DoD's $292M Facilities Support Contract with PRIDE INDUSTRIES: A 5-Year Analysis

Contract Overview

Contract Amount: $292,191,047 ($292.2M)

Contractor: Pride Industries

Awarding Agency: Department of Defense

Start Date: 2013-11-01

End Date: 2018-04-30

Contract Duration: 1,641 days

Daily Burn Rate: $178.1K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: BUILDINGS AND STRUCTURES

Place of Performance

Location: FORT BLISS, EL PASO County, TEXAS, 79916

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $292.2 million to PRIDE INDUSTRIES for work described as: BUILDINGS AND STRUCTURES Key points: 1. Significant contract value of $292M over 5 years. 2. PRIDE INDUSTRIES holds the contract, with no indication of other major competitors. 3. Potential risk due to sole-source nature and long duration. 4. Spending falls within the Facilities Support Services sector.

Value Assessment

Rating: fair

The contract value of $292M over 5 years averages $58.4M annually. Without specific benchmarks for similar facilities support services contracts, it's difficult to definitively assess if this pricing is excellent or concerning.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded as a sole-source, meaning it was not competed. This limits price discovery and may not ensure the best value for taxpayers.

Taxpayer Impact: The lack of competition in a sole-source award raises concerns about potential overspending and reduced value for taxpayer funds.

Public Impact

Taxpayers may have paid more than necessary due to the absence of competitive bidding. The long-term nature of the contract could lead to complacency or reduced service quality over time. Dependence on a single contractor for essential facilities support services poses a risk.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award
Long contract duration
Lack of competition

Positive Signals

Consistent service provider over 5 years

Sector Analysis

This contract falls under Facilities Support Services (NAICS 561210), which includes a wide range of services for maintaining and operating buildings and grounds. Annual spending of $58.4M is substantial for this sector.

Small Business Impact

There is no indication that small businesses were involved as subcontractors or partners in this contract, suggesting a missed opportunity for small business participation.

Oversight & Accountability

The sole-source nature of this award warrants close oversight to ensure PRIDE INDUSTRIES is delivering services effectively and at a fair price, despite the lack of competition.

Related Government Programs

Facilities Support Services
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Sole-source award limits competition and potentially increases costs.
Long contract duration may reduce flexibility and incentivize complacency.
Lack of transparency regarding performance metrics and justification for sole-source.
Potential for overpayment due to absence of competitive bidding.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $292.2 million to PRIDE INDUSTRIES. BUILDINGS AND STRUCTURES

Who is the contractor on this award?

The obligated recipient is PRIDE INDUSTRIES.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $292.2 million.

What is the period of performance?

Start: 2013-11-01. End: 2018-04-30.

What was the justification for awarding this contract as sole-source?

The justification for a sole-source award is critical for understanding why competition was bypassed. Typically, such awards are made when only one responsible source can provide the required services, or in cases of urgent need. Without this justification, it's difficult to assess if the government acted appropriately in foregoing a competitive process.

What performance metrics were used to evaluate PRIDE INDUSTRIES' service delivery?

Evaluating performance metrics is essential for ensuring the contractor meets contractual obligations and delivers value. Key metrics might include response times for maintenance requests, facility uptime, customer satisfaction scores, and adherence to safety standards. Without this data, assessing the effectiveness of the $292M investment is challenging.

How does the annual cost of this contract compare to industry benchmarks for similar services?

Benchmarking the annual cost against industry standards is crucial for determining value for money. If PRIDE INDUSTRIES' pricing is significantly higher than comparable contracts for similar facilities support services, it suggests potential overpayment. Conversely, if it's in line or lower, it indicates a more reasonable expenditure.

Industry Classification

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

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: W911SG13R0005

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 10030 FOOTHILLS BLVD, ROSEVILLE, CA, 95747

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: $302,927,087

Exercised Options: $302,927,087

Current Obligation: $292,191,047

Actual Outlays: $212,376

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Timeline