GSA's $112.8M Javits Center O&M Contract Awarded to LCOR Asset Management Limited Partnership

Contract Overview

Contract Amount: $112,816,307 ($112.8M)

Contractor: Lcor Asset Management Limited Partnership

Awarding Agency: General Services Administration

Start Date: 2012-09-27

End Date: 2023-04-30

Contract Duration: 3,867 days

Daily Burn Rate: $29.2K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: O&M CONTRACT FOR JACOB JAVITS COMPLEX

Place of Performance

Location: NEW YORK, NEW YORK County, NEW YORK, 10278

State: New York Government Spending

Plain-Language Summary

General Services Administration obligated $112.8 million to LCOR ASSET MANAGEMENT LIMITED PARTNERSHIP for work described as: O&M CONTRACT FOR JACOB JAVITS COMPLEX Key points: 1. Contract value of over $112 million for facilities support services. 2. Awarded under a full and open competition, suggesting broad market engagement. 3. Long contract duration of over 10 years (3867 days) indicates a stable, long-term need. 4. Firm Fixed Price contract type provides cost certainty for the government. 5. Services provided are essential for the operation of a major federal facility. 6. No small business set-aside or subcontracting noted, potentially limiting small business participation.

Value Assessment

Rating: fair

The contract's value of $112.8 million over more than 10 years for O&M services at a major federal complex like the Javits Center appears to be within a reasonable range for such extensive facilities management. Benchmarking against similar large-scale facility operations contracts would be necessary for a definitive value-for-money assessment. The firm fixed-price nature helps control costs, but the lack of detailed performance metrics or cost breakdowns in the provided data makes a precise value comparison difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'FULL AND OPEN COMPETITION,' indicating that all responsible sources were permitted to submit offers. This suggests a competitive process was utilized to select the contractor. The number of bidders is not specified, but the open competition generally promotes price discovery and encourages contractors to offer competitive pricing to win the award.

Taxpayer Impact: A full and open competition is generally favorable for taxpayers as it aims to secure the best value by allowing a wide range of potential providers to compete, potentially driving down costs through market forces.

Public Impact

The primary beneficiary is the General Services Administration (GSA) and the federal government, ensuring the operational continuity of the Jacob K. Javits Convention Center. Services delivered include essential facilities support, maintenance, and operations management. The geographic impact is concentrated in New York, NY, where the Javits Center is located. Workforce implications include employment opportunities for personnel involved in facilities management and maintenance, likely supporting local jobs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics or KPIs makes it difficult to assess the contractor's effectiveness and efficiency.
Absence of small business subcontracting goals may limit opportunities for small businesses in the New York area.
The long contract duration could potentially lead to complacency if not managed with rigorous oversight.

Positive Signals

Awarded through full and open competition, indicating a potentially robust selection process.
Firm Fixed Price contract type provides budget certainty for the government.
The contract covers essential operations for a significant federal facility, ensuring continuity.

Sector Analysis

This contract falls within the Facilities Support Services sector, a critical component of the broader commercial real estate and government services industry. The market for facilities management is substantial, encompassing a wide range of services from maintenance and repair to security and operations. This specific contract supports a large, high-profile federal facility, likely representing a significant portion of the annual spending for its operational upkeep. Comparable spending benchmarks would typically be found in contracts for managing other large convention centers, federal buildings, or major institutional complexes.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). This means that large businesses were eligible to compete and potentially win the award without specific requirements for subcontracting to small businesses. The absence of a small business set-aside or explicit subcontracting plan could limit the direct participation of small businesses in fulfilling the contract requirements, potentially impacting the small business ecosystem in the region unless the prime contractor voluntarily engages them.

Oversight & Accountability

Oversight for this contract would primarily fall under the General Services Administration (GSA), specifically the Public Buildings Service (PBS). As a large federal contract, it is likely subject to standard GSA oversight mechanisms, including contract performance reviews and financial audits. The firm fixed-price nature provides a degree of accountability by fixing the cost. Transparency would depend on GSA's reporting practices and whether the contract details and performance are publicly accessible. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Federal Building Operations and Maintenance
Government Facilities Management Contracts
Jacob K. Javits Convention Center Operations
Public Buildings Service Contracts
General Services Administration Procurement

Risk Flags

Lack of detailed performance metrics
No specified small business subcontracting goals
Long contract duration requires sustained oversight

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $112.8 million to LCOR ASSET MANAGEMENT LIMITED PARTNERSHIP. O&M CONTRACT FOR JACOB JAVITS COMPLEX

Who is the contractor on this award?

