Transportation awards $2.76M for facilities support services to International Support Group LLC

Contract Overview

Contract Amount: $2,756,335 ($2.8M)

Contractor: International Support Group LLC

Awarding Agency: Department of Transportation

Start Date: 2021-01-28

End Date: 2026-05-31

Contract Duration: 1,949 days

Daily Burn Rate: $1.4K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: CONSOLIDATED OPERATIONS MANAGEMENT, PREVENTATIVE MAINTENANCE, JANITORIAL SERVICES, MAIL COLLECTION AND DISTRIBUTION, SEASONAL SERVICES - DENVER, CO

Place of Performance

Location: DENVER, DENVER County, COLORADO, 80249

State: Colorado Government Spending

Plain-Language Summary

Department of Transportation obligated $2.8 million to INTERNATIONAL SUPPORT GROUP LLC for work described as: CONSOLIDATED OPERATIONS MANAGEMENT, PREVENTATIVE MAINTENANCE, JANITORIAL SERVICES, MAIL COLLECTION AND DISTRIBUTION, SEASONAL SERVICES - DENVER, CO Key points: 1. The contract value of $2.76 million over approximately 5 years suggests a moderate annual spend for facilities support. 2. The contract was awarded under full and open competition, indicating a competitive bidding process. 3. The firm-fixed-price contract type generally transfers risk to the contractor, potentially stabilizing costs. 4. The services include a broad range of facilities management, from janitorial to seasonal services. 5. The geographic focus on Denver, Colorado, localizes the impact of this contract. 6. The contractor, International Support Group LLC, is performing under this definitive contract.

Value Assessment

Rating: good

The contract value of $2.76 million over nearly five years averages to approximately $550,000 annually. This figure appears reasonable for comprehensive facilities support services in a major metropolitan area like Denver, considering the scope of services. Benchmarking against similar contracts for facilities management in federal agencies of comparable size and geographic scope would provide a more precise value-for-money assessment. However, the firm-fixed-price structure suggests that the government has negotiated a set price, which aids in budget predictability.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'full and open competition after exclusion of sources,' which implies that while the competition was broad, there might have been specific reasons for excluding certain sources initially. The presence of 5 bids indicates a healthy level of competition. This competitive environment is generally favorable for price discovery and ensuring the government receives competitive pricing for the services rendered.

Taxpayer Impact: The competitive nature of this award suggests that taxpayer dollars are likely being used efficiently, as multiple companies vied to offer the best value. This process helps prevent overpayment and encourages cost-effective service delivery.

Public Impact

The Federal Aviation Administration (FAA) benefits from consolidated operations management and maintenance, ensuring operational efficiency. The contract provides essential services such as janitorial, mail collection, and seasonal maintenance for federal facilities in Denver. The geographic impact is concentrated in Denver, Colorado, supporting local federal operations. The contract supports the workforce required to deliver these facilities management and support services within the Denver area.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if 'seasonal services' are not clearly defined and managed.
Reliance on a single contractor for a wide array of essential facility services could pose a risk if performance falters.
The 'after exclusion of sources' clause warrants further investigation into the rationale behind initial exclusions to ensure fairness and optimal competition.

Positive Signals

The firm-fixed-price contract type provides cost certainty for the government.
Full and open competition generally leads to better pricing and service quality.
The duration of the contract allows for stable service delivery and potential for contractor efficiency gains over time.

Sector Analysis

Facilities Support Services, categorized under NAICS code 561210, represent a significant segment of the government contracting market. This sector encompasses a wide range of services essential for the operation and maintenance of government buildings and infrastructure. Spending in this area is driven by the need to maintain federal property, ensure a safe and functional working environment, and manage operational costs effectively. The annual spending on facilities support services across the federal government can reach billions of dollars, with contracts varying widely in scope, duration, and value.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, the primary contractor, International Support Group LLC, is likely a larger entity or has been awarded this contract through general competition. There is no explicit information regarding subcontracting plans for small businesses within this award notice. Further analysis would be needed to determine if subcontracting opportunities exist and if they are being utilized to engage the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically fall under the Federal Aviation Administration (FAA), a division of the Department of Transportation. The contract's firm-fixed-price nature implies that performance standards and deliverables are clearly defined, with penalties or remedies for non-compliance. Accountability measures would be embedded in the contract terms and managed through regular performance reviews and reporting. Transparency is generally maintained through contract databases like FPDS, where award details are publicly accessible.

Related Government Programs

Federal Aviation Administration Operations
Department of Transportation Facilities Management
General Services Administration (GSA) Real Property Management
Federal Buildings and Grounds Maintenance
Consolidated Operations Management Contracts

Risk Flags

Potential for limited competition due to 'exclusion of sources' clause.
Contractor performance risk for a broad scope of services.
Need for clear definition and management of 'seasonal services'.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $2.8 million to INTERNATIONAL SUPPORT GROUP LLC. CONSOLIDATED OPERATIONS MANAGEMENT, PREVENTATIVE MAINTENANCE, JANITORIAL SERVICES, MAIL COLLECTION AND DISTRIBUTION, SEASONAL SERVICES - DENVER, CO

Who is the contractor on this award?

The obligated recipient is INTERNATIONAL SUPPORT GROUP LLC.

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Aviation Administration).

What is the total obligated amount?

The obligated amount is $2.8 million.

What is the period of performance?

Start: 2021-01-28. End: 2026-05-31.

What is the track record of International Support Group LLC in performing similar federal contracts?

A review of federal contract databases would be necessary to fully assess International Support Group LLC's track record. Key metrics to examine would include past performance ratings on similar facilities support contracts, any history of contract disputes or terminations, and the overall value and duration of previous government awards. Understanding their experience with firm-fixed-price contracts and the specific services outlined (janitorial, mail, seasonal) is crucial. A positive track record with consistent performance and adherence to contract terms would indicate a lower risk for this current award. Conversely, a history of performance issues or financial instability could raise concerns about their ability to meet the requirements of this nearly five-year contract.

How does the annual cost of this contract compare to industry benchmarks for similar services in Denver?

The annual cost of approximately $550,000 for comprehensive facilities support services in Denver needs to be benchmarked against industry standards. This would involve researching average costs for janitorial services, mail handling, and seasonal maintenance for commercial or government facilities of comparable size and complexity in the Denver metropolitan area. Factors such as square footage, service frequency, specific security requirements, and labor costs in Denver would influence this comparison. If the contract's annual cost falls within or below the typical range for such services, it suggests good value. If it significantly exceeds benchmarks, it may indicate potential overpricing or a scope of services that is more extensive than standard offerings.

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

The primary risks associated with this contract include potential performance deficiencies by the contractor, unforeseen cost increases not covered by the firm-fixed-price structure (though unlikely), and the risk of service disruption if the contractor faces financial or operational challenges. Mitigation strategies are embedded in the contract itself: the firm-fixed-price nature transfers cost overrun risk to the contractor. The FAA's oversight, performance monitoring, and defined deliverables are crucial for ensuring quality. The contract's duration allows for building a stable working relationship, but also necessitates robust contract management to address any emerging issues promptly. The competitive award process itself helps mitigate risks by selecting a contractor deemed capable of meeting requirements.

What is the historical spending pattern for facilities support services by the FAA in Denver?

To assess historical spending patterns, one would need to analyze past FAA contracts for facilities support services specifically within the Denver region. This analysis should cover the period preceding the current award (2021-2026) and potentially look back several years. Key data points would include the total amount spent annually, the number and types of contracts awarded (e.g., full and open, sole source), the primary contractors utilized, and the scope of services provided. Comparing the $2.76 million total value and the annual average of approximately $550,000 to historical figures would reveal whether this contract represents an increase, decrease, or stable level of spending for these services in Denver. Significant deviations could warrant further investigation into the underlying reasons.

How does the 'full and open competition after exclusion of sources' clause impact potential competition and pricing?

The clause 'full and open competition after exclusion of sources' suggests that while the competition was ultimately open to all responsible sources, there was an initial phase where certain sources were excluded. The specific reasons for these exclusions are critical. If the exclusions were based on objective criteria related to capability or past performance, and the subsequent competition was robust (as indicated by 5 bidders), the impact on pricing and competition might be minimal and potentially justified. However, if the exclusions were arbitrary or lacked clear justification, it could have artificially limited competition, potentially leading to less favorable pricing for the government. Understanding the rationale behind the exclusions is key to assessing whether this clause ultimately served or hindered the government's interest in achieving the best possible value.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 697DCK-21-R-00048

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 9050 PINES BLVD., STE 150, PEMBROKE PINES, FL, 33024

Business Categories: 8(a) Program Participant, Black American Owned Business, Category Business, Limited Liability Corporation, Minority Owned Business, Small Business, Sole Proprietorship, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $2,756,335

Exercised Options: $2,756,335

Current Obligation: $2,756,335

Actual Outlays: $2,440,868

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: PRODUCTS OR SERVICES PURSUANT TO FAR 12.102(F)

Cost or Pricing Data: NO

Timeline