State Department awards $39M in facilities support services to Amentum Services, Inc. over 5 years

Contract Overview

Contract Amount: $38,973,580 ($39.0M)

Contractor: Amentum Services, Inc.

Awarding Agency: Department of State

Start Date: 2017-08-13

End Date: 2022-07-31

Contract Duration: 1,813 days

Daily Burn Rate: $21.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIXED PRICE LEVEL OF EFFORT

Sector: Other

Official Description: OVERSEAS CONTRACT

Plain-Language Summary

Department of State obligated $39.0 million to AMENTUM SERVICES, INC. for work described as: OVERSEAS CONTRACT Key points: 1. Contract value represents a significant investment in maintaining overseas facilities. 2. Competition dynamics for this contract are crucial for ensuring cost-effectiveness. 3. Performance history of the contractor will be a key indicator of success. 4. The fixed-price contract type aims to control costs for the government. 5. Facilities support services are essential for the operational readiness of diplomatic missions.

Value Assessment

Rating: good

The contract value of approximately $39 million over five years for facilities support services appears reasonable given the scope of maintaining overseas facilities. Benchmarking against similar contracts for large-scale facility management in complex environments would provide a more precise value-for-money assessment. The fixed-price contract type suggests an effort to establish clear cost expectations, but the ultimate value will depend on the contractor's efficiency and the government's ability to manage scope.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple capable vendors had the opportunity to bid. The presence of three bids suggests a healthy level of competition for this type of service. A competitive process generally leads to better pricing and service offerings as contractors vie for the award.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it drives down costs through market forces and encourages innovation among bidders, ultimately leading to better value for public funds.

Public Impact

The primary beneficiaries are the Department of State and its personnel, who rely on secure and functional overseas facilities for diplomatic operations. Services delivered include a broad range of facilities support, ensuring the operational readiness and safety of U.S. government installations abroad. The geographic impact is global, covering various overseas locations where U.S. diplomatic missions are situated. Workforce implications include employment opportunities for personnel involved in facilities management and support services, both directly by the contractor and indirectly through subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if scope creep is not managed effectively.
Reliance on a single contractor for critical infrastructure support could pose a risk if performance falters.
Ensuring consistent service quality across diverse and potentially challenging overseas environments.

Positive Signals

Awarded through full and open competition, suggesting competitive pricing.
Fixed-price contract type provides cost certainty for the government.
Contract duration of five years allows for stable service provision and potential for economies of scale.

Sector Analysis

Facilities Support Services fall under the broader professional, scientific, and technical services sector. This sector is characterized by a wide range of service providers, from large corporations to specialized small businesses. The market for government facilities management is substantial, driven by the need to maintain a vast array of federal properties, both domestically and internationally. Comparable spending benchmarks would involve analyzing other large-scale facilities support contracts awarded by agencies like the Department of Defense or General Services Administration.

Small Business Impact

The contract was awarded under full and open competition and does not indicate any specific small business set-aside. While the prime contractor, Amentum Services, Inc., is a large entity, there may be opportunities for small businesses to participate as subcontractors. The extent of small business subcontracting will depend on the prime contractor's strategy and the specific requirements of the facilities support services.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the designated contract specialist at the Department of State. Performance monitoring, quality assurance surveillance plans (QASPs), and regular progress reviews are standard mechanisms to ensure accountability and transparency. The contract's performance will be assessed against defined deliverables and service level agreements. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Overseas Building Operations
Department of State Facilities Management
Global Facilities Support Contracts
Professional, Scientific, and Technical Services

Risk Flags

Potential for performance degradation in remote or high-risk locations.
Risk of cost escalation if contract scope is not tightly controlled.
Dependence on contractor's ability to recruit and retain qualified personnel globally.

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $39.0 million to AMENTUM SERVICES, INC.. OVERSEAS CONTRACT

Who is the contractor on this award?

The obligated recipient is AMENTUM SERVICES, INC..

Which agency awarded this contract?

Awarding agency: Department of State (Department of State).

What is the total obligated amount?

The obligated amount is $39.0 million.

What is the period of performance?

Start: 2017-08-13. End: 2022-07-31.

What is Amentum Services, Inc.'s track record with the Department of State and other federal agencies for similar facilities support contracts?

Amentum Services, Inc. has a significant history of performing large-scale government contracts, including extensive work with the Department of Defense and other federal agencies in areas such as base operations, logistics, and facilities management. Their experience with the Department of State specifically would need to be reviewed in detail, looking at past performance evaluations, any contract disputes, and the successful completion of similar overseas support services. A thorough review would involve examining contract histories for on-time delivery, adherence to budget, and quality of services rendered. Past performance is a critical factor in assessing the likelihood of successful contract execution.

How does the awarded price of $38,973,579.61 compare to market rates for similar facilities support services in overseas locations?

Benchmarking this contract's value against market rates for similar facilities support services in overseas locations requires detailed analysis of specific geographic regions, the scope of services, and prevailing labor and material costs. Without specific details on the locations and the exact service mix (e.g., maintenance, security, utilities, janitorial), a precise comparison is difficult. However, given the duration of five years and the complexity of supporting diplomatic facilities, the total value suggests a substantial undertaking. Government cost estimates and analyses of competing bids, if available, would provide internal benchmarks. External market research reports on global facilities management costs would offer broader comparisons, but these often lack the specificity of government contract requirements.

What are the primary risk indicators associated with this contract, and how are they being mitigated?

Key risk indicators for this contract include geopolitical instability in overseas locations affecting service delivery, potential for cost overruns due to unforeseen operational challenges or scope creep, and contractor performance issues impacting critical facility functions. Mitigation strategies likely involve robust contract oversight by the Department of State, clear performance metrics and service level agreements, contingency planning for operational disruptions, and potentially performance bonds. The fixed-price contract type aims to mitigate cost overrun risks by shifting some of that burden to the contractor, provided the scope is well-defined and managed. Regular performance reviews and communication channels are essential for early identification and resolution of emerging risks.

How effective has the Department of State been in managing similar large-scale facilities support contracts in the past?

The effectiveness of the Department of State in managing large-scale facilities support contracts can be assessed through various indicators, including contract performance reports, audit findings from the Inspector General, and the overall operational continuity of diplomatic missions. Historically, large federal agencies face challenges in managing complex service contracts due to factors like evolving requirements, contractor performance variability, and the sheer scale of operations. The Department of State, operating in challenging global environments, likely employs a range of oversight mechanisms. Analyzing past contract close-outs, any litigation, and the frequency of contract modifications or disputes would provide insights into their management effectiveness.

What are the historical spending patterns for facilities support services by the Department of State over the last five to ten years?

Historical spending patterns for facilities support services by the Department of State would reveal trends in contract values, the number of awards, and the types of services procured. This data, typically available through federal procurement databases like FPDS-NG, would show whether spending has increased, decreased, or remained stable. It would also highlight key contractors and the distribution of awards across different service categories. Understanding these patterns is crucial for context, allowing for comparisons of the current award against historical averages and identifying any significant shifts in procurement strategy or market dynamics for these essential services.

Industry Classification

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

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: FIXED PRICE LEVEL OF EFFORT (B)

Evaluated Preference: NONE

Contractor Details

Parent Company: PAE Government Services Inc.

Address: 20501 SENECA MEADOWS PKWY STE 300, GERMANTOWN, MD, 20876

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

Financial Breakdown

Contract Ceiling: $46,682,306

Exercised Options: $38,994,284

Current Obligation: $38,973,580

Actual Outlays: $281,603

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: SAQMMA14D0151

IDV Type: IDC

Timeline