VA awards $43.2M laundry services contract to Accountable Officers LLC, competed under SAP

Contract Overview

Contract Amount: $43,204 ($43.2K)

Contractor: Accountable Officers L.L.C.

Awarding Agency: Department of Veterans Affairs

Start Date: 2026-04-10

End Date: 2027-04-09

Contract Duration: 364 days

Daily Burn Rate: $119/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 14

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: LAUNDRY AND LINEN SERVICES - BASE YEAR

Place of Performance

Location: COLUMBIA, RICHLAND County, SOUTH CAROLINA, 29209

State: South Carolina Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $43,203.6 to ACCOUNTABLE OFFICERS L.L.C. for work described as: LAUNDRY AND LINEN SERVICES - BASE YEAR Key points: 1. Contract awarded for industrial laundry services, indicating a need for specialized cleaning and linen management. 2. The contract was competed under Simplified Acquisition Procedures (SAP), suggesting a focus on smaller value procurements. 3. The base year value of $43.2 million warrants scrutiny for cost-effectiveness and potential for future growth. 4. The fixed-price contract type provides cost certainty for the government, shifting performance risk to the contractor. 5. The award to a single entity, Accountable Officers LLC, highlights the importance of contractor performance and reliability. 6. The contract duration of 364 days aligns with typical service contracts under SAP. 7. The North American Industry Classification System (NAICS) code 812332 points to industrial laundries, a specific service sector.

Value Assessment

Rating: fair

The base year value of $43.2 million for laundry and linen services appears substantial for a single year. Without specific benchmarks for similar large-scale federal laundry operations, it's difficult to definitively assess value for money. However, the use of Simplified Acquisition Procedures (SAP) typically implies a focus on cost-effectiveness for smaller procurements. The fixed-price contract type is standard and helps manage cost predictability. Further analysis would require comparison to industry standards for large institutional laundry services and potentially other federal contracts of similar scope.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under Simplified Acquisition Procedures (SAP), which generally allows for a broader range of competition than micro-purchases but is less formal than full and open competition. The data indicates 14 offers were received, suggesting a reasonable level of interest. However, the specific nature of SAP competition can sometimes limit the pool of potential bidders compared to larger, more publicized solicitations. The number of bidders (14) is a positive sign for price discovery within the SAP framework.

Taxpayer Impact: The competition level under SAP, while yielding 14 offers, may not have achieved the same level of aggressive price negotiation as a full and open competition. Taxpayers benefit from the competitive bids received, but the potential for even lower prices might have been missed if the solicitation was not widely disseminated.

Public Impact

Veterans and staff at Department of Veterans Affairs (VA) facilities will benefit from clean linens and laundry services. The contract ensures the consistent delivery of essential laundry and linen services to support healthcare operations. The primary geographic impact is within the service area of the Department of Veterans Affairs facilities managed by Accountable Officers LLC. The contract supports jobs within the industrial laundry sector, contributing to the workforce in South Carolina where the contractor is registered.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price creep in subsequent option years if not carefully managed.
Reliance on a single contractor for a critical service like laundry could pose a risk if performance falters.
Ensuring consistent quality and turnaround times across all VA facilities served will be crucial.

Positive Signals

The contract was competed, indicating an effort to secure competitive pricing.
The receipt of 14 offers suggests a healthy interest in the opportunity.
The firm-fixed-price contract type provides budget certainty for the VA.

Sector Analysis

The industrial laundry services sector is a vital support industry for healthcare, hospitality, and other institutions requiring high-volume, specialized cleaning. Federal agencies, particularly healthcare providers like the VA, are significant consumers of these services. The market size for federal laundry services is substantial, driven by the needs of military bases, hospitals, and government facilities. This contract fits within the broader category of facility support services, where efficiency, reliability, and cost-effectiveness are key competitive factors. Benchmarking against similar contracts for large healthcare systems or other federal agencies would provide further context on the pricing and scope.

Small Business Impact

The data indicates this contract was not specifically set aside for small businesses (SB is false). While the contractor, Accountable Officers LLC, may be a small business itself, the procurement method (SAP) and the contract value do not inherently suggest a focus on small business subcontracting opportunities. Further investigation into the contractor's size status and any subcontracting plans would be needed to assess the impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Veterans Affairs' contracting officers and program managers. Accountability measures are embedded in the firm-fixed-price contract terms, requiring the contractor to meet specific service level agreements. Transparency is facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse related to the contract is suspected or reported.

Related Government Programs

Department of Veterans Affairs Medical Services
Federal Healthcare Support Services
Industrial Laundry Services Contracts
Simplified Acquisition Procedures Contracts
Firm Fixed Price Service Contracts

Risk Flags

Potential for service disruption
Quality control concerns
Reliance on single contractor
Price escalation risk in future years

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $43,203.6 to ACCOUNTABLE OFFICERS L.L.C.. LAUNDRY AND LINEN SERVICES - BASE YEAR

Who is the contractor on this award?

The obligated recipient is ACCOUNTABLE OFFICERS L.L.C..

Which agency awarded this contract?

Awarding agency: Department of Veterans Affairs (Department of Veterans Affairs).

What is the total obligated amount?

The obligated amount is $43,203.6.

What is the period of performance?

Start: 2026-04-10. End: 2027-04-09.

What is the track record of Accountable Officers LLC in performing federal contracts, particularly for laundry services?

A review of federal procurement data is necessary to assess the track record of Accountable Officers LLC. Specifically, one would look for past performance information on similar contracts, including their value, duration, and the agency served. Key indicators would include any documented instances of contract terminations, disputes, or negative past performance reviews. Information on their ability to meet delivery schedules, quality standards, and budgetary constraints on previous federal engagements would be crucial. Without this specific data, it's difficult to gauge their reliability and experience in handling a contract of this magnitude for the Department of Veterans Affairs.

How does the per-unit cost of laundry services under this contract compare to industry benchmarks or similar federal contracts?

To benchmark the per-unit cost, detailed data on the types of items laundered (e.g., sheets, gowns, towels), the volume processed, and the specific services included (e.g., pickup, delivery, mending) would be required. This contract's base year value of $43.2 million needs to be broken down into cost per pound, per item, or per facility served. Comparing this to publicly available data from other large federal laundry contracts (e.g., for military bases or other large hospital systems) or industry reports from laundry service providers would be informative. The use of Simplified Acquisition Procedures (SAP) might suggest a competitive price, but without granular data, a definitive value assessment is challenging.

What are the primary risks associated with this contract, and what mitigation strategies are in place?

Key risks include potential disruptions in service delivery due to equipment failure, labor shortages, or logistical issues, which could impact patient care at VA facilities. Quality control is another risk; ensuring consistent cleanliness and hygiene standards across all laundered items is paramount. Price escalation in future years, despite the firm-fixed-price nature of the base year, could be a concern if not managed through competitive re-solicitation. Mitigation strategies likely involve robust performance monitoring by the VA, clear service level agreements (SLAs) in the contract, and contingency planning by Accountable Officers LLC. The VA's ability to enforce penalties or terminate the contract for non-performance also serves as a mitigation tool.

How effective is the current contract in meeting the VA's ongoing laundry and linen needs, and are there alternatives?

The effectiveness of this contract is primarily measured by the consistent and satisfactory provision of laundry services to VA facilities, directly impacting patient comfort and hygiene. Its effectiveness can be assessed through user feedback from the facilities, adherence to delivery schedules, and quality control reports. Alternatives could include bringing laundry services in-house (though likely cost-prohibitive for the VA's scale), utilizing multiple smaller contracts to diversify risk, or exploring newer technologies in laundry processing and linen management. The current approach, a single large competed contract under SAP, suggests a balance between cost efficiency and service provision deemed appropriate for this procurement level.

What are the historical spending patterns for laundry and linen services by the Department of Veterans Affairs?

Analyzing historical spending data for VA laundry and linen services would reveal trends in contract values, types of services procured, and the number and types of contractors utilized over time. This includes examining spending across different VA regions and facilities. Understanding whether spending has increased, decreased, or remained stable provides context for the current $43.2 million award. It would also highlight if the VA has historically relied on large, single contracts or a more distributed approach, and whether competition levels have varied. Such analysis helps in assessing the long-term strategy and cost-effectiveness of the VA's procurement of these essential services.

Industry Classification

NAICS: Other Services (except Public Administration) › Drycleaning and Laundry Services › Industrial Launderers

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 36C24726Q0290

Offers Received: 14

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 6401 MORGANITE LN, KILLEEN, TX, 76542

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $229,375

Exercised Options: $43,204

Current Obligation: $43,204

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline