GSA awards $29.4M Janitorial Services Contract to Fedcap Rehabilitation Services, Inc. for NYC facilities

Contract Overview

Contract Amount: $29,368,961 ($29.4M)

Contractor: Fedcap Rehabilitation Services, Inc

Awarding Agency: General Services Administration

Start Date: 2009-10-01

End Date: 2016-12-31

Contract Duration: 2,648 days

Daily Burn Rate: $11.1K/day

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: JANITORIAL SERVICES FOR 500 PEARL STREET & 1 ST. ANDREWS PLAZA, NEW YORK, NY

Place of Performance

Location: NEW YORK, NEW YORK County, NEW YORK, 10007

State: New York Government Spending

Plain-Language Summary

General Services Administration obligated $29.4 million to FEDCAP REHABILITATION SERVICES, INC for work described as: JANITORIAL SERVICES FOR 500 PEARL STREET & 1 ST. ANDREWS PLAZA, NEW YORK, NY Key points: 1. Contract awarded to a single vendor for janitorial services. 2. Long contract duration of 2648 days suggests potential for price escalation. 3. No small business set-aside noted, raising questions about broader economic impact. 4. Services provided in New York City, a high-cost area.

Value Assessment

Rating: fair

The contract value of $29.4M over approximately 7 years averages to about $4.2M annually. Benchmarking this against similar large-scale janitorial contracts in major metropolitan areas is difficult without more specific service details, but it appears to be within a reasonable range given the duration and scope.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was awarded as a delivery order, implying it may have been part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract or a specific sole-source justification. The lack of explicit competition for this specific order limits price discovery and potentially leads to a higher price than if multiple vendors had bid.

Taxpayer Impact: Taxpayers may have paid a premium due to the absence of competitive bidding for this significant contract.

Public Impact

Ensures cleanliness and maintenance of federal buildings in New York City. Supports employment through Fedcap Rehabilitation Services, which may employ individuals with barriers to employment. Potential for higher costs borne by taxpayers due to limited competition.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

Janitorial services are a common operational expense for government facilities. Spending benchmarks vary widely based on facility size, location, and service level. This contract represents a significant investment in maintaining federal properties in a high-cost urban environment.

Small Business Impact

The data indicates this contract was not set aside for small businesses. While Fedcap Rehabilitation Services may be a large organization, the absence of a small business set-aside means opportunities for smaller, local janitorial companies were not prioritized in this award.

Oversight & Accountability

The General Services Administration (GSA) is responsible for managing federal buildings. Oversight would involve ensuring contract compliance, service quality, and adherence to terms. The long duration necessitates ongoing monitoring to prevent cost creep and ensure continued value.

Related Government Programs

Risk Flags

Tags

janitorial-services, general-services-administration, ny, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $29.4 million to FEDCAP REHABILITATION SERVICES, INC. JANITORIAL SERVICES FOR 500 PEARL STREET & 1 ST. ANDREWS PLAZA, NEW YORK, NY

Who is the contractor on this award?

The obligated recipient is FEDCAP REHABILITATION SERVICES, INC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Public Buildings Service).

What is the total obligated amount?

The obligated amount is $29.4 million.

What is the period of performance?

Start: 2009-10-01. End: 2016-12-31.

What specific services are included in the janitorial contract to justify the $29.4M price tag over seven years?

The provided data lacks specific details on the scope of janitorial services. A comprehensive understanding of the contract's value requires a breakdown of tasks, frequency, square footage serviced, and any specialized cleaning requirements. Without this, it's difficult to definitively assess if the price is justified or if there are opportunities for cost savings through service optimization or renegotiation.

What was the justification for awarding this contract as a sole-source delivery order, and what was the impact on pricing?

The justification for a sole-source award is not provided. Typically, sole-source contracts are used when only one vendor can meet the government's needs. This lack of competition likely resulted in a higher price than would have been achieved through a competitive bidding process, potentially costing taxpayers more.

How does Fedcap Rehabilitation Services' mission align with the delivery of these janitorial services, and what is the measurable impact on their rehabilitation goals?

Fedcap Rehabilitation Services' mission is to provide opportunities for individuals with barriers to employment. Awarding this contract likely supports that mission by creating jobs. However, the data does not quantify the number of individuals employed through this contract or measure the success of their rehabilitation outcomes, making the social impact assessment incomplete.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesServices to Buildings and DwellingsJanitorial Services

Product/Service Code: UTILITIES AND HOUSEKEEPINGHOUSEKEEPING SERVICES

Contractor Details

Address: 211 W 14TH ST, NEW YORK, NY, 10011

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

Financial Breakdown

Contract Ceiling: $35,020,468

Exercised Options: $29,368,961

Current Obligation: $29,368,961

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Parent Contract

Parent Award PIID: GS02P09PVD0023

IDV Type: IDC

Timeline

Start Date: 2009-10-01

Current End Date: 2016-12-31

Potential End Date: 2016-12-31 00:00:00

Last Modified: 2016-09-15

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