PBGC awards $223.6M contract for childcare services to FEEA CHILDCARE SERVICES, INC
Contract Overview
Contract Amount: $223,600 ($223.6K)
Contractor: Feea Childcare Services, Inc.
Awarding Agency: Pension Benefit Guaranty Corporation
Start Date: 2022-03-31
End Date: 2027-03-30
Contract Duration: 1,825 days
Daily Burn Rate: $123/day
Competition Type: COMPETED UNDER SAP
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: CHILDCARE SERVICES
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20024
Plain-Language Summary
Pension Benefit Guaranty Corporation obligated $223,600 to FEEA CHILDCARE SERVICES, INC. for work described as: CHILDCARE SERVICES Key points: 1. Contract awarded to a single vendor, raising questions about competition. 2. The contract value is substantial for administrative office services. 3. No small business participation noted. 4. The contract duration is 5 years, indicating a long-term need.
Value Assessment
Rating: questionable
The contract value of $223.6 million over 5 years for administrative office services, specifically childcare, appears high without clear benchmarks. Further analysis is needed to compare this pricing against similar government or private sector contracts for comparable services.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was competed under SAP (Simplified Acquisition Procedures), suggesting a limited competition approach. This method may not yield the best pricing or value compared to full and open competition, especially for a contract of this magnitude.
Taxpayer Impact: The limited competition may result in taxpayers paying more than necessary for childcare services. The lack of broad competition could mean missed opportunities for cost savings.
Public Impact
Federal employees will have access to childcare services, potentially improving work-life balance and retention. The contract supports a specific vendor, FEEA CHILDCARE SERVICES, INC., impacting local or regional employment. The use of federal funds for employee benefits like childcare highlights government investment in its workforce.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition for a significant contract value.
- No small business participation.
- Potential for overpayment due to limited price discovery.
Positive Signals
- Provides essential childcare services to federal employees.
- Long-term contract ensures service continuity.
Sector Analysis
This contract falls under administrative office services, specifically childcare. While not a primary sector like IT or defense, government provision of employee support services is a growing area. Benchmarks for such services are often internal or based on specific agency needs.
Small Business Impact
The contract explicitly states no small business participation (sb: false). This indicates that small businesses were not involved in the provision of these childcare services, potentially missing opportunities to support small business growth.
Oversight & Accountability
The use of Simplified Acquisition Procedures (SAP) for a contract of this size warrants oversight to ensure fair pricing and adherence to procurement regulations. The Pension Benefit Guaranty Corporation (PBGC) should have internal controls to monitor contract performance and costs.
Related Government Programs
- Office Administrative Services
- Pension Benefit Guaranty Corporation Contracting
- Pension Benefit Guaranty Corporation Programs
Risk Flags
- Limited competition.
- Lack of small business participation.
- High contract value without clear cost justification.
- Potential for price inefficiency.
Tags
office-administrative-services, pension-benefit-guaranty-corporation, dc, definitive-contract, 100k-plus
Frequently Asked Questions
What is this federal contract paying for?
Pension Benefit Guaranty Corporation awarded $223,600 to FEEA CHILDCARE SERVICES, INC.. CHILDCARE SERVICES
Who is the contractor on this award?
The obligated recipient is FEEA CHILDCARE SERVICES, INC..
Which agency awarded this contract?
Awarding agency: Pension Benefit Guaranty Corporation (Pension Benefit Guaranty Corporation).
What is the total obligated amount?
The obligated amount is $223,600.
What is the period of performance?
Start: 2022-03-31. End: 2027-03-30.
What is the justification for using limited competition under SAP for a $223.6 million contract?
The justification for using limited competition under SAP for a contract of this magnitude is unclear from the provided data. Typically, SAP is for acquisitions below a certain threshold, and larger contracts require more robust competition. Further investigation into the specific circumstances and any waivers or exceptions granted would be necessary to understand this decision.
How does the per-unit cost of this childcare service compare to market rates or other federal contracts?
The provided data does not include per-unit cost information or allow for direct comparison to market rates or other federal contracts. Without detailed service level agreements and pricing breakdowns, it is impossible to assess if the $223.6 million award represents a fair and reasonable price for the childcare services rendered.
What are the performance metrics and oversight mechanisms in place to ensure the effectiveness of these childcare services?
The provided data does not detail the performance metrics or specific oversight mechanisms for this contract. Effective oversight would typically involve regular reviews of service quality, child safety, staff qualifications, and parent satisfaction, alongside financial audits to ensure funds are used appropriately.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Office Administrative Services › Office Administrative Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: COMPETED UNDER SAP
Solicitation Procedures: SIMPLIFIED ACQUISITION
Solicitation ID: 16PBGC22Q0007
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1641 PRINCE ST, ALEXANDRIA, VA, 22314
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $395,778
Exercised Options: $255,778
Current Obligation: $223,600
Actual Outlays: $34,675
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Timeline
Start Date: 2022-03-31
Current End Date: 2027-03-30
Potential End Date: 2027-03-30 00:00:00
Last Modified: 2026-04-13
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