State Department awards $200,677 for trash collection, competing under simplified acquisition procedures

Contract Overview

Contract Amount: $200,677 ($200.7K)

Contractor: Miscellaneous Foreign Awardees

Awarding Agency: Department of State

Start Date: 2023-01-01

End Date: 2026-05-30

Contract Duration: 1,245 days

Daily Burn Rate: $161/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: TRASH COLLECTION SERVICES FOR EMBASSY

Plain-Language Summary

Department of State obligated $200,677.49 to MISCELLANEOUS FOREIGN AWARDEES for work described as: TRASH COLLECTION SERVICES FOR EMBASSY Key points: 1. Contract awarded via simplified acquisition procedures, suggesting a focus on smaller value procurements. 2. The contract duration of 1245 days (approx. 3.4 years) provides long-term service stability. 3. Fixed-price contract type shifts risk to the contractor for cost overruns. 4. Awarded to 'Miscellaneous Foreign Awardees,' indicating a potentially broad pool of eligible contractors. 5. The service category 'Trash Collection' is essential for facility operations. 6. The contract value is relatively modest, indicating a localized or specialized service need.

Value Assessment

Rating: good

The contract value of approximately $200,677 over 3.4 years is modest. Without specific benchmarks for trash collection services at overseas embassies, a direct value-for-money assessment is difficult. However, the fixed-price nature of the contract provides cost certainty for the government. The competition level, while limited by SAP, suggests a reasonable effort to obtain competitive pricing for this service.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under Simplified Acquisition Procedures (SAP), which typically involves smaller dollar value procurements and may have fewer formal bidding requirements than full and open competition. The data indicates two bidders participated. While SAP aims for efficiency, it may not always yield the same breadth of competition as larger-scale procurements, potentially impacting price discovery.

Taxpayer Impact: For taxpayers, competition under SAP generally leads to more efficient spending on smaller contracts compared to sole-source awards, but the limited number of bidders means there's a reduced opportunity to secure the absolute lowest price achievable through broader market engagement.

Public Impact

Embassy operations in the covered geographic area benefit from essential waste management services. Ensures a clean and sanitary environment for embassy staff and visitors. Supports local employment through the contractor's operational needs. Maintains the physical infrastructure and public image of the diplomatic mission.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for limited competition due to SAP procedures.
Reliance on 'Miscellaneous Foreign Awardees' may require additional vetting for performance history.
Contract duration could outpace evolving waste management technologies or regulations.

Positive Signals

Fixed-price contract protects against cost escalation.
Essential service ensures operational continuity for the embassy.
Competition, even under SAP, provides some level of price validation.

Sector Analysis

This contract falls within the broader 'Commercial Services' sector, specifically focusing on facility support and logistics. The market for waste management services is generally mature and competitive, though specialized services for government facilities, particularly overseas, can have unique requirements. Benchmarking is challenging without specific data on comparable embassy contracts or regional service costs.

Small Business Impact

The data does not indicate this contract was specifically set aside for small businesses, nor does it provide information on subcontracting plans. Given the nature of the service and the award mechanism (SAP), it's possible small businesses could participate, but there's no explicit indication of a focus on small business utilization.

Oversight & Accountability

Oversight would typically be managed by the contracting officer's representative (COR) within the Department of State, responsible for monitoring performance and ensuring compliance with contract terms. Transparency is facilitated by contract databases, but detailed operational oversight specifics are not publicly available.

Related Government Programs

Department of State Facility Support Contracts
Overseas Operations Support Services
General Services Administration (GSA) Schedules (for comparable services domestically)

Risk Flags

Limited competition due to SAP
Potential performance variability with 'Miscellaneous Foreign Awardees'

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $200,677.49 to MISCELLANEOUS FOREIGN AWARDEES. TRASH COLLECTION SERVICES FOR EMBASSY

Who is the contractor on this award?

The obligated recipient is MISCELLANEOUS FOREIGN AWARDEES.

Which agency awarded this contract?

Awarding agency: Department of State (Department of State).

What is the total obligated amount?

The obligated amount is $200,677.49.

What is the period of performance?

Start: 2023-01-01. End: 2026-05-30.

What is the typical cost range for trash collection services at U.S. embassies of similar size and location?

Determining a precise cost range for trash collection at U.S. embassies is complex due to varying factors like location, security requirements, local labor costs, and the specific volume and type of waste generated. However, for a contract valued at approximately $200,677 over 1245 days (roughly $59,500 annually), this suggests a moderate service requirement. For context, municipal trash collection contracts for commercial entities in the U.S. can range from a few thousand dollars per month for small businesses to tens or hundreds of thousands annually for larger facilities. Overseas contracts often incur additional logistical and risk premiums. Without more specific data on the embassy's size and waste output, direct comparison is difficult, but the awarded value appears consistent with essential, non-specialized facility support services for a diplomatic mission.

What is the performance history of 'Miscellaneous Foreign Awardees' in similar contracts?

The designation 'Miscellaneous Foreign Awardees' is a broad category and does not refer to a single entity with a unified performance history. It indicates that the contract was awarded to one or more foreign entities that may not fit into more specific contractor classifications. Assessing performance history would require identifying the specific awardee(s) under this contract and then researching their past performance records with the Department of State or other federal agencies. Generally, federal agencies maintain performance evaluation records (e.g., Contractor Performance Assessment Reporting System - CPARS) for contractors on larger contracts. For smaller contracts awarded under Simplified Acquisition Procedures (SAP), detailed public performance data may be less common, potentially increasing the reliance on pre-award vetting and the COR's ongoing oversight.

How does the fixed-price contract type impact the government's financial risk compared to other contract types?

A Firm Fixed Price (FFP) contract, as used here, shifts the majority of the financial risk to the contractor. The government agrees to pay a set price regardless of the contractor's actual costs incurred. This provides the government with significant cost certainty and predictability, making budgeting easier. The primary risk for the government under FFP is that the contractor may cut corners on quality or service to maintain profitability if their costs exceed expectations. Conversely, if the contractor manages costs efficiently, they retain the profit. This contrasts with cost-reimbursement contracts, where the government bears most of the cost risk but typically has more flexibility in scope and quality adjustments. For a service like trash collection, where the scope is relatively well-defined, FFP is a common and appropriate choice to control costs.

What are the implications of competing this contract under Simplified Acquisition Procedures (SAP)?

Competing this contract under SAP means it falls within the dollar thresholds (generally under $250,000) where federal agencies can use more streamlined procurement processes. This is intended to increase efficiency and reduce administrative burden for smaller purchases. While SAP allows for competition, it often involves fewer bidders and less formal solicitation requirements compared to full and open competition. This can lead to faster award times but may limit the pool of potential offerors and potentially result in less aggressive pricing than might be achieved through a broader competition. The government still has an obligation to conduct market research and seek out capable sources, but the scope of that search is typically narrower under SAP.

What is the historical spending trend for trash collection services by the Department of State?

Analyzing the historical spending trend for trash collection services specifically by the Department of State requires access to comprehensive federal procurement data over multiple fiscal years. While this single contract award provides a data point for 2023-2026, it does not reveal broader trends. Generally, spending on essential facility maintenance services like waste management is expected to be relatively stable year-over-year, fluctuating with inflation, changes in the number of facilities operated, and geopolitical factors affecting overseas posts. Without access to aggregated historical data for this specific service category across the Department, it's impossible to determine if this $200,677 award represents an increase, decrease, or stable level of spending compared to previous periods.

Industry Classification

NAICS: Finance and Insurance › Other Financial Investment Activities › Miscellaneous Intermediation

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1800 F ST NW, WASHINGTON, DC, 20405

Business Categories: Category Business, Foreign Owned, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $200,677

Exercised Options: $200,677

Current Obligation: $200,677

Actual Outlays: $27,823

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline