Air Force janitorial services contract awarded to Lakeview Center Inc. for over $10.8 million

Contract Overview

Contract Amount: $10,865,673 ($10.9M)

Contractor: Lakeview Center Inc

Awarding Agency: Department of Defense

Start Date: 2005-10-01

End Date: 2010-09-30

Contract Duration: 1,825 days

Daily Burn Rate: $6.0K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: 200603!000079!5700!FA4814!6CONS/LGC !FA481406F0004 !A!N! !N! ! !20051001!20060930!098929524!098929524!098929524!N!LAKEVIEW CENTER INC !1221 W LAKEVIEW AVE !PENSACOLA !FL!32501!42025!057!12!MACDILL AFB !HILLSBOROUGH !FLORIDA !+000002498517!N!N!000000000000!S201!CUSTODIAL - JANITORIAL SERVICES !S1 !SERVICES !000 !NOT DISCERNABLE !561720!E! !8! ! ! ! ! !99990909!B! ! !N!Z!B!N!J!1!001!N!5A!Z!N!Z! ! !Y!D!N! ! ! ! ! !A!A!000!A!B!N! ! ! ! ! !FA4814!0001! !

Place of Performance

Location: TAMPA, HILLSBOROUGH County, FLORIDA, 33621

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $10.9 million to LAKEVIEW CENTER INC for work described as: 200603!000079!5700!FA4814!6CONS/LGC !FA481406F0004 !A!N! !N! ! !20051001!20060930!098929524!098929524!098929524!N!LAKEVIEW CENTER INC !1221 W LAKEVIEW AVE !PENSACOLA !FL!32501!42025!057!12!MACDILL AFB !HILL… Key points: 1. Contract awarded to a single vendor, raising questions about competition and potential cost savings. 2. The contract duration of 5 years (1825 days) suggests a long-term need for these services. 3. The North American Industry Classification System (NAICS) code 561720 indicates a focus on janitorial services. 4. Awarded by the Department of the Air Force, indicating a defense-related need. 5. The contract was not competed, suggesting potential limitations in market exploration. 6. The firm fixed-price contract type aims to control costs but may not reflect market fluctuations.

Value Assessment

Rating: fair

The total award amount of $10,865,673.20 for janitorial services over five years appears substantial. Without specific per-unit cost data or benchmarks for janitorial services at MacDill AFB, it is difficult to definitively assess value for money. However, the lack of competition is a significant factor that could lead to inflated pricing compared to a more competitive environment. Further analysis would require benchmarking against similar contracts in the region or for similar facilities.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded as 'NOT COMPETED,' indicating a sole-source or limited competition scenario. The data does not specify the reasons for this approach, such as a specific justification for excluding other vendors or a prior relationship. The lack of open competition means that potential cost savings that could arise from multiple bids and price negotiation were likely forgone.

Taxpayer Impact: Taxpayers may have paid a premium due to the absence of competitive bidding, as the government did not leverage market forces to secure the best possible price.

Public Impact

The primary beneficiary is the Department of the Air Force at MacDill AFB, which receives essential janitorial services. These services ensure a clean and sanitary environment for military personnel and operations. The contract supports the local Florida economy through the operations of Lakeview Center Inc. Workforce implications include employment opportunities for individuals performing the janitorial tasks.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may have resulted in higher costs for taxpayers.
The sole-source nature of the award warrants scrutiny to ensure fair pricing and performance.
Absence of competitive bidding limits transparency in the procurement process.

Positive Signals

The contract was awarded to a specific entity, Lakeview Center Inc., indicating a known provider.
The firm fixed-price contract type provides cost certainty for the government.
The contract duration suggests a stable, long-term service provision.

Sector Analysis

The janitorial services sector is a significant part of the broader facilities management industry. This contract falls under the commercial and institutional building cleaning services sub-sector. While specific market size data for federal janitorial contracts is not provided, the overall industry is characterized by numerous small to medium-sized businesses, as well as larger players. Federal agencies are significant consumers of these services, with spending often influenced by facility size, location, and specific cleaning requirements. Benchmarking would typically involve comparing pricing for similar services at other military bases or large federal facilities.

Small Business Impact

The data indicates that this contract was not awarded to a small business, nor does it appear to have a small business set-aside component (ss: false, sb: false). There is no explicit information regarding subcontracting plans for small businesses within this award. Therefore, the direct impact on the small business ecosystem from this specific contract appears minimal, unless Lakeview Center Inc. voluntarily engages small businesses as subcontractors.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of the Air Force's contracting and financial management offices. Accountability measures are typically embedded in the contract's performance standards and payment terms. Transparency is limited due to the sole-source nature of the award. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Base Operations Support (BOS)
Facilities Maintenance Services
Government Cleaning Contracts
Department of Defense Service Contracts

Risk Flags

Lack of Competition
Potential for Overpricing
Limited Transparency

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $10.9 million to LAKEVIEW CENTER INC. 200603!000079!5700!FA4814!6CONS/LGC !FA481406F0004 !A!N! !N! ! !20051001!20060930!098929524!098929524!098929524!N!LAKEVIEW CENTER INC !1221 W LAKEVIEW AVE !PENSACOLA !FL!32501!42025!057!12!MACDILL AFB !HILLSBOROUGH !FLORIDA !+000002498517!N!N!000000000000!S201!CUSTODIAL - JANITORIAL SERVICES !S1 !SERVICES !000 !NOT DISCERNABLE !561720!E! !8! ! ! ! ! !999

Who is the contractor on this award?

The obligated recipient is LAKEVIEW CENTER 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 $10.9 million.

What is the period of performance?

Start: 2005-10-01. End: 2010-09-30.

What is the historical spending pattern for janitorial services at MacDill AFB?

Analyzing historical spending for janitorial services at MacDill AFB would provide crucial context for the current $10.8 million award. Without access to prior contract data for this specific base and service, it's impossible to determine if this award represents an increase, decrease, or stable level of spending. Understanding past contract values, durations, and awarded vendors would help identify trends, potential cost escalations, or shifts in procurement strategies. For instance, if previous contracts were competed and awarded at lower total values, it would raise further questions about the justification and pricing of this current sole-source award. Conversely, if previous awards were also sole-source and of similar value, it might indicate a consistent, albeit potentially less cost-effective, approach to securing these services.

What specific services are included under 'Custodial - Janitorial Services'?

The term 'Custodial - Janitorial Services' typically encompasses a wide range of cleaning and maintenance tasks necessary to keep facilities sanitary and presentable. This can include daily or routine cleaning of floors, restrooms, offices, common areas, and windows; trash removal and disposal; dusting and polishing of furniture and fixtures; and replenishment of supplies like soap and paper towels. Depending on the contract's scope, it might also involve specialized services such as carpet cleaning, floor waxing, window washing, and deep cleaning. The specific deliverables and frequency of each service are usually detailed in the Performance Work Statement (PWS) attached to the contract. Understanding the precise scope is vital for evaluating the appropriateness of the contract's value and ensuring all necessary services are being adequately provided.

What is the justification for awarding this contract on a sole-source basis?

The justification for awarding this contract on a sole-source basis ('NOT COMPETED') is a critical piece of information that is not provided in the given data. Federal procurement regulations typically require agencies to conduct full and open competition unless specific exceptions apply. These exceptions might include situations where only one responsible source can provide the required services, there is a compelling urgency, or the acquisition is for specialized services or supplies. Without the official justification document (e.g., a Justification and Approval - J&A), it is impossible to assess the validity of the sole-source award. This lack of transparency hinders the ability to determine if the government acted appropriately and in the best interest of taxpayers by not seeking competitive bids.

How does the firm fixed-price contract type impact risk and cost for this janitorial service?

A Firm Fixed Price (FFP) contract, like the one awarded to Lakeview Center Inc., shifts most of the risk to the contractor. The contractor agrees to perform the specified janitorial services for a set price, regardless of their actual costs incurred. This provides the government with cost certainty, as the total price is known upfront and is not subject to increases due to contractor cost overruns. However, it also means the government might not benefit from potential cost savings if the contractor performs more efficiently than anticipated. For janitorial services, where labor and supply costs are primary drivers, an FFP contract incentivizes the contractor to manage these costs effectively to maximize profit. The risk for the government lies in potentially overpaying if the fixed price was set too high due to lack of competition or if the scope of work was not precisely defined.

What is the track record of Lakeview Center Inc. in performing government contracts?

Information regarding the track record of Lakeview Center Inc. in performing government contracts is not detailed in the provided data snippet. While the award itself indicates they were selected for this janitorial services contract, it doesn't offer insight into their past performance, quality of service, or history with federal agencies. A comprehensive assessment would require reviewing past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), any past disputes or contract terminations, and the duration and value of previous government contracts they have held. Without this information, it's difficult to gauge their reliability and capability beyond this single award.

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 COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1221 W LAKEVIEW AVE, PENSACOLA, FL, 01

Business Categories: AbilityOne Program Participant, Category Business, Not Designated a Small Business, Special Designations

Contract Characteristics

Cost or Pricing Data: NO

Timeline