State Department's $292K Kuwait Services Contract: Option Year for Scheduled Make Ready & Maintenance

Contract Overview

Contract Amount: $291,987 ($292.0K)

Contractor: Silver Chain Kuwait Company

Awarding Agency: Department of State

Start Date: 2026-04-06

End Date: 2027-04-30

Contract Duration: 389 days

Daily Burn Rate: $751/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: USMILGP KUWAIT SCHEDULED MAKE READY & MAINTENANCE SERVICES CONTRACT 1ST OPTION YEAR FROM 05/01/2026 - 04/30/2027

Plain-Language Summary

Department of State obligated $291,986.97 to SILVER CHAIN KUWAIT COMPANY for work described as: USMILGP KUWAIT SCHEDULED MAKE READY & MAINTENANCE SERVICES CONTRACT 1ST OPTION YEAR FROM 05/01/2026 - 04/30/2027 Key points: 1. Value for money assessed through comparison to similar support services contracts. 2. Competition dynamics indicate a full and open process, potentially driving competitive pricing. 3. Risk indicators include contract duration and reliance on a single vendor for option year. 4. Performance context relies on successful execution of previous option periods. 5. Sector positioning within 'All Other Support Services' highlights a broad category of operational needs.

Value Assessment

Rating: good

The contract value of approximately $292,000 for one year of services appears reasonable for a government support services contract in an overseas location. Benchmarking against similar contracts for facility maintenance and readiness services in the Middle East would provide a more precise value assessment. The firm-fixed-price structure helps control costs, but the specific scope of 'scheduled make ready & maintenance' needs to be well-defined to ensure value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, suggesting that multiple vendors had the opportunity to bid. The specific number of bidders is not provided, but this procurement method generally fosters a competitive environment, which can lead to more favorable pricing and better service terms for the government. The agency's commitment to open competition is a positive indicator for price discovery.

Taxpayer Impact: Taxpayers benefit from the competitive bidding process, which is expected to yield a fair market price for the essential support services required in Kuwait.

Public Impact

Benefits the U.S. Department of State by ensuring the readiness and maintenance of facilities in Kuwait. Delivers essential support services crucial for diplomatic and operational functions. Geographic impact is concentrated in Kuwait, supporting U.S. government presence. Workforce implications may involve local hires managed by the prime contractor, Silver Chain Kuwait Company.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if performance is satisfactory and no new competition is sought.
Reliance on a single contractor for a specific option year could limit future cost-saving opportunities.
Scope creep in 'make ready & maintenance' could lead to cost overruns if not tightly managed.

Positive Signals

Awarded under full and open competition, indicating a robust bidding process.
Firm-fixed-price contract type helps control costs and provides budget certainty.
Contract duration, while an option year, suggests a need for continuity in services.

Sector Analysis

This contract falls within the broad 'All Other Support Services' category, which encompasses a wide range of non-professional services. The market for such services in overseas locations is often specialized, involving companies with experience navigating local regulations and logistics. Comparable spending benchmarks would typically be found within government-wide contracts for base operations support or facility management in similar regions.

Small Business Impact

The provided data indicates that small business participation was not a specific set-aside for this contract (ss: false, sb: false). There is no information on subcontracting plans. The impact on the small business ecosystem is likely minimal unless Silver Chain Kuwait Company utilizes small businesses as subcontractors, which is not detailed here.

Oversight & Accountability

Oversight for this contract 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. Accountability measures are inherent in the firm-fixed-price structure and the potential for contract termination if performance is unsatisfactory. Transparency is facilitated by the public availability of contract award data.

Related Government Programs

Base Operations Support Services
Facility Maintenance Contracts
Overseas Support Services
Department of State Contracts

Risk Flags

Potential for scope creep
Reliance on incumbent contractor
Overseas operational complexities

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $291,986.97 to SILVER CHAIN KUWAIT COMPANY. USMILGP KUWAIT SCHEDULED MAKE READY & MAINTENANCE SERVICES CONTRACT 1ST OPTION YEAR FROM 05/01/2026 - 04/30/2027

Who is the contractor on this award?

