GSA awards $5.57M contract for diverse support services in Washington D.C

Contract Overview

Contract Amount: $5,574,712 ($5.6M)

Contractor: Southwest Business Improvement District

Awarding Agency: General Services Administration

Start Date: 2023-03-20

End Date: 2027-03-19

Contract Duration: 1,460 days

Daily Burn Rate: $3.8K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: BID - VARIETY OF THINGS AROUND A CERTAIN AREA.

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20024

State: District of Columbia Government Spending

Plain-Language Summary

General Services Administration obligated $5.6 million to SOUTHWEST BUSINESS IMPROVEMENT DISTRICT for work described as: BID - VARIETY OF THINGS AROUND A CERTAIN AREA. Key points: 1. Contract value of $5.57 million over a 4-year period. 2. Services encompass a variety of support functions within a specific geographic area. 3. Awarded by the General Services Administration (GSA), Public Buildings Service. 4. Contract type is a Definitive Contract with a Firm Fixed Price. 5. No small business set-aside was utilized for this procurement. 6. The contract is for 'All Other Support Services' under NAICS code 561990.

Value Assessment

Rating: fair

The contract value of $5.57 million for a 4-year period suggests an average annual spend of approximately $1.39 million. Without specific details on the services rendered, it's challenging to benchmark against similar contracts. The firm fixed price structure indicates a defined scope and cost, but the broad description of 'variety of things around a certain area' makes a precise value assessment difficult. Further details on the deliverables would be needed for a more robust value-for-money analysis.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a 'NOT AVAILABLE FOR COMPETITION' basis, indicating a sole-source procurement. This means the GSA did not solicit bids from multiple vendors. The lack of competition limits price discovery and may result in a higher cost to the government compared to a fully competed contract. The rationale for the sole-source award is not provided in the data.

Taxpayer Impact: Sole-source awards can potentially lead to higher costs for taxpayers as there is no competitive pressure to drive down prices. This limits the government's ability to secure the best possible value.

Public Impact

The primary beneficiary appears to be the Southwest Business Improvement District in Washington D.C., which is listed as the contracting organization. The contract delivers a range of support services, though the specific nature of these services is broadly defined. The geographic impact is localized to Washington D.C. Workforce implications are not detailed but would involve personnel to deliver the support services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition raises concerns about potential overpricing and reduced value for taxpayer funds.
Broad service description makes it difficult to assess the true scope and necessity of the contract.
Sole-source awards can stifle innovation by not engaging a wider pool of potential service providers.

Positive Signals

Firm fixed price contract provides cost certainty for the government.
Definitive contract structure implies a clear agreement on terms and duration.
Awarded by the GSA, a reputable federal agency known for managing government property and procurement.

Sector Analysis

This contract falls under the 'All Other Support Services' category (NAICS 561990), which is a broad classification for services not elsewhere specified. The support services sector is vast and encompasses a wide range of activities. The GSA, as the awarding agency, frequently procures such services to support its mission of managing federal buildings and property. Benchmarking spending in this specific sub-sector is difficult due to its broad nature, but the overall federal spending on support services is substantial.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). This means that large businesses were eligible to compete, and no specific provisions were made to encourage small business participation. Consequently, there are no direct subcontracting implications for small businesses stemming from a small business set-aside, and the impact on the small business ecosystem is neutral in this regard.

Oversight & Accountability

Oversight for this contract would primarily fall under the General Services Administration (GSA) and potentially the Public Buildings Service. As a definitive contract with a firm fixed price, there are defined deliverables and payment terms that facilitate oversight. Transparency is limited by the lack of detailed service descriptions and the sole-source nature of the award. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

GSA Federal Buildings Fund
Support Services Contracts
District of Columbia Government Contracts

Risk Flags

Sole-source award lacks competitive justification.
Broad service description hinders performance and value assessment.
Contractor's federal contracting experience is not detailed.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $5.6 million to SOUTHWEST BUSINESS IMPROVEMENT DISTRICT. BID - VARIETY OF THINGS AROUND A CERTAIN AREA.

Who is the contractor on this award?

The obligated recipient is SOUTHWEST BUSINESS IMPROVEMENT DISTRICT.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $5.6 million.

What is the period of performance?

Start: 2023-03-20. End: 2027-03-19.

What specific services are included under the 'All Other Support Services' designation for this contract?

The provided data offers a very general description of 'BID - VARIETY OF THINGS AROUND A CERTAIN AREA.' This is insufficient to detail the specific services. Typically, 'All Other Support Services' (NAICS 561990) can encompass a wide array of activities such as facilities support, administrative support, security services, or specialized operational support. Without further documentation from the GSA or the contractor, the precise nature of the services rendered under this $5.57 million contract remains undefined. This lack of specificity hinders a thorough analysis of the contract's purpose, necessity, and value.

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

The data explicitly states the contract was 'NOT AVAILABLE FOR COMPETITION,' indicating a sole-source award. Federal regulations permit sole-source procurements under specific circumstances, such as when only one responsible source can satisfy the agency's needs, or in cases of urgent and compelling need. However, the provided data does not include the specific justification or documentation that led the General Services Administration (GSA) to select this procurement method. Understanding this rationale is crucial for assessing whether the government received fair value and if competitive principles were appropriately bypassed.

How does the annual spending of approximately $1.39 million compare to similar support service contracts managed by GSA?

Benchmarking the annual spend of approximately $1.39 million ($5.57M / 4 years) against similar support service contracts managed by the GSA is challenging with the current data. The broad classification of 'All Other Support Services' (NAICS 561990) encompasses a wide range of potential services, making direct comparisons difficult without knowing the specific deliverables. Furthermore, contract values are influenced by factors such as geographic location, service complexity, duration, and the specific needs of the agency. A meaningful comparison would require access to a database of comparable GSA contracts with detailed service descriptions and pricing.

What is the track record of the contractor, Southwest Business Improvement District, with federal contracts?

The provided data identifies 'SOUTHWEST BUSINESS IMPROVEMENT DISTRICT' as the contracting organization. However, it does not offer any information regarding their past performance on federal contracts, their financial stability, or their experience in delivering the types of services procured. Business Improvement Districts (BIDs) are typically local entities focused on economic development within a specific geographic area, often funded by assessments on businesses. Their capacity and history in performing federal support service contracts would need to be independently verified through sources like the Federal Procurement Data System (FPDS) or contractor performance evaluations.

What are the potential risks associated with a sole-source award for support services in Washington D.C.?

A primary risk of a sole-source award is the potential for inflated pricing due to the absence of competitive bidding. Taxpayers may end up paying more than necessary for the services. Another risk is a lack of innovation, as the government does not benefit from the diverse approaches and efficiencies that multiple bidders might offer. Furthermore, without competition, there's a reduced incentive for the contractor to maintain high service quality or efficiency throughout the contract period. The lack of transparency inherent in sole-source awards also makes it harder to scrutinize the necessity and value of the contract.

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: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 420 4TH AVE W, WASHINGTON, DC, 20024

Business Categories: Category Business, Corporate Entity Tax Exempt, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $5,574,712

Exercised Options: $5,574,712

Current Obligation: $5,574,712

Actual Outlays: $3,368,050

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline