HUD awards $562K for Asset Management Services to Raine & Company, LLC, with no competition

Contract Overview

Contract Amount: $562,798 ($562.8K)

Contractor: Raine & Company, LLC

Awarding Agency: Department of Housing and Urban Development

Start Date: 2023-02-24

End Date: 2023-08-31

Contract Duration: 188 days

Daily Burn Rate: $3.0K/day

Competition Type: NOT COMPETED

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: ASSET MANAGEMENT SERVICES AREA 3P

Place of Performance

Location: ATLANTA, FULTON County, GEORGIA, 30305

State: Georgia Government Spending

Plain-Language Summary

Department of Housing and Urban Development obligated $562,798.41 to RAINE & COMPANY, LLC for work described as: ASSET MANAGEMENT SERVICES AREA 3P Key points: 1. The contract value is $562,798.41 for asset management services. 2. Raine & Company, LLC is the sole awardee, indicating a lack of competition. 3. The contract is for a duration of 188 days. 4. The North American Industry Classification System (NAICS) code is 531390 (Other Activities Related to Real Estate).

Value Assessment

Rating: questionable

The contract was not competed, making it difficult to assess pricing against market benchmarks. Without competitive bids, it's hard to determine if the $562,798.41 price represents fair value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, which limits price discovery and potentially leads to higher costs for taxpayers. The sole-source nature means Raine & Company, LLC was likely selected without a bidding process.

Taxpayer Impact: The lack of competition raises concerns about whether taxpayers received the best possible price for these asset management services.

Public Impact

Citizens may question the fairness of awarding contracts without competitive bidding. The use of taxpayer funds for services without a competitive process warrants scrutiny. Transparency in government contracting is crucial for public trust.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The contract falls under 'Other Activities Related to Real Estate' (NAICS 531390). Spending in this sector can vary widely depending on market conditions and government needs, but competitive bidding is typically expected to ensure cost-effectiveness.

Small Business Impact

The data does not indicate whether Raine & Company, LLC is a small business. The lack of competition also means no opportunities were created for small businesses to bid on this contract.

Oversight & Accountability

The 'NOT COMPETED' status suggests potential oversight gaps. Further review is needed to understand why this contract was not competed and if appropriate justifications were documented.

Related Government Programs

Risk Flags

Tags

other-activities-related-to-real-estate, department-of-housing-and-urban-developm, ga, delivery-order, 100k-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Housing and Urban Development awarded $562,798.41 to RAINE & COMPANY, LLC. ASSET MANAGEMENT SERVICES AREA 3P

Who is the contractor on this award?

The obligated recipient is RAINE & COMPANY, LLC.

Which agency awarded this contract?

Awarding agency: Department of Housing and Urban Development (Department of Housing and Urban Development).

What is the total obligated amount?

The obligated amount is $562,798.41.

What is the period of performance?

Start: 2023-02-24. End: 2023-08-31.

What was the justification for not competing this contract, and was it adequately documented?

The provided data states the contract was 'NOT COMPETED'. A thorough review of the contract file would be necessary to determine the specific justification, such as an emergency, a unique capability, or a prior justification for sole-sourcing. Without this documentation, it's impossible to assess the validity of the non-competitive award and ensure proper use of taxpayer funds.

How does the $562,798.41 price compare to similar asset management contracts awarded competitively?

Without competitive bids for this specific contract, a direct price comparison is challenging. To assess value, one would need to benchmark this award against similar asset management services procured competitively by HUD or other federal agencies. This would involve analyzing contract scope, duration, and service complexity to determine if the price is reasonable in the broader market.

What is the potential risk to taxpayers if sole-source contracts become a pattern for this type of service?

If sole-source contracts become a pattern for asset management services, taxpayers face increased risk of paying inflated prices due to the absence of competitive pressure. This can also stifle innovation and reduce the pool of qualified vendors over time. It undermines the principle of achieving best value and efficient use of public funds.

Industry Classification

NAICS: Real Estate and Rental and LeasingActivities Related to Real EstateOther Activities Related to Real Estate

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Raine & Company LLC

Address: 15 PIEDMONT CTR NE STE 120, ATLANTA, GA, 30305

Business Categories: Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Economically Disadvantaged Women Owned Small Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $562,798

Exercised Options: $562,798

Current Obligation: $562,798

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: 86616022D00013

IDV Type: IDC

Timeline

Start Date: 2023-02-24

Current End Date: 2023-08-31

Potential End Date: 2023-08-31 00:00:00

Last Modified: 2026-04-06

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