Secret Service grounds maintenance contract awarded to Melwood Horticultural Training Center for $2.56M

Contract Overview

Contract Amount: $2,556,025 ($2.6M)

Contractor: Melwood Horticultural Training Center, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2025-03-14

End Date: 2027-03-16

Contract Duration: 732 days

Daily Burn Rate: $3.5K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: EXCEPTION 2D/4A APPROVED. THE JAMES J. ROWLEY TRAINING CENTER (RTC) REQUIRES EQUIPMENT, TOOLS, MATERIALS, LABOR, SUPERVISION, COORDINATION, AND MANAGEMENT TO SUPPORT GROUNDS MAINTENANCE AND LANDSCAPING

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20223

State: District of Columbia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $2.6 million to MELWOOD HORTICULTURAL TRAINING CENTER, INC. for work described as: EXCEPTION 2D/4A APPROVED. THE JAMES J. ROWLEY TRAINING CENTER (RTC) REQUIRES EQUIPMENT, TOOLS, MATERIALS, LABOR, SUPERVISION, COORDINATION, AND MANAGEMENT TO SUPPORT GROUNDS MAINTENANCE AND LANDSCAPING Key points: 1. Contract focuses on grounds maintenance and landscaping for the James J. Rowley Training Center. 2. The awardee, Melwood Horticultural Training Center, Inc., has a mission aligned with employing individuals with disabilities. 3. The contract duration is two years, with a firm-fixed-price structure. 4. The procurement was not open to competition, raising questions about potential cost savings. 5. The contract value is $2.56 million over the two-year period. 6. This contract supports essential facility upkeep for a critical government training facility.

Value Assessment

Rating: fair

The contract value of $2.56 million over two years for landscaping and grounds maintenance at a specialized training center appears to be within a reasonable range for such services, especially considering the specific needs of a secure government facility. However, without a competitive bidding process, it is difficult to benchmark the pricing against market rates or identify potential cost savings. The firm-fixed-price structure provides cost certainty for the government, but the lack of competition limits the ability to assess value for money rigorously.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not open to full and open competition. The provided data indicates it was 'NOT AVAILABLE FOR COMPETITION.' This suggests that only one vendor was considered capable of fulfilling the requirement, or there were specific circumstances justifying a non-competitive award. The lack of multiple bidders means there was no price discovery through a competitive process, potentially leading to a higher price than if multiple firms had vied for the contract.

Taxpayer Impact: Taxpayers may not have received the benefit of the lowest possible price due to the absence of a competitive bidding process. This could mean that a portion of the $2.56 million awarded might have been avoidable if other landscaping firms had the opportunity to bid.

Public Impact

The primary beneficiary is the U.S. Secret Service, which will have its James J. Rowley Training Center grounds maintained. The contract delivers essential grounds maintenance and landscaping services, ensuring the facility's upkeep and appearance. The services are geographically focused on the District of Columbia, where the training center is located. The awardee, Melwood Horticultural Training Center, Inc., has a mission to employ individuals with disabilities, suggesting potential workforce implications for this demographic.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition limits assurance of best value for taxpayer funds.
Sole-source award may not reflect the most cost-effective market price.
Firm-fixed-price contract, while providing cost certainty, does not allow for savings if costs are lower than anticipated.

Positive Signals

Contract supports an organization with a social mission to employ individuals with disabilities.
Firm-fixed-price contract provides budget certainty for the agency.
Contract ensures the upkeep of a critical federal training facility.

Sector Analysis

The landscaping and grounds maintenance sector is characterized by numerous small and medium-sized businesses, as well as larger service providers. Federal contracts for these services are common across various agencies to maintain government facilities. While specific market size data for federal grounds maintenance is not readily available, it represents a consistent segment of government spending. This contract fits within the broader category of facility support services, which is a significant part of the federal procurement landscape.

Small Business Impact

The contract was awarded to Melwood Horticultural Training Center, Inc., which is not explicitly identified as a small business in the provided data, nor is it a small business set-aside. However, Melwood's mission focuses on employing individuals with disabilities, which often aligns with the spirit of small business and socio-economic contracting goals. There is no information provided regarding subcontracting plans or their impact on the broader small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically fall under the U.S. Secret Service and the Department of Homeland Security's contracting and financial management offices. As a definitive contract, it is subject to standard federal procurement regulations and oversight. Transparency regarding the justification for the sole-source award would be crucial for accountability. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Federal Grounds Maintenance Contracts
Facility Support Services
Department of Homeland Security Contracts
U.S. Secret Service Operations

Risk Flags

Sole-source award lacks competitive pricing.
Potential for higher costs due to lack of competition.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $2.6 million to MELWOOD HORTICULTURAL TRAINING CENTER, INC.. EXCEPTION 2D/4A APPROVED. THE JAMES J. ROWLEY TRAINING CENTER (RTC) REQUIRES EQUIPMENT, TOOLS, MATERIALS, LABOR, SUPERVISION, COORDINATION, AND MANAGEMENT TO SUPPORT GROUNDS MAINTENANCE AND LANDSCAPING

Who is the contractor on this award?

The obligated recipient is MELWOOD HORTICULTURAL TRAINING CENTER, INC..

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Secret Service).

What is the total obligated amount?

The obligated amount is $2.6 million.

What is the period of performance?

Start: 2025-03-14. End: 2027-03-16.

What is the track record of Melwood Horticultural Training Center, Inc. with federal contracts?

Melwood Horticultural Training Center, Inc. has a history of securing federal contracts, particularly those related to landscaping and grounds maintenance. Their mission-driven approach, focusing on employing individuals with disabilities, often makes them a preferred or sole-source provider for certain government entities seeking to meet socio-economic goals. While specific performance metrics for past contracts are not detailed here, their continued awards suggest a satisfactory performance history in delivering required services. It is advisable to review past performance evaluations and contract close-out reports, if publicly available, for a more comprehensive understanding of their track record.

How does the value of this contract compare to similar federal landscaping contracts?

Benchmarking the value of this $2.56 million, two-year contract for landscaping and grounds maintenance is challenging without more specific details on the scope of work and the size/complexity of the James J. Rowley Training Center. Federal contracts for landscaping services vary widely based on geographic location, facility size, types of services required (e.g., basic mowing vs. extensive horticultural care, irrigation systems), and contract duration. Generally, larger facilities or those with more complex landscaping needs in high-cost-of-living areas will command higher contract values. The sole-source nature of this award prevents a direct comparison to competitively bid contracts, which typically yield lower prices.

What are the primary risks associated with a sole-source award for grounds maintenance?

The primary risk associated with a sole-source award for grounds maintenance is the potential for paying a non-competitive price, meaning the government may not be achieving the best possible value for its money. Without competition, there is less incentive for the contractor to offer the lowest possible price. Another risk is the potential for reduced service quality if the contractor faces no threat of losing the contract to a competitor. Furthermore, a sole-source award can sometimes indicate a lack of market research or an over-reliance on a single provider, which could limit future options and innovation.

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

A firm-fixed-price (FFP) contract type is generally effective in managing costs for services like landscaping and grounds maintenance because it shifts the risk of cost overruns to the contractor. The government knows the total price upfront, providing budget certainty. For the contractor, it incentivizes efficiency to maximize profit. However, if the initial price was set too high due to the lack of competition, the FFP structure locks in that potentially inflated cost. The effectiveness in this case hinges on the accuracy of the initial price negotiation and the contractor's ability to perform efficiently within that price.

What is the historical spending pattern for grounds maintenance at the James J. Rowley Training Center?

Historical spending data for grounds maintenance specifically at the James J. Rowley Training Center is not provided in the current data set. To assess historical spending patterns, one would need to access previous contract awards for these services at this specific facility. Analyzing past contract values, durations, and any modifications would reveal trends in spending, identify potential cost increases over time, and help determine if the current $2.56 million award is consistent with or deviates from historical norms. Without this context, it's difficult to evaluate if the current award represents an increase or decrease in investment for these services.

What are the implications of the contractor's social mission on contract performance?

The contractor, Melwood Horticultural Training Center, Inc., has a mission to employ individuals with disabilities. This social mission can have several implications for contract performance. Positively, it can enhance the government's ability to meet socio-economic goals and demonstrate corporate social responsibility. It may also foster a dedicated workforce. However, potential challenges could arise if the specific needs of the workforce require additional support or accommodations that impact service delivery timelines or costs, although the firm-fixed-price nature of the contract aims to mitigate cost impacts. The government relies on the contractor to manage these aspects effectively while delivering the required landscaping services.

Industry Classification

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

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

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: 5606 DOWER HOUSE RD, UPPER MARLBORO, MD, 20772

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

Financial Breakdown

Contract Ceiling: $6,685,039

Exercised Options: $2,556,025

Current Obligation: $2,556,025

Actual Outlays: $278,308

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: YES

Timeline