The obligated recipient is LCOR ASSET MANAGEMENT LIMITED PARTNERSHIP.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $112.8 million.

What is the period of performance?

Start: 2012-09-27. End: 2023-04-30.

What is the historical spending trend for facilities support services at the Jacob K. Javits Center under GSA?

The provided data reflects a single contract award of $112,816,307.28 spanning from September 27, 2012, to April 30, 2023, a period of approximately 10 years and 7 months. This represents the total obligated amount for this specific O&M contract. To understand historical spending trends, one would need to examine annual expenditures within this contract period and compare it to any prior contracts for the same services at the Javits Center. Without access to detailed annual financial reports or previous contract data, a comprehensive trend analysis is not possible from this single data point. However, the consistent award and long duration suggest a stable, ongoing requirement for these services.

How does the per-unit cost of this contract compare to similar facilities management contracts for large convention centers?

A direct per-unit cost comparison is challenging without defining a specific 'unit' (e.g., per square foot, per event, per maintenance hour) and accessing comparable contract data. The total contract value is $112.8 million over roughly 3867 days. If we consider 'per day' cost, it averages around $29,174. However, this is a very broad metric. To benchmark effectively, one would need to identify contracts for managing facilities of similar size and complexity (e.g., other major convention centers, large federal buildings) and analyze their cost structures based on standardized metrics like cost per square foot or cost per operational hour. The firm fixed-price nature here suggests the contractor assumed the risk for cost fluctuations, which can influence the initial pricing compared to cost-plus contracts.

What are the key performance indicators (KPIs) used to evaluate LCOR Asset Management's performance under this contract?

The provided data does not specify the Key Performance Indicators (KPIs) used to evaluate LCOR Asset Management Limited Partnership's performance. Typically, for Facilities Support Services contracts, KPIs might include response times for maintenance requests, preventative maintenance completion rates, energy efficiency targets, occupant satisfaction scores, safety incident rates, and compliance with environmental regulations. The firm fixed-price contract type implies that performance is monitored against the agreed-upon scope of work and service levels, but the specific metrics and their targets are usually detailed in the contract's Performance Work Statement (PWS) or Statement of Objectives (SOO), which are not included here. Without these details, a thorough assessment of performance quality is not possible.

What is the track record of LCOR Asset Management Limited Partnership in managing large federal facilities?

LCOR Asset Management Limited Partnership's track record in managing large federal facilities can be assessed through their performance on this specific contract and any other relevant government contracts they may hold. This contract, valued at over $112 million and spanning more than a decade, suggests a level of capability and reliability in handling significant facility operations. However, a comprehensive assessment would require reviewing past performance evaluations, any contract disputes or awards, and the contractor's history with other federal agencies. Information on their broader portfolio of federal contracts, client feedback, and any documented successes or failures in similar large-scale projects would provide a more complete picture of their expertise and reliability.

Are there any identified risks associated with this contract, such as cost overruns or performance deficiencies?

The primary risk indicator in the provided data is the lack of specific performance metrics, making it difficult to proactively identify potential performance deficiencies. However, the Firm Fixed Price (FFP) contract type generally mitigates the risk of cost overruns for the government, as the contractor is obligated to complete the work for the agreed-upon price. The risk shifts to the contractor, who must manage their costs effectively. Potential risks could still arise from unforeseen circumstances (e.g., major structural issues not initially identified), scope creep if not managed properly, or contractor non-performance, which could lead to operational disruptions. Robust oversight by GSA is crucial to identify and mitigate these risks throughout the contract's life.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: State of California Controllers Office

Address: 850 CASSATT RD STE 300, BERWYN, PA, 19312

Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $128,709,763

Exercised Options: $112,816,307

Current Obligation: $112,816,307

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: GS02P11PVD0014

IDV Type: BPA

Timeline