DOJ's $456M Facilities Support Services contract to CoreCivic, Inc. awarded in 2000, ending in 2010

Contract Overview

Contract Amount: $456,452,618 ($456.5M)

Contractor: Corecivic, Inc.

Awarding Agency: Department of Justice

Start Date: 2000-10-15

End Date: 2010-01-20

Contract Duration: 3,384 days

Daily Burn Rate: $134.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: 151060

Place of Performance

Location: CALIFORNIA CITY, KERN County, CALIFORNIA, 93505

State: California Government Spending

Plain-Language Summary

Department of Justice obligated $456.5 million to CORECIVIC, INC. for work described as: 151060 Key points: 1. The contract value of $456.45 million over its duration suggests a significant investment in facilities support. 2. CoreCivic, Inc. was the sole awardee, raising questions about the extent of competition. 3. The contract's duration of 3384 days (approximately 9.2 years) indicates a long-term commitment. 4. The firm-fixed-price contract type implies that the contractor assumed the risk for cost overruns. 5. Awarded by the Department of Justice, this contract likely supported federal correctional facilities. 6. The North American Industry Classification System (NAICS) code 561210 points to facilities support services.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific service details and comparable contracts from the same period. However, a $456 million expenditure over nearly a decade for facilities support services indicates a substantial financial commitment. The firm-fixed-price structure suggests an attempt to control costs, but the overall value-for-money depends heavily on the quality and efficiency of the services provided by CoreCivic, Inc. Further analysis would require detailed performance metrics and comparisons to similar government contracts for correctional facility management or support services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'full and open competition,' suggesting that all responsible sources were permitted to submit offers. However, the data indicates only two bids were received (no: 2). While full and open competition was the stated method, a low number of bids can sometimes indicate limited market interest or potential barriers to entry for other firms. This level of competition may not have driven the most aggressive pricing or innovation.

Taxpayer Impact: A low number of bidders in a full and open competition could mean taxpayers did not benefit from the most competitive pricing possible, potentially leading to higher costs than if more firms had vied for the contract.

Public Impact

The primary beneficiaries of this contract are likely federal agencies requiring correctional facility support, such as the Federal Prison System. Services delivered would encompass a range of facilities management functions, potentially including maintenance, security, food services, and inmate support. The geographic impact is concentrated in California (sn: CALIFORNIA), where the facilities supported by this contract are located. This contract would have implications for the workforce employed by CoreCivic, Inc. in California, providing jobs in facility operations and support roles.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition (2 bidders) may have resulted in less favorable pricing for the government.
The long contract duration could lead to vendor lock-in and reduced flexibility for the agency.
Lack of specific performance metrics makes it difficult to assess the true value for money delivered.
The contract's age (awarded 2000) means current market rates and service standards may differ significantly.

Positive Signals

Firm-fixed-price contract type shifts cost overrun risk to the contractor.
Awarded under full and open competition, theoretically allowing for broad market participation.
The contract served a critical government function, ensuring the operation of federal facilities.

Sector Analysis

Facilities Support Services, categorized under NAICS code 561210, represents a broad sector encompassing the operation and maintenance of commercial and institutional buildings. This market includes services like cleaning, security, landscaping, and building systems management. Government contracts in this sector are substantial, driven by the need to maintain a vast array of federal properties. Comparable spending benchmarks would involve analyzing other large-scale facilities management contracts awarded by agencies like the General Services Administration (GSA) or the Department of Defense, often measured by cost per square foot or cost per facility.

Small Business Impact

The data indicates that small business participation (sb: false) was not a specific set-aside requirement for this contract. There is no information provided regarding subcontracting plans or actual performance related to small businesses. Therefore, the direct impact on the small business ecosystem from this specific contract appears minimal, and there's no indication of specific efforts to engage small businesses as prime contractors or subcontractors.

Oversight & Accountability

Oversight for this contract would have been managed by the Department of Justice, likely through the Federal Prison System or Bureau of Prisons contracting officers and program managers. Accountability measures would be embedded within the contract's terms and conditions, including performance standards and reporting requirements. Transparency is generally facilitated through contract award databases like FPDS, where basic information is publicly available. Inspector General jurisdiction would apply to investigations of fraud, waste, or abuse related to the contract.

Related Government Programs

Federal Prison System Operations
Bureau of Prisons Facilities Management
Department of Justice Contracting
Correctional Facility Services
Government Facilities Maintenance

Risk Flags

Limited competition may have impacted pricing.
Contract duration is lengthy, potentially reducing flexibility.
Specific performance metrics are not detailed.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $456.5 million to CORECIVIC, INC.. 151060

Who is the contractor on this award?

The obligated recipient is CORECIVIC, INC..

Which agency awarded this contract?

Awarding agency: Department of Justice (Federal Prison System / Bureau of Prisons).

What is the total obligated amount?

The obligated amount is $456.5 million.

What is the period of performance?

Start: 2000-10-15. End: 2010-01-20.

What was the specific scope of 'Facilities Support Services' under this contract?

The provided data identifies the contract under NAICS code 561210, 'Facilities Support Services.' While the exact scope is not detailed, this classification typically encompasses a wide range of services essential for the operation and maintenance of buildings and grounds. For a federal correctional facility, this could include, but is not limited to, routine and preventive maintenance of building systems (HVAC, electrical, plumbing), janitorial services, groundskeeping, pest control, waste management, minor repairs and renovations, and potentially security system maintenance. The firm-fixed-price nature suggests a defined set of services for a predetermined cost, with the contractor responsible for delivering these services efficiently.

How does the $456 million contract value compare to similar facilities support contracts for correctional institutions?

Direct comparison of the $456 million contract value is difficult without knowing the specific services included and the number/size of facilities managed. However, large-scale correctional facility support contracts can range from tens to hundreds of millions of dollars, depending on the scope, duration, and geographic spread. For context, contracts for operating entire federal prisons can exceed $100 million annually. This $456 million contract, spanning approximately 9.2 years, suggests an average annual value of roughly $49.6 million. This figure appears substantial and aligns with the significant operational costs associated with maintaining secure and functional correctional environments, especially if it covered multiple facilities or comprehensive service offerings.

What were the key performance indicators (KPIs) used to evaluate CoreCivic, Inc.'s performance under this contract?

The provided data does not specify the Key Performance Indicators (KPIs) used for this contract. However, for facilities support services, particularly in a correctional setting, typical KPIs would likely include metrics related to response times for maintenance requests, uptime of critical building systems (e.g., HVAC, power), cleanliness standards, adherence to safety protocols, security system functionality, and potentially inmate satisfaction surveys if applicable. The firm-fixed-price structure implies that meeting these defined performance standards was crucial for the contractor to achieve profitability, and failure to do so could result in penalties or breach of contract.

What is the historical spending trend for Facilities Support Services by the Department of Justice?

Historical spending data for Facilities Support Services by the Department of Justice (DOJ) prior to and following this 2000-2010 contract would provide valuable context. While this specific contract represents a significant outlay, analyzing broader DOJ spending patterns in this category over time is necessary to understand trends. Factors such as the growth in the federal prison population, aging infrastructure, and shifts in privatization policies could influence spending levels. Without access to historical spending reports or databases covering multiple fiscal years, it's challenging to establish a definitive trend, but large contracts like this suggest a consistent need for outsourced or contracted support services.

Were there any notable issues or disputes related to this contract during its performance period?

Information regarding specific issues, disputes, or contract modifications for this particular award is not available in the provided summary data. Government contracts, especially those of long duration and significant value, can sometimes encounter challenges related to scope changes, performance deficiencies, or unforeseen circumstances. Such issues are typically documented through contract modification records, cure notices, or dispute resolution filings. A thorough review of the contract's official file or relevant agency records would be required to identify any significant problems or disputes that arose during its term.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services

Product/Service Code: RESEARCH AND DEVELOPMENT › DEFENSE (OTHER) R&D

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Contractor Details

Address: 10 BURTON HILLS BLVD STE 100, NASHVILLE, TN, 90

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $456,452,618

Exercised Options: $456,452,618

Current Obligation: $456,452,618

Timeline