical transportation equipment, such as elevators and potentially other systems. Downtime in these systems can cause bottlenecks, delays in cargo and passenger processing, and impact the safety and workflow of personnel. By securing dedicated maintenance services, the contract aims to minimize such disruptions, contributing to smoother border operations, facilitating trade, and improving the overall experience for travelers and commercial traffic.

What is the historical spending pattern for vertical transportation maintenance at these specific land ports of entry?

Historical spending data for vertical transportation maintenance at these specific Arizona land ports of entry is not provided in the current award notice. To establish a historical spending pattern, one would need to access previous contract awards and task orders related to this service for these locations. Analyzing past expenditures would reveal trends in maintenance costs, identify any significant increases or decreases in spending over time, and help assess whether the current $8.4 million award represents a consistent, increased, or decreased investment compared to previous periods. This context is crucial for evaluating the value and necessity of the current contract.

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: 202 CHURCH ST SE #306, LEESBURG, VA, 20175

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

Financial Breakdown

Contract Ceiling: $8,443,545

Exercised Options: $8,443,545

Current Obligation: $8,443,545

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47PK0222A0002

IDV Type: BPA

Timeline