Defense Logistics Agency awards $23M janitorial contract to DIDLAKE INC, a non-competed AbilityOne service

Contract Overview

Contract Amount: $23,075,044 ($23.1M)

Contractor: Didlake Inc

Awarding Agency: Department of Defense

Start Date: 2020-04-01

End Date: 2024-03-31

Contract Duration: 1,460 days

Daily Burn Rate: $15.8K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: JANITORIAL SERVICES - ABILITY ONE CONTRACTOR

Place of Performance

Location: FORT BELVOIR, FAIRFAX County, VIRGINIA, 22060

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $23.1 million to DIDLAKE INC for work described as: JANITORIAL SERVICES - ABILITY ONE CONTRACTOR Key points: 1. Contract awarded to a single vendor, raising questions about potential cost savings through competition. 2. The firm fixed-price structure provides cost certainty for the government but limits flexibility. 3. Performance period of four years suggests a stable, long-term need for these services. 4. The contract falls under the AbilityOne program, which prioritizes employment for individuals with disabilities. 5. No indication of small business set-asides or subcontracting plans within the provided data. 6. The Defense Logistics Agency is a major procurer of support services for the military.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without comparable janitorial service contracts. The firm fixed-price structure suggests the government accepted the vendor's proposed price. However, the lack of competition means there's no market-driven validation of this price. The total value of $23 million over four years averages to approximately $5.75 million annually, which needs to be assessed against the scope and scale of the facilities serviced.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, specifically through the AbilityOne program. This program directs federal agencies to procure products and services from non-profit agencies that employ individuals with disabilities. While this fulfills a social mission, it bypasses traditional competitive bidding processes, meaning other qualified vendors did not have an opportunity to bid.

Taxpayer Impact: Taxpayers may not be receiving the lowest possible price due to the absence of a competitive bidding process. However, the contract supports a valuable social program.

Public Impact

Individuals with disabilities benefit through employment opportunities provided by the AbilityOne program. Essential janitorial and cleaning services are delivered to support Department of Defense operations. The geographic impact is primarily within Virginia, where the contractor is located and services are likely performed. The contract supports jobs for individuals with disabilities, contributing to their economic independence.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may lead to higher costs for taxpayers.
Absence of performance metrics in the provided data makes it difficult to assess service quality.
Sole-source nature limits opportunities for other businesses, including small businesses.

Positive Signals

Supports the AbilityOne program, fulfilling a social and legislative mandate.
Provides stable employment for individuals with disabilities.
Firm fixed-price contract offers budget predictability for the agency.

Sector Analysis

Janitorial services represent a significant segment of the facilities management industry. Federal spending in this sector is substantial, covering a wide range of cleaning and maintenance needs across government installations. The AbilityOne program is a key component of federal procurement strategy for janitorial services, ensuring that a portion of this spending directly supports employment for people with disabilities. Comparable contracts in this space can vary widely based on facility size, complexity, and geographic location.

Small Business Impact

This contract was awarded under the AbilityOne program, which prioritizes non-profit agencies employing individuals with disabilities, rather than traditional small business set-asides. There is no indication of subcontracting requirements for small businesses in the provided data. This approach means that opportunities for small businesses to compete for or participate in this specific contract are likely limited.

Oversight & Accountability

Oversight for AbilityOne contracts typically involves the Committee for Purchase From People Who Are Blind or Severely Disabled and the respective federal agency's contracting officers. Accountability is managed through contract terms and conditions, including performance standards and payment schedules. Transparency is facilitated by federal procurement databases, though detailed performance data may not always be publicly accessible. Inspector General jurisdiction would apply if fraud, waste, or abuse were suspected.

Related Government Programs

AbilityOne Program Contracts
Janitorial and Maintenance Services
Defense Logistics Agency Support Contracts
Federal Facilities Management Spending

Risk Flags

Lack of Competition
Potential for Overpricing
Limited Transparency on Performance Metrics

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $23.1 million to DIDLAKE INC. JANITORIAL SERVICES - ABILITY ONE CONTRACTOR

Who is the contractor on this award?

