Commerce Department's NIST awards $601K contract for steam trap replacement, highlighting infrastructure needs

Contract Overview

Contract Amount: $60,116 ($60.1K)

Contractor: J. & L. Mavilia Incorporated

Awarding Agency: Department of Commerce

Start Date: 2023-05-02

End Date: 2023-10-31

Contract Duration: 182 days

Daily Burn Rate: $330/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: REPLACEMENT OF STEAM TRAPS

Place of Performance

Location: UPPER MARLBORO, PRINCE GEORGES County, MARYLAND, 20774

State: Maryland Government Spending

Plain-Language Summary

Department of Commerce obligated $60,115.9 to J. & L. MAVILIA INCORPORATED for work described as: REPLACEMENT OF STEAM TRAPS Key points: 1. The contract addresses essential facility maintenance, ensuring operational efficiency. 2. A single award indicates a focused procurement approach for this specific need. 3. The firm-fixed-price structure transfers risk to the contractor, promoting cost certainty. 4. This expenditure supports the upkeep of critical research infrastructure at NIST. 5. The short performance period suggests a targeted, project-specific intervention.

Value Assessment

Rating: good

The contract value of $601,155 for steam trap replacement appears reasonable for a project of this scope and duration. While direct comparisons are difficult without more specific project details, the firm-fixed-price nature suggests that the contractor has assessed the risks and costs involved. The National Institute of Standards and Technology (NIST) is known for maintaining complex facilities, and such maintenance contracts are crucial for operational continuity. Benchmarking against similar facility maintenance contracts within federal agencies would provide a clearer picture of value for money, but the amount is not inherently excessive for specialized infrastructure repair.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' which suggests that while the intent was competition, specific circumstances led to excluding certain potential bidders. This could be due to the specialized nature of the work, prior performance on related tasks, or specific technical requirements. The fact that it wasn't a completely open solicitation might limit the pool of bidders, potentially impacting the breadth of price discovery. However, the 'after exclusion of sources' phrasing implies a justification was made for the limited competition.

Taxpayer Impact: Limited competition can sometimes lead to higher prices for taxpayers if the pool of qualified bidders is significantly reduced. However, if the exclusion was justified by specific technical needs or prior successful performance, it could also ensure the right expertise is engaged, potentially avoiding costly rework or delays.

Public Impact

The primary beneficiaries are the National Institute of Standards and Technology (NIST) and its research operations, which will benefit from improved facility efficiency and reliability. The services delivered include the replacement of steam traps, a critical component in heating and cooling systems, ensuring proper functioning of building infrastructure. The geographic impact is localized to the NIST facility in Maryland. The contract supports the skilled trades workforce involved in specialized facility maintenance and repair.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'limited competition' aspect warrants scrutiny to ensure fair market value was obtained.
The specific reasons for excluding sources need to be clearly documented to justify the procurement approach.
The short performance period might indicate a reactive maintenance need rather than proactive infrastructure planning.

Positive Signals

The firm-fixed-price contract provides cost certainty for the government.
The award is for essential infrastructure maintenance, supporting NIST's core mission.
The contractor, J. & L. Mavilia Incorporated, is performing the work, suggesting a known entity for this type of service.

Sector Analysis

This contract falls within the broader construction and facilities maintenance sector, specifically focusing on mechanical systems. The market for specialized contractors capable of handling infrastructure upgrades in sensitive research environments like NIST is competitive but requires specific expertise. Federal spending in facility maintenance is substantial, driven by the need to preserve aging government infrastructure and ensure operational continuity across various agencies. Comparable spending benchmarks would typically involve analyzing other contracts for HVAC, plumbing, and steam system repairs within federal research facilities.

Small Business Impact

The data indicates that this contract was not specifically set aside for small businesses (ss: false, sb: false). Therefore, the primary contractor is likely not a small business. There is no explicit information on subcontracting requirements or goals within this award notice. The impact on the small business ecosystem would depend on whether J. & L. Mavilia Incorporated utilizes small business subcontractors, which is not detailed here.

Oversight & Accountability

Oversight for this contract would primarily reside with the National Institute of Standards and Technology (NIST) contracting officers and program managers. As a delivery order under a larger contract vehicle (implied by 'aw': 'DELIVERY ORDER'), oversight might also be influenced by the terms of the parent contract. Transparency is facilitated by public contract databases like FPDS. Inspector General jurisdiction would typically apply if fraud, waste, or abuse were suspected, with the Department of Commerce's Office of Inspector General having oversight.

Related Government Programs

Federal Building Maintenance Contracts
NIST Facility Operations
Steam System Repair and Maintenance
HVAC System Upgrades
Government Infrastructure Modernization

Risk Flags

Limited Competition Justification
Potential for Cost Overruns (if FFP is poorly estimated)
Schedule Adherence Risk
Quality Control during Compressed Timeline

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $60,115.9 to J. & L. MAVILIA INCORPORATED. REPLACEMENT OF STEAM TRAPS

Who is the contractor on this award?

The obligated recipient is J. & L. MAVILIA INCORPORATED.

Which agency awarded this contract?

Awarding agency: Department of Commerce (National Institute of Standards and Technology).

What is the total obligated amount?

The obligated amount is $60,115.9.

What is the period of performance?

Start: 2023-05-02. End: 2023-10-31.

What specific technical requirements or prior performance justified the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' for this steam trap replacement contract?

The justification for 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' typically requires a detailed explanation from the procuring agency. For this contract, the National Institute of Standards and Technology (NIST) would need to document why certain sources were excluded. This could stem from the highly specialized nature of the steam trap systems at NIST, requiring unique expertise or equipment that only a limited number of contractors possess. Alternatively, it might be based on the contractor's proven track record with similar NIST infrastructure, ensuring minimal disruption and successful integration. Without the specific justification document, it's difficult to ascertain the precise reasons, but it implies a deliberate decision to limit the pool based on specific, documented criteria rather than a broad market search.

How does the firm-fixed-price (FFP) contract type influence the risk and cost certainty for NIST in this steam trap replacement project?

A firm-fixed-price (FFP) contract, like the one awarded to J. & L. Mavilia Incorporated, is advantageous for the government in terms of cost certainty. Under an FFP agreement, the contractor is obligated to complete the work for a predetermined price, regardless of their actual costs. This shifts the risk of cost overruns entirely to the contractor. For NIST, this means the total expenditure for the steam trap replacement is fixed at $601,155, barring any approved contract modifications. This structure incentivizes the contractor to manage their costs efficiently and perform the work within budget. It simplifies financial planning and budgeting for the agency, as the final cost is known upfront, assuming the scope of work remains unchanged.

What is the typical lifespan and expected performance improvement from replacing steam traps in a facility like NIST?

Steam traps are critical components in steam heating systems, designed to remove condensate and non-condensable gases while preventing live steam from escaping. Their typical lifespan can vary significantly based on operating conditions, maintenance, and the quality of the trap itself, often ranging from 5 to 15 years. Replacing old or malfunctioning steam traps can lead to substantial performance improvements. These include enhanced energy efficiency by preventing steam loss, improved heating system responsiveness and temperature control, reduced water hammer and system noise, and prevention of potential equipment damage caused by condensate backup. For a research facility like NIST, where consistent and reliable environmental controls are crucial, these improvements translate to better operational stability and potentially lower energy consumption.

Can the $601,155 contract value be benchmarked against similar federal steam trap replacement projects?

Benchmarking this $601,155 contract value against similar federal steam trap replacement projects requires access to detailed data on comparable contracts, including scope, complexity, location, and duration. Publicly available data often lacks the granularity to make precise comparisons. However, general industry knowledge suggests that costs for such specialized mechanical work can vary widely. Factors like the number of traps replaced, the accessibility of the systems, the required system downtime, and the specific type of traps being installed all influence the total cost. Given the firm-fixed-price nature and the limited competition, NIST likely conducted its own internal cost analysis or relied on historical data for similar projects within its facilities to deem this value reasonable. Without specific comparable contract data, a definitive benchmark is challenging.

What are the potential risks associated with a short contract duration of 182 days for infrastructure repair?

A short contract duration of 182 days (approximately six months) for infrastructure repair like steam trap replacement can present several risks. Primarily, it increases the pressure on the contractor to complete the work within a compressed timeframe, potentially leading to rushed execution and a higher chance of errors or oversights if not managed properly. This compressed schedule might also limit the contractor's ability to perform thorough quality checks or address unforeseen issues that arise during the project. For the government, a short duration could mean less flexibility if project requirements need to be adjusted or if external factors (like weather or material availability) cause delays. It also implies the project is highly focused and may not address broader, long-term infrastructure needs, potentially requiring follow-on contracts.

Industry Classification

NAICS: Construction › Building Equipment Contractors › Plumbing, Heating, and Air-Conditioning Contractors

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1001 PRINCE GEORGES BLVD STE 550, UPPER MARLBORO, MD, 20774

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

Financial Breakdown

Contract Ceiling: $60,116

Exercised Options: $60,116

Current Obligation: $60,116

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 1333ND21DNB190013

IDV Type: IDC

Timeline