DoD's $16.5M Facilities Maintenance Contract with J&J Maintenance Inc. Awarded in 2007

Contract Overview

Contract Amount: $16,532,913 ($16.5M)

Contractor: J & J Maintenance Inc

Awarding Agency: Department of Defense

Start Date: 2007-09-01

End Date: 2011-09-23

Contract Duration: 1,483 days

Daily Burn Rate: $11.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: FACILITIES OPERATION AND MAINTENANCE

Place of Performance

Location: SILVER SPRING, MONTGOMERY County, MARYLAND, 20910

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $16.5 million to J & J MAINTENANCE INC for work described as: FACILITIES OPERATION AND MAINTENANCE Key points: 1. Contract awarded under full and open competition, suggesting a competitive bidding process. 2. The contract duration of 1483 days (approx. 4 years) is substantial for facilities maintenance. 3. The firm-fixed-price structure shifts cost risk to the contractor. 4. The award was made by the Department of the Army, a major component of the DoD. 5. The North American Industry Classification System (NAICS) code 561210 indicates a focus on facilities support services. 6. The contract was awarded in Maryland, indicating a specific geographic focus for services.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without more detailed service scope and performance data. The total award amount of $16.5 million over approximately four years averages to roughly $4.1 million annually. This figure needs to be compared against the scale and complexity of the facilities maintained. Without specific performance metrics or comparisons to similar contracts for facilities maintenance within the DoD or other federal agencies, it's difficult to definitively assess value for money. The firm-fixed-price contract type suggests that the contractor assumed the risk for cost overruns, which can be a positive indicator if the price was competitive.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'full and open competition,' indicating that all responsible sources were permitted to submit bids. The presence of 5 bidders (no) suggests a reasonable level of competition for this facilities support services contract. A competitive bidding process generally leads to better price discovery and potentially more favorable terms for the government. The number of bidders is a key indicator of market interest and the effectiveness of the solicitation process in attracting qualified offerors.

Taxpayer Impact: A competitive award process helps ensure that taxpayer dollars are used efficiently by driving down prices and encouraging contractors to offer their best value. The fact that multiple companies vied for this contract suggests that the government received a range of pricing and service proposals, leading to a more cost-effective outcome.

Public Impact

The primary beneficiaries are the Department of the Army and its personnel, who rely on well-maintained facilities for operational readiness. The services delivered include essential facilities support, ensuring the functionality and upkeep of government properties. The geographic impact is concentrated in Maryland, where the facilities requiring maintenance are located. Workforce implications include employment opportunities for individuals in facilities maintenance roles, potentially through J&J Maintenance Inc. and its subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of detailed performance metrics makes it difficult to assess the quality and efficiency of services provided over the contract's lifespan.
The firm-fixed-price structure, while shifting risk, could incentivize cost-cutting that might impact service quality if not adequately monitored.
Limited information on the specific types and scope of facilities maintained prevents a thorough understanding of the contract's complexity and value.
No explicit mention of small business subcontracting goals or achievements requires further investigation into potential impacts on smaller businesses.

Positive Signals

Awarded under full and open competition, indicating a robust and accessible bidding environment.
The firm-fixed-price contract type is generally favorable for the government as it caps costs.
The contract was awarded by a major component of the Department of Defense, suggesting adherence to established procurement processes.
The duration of the contract (approx. 4 years) suggests a stable, long-term need for these services, allowing for efficient service delivery and planning.

Sector Analysis

Facilities support services, categorized under NAICS code 561210, encompass a broad range of activities necessary for the operation and maintenance of buildings and grounds. This sector is critical for government operations, ensuring that infrastructure is functional, safe, and well-maintained. The total federal spending in this sector can be substantial, supporting numerous contractors and jobs. This particular contract represents a portion of the Department of Defense's significant investment in maintaining its vast real estate portfolio. Comparable spending benchmarks would involve analyzing other large-scale facilities maintenance contracts awarded by federal agencies, considering factors like facility type, geographic location, and service scope.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (sb: false) and does not explicitly mention small business subcontracting (ss: false). This suggests that the primary award went to a large business, J & J Maintenance Inc. Further analysis would be needed to determine if any subcontracting opportunities were directed towards small businesses. Without specific subcontracting plans or reports, the direct impact on the small business ecosystem from this particular contract remains unclear, though it represents a significant portion of the federal facilities maintenance market potentially accessible to larger firms.

Oversight & Accountability

Oversight for this contract would typically fall under the purview of the Department of the Army's contracting and program management offices. The firm-fixed-price nature of the contract implies that the government's primary oversight would focus on ensuring that the contracted services are delivered in accordance with the statement of work and performance standards. Transparency is generally facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse arose during the contract's performance or closeout.

Related Government Programs

Department of Defense Facilities Maintenance Contracts
Federal Facilities Support Services
Army Corps of Engineers Maintenance Contracts
General Services Administration (GSA) Facilities Management
Base Operations Support (BOS) Contracts

Risk Flags

Lack of detailed performance data.
Limited scope definition in summary.
No explicit small business subcontracting information.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $16.5 million to J & J MAINTENANCE INC. FACILITIES OPERATION AND MAINTENANCE

Who is the contractor on this award?

The obligated recipient is J & J MAINTENANCE INC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $16.5 million.

What is the period of performance?

Start: 2007-09-01. End: 2011-09-23.

What was the specific scope of facilities maintenance services provided under this contract?

The provided data indicates the contract falls under NAICS code 561210, 'Facilities Support Services.' This broad category typically includes services such as general maintenance, repair, operation of building systems (HVAC, electrical, plumbing), groundskeeping, pest control, and custodial services. However, the precise scope for this specific $16.5 million contract with J & J Maintenance Inc. is not detailed in the provided summary. A comprehensive understanding would require reviewing the contract's Statement of Work (SOW) or Performance Work Statement (PWS), which would outline the exact deliverables, service levels, and specific facilities covered. Without the SOW/PWS, it's difficult to ascertain the full extent of services rendered and benchmark them effectively against industry standards or other similar contracts.

How did the final cost compare to the initial award amount, and were there any significant modifications?

The provided data lists an 'Award Amount' (a) of $16,532,912.91. This figure typically represents the total value obligated at the time of award or the ceiling value for a cost-reimbursement contract, or the total fixed price for a firm-fixed-price contract. Since this contract is 'FIRM FIXED PRICE' (pt), the award amount likely represents the total agreed-upon price. The data does not indicate any contract modifications or changes to the total value. To determine if the final cost deviated from the initial award, one would need to examine the contract's modification history and final payment records. Assuming no modifications, the final cost would be the award amount, but verification through contract modification logs is essential for a complete picture.

What was the performance history of J & J Maintenance Inc. on this contract and other federal contracts?

The provided data does not include specific performance ratings or details regarding J & J Maintenance Inc.'s performance on this particular contract. Federal agencies typically maintain performance evaluation records (e.g., Contractor Performance Assessment Reporting System - CPARS) for contracts exceeding certain thresholds. To assess J & J Maintenance Inc.'s track record, one would need to access these performance reports, if available, for this contract and potentially other contracts held by the company. A review of past performance is crucial for understanding the contractor's reliability, quality of service, and adherence to contractual obligations, which informs future procurement decisions and risk assessments.

Were there any challenges or disputes encountered during the contract's performance?

The summary data does not provide information on any challenges, disputes, or contract claims that may have arisen during the performance of this contract. Such issues, if they occurred, would typically be documented in contract modification files, correspondence between the contractor and the contracting officer, or potentially in legal or administrative dispute resolution records. Identifying these would require a deeper dive into the contract's administrative file. The absence of readily available information does not necessarily mean there were no issues, but rather that this summary level data does not capture them.

How does the per-unit cost for services compare to industry benchmarks or similar government contracts?

The provided data does not include specific 'per-unit' cost metrics for the services rendered under this contract. The total award amount is $16.5 million over approximately 1483 days. To establish per-unit costs, we would need to know the quantity of units (e.g., square footage maintained, number of buildings serviced, specific maintenance tasks performed) and their associated costs. Without this granular data, a direct comparison to industry benchmarks or similar government contracts is not feasible. Benchmarking would require identifying comparable contracts with detailed cost breakdowns and service volumes within the facilities maintenance sector.

Industry Classification

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

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W81XWH07R0025

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3755 S CAPITAL OF TEXAS H, AUSTIN, TX, 90

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

Financial Breakdown

Contract Ceiling: $20,896,401

Exercised Options: $16,532,913

Current Obligation: $16,532,913

Contract Characteristics

Cost or Pricing Data: NO

Timeline