HHS FDA Awards $7M Facilities Services Contract to AKHI, LLC for 4 Years

Contract Overview

Contract Amount: $6,995,307 ($7.0M)

Contractor: Akhi, LLC

Awarding Agency: Department of Health and Human Services

Start Date: 2023-03-03

End Date: 2027-02-28

Contract Duration: 1,458 days

Daily Burn Rate: $4.8K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: WINCHESTER ENGINEERING & ANALYTICAL CENTER FACILITIES OPERATIONS AND MAINTENANCE SERVICES, WASTE MANAGEMENT SERVICE, CUSTODIAL SERVICES, PEST CONTROL SERVICES, AND LANDSCAPING SERVICES

Place of Performance

Location: ANCHORAGE, ANCHORAGE County, ALASKA, 99503

State: Alaska Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $7.0 million to AKHI, LLC for work described as: WINCHESTER ENGINEERING & ANALYTICAL CENTER FACILITIES OPERATIONS AND MAINTENANCE SERVICES, WASTE MANAGEMENT SERVICE, CUSTODIAL SERVICES, PEST CONTROL SERVICES, AND LANDSCAPING SERVICES Key points: 1. Contract awarded to AKHI, LLC for facilities operations and maintenance. 2. The contract value is $6,995,307.28 over approximately 4 years. 3. Services include waste management, custodial, pest control, and landscaping. 4. The contract was not available for competition, raising potential concerns about price discovery.

Value Assessment

Rating: fair

The contract is a delivery order under an unspecified contract. Without knowing the original contract's pricing structure or the benchmark for similar facilities support services, a precise value assessment is difficult. The fixed-price nature suggests some cost certainty.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not available for competition, indicating a limited competition approach. This limits the opportunity for price discovery and potentially leads to higher costs compared to a fully competitive environment.

Taxpayer Impact: The lack of competition may result in taxpayers paying more than necessary for these essential facilities services.

Public Impact

Ensures continued operation of critical FDA facilities. Supports essential services like waste management and pest control. Potential for increased costs due to limited competition.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

Facilities Support Services (NAICS 561210) is a broad category encompassing a wide range of building maintenance and operational activities. Spending in this sector can vary significantly based on facility size, complexity, and location. Benchmarks are difficult without more specific service details.

Small Business Impact

There is no indication that small businesses were involved in this contract award, either as prime contractors or subcontractors. Further analysis would be needed to determine if small business participation was considered or required.

Oversight & Accountability

The limited competition nature of this award warrants oversight to ensure fair pricing and adequate service delivery. Accountability rests with the FDA to justify the limited competition and monitor contract performance.

Related Government Programs

Risk Flags

Tags

facilities-support-services, department-of-health-and-human-services, ak, delivery-order, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $7.0 million to AKHI, LLC. WINCHESTER ENGINEERING & ANALYTICAL CENTER FACILITIES OPERATIONS AND MAINTENANCE SERVICES, WASTE MANAGEMENT SERVICE, CUSTODIAL SERVICES, PEST CONTROL SERVICES, AND LANDSCAPING SERVICES

Who is the contractor on this award?

The obligated recipient is AKHI, LLC.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Food and Drug Administration).

What is the total obligated amount?

The obligated amount is $7.0 million.

What is the period of performance?

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

What was the justification for limiting competition for these facilities services?

The justification for limiting competition is not provided in the data. Typically, justifications include factors like urgent need, unique capabilities of the contractor, or the existence of only one responsible source. Without this information, it's impossible to assess the validity of the limited competition.

What is the benchmark pricing for similar facilities operations and maintenance contracts in Alaska?

Determining a precise benchmark for similar facilities operations and maintenance contracts in Alaska is challenging without more specific details on the scope of services, facility size, and type. General industry data suggests significant variation, but a lack of competitive bidding here makes direct comparison difficult.

How will the FDA ensure cost-effectiveness given the limited competition?

The FDA can ensure cost-effectiveness through rigorous performance monitoring, establishing clear service level agreements, and potentially conducting market research to compare pricing against industry standards. Regular reviews of the contract's necessity and pricing structure are also crucial.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesFacilities Support ServicesFacilities Support Services

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTYMAINT, ALTER, REPAIR BUILDINGS

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 75F40123R00005

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 110 W 38TH AVE, ANCHORAGE, AK, 99503

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $8,946,445

Exercised Options: $6,995,307

Current Obligation: $6,995,307

Actual Outlays: $5,006,372

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 75F40123D00008

IDV Type: IDC

Timeline

Start Date: 2023-03-03

Current End Date: 2027-02-28

Potential End Date: 2028-02-29 00:00:00

Last Modified: 2026-02-26

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