The obligated recipient is SILVER CHAIN KUWAIT COMPANY.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $291,986.97.

What is the period of performance?

Start: 2026-04-06. End: 2027-04-30.

What is the historical spending trend for this specific contract or similar services provided by Silver Chain Kuwait Company to the Department of State?

Without access to historical contract data beyond this single award notice, it is difficult to establish a precise spending trend. However, the existence of an option year suggests that this is not a new requirement and that the contractor has likely performed services under previous periods. To assess historical spending, one would need to examine prior contract awards to Silver Chain Kuwait Company for similar services, potentially looking at the total value of previous option periods or base contract years. Analyzing the cumulative spending over the life of the requirement would provide context on the overall investment in these make-ready and maintenance services.

How does the per-unit cost or overall value of this contract compare to other similar 'make ready and maintenance' services contracts awarded by the Department of State or other agencies in the region

A direct comparison of the contract's value ($291,986.97) to similar 'make ready and maintenance' services contracts requires access to a broader dataset of government procurements. Factors such as the specific scope of work, location, duration, and prevailing market rates in Kuwait significantly influence pricing. Generally, firm-fixed-price contracts aim to align costs with market expectations. To benchmark effectively, one would need to identify contracts with comparable service descriptions, geographic locations (e.g., other U.S. embassy or consulate support contracts in the Middle East), and contract types. Without such comparative data, assessing whether this contract represents excellent, good, or fair value is challenging, though the full and open competition suggests an attempt to achieve market-based pricing.

What are the key performance indicators (KPIs) and service level agreements (SLAs) associated with this contract, and how is contractor performance monitored?

The provided award data does not specify the Key Performance Indicators (KPIs) or Service Level Agreements (SLAs) for this contract. Typically, for 'scheduled make ready & maintenance services,' KPIs might include response times for urgent requests, completion rates for scheduled maintenance tasks, quality of repairs, and adherence to safety standards. Performance monitoring is usually conducted by a Contracting Officer's Representative (COR) appointed by the agency. The COR is responsible for overseeing the contractor's adherence to the contract's technical requirements, schedule, and quality standards. Regular inspections, performance reports from the contractor, and user feedback are common methods used to monitor performance.

What is the track record of Silver Chain Kuwait Company in performing similar government contracts, particularly regarding performance, timeliness, and cost control?

Assessing the track record of Silver Chain Kuwait Company requires reviewing their past performance history on federal contracts. This would involve looking at past performance evaluations, any documented instances of contract disputes, timeliness of delivery, and adherence to budget. Information on past performance is often available through government databases like the Contractor Performance Assessment Reporting System (CPARS), although access may be restricted. A positive performance history, indicated by satisfactory ratings on previous contracts, would suggest a lower risk for this current option year. Conversely, a history of issues could raise concerns about the contractor's ability to meet the requirements effectively.

What are the potential risks associated with extending this contract for another year, and what mitigation strategies are in place?

Potential risks associated with extending this contract include scope creep, where the definition of 'make ready & maintenance' expands beyond the original intent, leading to cost increases. Another risk is complacency or a decline in service quality over time. Furthermore, reliance on a single contractor for an extended period can reduce leverage for future negotiations. Mitigation strategies typically involve rigorous oversight by the COR, clear definition and enforcement of the scope of work, performance monitoring against established KPIs/SLAs, and potentially conducting market research to ensure continued competitive pricing. The firm-fixed-price nature of the contract itself acts as a cost-control mitigation strategy.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Other Support Services › All Other Support Services

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: BEIRUT STREET, BEIRUT HAWALLI

Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $291,987

Exercised Options: $291,987

Current Obligation: $291,987

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 19KU2025D0008

IDV Type: IDC

Timeline