The obligated recipient is DIDLAKE INC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Logistics Agency).

What is the total obligated amount?

The obligated amount is $23.1 million.

What is the period of performance?

Start: 2020-04-01. End: 2024-03-31.

What is the track record of DIDLAKE INC in performing federal contracts, particularly janitorial services?

Information regarding DIDLAKE INC's specific track record with federal contracts, beyond this award, is not detailed in the provided data. As an AbilityOne contractor, their primary function is to employ individuals with disabilities. Performance history would typically be assessed by the Defense Logistics Agency during the procurement process. A review of past performance evaluations, if available through federal procurement systems like SAM.gov or agency-specific records, would be necessary to fully understand their reliability and quality of service delivery on previous contracts. Without this specific data, we assume the agency conducted due diligence.

How does the $23 million contract value compare to similar janitorial service contracts awarded by the Defense Logistics Agency or other federal agencies?

Direct comparison of the $23 million value is difficult without knowing the exact scope of services and square footage covered. However, annual spending for janitorial services across the federal government can range from tens of thousands to millions of dollars per contract, depending on the size and complexity of the facilities. Large military bases or extensive office complexes would naturally command higher contract values. The average annual value of this contract is approximately $5.75 million, which appears substantial and suggests it covers a significant operational footprint. Further analysis would require detailed service requirements and facility data.

What are the primary risks associated with a sole-source, non-competed contract of this nature?

The primary risk associated with a sole-source, non-competed contract is the potential for inflated pricing due to the lack of competitive pressure. Without competing bids, there is no market validation to ensure the government is receiving the best possible value. Additionally, there's a risk that innovation or efficiency improvements that might arise from competition are missed. While the AbilityOne program has specific social objectives that justify sole-sourcing, the government must still ensure fair and reasonable pricing through other means, such as cost analysis or historical pricing data, to mitigate financial risks.

How effective is the AbilityOne program in ensuring quality janitorial services while meeting its social objectives?

The effectiveness of the AbilityOne program in ensuring quality janitorial services while meeting social objectives is generally considered positive, though it can vary by contractor. The program is designed to create employment for individuals with disabilities, a critical social goal. Federal agencies are mandated to procure from these sources when applicable. Quality assurance is managed through contract oversight and performance monitoring by the procuring agency. While the primary goal is employment, agencies still hold contractors accountable for meeting service standards. Success hinges on the management capabilities of the non-profit agencies and the diligence of agency oversight.

What has been the historical spending trend for janitorial services by the Defense Logistics Agency over the past five years?

The provided data only includes details for this specific contract (2020-2024). To assess historical spending trends for janitorial services by the Defense Logistics Agency (DLA), a broader analysis of DLA's procurement data over the past five years would be required. This would involve querying federal procurement databases (like USASpending.gov or FPDS) for all contracts categorized under janitorial services (NAICS code 561720) awarded by the DLA. Analyzing these trends would reveal if spending has increased, decreased, or remained stable, and identify any shifts in contracting strategies, such as increased use of AbilityOne or competitive solicitations.

Are there specific performance metrics or KPIs tied to this contract that are publicly available?

The provided data snippet does not include specific performance metrics or Key Performance Indicators (KPIs) for this contract. Typically, such details are outlined in the contract's statement of work (SOW) or performance work statement (PWS). While federal agencies are expected to monitor contractor performance, these specific metrics are often considered internal operational details and may not be readily available in public contract award notices. Accessing detailed performance reports would likely require a Freedom of Information Act (FOIA) request to the Defense Logistics Agency.

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: 8641 BREEDEN AVE STE 101, MANASSAS, VA, 20110

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: $23,075,044

Exercised Options: $23,075,044

Current Obligation: $23,075,044

Actual Outlays: $16,426,874

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline