GSA Awards $10.5M for Truman Building Renovations, Facing Limited Competition

Contract Overview

Contract Amount: $10,480,022 ($10.5M)

Contractor: EG Management Services, Inc.

Awarding Agency: General Services Administration

Start Date: 2024-01-26

End Date: 2026-05-07

Contract Duration: 832 days

Daily Burn Rate: $12.6K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: DOS HST CORRIDOR 0-2-9 FMS RPM OFFICE RENOVATIO, HARRY S. TRUMAN BLDG. 2201 C ST. NW, WASHINGTON, DC 20520

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20520

State: District of Columbia Government Spending

Plain-Language Summary

General Services Administration obligated $10.5 million to EG MANAGEMENT SERVICES, INC. for work described as: DOS HST CORRIDOR 0-2-9 FMS RPM OFFICE RENOVATIO, HARRY S. TRUMAN BLDG. 2201 C ST. NW, WASHINGTON, DC 20520 Key points: 1. The contract value of $10.5M is significant for a single renovation project. 2. Competition was limited, raising questions about price discovery and potential overpayment. 3. The project falls within the Commercial and Institutional Building Construction sector. 4. Risk exists in potential cost overruns and schedule delays common in construction.

Value Assessment

Rating: fair

The contract's fixed-price nature provides some cost certainty. However, the limited competition and lack of a clear benchmark make a precise value assessment difficult. The awarded price may not reflect the most competitive market rate.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating a restricted bidding process. This limited competition likely reduced the number of potential bidders and may have hindered robust price discovery, potentially leading to a higher-than-optimal price.

Taxpayer Impact: Limited competition can result in taxpayers paying more than necessary for goods and services, as the government may not secure the best possible price.

Public Impact

Federal employees working in the Harry S. Truman Building will experience renovated facilities. The renovation project supports the modernization of federal office spaces. Local construction jobs may be supported by this contract award.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition
Lack of clear benchmark for value

Positive Signals

Firm Fixed Price contract type
Renovation of key federal building

Sector Analysis

This contract falls under Commercial and Institutional Building Construction, a sector often characterized by significant project values and varying levels of competition. Benchmarks for similar GSA renovations would be beneficial for a more precise value assessment.

Small Business Impact

The contract data indicates that small business participation was not a stated requirement or achievement (ss: false, sb: false). Further analysis would be needed to determine if small businesses were excluded or had no opportunity to participate.

Oversight & Accountability

The General Services Administration (GSA), specifically the Public Buildings Service, is responsible for this contract. Standard GSA oversight procedures for construction projects should be in place, but the limited competition warrants closer scrutiny of the procurement process.

Related Government Programs

Commercial and Institutional Building Construction
General Services Administration Contracting
Public Buildings Service Programs

Risk Flags

Limited competition may have inflated costs.
Lack of a clear cost benchmark for similar projects.
Potential for schedule delays inherent in construction.
No explicit small business participation noted.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $10.5 million to EG MANAGEMENT SERVICES, INC.. DOS HST CORRIDOR 0-2-9 FMS RPM OFFICE RENOVATIO, HARRY S. TRUMAN BLDG. 2201 C ST. NW, WASHINGTON, DC 20520

Who is the contractor on this award?

The obligated recipient is EG MANAGEMENT SERVICES, INC..

Which agency awarded this contract?

Awarding agency: General Services Administration (Public Buildings Service).

What is the total obligated amount?

The obligated amount is $10.5 million.

What is the period of performance?

Start: 2024-01-26. End: 2026-05-07.

What specific factors led to the exclusion of sources in this 'full and open competition after exclusion of sources' award, and how did this impact the final price?

The specific factors leading to source exclusion are not detailed in the provided data. Typically, such exclusions might stem from specific technical requirements, past performance issues with certain vendors, or unique project needs. However, without further information, it's impossible to definitively state the impact on the final price. Limited competition generally leads to less downward pressure on pricing.

Are there any comparable GSA renovation projects in the DC area with similar scope and competition levels that can serve as a benchmark for this contract's pricing?

Establishing a precise benchmark is challenging without access to a comprehensive database of GSA renovation projects, their scopes, and their competitive landscapes. However, the 'limited' competition noted here suggests that finding directly comparable projects with robust, full-and-open competition might be difficult. A comparative analysis would ideally look at projects of similar square footage, age of building, and type of renovation.

What are the key performance indicators (KPIs) for this renovation contract, and how will their achievement be measured to ensure effective project completion and taxpayer value?

Key performance indicators for this renovation contract would likely include adherence to schedule (delivery by May 2026), quality of workmanship, safety compliance, and potentially specific functional requirements for the renovated spaces. The effectiveness of their achievement will be measured through regular site inspections, progress reports, milestone reviews, and final acceptance testing by GSA officials.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 47PM0224R0002

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 16 EXECUTIVE PARK CT, GERMANTOWN, MD, 20874

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $10,480,022

Exercised Options: $10,480,022

Current Obligation: $10,480,022

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47PM0518D0030

IDV Type: IDC

Timeline