DoD's $185M Facilities Maintenance Contract with PRIDE INDUSTRIES Raises Concerns Over Competition and Value
Contract Overview
Contract Amount: $184,709,896 ($184.7M)
Contractor: Pride Industries
Awarding Agency: Department of Defense
Start Date: 2009-05-04
End Date: 2018-08-24
Contract Duration: 3,399 days
Daily Burn Rate: $54.3K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: DPW FORT POLK FACILITIES MAINTENANCE
Place of Performance
Location: FORT POLK, VERNON County, LOUISIANA, 71459
Plain-Language Summary
Department of Defense obligated $184.7 million to PRIDE INDUSTRIES for work described as: DPW FORT POLK FACILITIES MAINTENANCE Key points: 1. Significant contract value of $185M over its life. 2. Sole-source award limits competitive pricing and potentially inflates costs. 3. Long contract duration (3399 days) may reduce flexibility and responsiveness. 4. Facilities Support Services sector is critical but often lacks robust competition.
Value Assessment
Rating: questionable
The contract's total value is substantial. Without competitive bidding, it's difficult to assess if the pricing reflects fair market value for facilities support services. Benchmarking against similar contracts would be necessary for a definitive assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
The contract was awarded on a sole-source basis, indicating a lack of competition. This method bypasses the typical price discovery process inherent in competitive solicitations, potentially leading to higher costs for the government.
Taxpayer Impact: The absence of competition likely results in taxpayers paying more than they would under a fully competitive scenario, as there was no pressure to offer the lowest possible price.
Public Impact
Taxpayers may be overpaying for essential base maintenance services. Lack of competition could lead to service quality issues if not closely monitored. Long-term reliance on a single provider can stifle innovation in service delivery.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award
- Long contract duration
- Lack of transparency in pricing
Positive Signals
- Consistent service delivery over contract period
Sector Analysis
This contract falls within the Facilities Support Services sector, which is crucial for government operations. Spending in this sector can vary widely, but competitive procurement is generally encouraged to ensure cost-effectiveness and quality.
Small Business Impact
There is no indication that small businesses were involved in this sole-source contract, either as prime contractors or subcontractors. This represents a missed opportunity for small business participation.
Oversight & Accountability
The sole-source nature of this award warrants close oversight to ensure the contractor is meeting all performance requirements and that pricing remains reasonable throughout the contract's life. Robust performance metrics and regular reviews are essential.
Related Government Programs
- Facilities Support Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Potential for overpayment due to lack of competition.
- Risk of service stagnation without competitive pressure.
- Limited transparency on pricing justification.
- Missed opportunity for small business engagement.
Tags
facilities-support-services, department-of-defense, la, definitive-contract, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $184.7 million to PRIDE INDUSTRIES. DPW FORT POLK FACILITIES MAINTENANCE
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 $184.7 million.
What is the period of performance?
Start: 2009-05-04. End: 2018-08-24.
What was the justification for the sole-source award, and were alternatives explored?
The justification for a sole-source award is critical. Typically, it requires demonstrating that only one responsible source can provide the required services. Without this information, it's impossible to determine if the government adequately explored competitive options or if this was a missed opportunity to leverage market forces for better pricing and innovation.
How does the per-unit cost of services under this contract compare to industry benchmarks for similar facilities?
Benchmarking the per-unit costs against industry standards for facilities maintenance is essential for assessing value. Given the sole-source nature, a detailed comparison is needed to identify potential overpricing. Without this, the government cannot be certain it is receiving a fair deal for the services provided.
What mechanisms are in place to ensure service quality and accountability given the lack of competition?
With a sole-source contract, strong oversight is paramount. The government must have robust performance metrics, regular inspections, and clear channels for feedback and issue resolution. Active contract management is key to ensuring the contractor delivers high-quality services and remains accountable for performance.
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: NOT AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: W9124J08R0014
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 Not Tax Exempt, Nonprofit Organization, Not Designated a Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $185,517,309
Exercised Options: $185,517,309
Current Obligation: $184,709,896
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2009-05-04
Current End Date: 2018-08-24
Potential End Date: 2018-08-24 00:00:00
Last Modified: 2025-12-31
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