Air Force awards $8.9M custodial services contract to CW Resources, Inc. for Shaw AFB

Contract Overview

Contract Amount: $8,954,703 ($9.0M)

Contractor: CW Resources, Inc.

Awarding Agency: Department of Defense

Start Date: 2022-12-01

End Date: 2026-11-30

Contract Duration: 1,460 days

Daily Burn Rate: $6.1K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: SHAW AFB BASE CUSTODIAL SERVICES

Place of Performance

Location: SHAW AFB, SUMTER County, SOUTH CAROLINA, 29152

State: South Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $9.0 million to CW RESOURCES, INC. for work described as: SHAW AFB BASE CUSTODIAL SERVICES Key points: 1. Contract awarded on a firm-fixed-price basis, indicating predictable costs for the government. 2. The contract duration of 1460 days (4 years) suggests a long-term need for these services. 3. Awarded to CW Resources, Inc., a contractor with a history of government service. 4. The North American Industry Classification System (NAICS) code 561720 points to a standard janitorial services requirement. 5. The contract is not subject to small business set-aside provisions. 6. The base value of the contract is $8.95 million over its four-year term.

Value Assessment

Rating: fair

Benchmarking per-unit costs for custodial services can be challenging due to variations in scope and location. However, the firm-fixed-price structure provides cost certainty. Without detailed service level agreements and performance metrics, a comprehensive value assessment is difficult. The award to CW Resources, Inc., a known entity in government contracting, suggests a degree of familiarity and potentially established pricing, but does not inherently guarantee optimal value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded under a 'NOT AVAILABLE FOR COMPETITION' (sole-source) designation. This means the government did not solicit bids from multiple vendors. The reasons for this sole-source award are not detailed in the provided data, but typically such awards are made when only one vendor can meet specific requirements, such as unique capabilities, urgent needs, or existing infrastructure compatibility. The lack of competition means there was no price discovery through a bidding process.

Taxpayer Impact: Sole-source awards can potentially lead to higher prices for taxpayers as there is no competitive pressure to drive down costs. It also limits opportunities for other businesses to secure government contracts.

Public Impact

The primary beneficiaries are the personnel and operations at Shaw Air Force Base, who will receive janitorial services. The services delivered include general cleaning and maintenance of facilities within the base. The geographic impact is localized to Shaw Air Force Base in South Carolina. The contract supports the operational readiness and living conditions of military personnel and civilian staff at the base.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition raises concerns about potential overpricing and reduced incentive for efficiency.
The sole-source nature limits opportunities for small businesses and other potential service providers.
Absence of detailed performance metrics in the provided data makes it difficult to assess service quality and value.
The contract's fixed price may not fully account for potential fluctuations in labor or material costs over its four-year term.

Positive Signals

Firm-fixed-price contract provides cost predictability for the government.
Award to an established contractor like CW Resources, Inc. may indicate a known quantity regarding service delivery.
Long-term contract (4 years) suggests a stable and ongoing requirement, providing continuity of services.
The contract supports essential base operations and quality of life for personnel at Shaw AFB.

Sector Analysis

The janitorial services sector is a mature and competitive market, with numerous providers ranging from small local businesses to large national corporations. Government contracts for these services are common across various agencies and installations. The market size for government custodial services is substantial, driven by the need to maintain federal facilities. This contract represents a portion of that broader spending, focusing on a specific Air Force base.

Small Business Impact

This contract was not awarded as a small business set-aside, nor does it appear to have specific subcontracting requirements for small businesses indicated in the provided data. The sole-source nature further limits the direct involvement of small businesses in securing this particular contract. This means that opportunities for small businesses to participate in providing these essential services at Shaw AFB are not being directly facilitated through this award.

Oversight & Accountability

Oversight for this contract would typically fall under the purview of the contracting officer and the relevant contracting activity within the Department of the Air Force. Performance monitoring and quality assurance would be managed by government representatives at Shaw Air Force Base. Transparency is limited by the sole-source nature of the award, with less public visibility into the justification and negotiation process compared to a fully competed contract. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Base Operations Support Contracts
Facility Maintenance Services
Government Cleaning Contracts
Department of Defense Service Contracts

Risk Flags

Sole-source award lacks competitive justification.
No small business subcontracting plan evident.
Performance metrics and SLAs not detailed.
Potential for higher costs due to lack of competition.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $9.0 million to CW RESOURCES, INC.. SHAW AFB BASE CUSTODIAL SERVICES

Who is the contractor on this award?

The obligated recipient is CW RESOURCES, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $9.0 million.

What is the period of performance?

Start: 2022-12-01. End: 2026-11-30.

What is the historical spending pattern for custodial services at Shaw Air Force Base?

Historical spending data for custodial services at Shaw Air Force Base prior to this $8.95 million, four-year contract (2022-2026) is not provided. To assess historical patterns, one would need to examine previous contracts for similar services at this installation. This would involve searching federal procurement databases for awards made to various contractors over past years, noting contract values, durations, and service scopes. Understanding these patterns is crucial for identifying trends in pricing, contractor performance, and the evolution of service requirements. Without this historical context, it is difficult to determine if the current contract represents an increase or decrease in spending, or if the pricing is consistent with past expenditures for comparable services at Shaw AFB.

How does the pricing of this contract compare to similar janitorial service contracts awarded by the Air Force or DoD?

Direct comparison of pricing for this $8.95 million, four-year firm-fixed-price contract for custodial services at Shaw AFB is challenging without detailed service scope and performance metrics. However, general benchmarks for janitorial services can be established based on square footage cleaned, frequency of service, and types of cleaning required. Given the sole-source nature of this award, it is difficult to ascertain if the pricing reflects competitive market rates. To perform a robust comparison, one would need to analyze contracts for similar-sized bases or facilities within the Air Force or Department of Defense that were awarded through full and open competition. This would allow for an assessment of price per square foot or price per service hour against market averages and competitive award prices.

What are the specific performance metrics and service level agreements (SLAs) associated with this contract?

The provided data does not include specific performance metrics or service level agreements (SLAs) for this custodial services contract. Typically, such contracts would detail requirements for cleaning frequency, quality standards (e.g., cleanliness ratings), response times for specific issues, and personnel qualifications. Performance is usually monitored through government inspections and user feedback. The absence of this information in the summary data makes it impossible to evaluate the contractor's expected performance level or the government's mechanisms for ensuring service quality. These details are critical for assessing the overall value and effectiveness of the contract beyond just the financial outlay.

What is the justification for the sole-source award of this custodial services contract?

The provided data indicates the contract was awarded under 'NOT AVAILABLE FOR COMPETITION,' signifying a sole-source justification. Common reasons for sole-source awards include unique capabilities of a single contractor, urgent and compelling needs where competition is not feasible, or when only one responsible source can provide the required service. Without access to the official justification document (e.g., a Justification and Approval for Other Than Full and Open Competition - J&A), the specific rationale remains unknown. This lack of transparency means taxpayers cannot fully understand why competitive bidding was bypassed, which is a key aspect of ensuring fair pricing and broad market access.

What is the track record of CW Resources, Inc. in performing similar government contracts?

CW Resources, Inc. is a known entity in government contracting, often associated with providing services to federal agencies. While the provided data does not detail their specific track record for custodial services at Shaw AFB or other Air Force installations, their continued award of contracts suggests a level of satisfactory performance or established relationships. A comprehensive assessment would require reviewing their past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), the types and values of contracts they have previously held, and any history of disputes or contract terminations. This information is crucial for understanding their reliability and capability in fulfilling the requirements of this current contract.

What is the potential impact of this contract on the local small business ecosystem in South Carolina?

Given that this $8.95 million custodial services contract was awarded on a sole-source basis and is not designated as a small business set-aside, its direct impact on the local small business ecosystem in South Carolina is likely minimal. Small businesses in the region will not have had a direct opportunity to compete for this specific contract. While CW Resources, Inc. might engage local small businesses as subcontractors, this is not explicitly stated or mandated by the provided contract details. Therefore, the primary benefit of this contract flows to the awarded contractor, rather than stimulating broader small business participation within the local economy for these particular services.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Services to Buildings and Dwellings › Janitorial Services

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: FA480322R0001

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 200 MYRTLE ST, NEW BRITAIN, CT, 06053

Business Categories: AbilityOne Program Participant, Category Business, Corporate Entity Tax Exempt, Manufacturer of Goods, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $12,438,310

Exercised Options: $8,954,703

Current Obligation: $8,954,703

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline