State Department awards $4.9M facilities support task order to HCI Management Services Company

Contract Overview

Contract Amount: $4,933,260 ($4.9M)

Contractor: HCI Management Services Company

Awarding Agency: Department of State

Start Date: 2025-04-01

End Date: 2026-06-30

Contract Duration: 455 days

Daily Burn Rate: $10.8K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: TDA STAFFING TASK ORDER

Place of Performance

Location: WINNEBAGO, THURSTON County, NEBRASKA, 68071

State: Nebraska Government Spending

Plain-Language Summary

Department of State obligated $4.9 million to HCI MANAGEMENT SERVICES COMPANY for work described as: TDA STAFFING TASK ORDER Key points: 1. The contract value represents a significant investment in essential facilities support services for the Department of State. 2. Competition for this award was limited, potentially impacting price discovery and value for money. 3. The firm-fixed-price contract type shifts performance risk to the contractor. 4. The duration of the contract extends over a year, indicating a need for sustained support. 5. The contractor, HCI Management Services Company, will be responsible for maintaining critical infrastructure. 6. The absence of small business set-aside suggests a focus on specialized capabilities rather than broad economic participation.

Value Assessment

Rating: fair

Benchmarking the value of this $4.9 million task order against similar facilities support contracts is challenging without more detailed service descriptions and performance metrics. However, the firm-fixed-price structure is generally favorable for the government, transferring cost overrun risks to HCI Management Services Company. The contract's duration of 455 days suggests a substantial scope of work, and the price should be evaluated against industry standards for comparable services in Nebraska.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded as a 'NOT AVAILABLE FOR COMPETITION' delivery order, indicating a sole-source procurement. This means that only one bidder, HCI Management Services Company, was considered. The lack of competition limits the government's ability to explore alternative solutions or leverage market forces to achieve the best possible pricing and terms. It is crucial to understand the justification for this sole-source award to ensure it was appropriate and that the government did not forgo potential cost savings.

Taxpayer Impact: Taxpayers may not have received the most competitive pricing due to the absence of a competitive bidding process. This sole-source award means the government accepted the price proposed by HCI Management Services Company without the benefit of comparing it against offers from other qualified vendors.

Public Impact

The primary beneficiaries are the Department of State personnel and operations that rely on well-maintained facilities. The services delivered will ensure the functionality and safety of government buildings and infrastructure. The geographic impact is concentrated in Nebraska, where the facilities are located. Workforce implications include potential employment opportunities for individuals supporting facilities management and maintenance in the region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition raises concerns about potential overpayment and lack of innovative solutions.
The sole-source nature of the award necessitates a thorough review of the justification to ensure fair pricing.
Lack of transparency in the procurement process could obscure the true value for money achieved.

Positive Signals

Firm-fixed-price contract shifts performance risk to the contractor, potentially leading to cost certainty for the government.
The contract duration suggests a stable, long-term need for these essential services.
HCI Management Services Company is tasked with critical facilities support, indicating a level of trust in their capabilities.

Sector Analysis

Facilities Support Services, classified under NAICS code 561210, is a broad sector encompassing a wide range of services necessary for the operation and maintenance of buildings and grounds. This contract fits within the government's ongoing need to ensure its physical infrastructure is functional, safe, and secure. Comparable spending benchmarks for this sector vary widely based on the specific services, geographic location, and scale of operations. The Department of State's reliance on such services is consistent with other large federal agencies managing extensive real estate portfolios.

Small Business Impact

This contract does not appear to include a small business set-aside, as indicated by 'ss': false and 'sb': false. This suggests that the procurement was not specifically targeted to encourage participation from small businesses. Consequently, the primary contractor, HCI Management Services Company, will likely manage the entire scope of work. There is no explicit information regarding subcontracting plans for small businesses, which could represent a missed opportunity to distribute a portion of the contract value within the small business ecosystem.

Oversight & Accountability

Oversight for this contract will primarily fall under the Department of State's contracting and program management offices. Accountability measures will be tied to the performance standards outlined in the delivery order and the firm-fixed-price terms. Transparency is dependent on the public availability of contract details and performance reports. Inspector General jurisdiction would apply if any issues of fraud, waste, or abuse arise during the contract's performance.

Related Government Programs

General Services Administration (GSA) Facilities Management Contracts
Department of Defense (DoD) Base Operations Support (BOS)
Federal Buildings Fund (FBF) Expenditures

Risk Flags

Sole-source award requires justification review.
Limited competition may impact price discovery.
Performance metrics and SLAs not detailed.

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $4.9 million to HCI MANAGEMENT SERVICES COMPANY. TDA STAFFING TASK ORDER

Who is the contractor on this award?

The obligated recipient is HCI MANAGEMENT SERVICES COMPANY.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $4.9 million.

What is the period of performance?

Start: 2025-04-01. End: 2026-06-30.

What is the specific justification for awarding this contract on a sole-source basis?

The provided data indicates the contract was awarded as 'NOT AVAILABLE FOR COMPETITION,' which typically signifies a sole-source procurement. The specific justification for this determination is not included in the data. Generally, sole-source awards are made when only one responsible source is available or capable of providing the required services, or in cases of urgent and compelling need. Without the official justification document, it is impossible to ascertain the precise reasons. However, such awards warrant scrutiny to ensure they are not circumventing competitive processes and that the government is still obtaining fair and reasonable pricing. The Department of State would have had to document why competition was not feasible or advantageous in this instance.

How does the $4.9 million contract value compare to similar facilities support services procured by the Department of State or other federal agencies?

Direct comparison of the $4.9 million contract value to similar facilities support services is difficult without more granular data on the specific services rendered, the geographic location's cost of living, and the contract duration. Facilities support encompasses a wide array of services, from janitorial and groundskeeping to complex building systems maintenance and security. The Department of State, like other large federal agencies, procures numerous contracts for facilities management. The value of this particular task order, awarded to HCI Management Services Company for a 455-day period, should be benchmarked against contracts for similar scope and complexity within the same region or for agencies with comparable operational needs. The firm-fixed-price nature suggests a defined scope, which aids in value assessment if comparable contracts also use this pricing structure.

What are the key performance indicators (KPIs) and service level agreements (SLAs) associated with this contract?

The provided data does not specify the Key Performance Indicators (KPIs) or Service Level Agreements (SLAs) for this contract. These are critical components of any facilities support services contract, defining the expected standards of performance and the metrics by which the contractor's success will be measured. For a contract of this nature, KPIs might include response times for maintenance requests, uptime percentages for critical building systems (e.g., HVAC, electrical), adherence to safety protocols, and customer satisfaction ratings from building occupants. SLAs would detail the specific targets for these KPIs and potential remedies or penalties for non-performance. Without this information, a comprehensive assessment of the contractor's expected performance and the overall value derived from the contract is incomplete.

What is HCI Management Services Company's track record with federal contracts, particularly in facilities support?

Information regarding HCI Management Services Company's specific track record with federal contracts, especially in facilities support, is not detailed in the provided data. A thorough analysis would require examining their past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), previous contract awards, and any history of disputes or contract terminations. Understanding their experience with similar-sized contracts, the types of facilities they have managed, and their performance history with the Department of State or other agencies would provide crucial insights into their capability to fulfill this $4.9 million task order effectively and efficiently. Their success or challenges on prior federal engagements are key indicators of future performance.

What is the historical spending pattern for facilities support services at this specific Department of State location in Nebraska?

The provided data does not include historical spending patterns for facilities support services at the specific Department of State location in Nebraska. To assess this contract's value and necessity, it would be beneficial to review past expenditures for similar services at this site. This includes understanding the annual or periodic costs incurred before this award, whether through previous contracts with HCI Management Services Company or other vendors. Analyzing historical spending can reveal trends, identify potential cost increases or decreases, and provide a baseline against which the current $4.9 million award can be evaluated for reasonableness and efficiency over its 455-day duration.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 19AQMM19R0366

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Ho-Chunk, Inc.

Address: 1 MISSION DR, WINNEBAGO, NE, 68071

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Tax Exempt, HUBZone Firm, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Tribally Owned Firm, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $7,472,218

Exercised Options: $7,472,218

Current Obligation: $4,933,260

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: 19AQMM19D0150

IDV Type: IDC

Timeline