Interior Awards $591K IT Chiller Service Contract to Precision Mechanical Services
Contract Overview
Contract Amount: $59,144 ($59.1K)
Contractor: Precision Mechanical Services, LLC
Awarding Agency: Department of the Interior
Start Date: 2024-05-01
End Date: 2029-04-30
Contract Duration: 1,825 days
Daily Burn Rate: $32/day
Competition Type: COMPETED UNDER SAP
Number of Offers Received: 4
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: PROVIDE IT CHILLER SERVICE TO NERO
Place of Performance
Location: PHILADELPHIA, PHILADELPHIA County, PENNSYLVANIA, 19106
Plain-Language Summary
Department of the Interior obligated $59,143.67 to PRECISION MECHANICAL SERVICES, LLC for work described as: PROVIDE IT CHILLER SERVICE TO NERO Key points: 1. Contract value of $591,433.67 for IT chiller services. 2. Awarded to Precision Mechanical Services, LLC. 3. Competition method was 'COMPETED UNDER SAP', indicating a potentially limited but competitive process. 4. The contract spans 5 years, from May 1, 2024, to April 30, 2029. 5. The National Park Service is the end-user agency.
Value Assessment
Rating: fair
The contract value of $591,433.67 for a 5-year service agreement appears reasonable given the scope of IT chiller maintenance. Benchmarking against similar HVAC service contracts for federal facilities would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was competed under SAP (Simplified Acquisition Procedures), suggesting a limited competition process. While this can expedite procurement, it may not always yield the lowest possible price compared to full and open competition.
Taxpayer Impact: Taxpayer funds are being used for essential IT infrastructure maintenance. The use of SAP suggests a balance between efficiency and cost-effectiveness, though full competition might have offered greater savings.
Public Impact
Ensures reliable operation of critical IT infrastructure for the National Park Service. Supports the preservation and accessibility of national park resources through stable IT systems. Provides employment for Precision Mechanical Services, LLC and its subcontractors. The contract's duration ensures long-term support for essential cooling systems.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for higher costs due to limited competition under SAP.
- Dependence on a single vendor for critical IT cooling services.
- Risk of service disruptions if vendor performance is inadequate.
Positive Signals
- Ensures continuity of IT operations for a vital federal agency.
- Contract awarded to a specific LLC, potentially supporting small or medium businesses.
- Clear performance period and fixed-price structure.
Sector Analysis
This contract falls under the facilities support and maintenance sector, specifically focusing on HVAC services critical for IT infrastructure. Spending benchmarks for similar services vary widely based on facility size, climate, and specific equipment requirements.
Small Business Impact
The contract was awarded to Precision Mechanical Services, LLC. Further analysis would be needed to determine if this company qualifies as a small business and if the procurement process specifically aimed to support small business participation.
Oversight & Accountability
The contract is a Purchase Order, which is a standard procurement instrument. Oversight would typically involve contract officers monitoring performance, adherence to terms, and timely delivery of services by the vendor.
Related Government Programs
- Plumbing, Heating, and Air-Conditioning Contractors
- Department of the Interior Contracting
- National Park Service Programs
Risk Flags
- Limited competition may lead to suboptimal pricing.
- Long contract duration increases reliance on a single vendor.
- Potential for scope creep and associated cost increases.
- Dependence on vendor's technical expertise and capacity.
- Need for rigorous performance monitoring to ensure service quality.
Tags
plumbing-heating-and-air-conditioning-co, department-of-the-interior, pa, purchase-order, under-100k
Frequently Asked Questions
What is this federal contract paying for?
Department of the Interior awarded $59,143.67 to PRECISION MECHANICAL SERVICES, LLC. PROVIDE IT CHILLER SERVICE TO NERO
Who is the contractor on this award?
The obligated recipient is PRECISION MECHANICAL SERVICES, LLC.
Which agency awarded this contract?
Awarding agency: Department of the Interior (National Park Service).
What is the total obligated amount?
The obligated amount is $59,143.67.
What is the period of performance?
Start: 2024-05-01. End: 2029-04-30.
What is the specific scope of 'IT Chiller Service' covered under this contract?
The scope likely includes preventative maintenance, emergency repairs, and potentially system upgrades for chillers that cool data centers and server rooms. Detailed service level agreements (SLAs) within the contract would define specific tasks, response times, and performance metrics to ensure the continuous operation of critical IT equipment.
How does the pricing compare to industry benchmarks for similar IT chiller maintenance contracts?
Without specific details on the chiller systems and service level agreements, a precise benchmark is difficult. However, the $591K over five years ($118K annually) for a federal agency suggests a potentially competitive rate, assuming comprehensive service. A detailed comparison with GSA schedules or other agency contracts for similar scope would be necessary for a definitive assessment.
What are the potential risks associated with relying on Precision Mechanical Services, LLC for this critical function?
Risks include potential service disruptions due to vendor performance issues, unexpected cost increases if the scope expands beyond the initial contract, and a lack of immediate alternatives if the vendor fails to meet obligations. Mitigation strategies could involve robust performance monitoring, clear contract clauses for remedies, and maintaining contingency plans.
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: COMPETED UNDER SAP
Solicitation Procedures: SIMPLIFIED ACQUISITION
Solicitation ID: 140P4224Q0006
Offers Received: 4
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Precision Mechanical Services LLC
Address: 9213 JAMES ST, PHILADELPHIA, PA, 19114
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $99,673
Exercised Options: $59,144
Current Obligation: $59,144
Actual Outlays: $21,706
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Timeline
Start Date: 2024-05-01
Current End Date: 2029-04-30
Potential End Date: 2029-04-30 00:00:00
Last Modified: 2026-04-10
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