Department of Energy awards $4.8M facilities support contract to The Building People LLC

Contract Overview

Contract Amount: $4,833,665 ($4.8M)

Contractor: THE Building People LLC

Awarding Agency: Department of Energy

Start Date: 2024-03-08

End Date: 2026-04-30

Contract Duration: 783 days

Daily Burn Rate: $6.2K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: BUSINESS ADMINISTRATIVE SUPPORT SERVICES (BASS) - NEW ORDER

Place of Performance

Location: GOLDEN, JEFFERSON County, COLORADO, 80401

State: Colorado Government Spending

Plain-Language Summary

Department of Energy obligated $4.8 million to THE BUILDING PEOPLE LLC for work described as: BUSINESS ADMINISTRATIVE SUPPORT SERVICES (BASS) - NEW ORDER Key points: 1. Contract awarded via a Blanket Purchase Agreement (BPA) Call, suggesting pre-negotiated terms and potential for streamlined procurement. 2. The Time and Materials (T&M) contract type carries inherent risk of cost overruns if not closely managed. 3. Awarded on March 8, 2024, with an estimated completion date of April 30, 2026, indicating a 2-year duration. 4. The contract is for Business Administrative Support Services (BASS), specifically focusing on facilities support. 5. The Building People LLC is the sole awardee for this specific BPA Call. 6. The contract value of $4.8 million is modest within the broader federal contracting landscape for facilities support.

Value Assessment

Rating: fair

The contract value of $4.8 million for facilities support services over approximately two years appears reasonable on its face. However, without specific details on the scope of services and labor rates, a definitive value-for-money assessment is challenging. The Time and Materials (T&M) pricing structure necessitates close monitoring to ensure costs remain within expected parameters and do not escalate due to inefficiencies or scope creep. Benchmarking against similar facilities support contracts awarded by the Department of Energy or other agencies would provide a clearer picture of competitive pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition via a BPA Call. While the specific number of bidders for this particular BPA Call is not detailed, the 'full and open' designation implies that all responsible sources were permitted to compete. BPA Calls are typically used to procure services or supplies from pre-established BPA holders, suggesting that The Building People LLC was one of several potential awardees under a broader BPA agreement. This method generally promotes competitive pricing.

Taxpayer Impact: Full and open competition, even through a BPA Call, is beneficial for taxpayers as it encourages multiple vendors to offer competitive pricing, potentially leading to cost savings for the government.

Public Impact

The Department of Energy benefits from essential facilities support services, ensuring operational continuity and maintenance of its infrastructure. Employees within the Department of Energy will experience improved working environments and support for their daily operations. The contract's impact is primarily concentrated within the geographic area served by the Department of Energy facilities in Colorado. The contract supports jobs within The Building People LLC, contributing to the local economy in Colorado through employment opportunities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The federal facilities support services market is substantial, encompassing a wide range of activities from maintenance and repair to administrative support for building operations. Agencies like the Department of Energy rely heavily on these services to maintain secure and functional workspaces. Spending in this sector is driven by the need to preserve government assets, ensure compliance with safety regulations, and support the daily functions of federal employees. Contracts can range from small, localized services to large, comprehensive facility management agreements. The Building People LLC's award falls within the mid-range for specific service calls under a larger framework.

Small Business Impact

This contract was not set aside for small businesses, and the data indicates the awardee, The Building People LLC, is not a small business. Therefore, there are no direct subcontracting implications for small businesses stemming from this specific award. The absence of a small business set-aside means that opportunities for small business participation are not explicitly mandated within this particular contract's structure.

Oversight & Accountability

Oversight for this contract will primarily reside with the Department of Energy's contracting officers and program managers. As a Time and Materials (T&M) contract, rigorous monitoring of labor hours, rates, and material costs will be crucial to ensure accountability and prevent overspending. Transparency is facilitated by the federal procurement data system, where contract awards are publicly reported. While specific Inspector General (IG) jurisdiction for this particular award is not detailed, the DOE IG typically oversees all agency contracts for waste, fraud, and abuse.

Related Government Programs

Risk Flags

Tags

facilities-support, administrative-support, department-of-energy, doe, colorado, time-and-materials, bpa-call, full-and-open-competition, the-building-people-llc, facilities-management, government-contracting

Frequently Asked Questions

What is this federal contract paying for?

Department of Energy awarded $4.8 million to THE BUILDING PEOPLE LLC. BUSINESS ADMINISTRATIVE SUPPORT SERVICES (BASS) - NEW ORDER

Who is the contractor on this award?

The obligated recipient is THE BUILDING PEOPLE LLC.

Which agency awarded this contract?

Awarding agency: Department of Energy (Department of Energy).

What is the total obligated amount?

The obligated amount is $4.8 million.

What is the period of performance?

Start: 2024-03-08. End: 2026-04-30.

What is the track record of The Building People LLC with the Department of Energy and other federal agencies?

A comprehensive review of The Building People LLC's contract history with the Department of Energy (DOE) and other federal agencies is necessary to assess their track record. This would involve examining past performance evaluations, any documented disputes or contract terminations, and the types and values of previous awards. Understanding their experience with similar facilities support services, particularly under Time and Materials (T&M) contract vehicles, would provide insight into their reliability and efficiency. A positive history with the DOE, especially on similar BPA calls or T&M contracts, would suggest a lower performance risk for this current award. Conversely, any significant past performance issues could indicate potential challenges in meeting the requirements of this new contract.

How does the $4.8 million contract value compare to similar facilities support contracts awarded by the Department of Energy?

To benchmark the $4.8 million contract value, a comparative analysis of similar facilities support services awarded by the Department of Energy (DOE) is required. This involves identifying contracts with comparable scopes of work, durations, and pricing structures (e.g., T&M, Firm-Fixed-Price). For instance, if the DOE has recently awarded multiple contracts for facilities maintenance and administrative support in the Colorado region, averaging between $2 million and $6 million over two-year periods, then this $4.8 million award would appear within a reasonable range. However, if similar services were procured for significantly less, or if this contract covers a much broader scope than comparable awards, it might suggest a potential overvaluation or an underestimation of the required work. Access to historical contract data and pricing details is crucial for an accurate comparison.

What are the primary risks associated with the Time and Materials (T&M) contract type for this facilities support service?

The primary risk associated with the Time and Materials (T&M) contract type for facilities support services is the potential for cost overruns. Unlike fixed-price contracts, T&M agreements reimburse the contractor for the actual cost of labor (at specified hourly rates) and materials, plus a fee. This structure can incentivize contractors to extend work hours or use more expensive materials if not closely monitored, as their profit is directly tied to the costs incurred. For the Department of Energy, this necessitates robust oversight, including detailed review of timesheets, material invoices, and regular progress reports to ensure efficiency and prevent unnecessary expenditures. Without stringent management and clear performance expectations, T&M contracts can become significantly more expensive than initially anticipated, impacting the overall value for taxpayers.

What is the expected effectiveness of The Building People LLC in delivering Business Administrative Support Services (BASS) for facilities?

The expected effectiveness of The Building People LLC in delivering Business Administrative Support Services (BASS) for facilities hinges on several factors, including their past performance, the clarity of the contract's Statement of Work (SOW), and the Department of Energy's (DOE) contract management capabilities. Given that this is a BPA Call award, it implies The Building People LLC has likely demonstrated capability in prior procurements. However, the effectiveness will ultimately be measured by their ability to meet the specific service requirements outlined in the SOW, maintain service levels, and operate within the allocated budget. The DOE's oversight, including performance monitoring and timely feedback, will be critical in ensuring the contractor's effectiveness and achieving the desired outcomes for facilities support.

How has federal spending on facilities support services evolved, and where does this contract fit within that trend?

Federal spending on facilities support services has historically been substantial, driven by the vast real estate portfolio managed by various government agencies. This spending encompasses a wide array of services, including maintenance, repair, custodial services, security, and administrative support for building operations. Over the years, there has been a trend towards consolidating services and leveraging performance-based contracts to improve efficiency and cost-effectiveness. This $4.8 million award to The Building People LLC for Business Administrative Support Services (BASS) fits within this broader spending category. While not a massive contract in isolation, it represents a component of the Department of Energy's ongoing investment in maintaining its operational infrastructure and ensuring a functional working environment for its personnel.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 215 DEPOT CT SE, 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, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $8,905,684

Exercised Options: $4,946,650

Current Obligation: $4,833,665

Actual Outlays: $4,134,489

Subaward Activity

Number of Subawards: 6

Total Subaward Amount: $2,478,814

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 89243423AEE000005

IDV Type: BPA

Timeline

Start Date: 2024-03-08

Current End Date: 2026-04-30

Potential End Date: 2026-04-30 00:00:00

Last Modified: 2026-03-31

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