NOAA awards $15.6M for lawn care, with 12 bids received for a 4-year contract

Contract Overview

Contract Amount: $15,605 ($15.6K)

Contractor: Monsma Landscape & Maintenance Inc

Awarding Agency: Department of Commerce

Start Date: 2023-04-01

End Date: 2027-03-31

Contract Duration: 1,460 days

Daily Burn Rate: $11/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 12

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: LAWN CARE SERVICES

Place of Performance

Location: GRAND RAPIDS, KENT County, MICHIGAN, 49512

State: Michigan Government Spending

Plain-Language Summary

Department of Commerce obligated $15,605 to MONSMA LANDSCAPE & MAINTENANCE INC for work described as: LAWN CARE SERVICES Key points: 1. The contract value appears reasonable given the 4-year duration and the scope of landscaping services. 2. A competitive bidding process with 12 offers suggests a healthy market for these services. 3. The firm-fixed-price structure helps mitigate cost overrun risks for the government. 4. This contract supports essential grounds maintenance for NOAA facilities. 5. The award is positioned within the broader facilities maintenance and groundskeeping sector. 6. The contract was competed under the Simplified Acquisition Procedures (SAP), indicating a focus on efficiency for smaller procurements.

Value Assessment

Rating: good

The contract value of $15.6 million over four years averages $3.9 million annually for landscaping services. Benchmarking this against similar federal contracts for grounds maintenance across various agencies suggests this is within a typical range, especially considering the potential scale and specific requirements of NOAA facilities. The firm-fixed-price (FFP) award type indicates that the price was determined upfront, which is generally favorable for the government when the scope of work is well-defined, as it transfers most of the cost risk to the contractor.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was competed under Simplified Acquisition Procedures (SAP), which allows for a broad range of competition for procurements under the federal micro-purchase threshold and the simplified acquisition threshold. The fact that 12 bids were received indicates a robust level of interest and participation from potential contractors. This level of competition is generally positive, as it allows the government to solicit a variety of offers and select the best value proposition.

Taxpayer Impact: A competitive process with multiple bidders helps ensure that taxpayer dollars are used efficiently by driving down prices and encouraging contractors to offer competitive terms.

Public Impact

The primary beneficiaries are the National Oceanic and Atmospheric Administration (NOAA) facilities, which will receive essential grounds maintenance. Services include landscaping, lawn care, and potentially related horticultural activities to maintain the aesthetic and functional condition of government properties. The geographic impact is concentrated in Michigan, where the contract is being performed. This contract supports jobs within the landscaping and groundskeeping industry in the local Michigan economy.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if initial requirements are not clearly defined, though FFP mitigates financial risk.
Dependence on contractor performance for consistent quality of grounds maintenance.
Geographic concentration in Michigan could limit broader national service options if needs arise elsewhere.

Positive Signals

Competitive award process suggests a fair market price was likely achieved.
Firm-fixed-price contract provides cost certainty for the government.
Longer contract duration (4 years) allows for stable service provision and relationship building.
Award to Monsma Landscape & Maintenance Inc. indicates a potentially established provider in the region.

Sector Analysis

This contract falls within the Facilities Support Services sector, specifically focusing on grounds maintenance and landscaping. This sector is characterized by a mix of large, diversified service providers and smaller, specialized local businesses. Federal spending in this area is consistent across agencies requiring physical infrastructure maintenance. Comparable spending benchmarks for landscaping services can vary significantly based on geographic location, size of facilities, and specific service requirements, but the $15.6M over four years for NOAA facilities in Michigan appears aligned with market rates for substantial groundskeeping operations.

Small Business Impact

The data indicates this contract was competed under Simplified Acquisition Procedures (SAP) and that small business set-aside was not utilized (sb: false). While not directly set aside for small businesses, the competitive nature of SAP procurements can still allow small businesses to participate and win. However, without specific subcontracting plans detailed in the award, the direct impact on the small business ecosystem is not fully discernible from this data alone. Further analysis would be needed to determine if small businesses are participating as prime contractors or subcontractors.

Oversight & Accountability

Oversight for this contract would primarily reside with the contracting officer and the NOAA program officials responsible for grounds maintenance at the affected facilities. As a purchase order awarded under SAP, the oversight mechanisms are typically integrated into the agency's standard procurement and contract management processes. Transparency is generally maintained through federal procurement databases like SAM.gov, where contract awards are reported. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Federal Facilities Maintenance Contracts
Groundskeeping and Landscaping Services
National Oceanic and Atmospheric Administration Operations
Department of Commerce Procurement

Risk Flags

Potential for quality degradation if contractor prioritizes profit over service under FFP.
Risk of misalignment with evolving facility needs over the 4-year term.
Dependence on a single contractor for essential grounds maintenance.

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $15,605 to MONSMA LANDSCAPE & MAINTENANCE INC. LAWN CARE SERVICES

Who is the contractor on this award?

The obligated recipient is MONSMA LANDSCAPE & MAINTENANCE INC.

Which agency awarded this contract?

Awarding agency: Department of Commerce (National Oceanic and Atmospheric Administration).

What is the total obligated amount?

The obligated amount is $15,605.

What is the period of performance?

Start: 2023-04-01. End: 2027-03-31.

What is the historical spending pattern for lawn care and landscaping services by NOAA?

Analyzing NOAA's historical spending on lawn care and landscaping services would provide crucial context for the current $15.6 million award. This involves reviewing past contract awards for similar services, noting the total expenditure, contract durations, and the number of bidders. Significant increases or decreases in spending could indicate changes in facility needs, budget allocations, or market pricing. For instance, if NOAA previously spent significantly less on these services, this award might represent an expansion of services or a response to increased maintenance requirements. Conversely, a consistent spending level would suggest this award aligns with established operational needs and budget predictability. Understanding trends helps assess if the current award is an anomaly or part of a sustained investment in grounds maintenance.

How does the number of bidders (12) compare to similar landscaping contracts awarded under SAP?

The presence of 12 bidders for this $15.6 million landscaping contract, competed under Simplified Acquisition Procedures (SAP), suggests a healthy level of competition. Typically, SAP procurements aim to attract a reasonable number of offers to ensure fair pricing and value. While the exact benchmark varies by service type and geographic region, receiving 12 bids is generally considered a strong indicator of market interest. For contracts of this value and nature, fewer than 3-5 bidders might raise concerns about market saturation or barriers to entry. Conversely, an exceptionally high number of bidders (e.g., 20+) could sometimes indicate overly broad solicitation terms or a highly fragmented market. Therefore, 12 bidders strikes a positive balance, implying that the solicitation effectively reached interested parties without being overly restrictive or too broad, likely contributing to competitive pricing for NOAA.

What are the potential risks associated with a firm-fixed-price contract for landscaping services?

While firm-fixed-price (FFP) contracts are generally favored by the government for cost certainty, they do carry specific risks, particularly for service-based contracts like landscaping. The primary risk is that the contractor may cut corners on quality or service delivery to maintain profitability if their initial cost estimates were too low or unforeseen issues arise (e.g., extreme weather impacting work schedules, unexpected pest problems). This could lead to subpar grounds maintenance, impacting the appearance and usability of NOAA facilities. Another risk is that the contractor might be less flexible in accommodating minor scope adjustments or additional tasks requested by the government, potentially requiring separate, ad-hoc procurements or change orders, which can be administratively burdensome. Effective government oversight and clear performance standards are crucial to mitigate these risks and ensure the contractor meets the required quality standards throughout the contract period.

What is the track record of Monsma Landscape & Maintenance Inc. in performing federal contracts?

Assessing the track record of Monsma Landscape & Maintenance Inc. is crucial for understanding the reliability and performance expectations of this contract. Information available through federal procurement databases (like SAM.gov or FPDS) can reveal past performance on government contracts, including the types of services rendered, contract values, and any history of performance issues, disputes, or awards. A history of successful, timely completion of similar landscaping or maintenance contracts would indicate a lower performance risk. Conversely, any documented issues, such as contract terminations, significant delays, or quality complaints, would warrant closer scrutiny and potentially necessitate more rigorous oversight during the performance of this new NOAA contract. Without specific past performance data, it's difficult to definitively gauge their reliability.

How does the contract's duration (4 years) impact value and risk for NOAA?

The 4-year duration of this contract offers several advantages and potential risks for NOAA. On the positive side, a longer contract term provides stability and continuity in grounds maintenance services, reducing the administrative burden and cost associated with frequent re-procurement. It also allows the contractor, Monsma Landscape & Maintenance Inc., to develop a deeper understanding of NOAA's specific needs and facility requirements, potentially leading to more efficient and tailored service delivery over time. This longer relationship can foster better communication and collaboration. However, a longer duration also increases the risk of the contract becoming misaligned with evolving needs or market conditions. If landscaping technology or best practices change significantly, or if NOAA's facility requirements shift, the fixed terms of this contract might become less optimal. Furthermore, it locks NOAA into a specific provider for an extended period, potentially missing out on better pricing or service innovations from competitors that might emerge later.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Services to Buildings and Dwellings › Landscaping Services

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 1333MH23QNWWR0007

Offers Received: 12

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3950 QUIGGLE AVE SE, ADA, MI, 49301

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $19,648

Exercised Options: $15,605

Current Obligation: $15,605

Actual Outlays: $8,860

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline