Defense Contract for $16.8M for Building Maintenance Services Awarded to Honeywell International Inc

Contract Overview

Contract Amount: $15,859,798 ($15.9M)

Contractor: Honeywell Inc

Awarding Agency: Department of Defense

Start Date: 2005-09-28

End Date: 2029-07-31

Contract Duration: 8,707 days

Daily Burn Rate: $1.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 21

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: 200511!001020!5700!FA4887!56CONS/CC !DEAM3697EE73567!C!N! !N!FA488705F0011! !20050928!20100730!168865228!001325240!139691877!N!HONEYWELL INTERNATIONAL INC !1985 DOUGLAS DRIVE N !GOLDEN VALLEY !MN!55422!42800!013!04!LUKE AFB !MARICOPA !ARIZONA !+000001940000!N!N!000000000000!Z111!MAINT/OFFICE BUILDINGS !C2 !CONSTRUCTION !000 !* !236220!E! !5!B!M! !D! !20200930!B! ! !A! !A! !J! !005!B! !D! ! ! ! ! !C!N! ! ! !Z!Z!A!A!000! !B!N! ! ! ! ! ! !0001! !

Place of Performance

Location: GLENDALE LUKE AFB, MARICOPA County, ARIZONA, 85309

State: Arizona Government Spending

Plain-Language Summary

Department of Defense obligated $15.9 million to HONEYWELL INC for work described as: 200511!001020!5700!FA4887!56CONS/CC !DEAM3697EE73567!C!N! !N!FA488705F0011! !20050928!20100730!168865228!001325240!139691877!N!HONEYWELL INTERNATIONAL INC !1985 DOUGLAS DRIVE N !GOLDEN VALLEY !MN!55422!42800!013!04!LUKE AFB !MARI… Key points: 1. The contract is for maintenance of office buildings and has a total value of $16.8 million. 2. Awarded by the Department of the Air Force, this contract falls under engineering services. 3. The contract was awarded using full and open competition, suggesting a competitive bidding process. 4. The duration of the contract is approximately 8.7 years, indicating a long-term service agreement.

Value Assessment

Rating: fair

The contract value of $16.8 million for building maintenance over nearly 9 years appears reasonable given the scope. However, without specific details on the services provided and the size/complexity of the facilities, a precise benchmark is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, which typically leads to better price discovery and value for the government. This method allows all responsible sources to submit a bid.

Taxpayer Impact: Full and open competition generally benefits taxpayers by ensuring competitive pricing and potentially lower costs compared to sole-source or limited competition awards.

Public Impact

Taxpayers benefit from competitive bidding processes that aim to secure the best value for services. The long-term nature of the contract provides stability for the service provider and consistent maintenance for Air Force facilities. This contract supports jobs within the engineering services sector, specifically in Arizona.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if scope creep occurs over the long contract duration.
Reliance on a single contractor for critical building maintenance could pose a risk if performance issues arise.

Positive Signals

Awarded through full and open competition, indicating a potentially competitive price.
Long contract duration suggests a stable and reliable service provider is expected.
Contract is for essential building maintenance, ensuring operational readiness of facilities.

Sector Analysis

This contract falls within the Engineering Services sector, specifically for the maintenance of office buildings. Spending in this sector is crucial for maintaining government infrastructure and operational capabilities.

Small Business Impact

The data indicates this contract was awarded to Honeywell International Inc. and does not specify any set-asides for small businesses. Further analysis would be needed to determine if small businesses were involved as subcontractors.

Oversight & Accountability

The contract was awarded by the Department of the Air Force, which has established oversight mechanisms for its contracts. The long duration necessitates ongoing monitoring to ensure performance and adherence to terms.

Related Government Programs

Engineering Services
Department of Defense Contracting
Department of the Air Force Programs

Risk Flags

Long contract duration may increase risk of price escalation or performance degradation.
Lack of specific detail on maintenance tasks makes independent value assessment challenging.
No indication of small business participation, potentially missing opportunities for economic inclusion.
Potential for scope creep if not managed tightly by the contracting agency.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $15.9 million to HONEYWELL INC. 200511!001020!5700!FA4887!56CONS/CC !DEAM3697EE73567!C!N! !N!FA488705F0011! !20050928!20100730!168865228!001325240!139691877!N!HONEYWELL INTERNATIONAL INC !1985 DOUGLAS DRIVE N !GOLDEN VALLEY !MN!55422!42800!013!04!LUKE AFB !MARICOPA !ARIZONA !+000001940000!N!N!000000000000!Z111!MAINT/OFFICE BUILDINGS !C2 !CONSTRUCTION !000 !* !236220!E! !5!B!M! !D! !202

Who is the contractor on this award?

The obligated recipient is HONEYWELL 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 $15.9 million.

What is the period of performance?

Start: 2005-09-28. End: 2029-07-31.

What specific maintenance tasks are included in this $16.8 million contract, and how do they align with industry standards for similar facilities?

The contract specifies 'MAINT/OFFICE BUILDINGS'. A detailed breakdown of services such as HVAC, electrical, plumbing, janitorial, and structural repairs would be needed to assess alignment with industry standards. Benchmarking against similar-sized facilities and contract scopes would reveal if the $16.8 million over 8.7 years represents fair market value for the defined services.

What are the key performance indicators (KPIs) and service level agreements (SLAs) in place to mitigate performance risks for this long-term building maintenance contract?

Effective KPIs and SLAs are critical for managing a contract of this duration and scope. These should include metrics for response times to maintenance requests, quality of repairs, preventative maintenance schedules, and facility uptime. Regular performance reviews by the Air Force are essential to ensure Honeywell meets these standards and to address any emerging issues proactively.

How does the pricing structure of this contract ensure cost-effectiveness for the government over its entire 8.7-year term?

The contract utilizes a Firm Fixed Price (FFP) structure, which generally provides cost certainty for the government. However, the initial pricing must be robustly benchmarked against market rates for similar services. Mechanisms for price adjustments, if any, should be clearly defined and limited to prevent uncontrolled escalation over the long term.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: ARCHITECT/ENGINEER SERVICES › ARCH-ENG SVCS - CONSTRUCTION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Offers Received: 21

Pricing Type: FIRM FIXED PRICE (J)

Contractor Details

Parent Company: Honeywell International Inc (UEI: 139691877)

Address: 101 COLUMBIA ROAD, MORRISTOWN, NJ, 11

Business Categories: Category Business, Not Designated a Small Business

Parent Contract

Parent Award PIID: DEAM3697EE73567

IDV Type: IDC

Timeline