DoD Education Activity Spends $14.7M on German Schools Maintenance, Awarded to SKE Technical Services

Contract Overview

Contract Amount: $14,743,641 ($14.7M)

Contractor: SKE Technical Services Gmbh

Awarding Agency: Department of Defense

Start Date: 2010-02-26

End Date: 2012-03-08

Contract Duration: 741 days

Daily Burn Rate: $19.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: GERMANY SCHOOLS MAINTENANCE PROGRAM

Plain-Language Summary

Department of Defense obligated $14.7 million to SKE TECHNICAL SERVICES GMBH for work described as: GERMANY SCHOOLS MAINTENANCE PROGRAM Key points: 1. Value for money appears fair given the duration and scope of facilities support services. 2. Competition dynamics indicate a full and open competition, suggesting potential for competitive pricing. 3. Risk indicators are moderate, with a fixed-price contract type mitigating some cost overrun risks. 4. Performance context involves essential maintenance for schools serving military families abroad. 5. Sector positioning is within facilities support services for government-operated educational institutions.

Value Assessment

Rating: fair

The contract's total value of $14.7 million over approximately two years for facilities support services in Germany appears reasonable. Benchmarking against similar contracts for overseas school maintenance is challenging due to unique geographic and logistical factors. However, the firm fixed-price structure suggests that the initial pricing was intended to cover all anticipated costs, providing a degree of cost certainty for the government.

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 four bidders suggests a healthy level of competition for this service. This competitive environment is generally expected to drive prices towards market rates and encourage efficient service delivery.

Taxpayer Impact: A competitive award process helps ensure that taxpayer dollars are used efficiently by preventing inflated pricing that might occur in less competitive scenarios.

Public Impact

Benefits military families and their children by ensuring safe and functional learning environments. Delivers essential facilities maintenance and support services for schools located in Germany. Geographic impact is concentrated on Department of Defense Education Activity (DoDEA) schools in Germany. Workforce implications include employment opportunities for local personnel and potentially U.S. contractors in Germany.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if maintenance needs exceed initial estimates and are not managed under the fixed-price terms.
Dependence on a single contractor for critical infrastructure maintenance could pose a risk if performance falters.

Positive Signals

Awarded through full and open competition, indicating a robust bidding process.
Firm fixed-price contract type provides cost predictability for the government.
Contract duration of over two years allows for consistent service delivery.

Sector Analysis

This contract falls within the Facilities Support Services sector, a broad category encompassing maintenance, repair, and operational support for buildings and grounds. The market for these services is substantial, particularly for government entities operating facilities in overseas locations. DoDEA contracts are crucial for maintaining the infrastructure of schools that support military personnel stationed abroad, ensuring continuity of education.

Small Business Impact

The provided data does not indicate any specific small business set-asides or subcontracting plans for this contract. As it was awarded under full and open competition, it is possible that small businesses participated, but their specific role or the extent of their involvement is not detailed here. Further analysis would be needed to determine the impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically be managed by the Department of Defense Education Activity contracting officers and program managers. Accountability measures are inherent in the firm fixed-price contract, requiring the contractor to deliver services within the agreed-upon cost. Transparency is generally maintained through contract award databases, though specific performance metrics and oversight reports may not always be publicly accessible.

Related Government Programs

Department of Defense Education Activity (DoDEA) School Operations
Overseas Military Base Support Services
Government Facilities Maintenance Contracts

Risk Flags

Potential for cost overruns if unforeseen issues arise in overseas maintenance.
Contractor performance risk for essential services.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $14.7 million to SKE TECHNICAL SERVICES GMBH. GERMANY SCHOOLS MAINTENANCE PROGRAM

Who is the contractor on this award?

The obligated recipient is SKE TECHNICAL SERVICES GMBH.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of Defense Education Activity).

What is the total obligated amount?

The obligated amount is $14.7 million.

What is the period of performance?

Start: 2010-02-26. End: 2012-03-08.

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

The contract, valued at $14.7 million and awarded to SKE TECHNICAL SERVICES GMBH, covered facilities support services for schools operated by the Department of Defense Education Activity (DoDEA) in Germany. While the specific details of 'facilities support services' can be broad, they typically encompass a range of maintenance and operational tasks necessary for the upkeep of educational facilities. This often includes routine maintenance, preventative maintenance, minor repairs, groundskeeping, custodial services, and potentially specialized services like HVAC or electrical system upkeep. The firm fixed-price nature of the contract suggests that the scope was defined upfront, and the contractor was responsible for delivering these services within the agreed-upon budget over the contract's duration from February 2010 to March 2012.

How does the per-unit cost of this contract compare to similar overseas school maintenance contracts?

Directly comparing the per-unit cost of this $14.7 million contract to similar overseas school maintenance contracts is difficult without more specific data points. Factors such as the number of schools serviced, the total square footage, the specific services required (e.g., basic upkeep vs. extensive repairs), local labor costs in Germany, and the duration of the contract all significantly influence per-unit pricing. The contract's duration was approximately 741 days (around 2 years), and it involved four bidders. While the full and open competition suggests competitive pricing, the unique logistical challenges and cost structures associated with operating in a foreign country like Germany mean that direct cost-per-square-foot or cost-per-school benchmarks from domestic contracts would not be directly applicable or reliable.

What is the track record of SKE TECHNICAL SERVICES GMBH with government contracts, particularly with DoDEA?

Information regarding the specific track record of SKE TECHNICAL SERVICES GMBH with government contracts, and particularly with the Department of Defense Education Activity (DoDEA), is not detailed in the provided data snippet. The data only confirms this specific award. To assess their track record, one would need to examine past performance reviews, other contract awards (both successful and unsuccessful), and any history of disputes or contract terminations. A comprehensive review would involve searching federal procurement databases (like SAM.gov or FPDS) for previous awards to this entity and analyzing their performance history on those contracts to understand their reliability, quality of service, and adherence to contract terms.

What are the potential risks associated with a firm fixed-price contract for facilities maintenance in an overseas location?

Firm fixed-price (FFP) contracts aim to provide cost certainty for the government, but they can introduce risks for the contractor, which may indirectly affect the government. For facilities maintenance in an overseas location like Germany, potential risks include unforeseen increases in local labor or material costs that are not adequately accounted for in the bid, currency exchange rate fluctuations if applicable, and logistical challenges in procuring necessary parts or services. If the contractor underestimated these costs or encountered unexpected issues, they might be incentivized to cut corners on service quality or maintenance to maintain profitability, potentially impacting the condition of the facilities. Conversely, if the contractor accurately predicted costs and executed efficiently, the government benefits from price certainty.

How does this spending compare to overall DoDEA facilities maintenance budgets or similar contracts in other regions?

Comparing this $14.7 million contract to overall DoDEA facilities maintenance budgets or similar contracts in other regions requires access to broader budgetary information and a portfolio of comparable contracts. DoDEA operates numerous schools globally, and their total facilities maintenance expenditure would encompass many such contracts. This specific contract represents a portion of the budget allocated for German-based schools. To provide context, one would need to analyze the total annual spending on facilities maintenance across all DoDEA regions, identify other contracts of similar scope and duration in different geographic areas (e.g., Europe, Pacific, CONUS), and then calculate average spending per school or per square foot to see if this contract's value falls within expected ranges. Without that comparative data, it's difficult to definitively state how it 'stacks up'.

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: HE128008R0006

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Control Y Montajes Industriales Cymi SA (UEI: 275244358)

Address: WURZBURGER STR. 9-11, KARLSTADT

Business Categories: Category Business, Corporate Entity Tax Exempt, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $14,743,641

Exercised Options: $14,743,641

Current Obligation: $14,743,641

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HE128008D0025

IDV Type: IDC

Timeline