VA Awards $1.19M Ground Maintenance Contract to G & T Services, Inc. for Year 3

Contract Overview

Contract Amount: $118,668 ($118.7K)

Contractor: G & T Services, Inc.

Awarding Agency: Department of Veterans Affairs

Start Date: 2024-11-01

End Date: 2025-10-31

Contract Duration: 364 days

Daily Burn Rate: $326/day

Competition Type: COMPETED UNDER SAP

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: GROUND MAINTENANCE EXERCISE OPTION YEAR THREE(3)

Place of Performance

Location: FORT WAYNE, ALLEN County, INDIANA, 46805

State: Indiana Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $118,668 to G & T SERVICES, INC. for work described as: GROUND MAINTENANCE EXERCISE OPTION YEAR THREE(3) Key points: 1. Contract value of $1.19M for one year of ground maintenance services. 2. Awarded under Simplified Acquisition Procedures (SAP), indicating a focus on smaller procurements. 3. Competition was present, as indicated by 'COMPETED UNDER SAP'. 4. The service falls under Landscaping Services (NAICS 561730). 5. This is an option year exercise, suggesting satisfaction with the incumbent provider.

Value Assessment

Rating: good

The contract value of $1.19M for a 364-day period appears reasonable for ground maintenance services. Benchmarking against similar landscaping contracts would provide a more precise assessment, but the firm-fixed-price structure suggests predictable costs.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under Simplified Acquisition Procedures (SAP), which typically involves a limited number of bidders compared to full and open competition. This method can expedite the procurement process but may limit price discovery.

Taxpayer Impact: The use of SAP suggests an effort to procure efficiently for a contract of this size, potentially optimizing taxpayer funds for this specific service.

Public Impact

Ensures continued upkeep of VA facilities, contributing to a safe and presentable environment for veterans and staff. Supports local employment through the contractor, G & T Services, Inc. Maintains the aesthetic and functional quality of grounds, impacting the overall perception of the VA facility.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for limited competition due to SAP.
Reliance on incumbent provider for option year.

Positive Signals

Exercised option year indicates satisfaction with performance.
Firm-fixed-price contract provides cost certainty.
Competition under SAP suggests some level of market research.

Sector Analysis

This contract falls within the Landscaping Services sector (NAICS 561730). Spending in this sector is generally consistent and driven by the need for ongoing facility maintenance across various government agencies.

Small Business Impact

While the contract was competed under SAP, it's unclear if G & T Services, Inc. is a small business. Further analysis would be needed to determine the impact on small business participation in this specific procurement.

Oversight & Accountability

The Department of Veterans Affairs is responsible for overseeing this contract. Standard contract management practices should ensure performance and adherence to terms, with option year exercises suggesting successful oversight to date.

Related Government Programs

Landscaping Services
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Potential for limited competition.
Lack of detailed cost breakdown.
Reliance on incumbent provider.
Need for ongoing performance monitoring.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $118,668 to G & T SERVICES, INC.. GROUND MAINTENANCE EXERCISE OPTION YEAR THREE(3)

Who is the contractor on this award?

The obligated recipient is G & T SERVICES, INC..

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 $118,668.

What is the period of performance?

Start: 2024-11-01. End: 2025-10-31.

What was the pricing strategy and justification for the $1.19M award value under SAP?

The award value of $1.19M for ground maintenance was determined through a competitive process under Simplified Acquisition Procedures (SAP). While specific pricing details are not provided, the firm-fixed-price (FFP) contract type indicates that the contractor is responsible for all costs and assumes the risk of cost overruns. The VA likely evaluated proposals based on price and other factors to ensure fair and reasonable pricing for the services rendered over the 364-day period.

What are the potential risks associated with exercising an option year for ground maintenance services?

Exercising an option year carries risks such as potential complacency from the incumbent contractor, leading to a decline in service quality. There's also a risk that the pricing may not reflect current market rates if not properly benchmarked. Furthermore, if the competition under SAP was limited, the VA might not have secured the best possible value compared to a broader competition. However, the exercise of an option typically implies prior satisfaction with performance and price.

How effective is this contract in ensuring the long-term quality and cost-efficiency of VA ground maintenance?

The effectiveness of this contract in ensuring long-term quality and cost-efficiency is moderately high, given it's an option year exercise. This suggests the VA has been satisfied with G & T Services, Inc.'s performance. The firm-fixed-price structure incentivizes the contractor to manage costs effectively. However, continuous monitoring and periodic re-evaluation of market rates are crucial to ensure sustained cost-efficiency and prevent potential price creep in future contract actions.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Services to Buildings and Dwellings › Landscaping Services

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1630 SUMMIT ST, NEW HAVEN, IN, 46774

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

Financial Breakdown

Contract Ceiling: $118,668

Exercised Options: $118,668

Current Obligation: $118,668

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C25022D0004

IDV Type: IDC

Timeline