GSA awards $44.8M for facilities maintenance across 10 DC federal buildings, extending services through 2027

Contract Overview

Contract Amount: $44,791,939 ($44.8M)

Contractor: M. C. Dean, Inc.

Awarding Agency: General Services Administration

Start Date: 2023-03-01

End Date: 2027-02-28

Contract Duration: 1,460 days

Daily Burn Rate: $30.7K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: AWARD FOR FACILITIES ENGINEERING, OPERATIONS AND MAINTENANCE SERVICES AT 10 FEDERAL BUILDINGS IN WASHINGTON, D.C. FOR OPTION PERIOD 3

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20002

State: District of Columbia Government Spending

Plain-Language Summary

General Services Administration obligated $44.8 million to M. C. DEAN, INC. for work described as: AWARD FOR FACILITIES ENGINEERING, OPERATIONS AND MAINTENANCE SERVICES AT 10 FEDERAL BUILDINGS IN WASHINGTON, D.C. FOR OPTION PERIOD 3 Key points: 1. Contract provides essential operations and maintenance for critical federal infrastructure. 2. Long-term contract indicates stable demand for facilities support services. 3. Fixed-price contract structure aims to control costs over the performance period. 4. Performance is concentrated in Washington D.C., impacting federal operations in the capital. 5. The award is for an option period, suggesting prior satisfactory performance. 6. Services encompass a broad range of facilities engineering and maintenance needs.

Value Assessment

Rating: good

The award of $44.8 million over approximately four years for facilities engineering, operations, and maintenance services appears reasonable given the scope. Benchmarking against similar large-scale facilities management contracts for federal buildings in major metropolitan areas suggests this pricing is competitive. The firm-fixed-price structure provides cost certainty for the government, and the option period nature of the award implies the contractor has met performance expectations in previous periods. Without specific per-unit cost breakdowns, a definitive value-for-money assessment is challenging, but the overall award size seems aligned with the extensive services required for 10 federal buildings.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple qualified bidders had the opportunity to submit proposals. The specific number of bidders is not provided, but the 'full and open' designation suggests a robust competitive process. This approach is designed to foster price discovery and ensure the government receives the best possible value by leveraging market competition. The use of a BPA Call under this framework further streamlines the ordering process while maintaining competitive principles.

Taxpayer Impact: Full and open competition generally benefits taxpayers by driving down prices through market forces, ensuring that government funds are used efficiently and effectively for essential services.

Public Impact

Federal agencies housed in the 10 specified buildings in Washington D.C. will benefit from uninterrupted facilities operations and maintenance. The contract ensures the continued functionality and safety of critical federal infrastructure. Geographic impact is concentrated within the District of Columbia, supporting federal government presence in the nation's capital. The services delivered include a wide array of facilities engineering, operations, and maintenance, crucial for daily government functions. Workforce implications may include continued employment for personnel involved in facilities management, potentially through the incumbent contractor or new hires.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if scope creep occurs despite fixed-price structure.
Dependence on a single contractor for critical infrastructure maintenance could pose a risk if performance degrades.
Limited transparency on specific performance metrics and quality assurance processes.
Concentration of services in one geographic area may limit broader application of lessons learned.

Positive Signals

Award of an option period suggests a history of satisfactory performance and reliability.
Firm-fixed-price contract provides cost predictability and limits the government's exposure to cost increases.
Full and open competition indicates a competitive market for these services, likely leading to better pricing.
Long-term nature of the contract provides stability for federal agencies relying on these facilities.

Sector Analysis

The facilities support services sector is a significant component of the broader commercial real estate and government contracting industries. This contract falls under the Facilities Support Services category (NAICS 561210), which includes establishments primarily engaged in operating and maintaining buildings and other facilities on a contract basis. The market for these services is substantial, driven by government and private sector demand for operational efficiency and infrastructure upkeep. Comparable spending benchmarks for large federal facilities management contracts often range from tens to hundreds of millions of dollars annually, depending on the scale and complexity of the facilities managed.

Small Business Impact

This contract was awarded under full and open competition and does not indicate a small business set-aside. The prime contractor, M. C. Dean, Inc., is a large business. While there is no explicit small business set-aside, large federal contracts often include subcontracting requirements. It is possible that M. C. Dean, Inc. will engage small businesses for specialized services or support roles, contributing to the small business ecosystem. However, without specific subcontracting plans or goals detailed in the award, the direct impact on small businesses remains uncertain.

Oversight & Accountability

The General Services Administration (GSA), specifically the Public Buildings Service, is responsible for overseeing this contract. Oversight mechanisms likely include regular performance reviews, contract management meetings, and adherence to the terms and conditions of the firm-fixed-price agreement. Accountability is established through the contract's performance standards and the potential for corrective actions or termination if requirements are not met. Transparency is generally maintained through contract award databases and public reporting, though detailed operational performance data may be internal.

Related Government Programs

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

Risk Flags

Potential for scope creep impacting fixed-price cost certainty.
Dependence on contractor performance for critical infrastructure.
Limited visibility into specific performance metrics and quality assurance.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $44.8 million to M. C. DEAN, INC.. AWARD FOR FACILITIES ENGINEERING, OPERATIONS AND MAINTENANCE SERVICES AT 10 FEDERAL BUILDINGS IN WASHINGTON, D.C. FOR OPTION PERIOD 3

Who is the contractor on this award?

The obligated recipient is M. C. DEAN, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $44.8 million.

What is the period of performance?

Start: 2023-03-01. End: 2027-02-28.

What is the track record of M. C. Dean, Inc. with the General Services Administration for similar facilities maintenance contracts?

M. C. Dean, Inc. has a significant history of performing facilities engineering, operations, and maintenance services for the General Services Administration and other federal agencies. Their extensive experience in managing complex building systems and infrastructure suggests a strong capability to meet the requirements of this contract. Prior performance reviews and contract history with GSA would provide further insight into their reliability, quality of service, and adherence to contractual obligations. Analyzing past performance data, including any reported issues or commendations, is crucial for a comprehensive assessment of their track record.

How does the per-square-foot cost of maintenance under this contract compare to industry benchmarks for similar federal facilities?

Determining the precise per-square-foot cost requires detailed information on the total square footage of the 10 federal buildings covered by this contract, which is not explicitly provided in the award data. However, the total award of approximately $44.8 million over roughly four years averages to about $11.2 million per year. If we assume a substantial aggregate square footage for 10 federal buildings in D.C., the annual cost might fall within a competitive range. Industry benchmarks for federal facilities maintenance can vary widely based on building age, systems complexity, and location. A detailed analysis would involve comparing the specific services included (e.g., HVAC, electrical, plumbing, janitorial) against market rates for comparable facilities in the Washington D.C. metropolitan area.

What are the key performance indicators (KPIs) used to evaluate M. C. Dean, Inc.'s performance under this contract?

While the award data does not specify the exact Key Performance Indicators (KPIs) for this contract, typical metrics for facilities engineering, operations, and maintenance contracts include response times for service requests, preventative maintenance completion rates, energy efficiency targets, building system uptime (e.g., HVAC, electrical), safety incident rates, and customer satisfaction scores from building occupants. The General Services Administration's Public Buildings Service likely has established performance standards and reporting requirements that M. C. Dean, Inc. must meet. These KPIs are essential for ensuring the contractor delivers reliable and high-quality services, and they form the basis for performance evaluations throughout the contract duration.

What is the historical spending trend for facilities maintenance services by the GSA in Washington D.C. over the past five years?

Historical spending data for GSA's facilities maintenance services in Washington D.C. over the past five years would reveal trends in demand, pricing, and contractor utilization. Analyzing this data could show whether spending has been consistent, increasing, or decreasing, and whether this contract represents a continuation of previous levels or a significant shift. It would also help contextualize the $44.8 million award within the broader GSA budget for facilities management in the region. Without access to specific historical GSA spending reports for D.C. facilities maintenance, it's difficult to provide precise figures, but such analysis is critical for understanding long-term investment and resource allocation.

Are there any specific risks associated with the firm-fixed-price contract type for this extensive facilities maintenance scope?

The firm-fixed-price (FFP) contract type is generally favored for its cost control benefits, as it shifts most of the risk to the contractor. However, for a broad scope like facilities engineering, operations, and maintenance across 10 buildings, there are potential risks. If unforeseen issues arise (e.g., major system failures requiring extensive repairs beyond normal wear and tear, or significant changes in building usage), the contractor might incur substantial costs. While the FFP structure aims to prevent cost overruns for the government, it could incentivize the contractor to minimize services or defer non-critical maintenance if profit margins are squeezed, potentially impacting long-term facility condition. Careful scope definition and change management are crucial to mitigate these risks.

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: 1765 GREENSBORO STATION PL, TYSONS, VA, 22102

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

Financial Breakdown

Contract Ceiling: $87,634,218

Exercised Options: $44,791,939

Current Obligation: $44,791,939

Subaward Activity

Number of Subawards: 3

Total Subaward Amount: $98,734

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47PD0320A0001

IDV Type: BPA

Timeline