DoD's $75.8M Facilities Support Services Contract Awarded to EMCOR Government Services, Inc

Contract Overview

Contract Amount: $75,864,077 ($75.9M)

Contractor: Emcor Government Services, Inc

Awarding Agency: Department of Defense

Start Date: 2012-10-19

End Date: 2018-04-30

Contract Duration: 2,019 days

Daily Burn Rate: $37.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 12

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: CONTACT AWARD AND PHASE IN.

Place of Performance

Location: FORT HUACHUCA, COCHISE County, ARIZONA, 85613

State: Arizona Government Spending

Plain-Language Summary

Department of Defense obligated $75.9 million to EMCOR GOVERNMENT SERVICES, INC for work described as: CONTACT AWARD AND PHASE IN. Key points: 1. Contract awarded for facilities support services, indicating a need for ongoing maintenance and operational assistance. 2. The contract was awarded under full and open competition, suggesting a robust bidding process. 3. The duration of the contract, spanning over 5 years, points to a long-term requirement for these services. 4. The firm-fixed-price contract type suggests that cost risks are largely borne by the contractor. 5. The contract was awarded to a single vendor, EMCOR Government Services, Inc. 6. The contract value of over $75 million over its period of performance warrants scrutiny for value for money.

Value Assessment

Rating: fair

Benchmarking the value of this contract requires more granular data on the specific services provided and their scope. However, a $75.8 million award over approximately 5.5 years averages to roughly $13.8 million annually. This figure needs to be compared against similar facilities support contracts awarded by the Department of Defense or other federal agencies for comparable scope and scale. Without specific performance metrics or detailed service breakdowns, it is difficult to definitively assess if this represents excellent value. The firm-fixed-price nature shifts some risk to the contractor, which can be beneficial for the government if managed effectively.

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 a bid. The presence of 12 bids (no=12) suggests a healthy level of interest and competition for this requirement. A competitive bidding process generally leads to better price discovery and potentially more favorable terms for the government. The number of bidders provides a good indication that the market was engaged.

Taxpayer Impact: The full and open competition with multiple bidders is beneficial for taxpayers as it likely drove down prices and ensured the government received competitive offers for the facilities support services.

Public Impact

The Department of Defense benefits from consistent and reliable facilities support services, ensuring operational readiness. Services likely include maintenance, repair, custodial, and potentially other operational support for military facilities. The geographic impact is concentrated in Arizona (st=AZ, sn=ARIZONA), where the facilities are located. The contract supports jobs within EMCOR Government Services, Inc. and potentially its subcontractors, contributing to the local and national workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if the scope of work expands beyond initial estimates without adequate change order controls.
Reliance on a single contractor for critical facilities support could pose risks if performance degrades or the contractor faces financial instability.
Ensuring the quality and timeliness of services delivered under a firm-fixed-price contract requires diligent government oversight.

Positive Signals

The firm-fixed-price contract structure incentivizes the contractor to manage costs efficiently.
The award under full and open competition suggests a competitive market was leveraged to secure services.
The contract's duration indicates a stable, long-term requirement, allowing for efficient resource planning by the contractor.

Sector Analysis

Facilities Support Services fall under the broader commercial and institutional building services industry. This sector is characterized by a mix of large, established companies and smaller, specialized providers. Federal contracts for these services are significant, often involving large-scale operations and maintenance for government installations. The North American Industry Classification System (NAICS) code 561210, Facilities Support Services, encompasses a wide range of activities from building operation to groundskeeping. The total federal spending in this category can be substantial, reflecting the government's extensive real estate portfolio.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss=false, sb=false). Therefore, there are no direct subcontracting implications for small businesses stemming from a small business set-aside. However, the prime contractor, EMCOR Government Services, Inc., may still engage small businesses as subcontractors, depending on their own procurement practices and the specific needs of the contract. Analysis of subcontracting plans would be necessary to determine the extent of small business participation.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the contract administration office within the Department of the Army. Performance monitoring, quality assurance surveillance plans (QASPs), and regular progress reviews are standard mechanisms to ensure contractor compliance and service quality. Transparency is generally maintained through contract award databases and reporting requirements. Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse arise.

Related Government Programs

Base Operations Support (BOS)
Logistics and Supply Chain Management
Government Facilities Maintenance
Real Property Management
Contracted Services

Risk Flags

Potential for scope creep impacting cost and performance.
Reliance on a single contractor for critical services.
Need for diligent government oversight to ensure quality and value.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $75.9 million to EMCOR GOVERNMENT SERVICES, INC. CONTACT AWARD AND PHASE IN.

Who is the contractor on this award?

The obligated recipient is EMCOR GOVERNMENT SERVICES, 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 $75.9 million.

What is the period of performance?

Start: 2012-10-19. End: 2018-04-30.

What is the historical spending trend for facilities support services by the Department of the Army in Arizona?

Analyzing historical spending trends for facilities support services by the Department of the Army specifically in Arizona requires access to detailed historical contract databases. Without this specific data, it's challenging to provide a precise trend. However, federal agencies like the DoD generally maintain consistent or increasing spending on facilities support due to the aging infrastructure and the need to maintain operational readiness across numerous installations. Factors such as base closures, expansions, or shifts in mission requirements can influence these trends. A comprehensive review would involve querying databases like FPDS-NG or USAspending.gov for contracts under NAICS code 561210 awarded by the Army within Arizona over the past decade or more to identify patterns, average contract values, and fluctuations.

How does the per-unit cost of services under this contract compare to industry benchmarks for facilities support?

Determining the per-unit cost comparison requires a detailed breakdown of the services provided under this $75.8 million contract and their associated quantities. Facilities support services encompass a wide array of activities, such as janitorial, HVAC maintenance, groundskeeping, and minor repairs. Benchmarking would involve identifying specific line items (e.g., cost per square foot maintained, cost per HVAC unit serviced, cost per hour for a technician) and comparing them to published industry data from sources like RSMeans, IFMA, or specialized government cost estimating guides. Given the firm-fixed-price nature, the contractor has an incentive to manage these per-unit costs efficiently. Without granular service data, a precise comparison is not feasible, but the overall contract value suggests a significant operational scale.

What is EMCOR Government Services, Inc.'s track record with similar federal contracts?

EMCOR Government Services, Inc. has a substantial track record of performing federal contracts, particularly in the facilities support and base operations domain. As a subsidiary of EMCOR Group, Inc., they leverage significant resources and experience. A review of public contract databases would reveal numerous awards to EMCOR for similar services across various government agencies, including the Department of Defense, Department of Homeland Security, and others. Their performance history on these contracts, including any past performance evaluations, award fees, or documented disputes, would provide insight into their reliability and capability. Generally, companies with extensive federal contracting experience demonstrate a strong understanding of government requirements, compliance, and performance expectations.

What are the key performance indicators (KPIs) used to measure the success of this facilities support contract?

Key Performance Indicators (KPIs) for a facilities support contract like this typically focus on service delivery, responsiveness, and cost control. Common KPIs include response times for service requests (e.g., emergency repairs, routine maintenance), completion rates for scheduled maintenance, customer satisfaction scores from facility occupants, adherence to safety protocols, and energy efficiency targets. For a firm-fixed-price contract, the government will monitor whether the contractor is meeting these performance standards. Failure to meet KPIs could result in penalties, reduced award fees (if applicable, though less common with FFP), or even contract termination. The specific KPIs would be detailed in the contract's Performance Work Statement (PWS).

What is the potential impact of contract modifications or scope changes on the total contract value?

Contract modifications and scope changes can significantly impact the total value of a firm-fixed-price contract. While the initial award was $75.8 million, subsequent modifications could increase or decrease this amount based on evolving requirements. For a firm-fixed-price contract, any increase in scope typically requires a formal modification, often involving negotiation of a new fixed price for the added work. The government's ability to manage and control these modifications is crucial for preventing cost overruns. Robust change management processes, thorough justification for scope changes, and careful negotiation are essential to ensure that any adjustments remain aligned with the program's objectives and budget constraints.

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: W9124A11R0002

Offers Received: 12

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Roberts Immigration LAW Group, LLC (UEI: 017106386)

Address: 2800 CRYSTAL DR STE 600, ARLINGTON, VA, 22202

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

Financial Breakdown

Contract Ceiling: $75,864,077

Exercised Options: $75,864,077

Current Obligation: $75,864,077

Actual Outlays: $37,493

Subaward Activity

Number of Subawards: 30

Total Subaward Amount: $6,624,416

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline