DoD Awards $51.9M for Walter Reed Facilities Support, J&J Maintenance Inc. Secures Contract
Contract Overview
Contract Amount: $51,928,372 ($51.9M)
Contractor: J & J Maintenance Inc
Awarding Agency: Department of Defense
Start Date: 2020-02-25
End Date: 2022-09-14
Contract Duration: 932 days
Daily Burn Rate: $55.7K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: O&M SERVICES: WALTER REED NTO
Place of Performance
Location: BETHESDA, MONTGOMERY County, MARYLAND, 20889
State: Maryland Government Spending
Plain-Language Summary
Department of Defense obligated $51.9 million to J & J MAINTENANCE INC for work described as: O&M SERVICES: WALTER REED NTO Key points: 1. Significant contract value of $51.9 million for essential facility operations. 2. J&J Maintenance Inc. is the sole awardee, raising questions about competition. 3. Risk of inflated pricing due to limited competition. 4. Facilities Support Services sector is critical for military readiness.
Value Assessment
Rating: fair
The contract value of $51.9M for a 932-day duration appears reasonable for facilities support services. However, without benchmark data for similar contracts in Maryland, a precise pricing assessment is difficult.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating a broad solicitation. However, only one award was made, suggesting potential consolidation or limited bidding participation.
Taxpayer Impact: Full and open competition generally leads to better pricing for taxpayers by encouraging multiple bids. The final price reflects the competitive landscape at the time of award.
Public Impact
Ensures continued operation and maintenance of critical facilities at Walter Reed. Supports military personnel and their families by providing essential services. Impacts the local economy in Maryland through service provision and potential subcontracting.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited number of awards despite full and open competition.
- Potential for price creep over the contract duration.
Positive Signals
- Essential services for a key military medical facility.
- Contract awarded under a competitive process.
Sector Analysis
This contract falls within the Facilities Support Services sector, which is crucial for maintaining operational readiness of government installations. Spending in this sector can vary significantly based on facility size and complexity.
Small Business Impact
The data does not indicate whether small businesses were involved as prime contractors or subcontractors. Further analysis would be needed to determine the extent of small business participation.
Oversight & Accountability
The contract was awarded via a delivery order under a larger contract vehicle. Oversight would involve monitoring performance and adherence to terms by the Department of the Army.
Related Government Programs
- Facilities Support Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Potential for limited competition despite full and open solicitation.
- Risk of price escalation due to single awardee.
- Lack of transparency on the number of bids received.
- Dependence on a single vendor for critical facility operations.
Tags
facilities-support-services, department-of-defense, md, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $51.9 million to J & J MAINTENANCE INC. O&M SERVICES: WALTER REED NTO
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 $51.9 million.
What is the period of performance?
Start: 2020-02-25. End: 2022-09-14.
What was the competitive landscape like for this specific solicitation?
While advertised as full and open competition, only one award was made. This suggests that either few companies bid, or only one met the stringent requirements. Further investigation into the number of bids received and the reasons for only one award would clarify the true level of competition and its impact on pricing.
What is the risk associated with a single awardee for essential facility services?
A single awardee for essential services like facilities maintenance poses a risk of vendor lock-in and reduced leverage for future negotiations. If the incumbent performs poorly or seeks significant price increases, the government has limited immediate alternatives, potentially impacting service quality and cost-effectiveness.
How effective is this contract in ensuring the long-term operational readiness of Walter Reed?
The contract's effectiveness hinges on the performance of J&J Maintenance Inc. and the continued adequacy of the funding. Assuming satisfactory performance and appropriate oversight, the contract should ensure the facility's operational readiness. However, the limited competition aspect warrants ongoing monitoring for potential performance or cost issues.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services
Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR BUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: W912DY12R0025
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: J & J Maintenance, Inc.
Address: 8350 BROAD ST STE 1100, MCLEAN, VA, 22102
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $52,231,506
Exercised Options: $52,231,506
Current Obligation: $51,928,372
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W912DY15D0034
IDV Type: IDC
Timeline
Start Date: 2020-02-25
Current End Date: 2022-09-14
Potential End Date: 2022-09-14 00:00:00
Last Modified: 2025-09-30
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