DHS awards $523K janitorial services contract to Good Works for Spokane Air Branch

Contract Overview

Contract Amount: $52,372 ($52.4K)

Contractor: Good Works

Awarding Agency: Department of Homeland Security

Start Date: 2022-04-01

End Date: 2027-03-31

Contract Duration: 1,825 days

Daily Burn Rate: $29/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: THE PURPOSE OF THIS PROCUREMENT IS TO CONTINUE JANITORIAL SERVICES FOR THE SPOKANE AIR BRANCH.

Place of Performance

Location: SPOKANE, SPOKANE County, WASHINGTON, 99202

State: Washington Government Spending

Plain-Language Summary

Department of Homeland Security obligated $52,372.49 to GOOD WORKS for work described as: THE PURPOSE OF THIS PROCUREMENT IS TO CONTINUE JANITORIAL SERVICES FOR THE SPOKANE AIR BRANCH. Key points: 1. Contract awarded to a single vendor, raising questions about competition and potential cost savings. 2. The fixed-price contract structure provides cost certainty but may limit flexibility. 3. The duration of the contract (5 years) suggests a need for stable, long-term service provision. 4. The service category (Janitorial Services) is a common requirement across many federal facilities. 5. The award amount appears modest, potentially indicating a smaller scope of work or a competitive initial bid. 6. Lack of competition could lead to higher prices than if multiple vendors had vied for the contract.

Value Assessment

Rating: fair

The contract value of $523,724.90 over five years for janitorial services at the Spokane Air Branch appears reasonable for the scope. However, without a competitive bidding process, it is difficult to benchmark against market rates or determine if the government received the best possible value. The firm fixed-price nature of the award provides budget certainty for the agency.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed under simplified acquisition procedures, indicating it was likely awarded sole-source or through a limited competition. The absence of a robust bidding process means that potential cost savings from market competition were not realized. It is unclear how many vendors were considered or why a full and open competition was not pursued.

Taxpayer Impact: The lack of competition means taxpayers may have paid more than necessary for these janitorial services. Without multiple bids, there is less pressure on the contractor to offer the lowest possible price.

Public Impact

The Spokane Air Branch facility will receive essential janitorial services, ensuring a clean and safe working environment. Federal employees working at the Spokane Air Branch will benefit from improved facility hygiene. The contract supports the operational needs of U.S. Customs and Border Protection within the Department of Homeland Security. The contract provides employment opportunities through the contractor, Good Works, likely within the Spokane, Washington area.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may result in inflated pricing compared to a fully competed contract.
Sole-source awards can reduce transparency and accountability in the procurement process.
The long contract duration (5 years) might not adapt well to potential future changes in service needs or technology.

Positive Signals

The firm fixed-price contract provides cost certainty for the agency.
The contract ensures the continuation of essential janitorial services, maintaining facility standards.
The award to a single vendor, Good Works, suggests a potentially established relationship or specialized capability.

Sector Analysis

Janitorial services represent a significant segment within the broader facilities management industry. Federal agencies regularly procure these services to maintain operational readiness and employee well-being. While specific market size data for federal janitorial contracts is not readily available, the sector is characterized by numerous small and medium-sized businesses, as well as larger facility support companies. This contract fits within the government's need for routine operational support services.

Small Business Impact

Information regarding small business set-asides or subcontracting plans is not provided for this contract. As it was not competed under SAP and awarded via a Purchase Order, it's possible it did not meet the criteria for small business preferences or was awarded to a small business directly. Further analysis would be needed to determine the impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically fall under the U.S. Customs and Border Protection contracting office within the Department of Homeland Security. As a Purchase Order, it is subject to standard procurement regulations and agency oversight. Transparency is limited due to the sole-source nature of the award, and specific accountability measures would be detailed within the contract's terms and conditions.

Related Government Programs

Federal Facilities Maintenance Contracts
Department of Homeland Security Operational Support
Janitorial and Cleaning Services Procurement
U.S. Customs and Border Protection Support Services

Risk Flags

Lack of Competition
Potential for Overpricing
Limited Transparency

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $52,372.49 to GOOD WORKS. THE PURPOSE OF THIS PROCUREMENT IS TO CONTINUE JANITORIAL SERVICES FOR THE SPOKANE AIR BRANCH.

Who is the contractor on this award?

The obligated recipient is GOOD WORKS.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Customs and Border Protection).

What is the total obligated amount?

The obligated amount is $52,372.49.

What is the period of performance?

Start: 2022-04-01. End: 2027-03-31.

What is the track record of Good Works in performing federal janitorial contracts?

Information regarding the specific track record of 'Good Works' in performing federal janitorial contracts is not detailed in the provided data. As this was a sole-source or limited competition award, a comprehensive review of past performance might not have been as critical as in a full and open competition. To assess their track record, one would typically look at past federal contract awards, performance evaluations (e.g., CPARS), and any history of contract disputes or terminations. Without this data, it's difficult to definitively gauge their reliability and quality of service in a federal context.

How does the awarded price compare to similar janitorial contracts for federal facilities?

Benchmarking this $523,724.90 contract against similar janitorial services for federal facilities is challenging without more specific details on the scope of work, square footage, service frequency, and geographic location. However, federal janitorial contracts can range widely in cost. Given this is a 5-year contract, the annual value is approximately $104,745. This figure needs to be evaluated against the size and complexity of the Spokane Air Branch facility. A sole-source award inherently limits the ability to confirm if this price represents optimal value compared to what might have been achieved through competitive bidding.

What are the primary risks associated with a sole-source award for janitorial services?

The primary risks associated with a sole-source award for janitorial services include potential overpayment due to lack of price competition, reduced incentive for the contractor to innovate or improve service quality, and a lack of transparency in the procurement process. Taxpayers may not be receiving the best value for their money. Additionally, if the sole-source contractor underperforms, the agency has limited options for recourse without potentially lengthy and costly contract renegotiations or re-procurements. Ensuring the contractor meets all performance standards becomes paramount.

How effective is the firm fixed-price contract type in managing janitorial service costs?

The firm fixed-price (FFP) contract type is generally considered effective for managing janitorial service costs when the scope of work is well-defined and unlikely to change significantly. It shifts the risk of cost overruns to the contractor, providing the government with budget certainty. For routine services like janitorial work, where labor and material costs are relatively predictable, FFP can be advantageous. However, if unforeseen circumstances arise that genuinely increase the contractor's costs, they bear the burden, which could potentially lead to less willingness to accommodate minor scope adjustments without formal change orders.

What is the historical spending trend for janitorial services by U.S. Customs and Border Protection?

Analyzing the historical spending trend for janitorial services by U.S. Customs and Border Protection (CBP) requires access to broader federal procurement data. CBP, as a large agency within DHS, likely spends millions annually on facilities maintenance, including janitorial services across its numerous ports of entry, air branches, and administrative offices nationwide. This specific $523K contract represents a small fraction of potential overall spending. Understanding trends would involve examining contract databases for similar awards over several fiscal years to identify patterns in contract values, competition levels, and incumbent contractors.

Are there specific performance metrics or KPIs tied to this contract?

The provided data does not specify the performance metrics or Key Performance Indicators (KPIs) tied to this contract. However, standard practice for federal service contracts, including janitorial services, involves establishing clear performance standards within the contract's Statement of Work (SOW) or Performance Work Statement (PWS). These typically cover aspects like cleanliness levels, response times for issues, adherence to schedules, and proper waste disposal. The contracting officer's representative (COR) is usually responsible for monitoring performance against these metrics, and the contractor's adherence is often documented in performance reports.

Industry Classification

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

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 70B02C22R00000034

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 130 E 3RD AVE, SPOKANE, WA, 99202

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: $63,483

Exercised Options: $52,372

Current Obligation: $52,372

Actual Outlays: $39,492

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline