DHS awards $340M+ in facilities support services, with ASRC Federal Field Services as prime contractor

Contract Overview

Contract Amount: $340,556,218 ($340.6M)

Contractor: Asrc Federal Field Services, LLC

Awarding Agency: Department of Homeland Security

Start Date: 2018-01-15

End Date: 2028-01-14

Contract Duration: 3,651 days

Daily Burn Rate: $93.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: COST PLUS AWARD FEE

Sector: Other

Official Description: IGF::OT::IGF CENTER WIDE SUPPORT PROGRAM (CWSP)

Place of Performance

Location: ORIENT, SUFFOLK County, NEW YORK, 11957

State: New York Government Spending

Plain-Language Summary

Department of Homeland Security obligated $340.6 million to ASRC FEDERAL FIELD SERVICES, LLC for work described as: IGF::OT::IGF CENTER WIDE SUPPORT PROGRAM (CWSP) Key points: 1. The contract value exceeds $340 million over its potential 10-year period, indicating significant long-term investment in facilities support. 2. ASRC Federal Field Services, LLC holds the prime contract, suggesting a substantial role in managing and delivering these services. 3. The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' a complex procurement method that warrants further examination. 4. Facilities Support Services (NAICS 561210) is a broad category, and the specific services rendered will determine the true value and impact. 5. The contract spans multiple years, from January 2018 to January 2028, allowing for sustained performance and potential for cost efficiencies. 6. The contract type is 'Cost Plus Award Fee,' which incentivizes performance but requires careful monitoring of costs and award criteria. 7. The contract is not set aside for small businesses, indicating a focus on larger, established prime contractors.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific details on the scope of facilities support services. However, a $340 million award over 10 years for comprehensive facilities management suggests a significant investment. The 'Cost Plus Award Fee' structure implies that pricing is tied to performance, which can be a good value if performance targets are met and costs are managed effectively. Without comparable contract data for similar scope and scale within DHS or other agencies, a definitive value-for-money assessment is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources.' This procurement method is unusual and suggests that while an initial broad competition may have occurred, specific circumstances led to the exclusion of certain sources before the final award. The exact number of bidders and the rationale for excluding sources are critical to understanding the level of competition. This method can sometimes lead to less competitive pricing if the pool of eligible bidders is significantly narrowed.

Taxpayer Impact: The limited competition, stemming from the exclusion of sources, may have resulted in a higher price for taxpayers than if a truly full and open competition had been maintained throughout the process.

Public Impact

The Department of Homeland Security (DHS) benefits from this contract through the provision of essential facilities support services, ensuring operational continuity. Services likely include maintenance, repair, custodial, security, and other operational support for DHS facilities. The contract's primary geographic impact is in New York (ST: NY, SN: NEW YORK), where the contractor is based and likely performs services. The contract supports jobs within the facilities management and support services sector, primarily through ASRC Federal Field Services and potentially its subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'Full and Open Competition After Exclusion of Sources' procurement method raises concerns about the breadth of competition and potential price impacts.
The 'Cost Plus Award Fee' contract type requires diligent oversight to ensure costs remain reasonable and award fees are justified by performance.
Lack of specific details on the scope of 'Facilities Support Services' makes it difficult to fully assess value for money and potential risks.
The contract's long duration (10 years) could lead to vendor lock-in if not managed proactively.

Positive Signals

The award to a single prime contractor, ASRC Federal Field Services, LLC, suggests a capability to manage complex, large-scale facilities support operations.
The multi-year nature of the contract allows for stable service delivery and potential for economies of scale.
The 'Award Fee' component provides an incentive for the contractor to exceed performance expectations, potentially leading to higher quality services.
The contract's duration allows for long-term planning and investment in facilities maintenance and upgrades.

Sector Analysis

Facilities Support Services, categorized under NAICS code 561210, represents a significant segment of the commercial and government services market. This sector encompasses a wide range of activities, including building operation and maintenance, cleaning, and security. Government spending in this area is substantial, driven by the need to maintain vast portfolios of federal buildings and installations. Comparable spending benchmarks would typically involve analyzing other large-scale facilities management contracts awarded by agencies like GSA, DoD, or other cabinet-level departments, considering factors like square footage managed, service complexity, and geographic distribution.

Small Business Impact

This contract was not set aside for small businesses, as indicated by 'sb': false. This suggests that the prime contract was awarded to a large business, ASRC Federal Field Services, LLC. While there is no direct small business set-aside, there may be opportunities for small businesses to participate as subcontractors to ASRC Federal Field Services. The extent of subcontracting to small businesses would depend on the prime contractor's subcontracting plan and the nature of the services required. Without specific subcontracting data, the direct impact on the small business ecosystem is unclear, but it is likely indirect through subcontracts.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Homeland Security's contracting officers and program managers. The 'Cost Plus Award Fee' structure necessitates robust performance monitoring and evaluation to ensure that award fees are justified. Transparency is facilitated through contract awards databases, but detailed performance reports and cost breakdowns may not be publicly available. Inspector General jurisdiction would apply if any fraud, waste, or abuse related to the contract is suspected.

Related Government Programs

General Services Administration (GSA) Facilities Management Contracts
Department of Defense (DoD) Base Operations Support (BOS)
Federal Buildings Fund (FBF) Spending
Government-wide Facilities Support Services Contracts

Risk Flags

Procurement method complexity
Potential for reduced competition
Cost Plus Award Fee oversight needs
Long contract duration risks

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $340.6 million to ASRC FEDERAL FIELD SERVICES, LLC. IGF::OT::IGF CENTER WIDE SUPPORT PROGRAM (CWSP)

Who is the contractor on this award?

The obligated recipient is ASRC FEDERAL FIELD SERVICES, LLC.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (Office of Procurement Operations).

What is the total obligated amount?

The obligated amount is $340.6 million.

What is the period of performance?

Start: 2018-01-15. End: 2028-01-14.

What specific facilities support services are included under this contract, and how do they align with DHS's operational needs?

The contract falls under NAICS code 561210, 'Facilities Support Services.' This broad category typically encompasses a range of services essential for the operation and maintenance of buildings and grounds. These can include, but are not limited to, janitorial services, security, pest control, landscaping, building system maintenance (HVAC, electrical, plumbing), waste management, and potentially minor repairs and renovations. For DHS, these services are critical for ensuring the safety, security, and operational readiness of its numerous facilities across various components. The specific alignment would depend on the exact service requirements detailed in the contract's Statement of Work (SOW). Without access to the SOW, a precise alignment cannot be determined, but it is reasonable to assume these services support the day-to-day functioning and upkeep of DHS infrastructure.

How does the 'Full and Open Competition After Exclusion of Sources' procurement method impact pricing and competition compared to a standard full and open competition?

The 'Full and Open Competition After Exclusion of Sources' (F&O CAES) method is a deviation from standard full and open competition. It implies that an initial broad solicitation was issued, but then specific sources were excluded from further consideration before the final award. This exclusion could be based on various factors, such as past performance, technical capabilities, or specific requirements that only a limited number of contractors could meet. While it aims to ensure that the remaining bidders are highly qualified, it inherently reduces the number of competitors. A reduction in competition typically leads to less price pressure, potentially resulting in higher costs for the government compared to a scenario where all qualified sources could bid. The rationale for exclusion is crucial for understanding the extent to which this method compromised price discovery and taxpayer value.

What are the key performance indicators (KPIs) used to determine the 'Award Fee' for ASRC Federal Field Services, LLC?

The 'Cost Plus Award Fee' (CPAF) contract type means that the contractor is reimbursed for allowable costs plus a fee that is composed of a base fee and an award fee. The award fee is contingent upon the contractor meeting or exceeding certain performance objectives defined in the contract. While the specific KPIs for this DHS contract are not publicly detailed, they typically relate to service delivery quality, timeliness, cost control, customer satisfaction, and adherence to contract requirements. Examples could include response times for maintenance requests, cleanliness scores for facilities, successful completion of preventive maintenance schedules, and positive feedback from DHS facility managers. The contracting officer, based on performance evaluations against these KPIs, determines the amount of the award fee, incentivizing the contractor to perform at a high level.

What is the historical spending pattern for Facilities Support Services within DHS, and how does this contract compare?

Analyzing historical spending for Facilities Support Services within DHS requires access to detailed budget and contract databases. However, it's generally understood that agencies like DHS, with extensive real estate holdings and operational facilities, consistently allocate significant funds to facilities management. This $340 million+ contract, spanning a decade, represents a substantial, long-term commitment. To compare it accurately, one would need to look at previous contracts for similar services within DHS, potentially examining spending trends over the last 5-10 years. Factors like inflation, changes in facility needs, and shifts in procurement strategies would influence historical spending. This contract's size and duration suggest it is a major component of DHS's facilities support strategy, potentially consolidating or expanding upon previous arrangements.

What is the track record of ASRC Federal Field Services, LLC in managing large-scale government facilities support contracts?

ASRC Federal Field Services, LLC is a subsidiary of ASRC Federal, a company with a significant presence in the government contracting space, particularly in areas like logistics, IT, and professional services. Their track record in managing large-scale government facilities support contracts would need to be assessed by reviewing their past performance on similar contracts, including their ability to meet cost, schedule, and performance requirements. Information on past performance is often captured in government databases like the Contractor Performance Assessment Reporting System (CPARS). A review of CPARS data, if available, would provide insights into their strengths and weaknesses, any past issues encountered, and overall customer satisfaction ratings on previous contracts of comparable size and scope.

Industry Classification

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

Product/Service Code: OPERATION OF GOVT OWNED FACILITY › OPERATE GOVT OWNED BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: HSHQPD-16-R-00001

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Parent Company: Arctic Slope Regional Corporation

Address: 7000 MUIRKIRK MEADOWS DR STE 100, BELTSVILLE, MD, 20705

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $450,935,742

Exercised Options: $360,090,345

Current Obligation: $340,556,218

Actual Outlays: $130,670,279

Subaward Activity

Number of Subawards: 247

Total Subaward Amount: $70,560,661

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 70RSAT18D00000001

IDV Type: IDC

Timeline