Coast Guard awards $2.37M contract for flooring repairs at Rochester station, highlighting infrastructure needs

Contract Overview

Contract Amount: $2,366,599 ($2.4M)

Contractor: Prestige Development Services Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2023-09-25

End Date: 2026-07-31

Contract Duration: 1,040 days

Daily Burn Rate: $2.3K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: DESIGN BUILD SERVICES FOR MAJOR M&R OF FLOORING DAMAGES @ U. S. COAST GUARD STATION ROCHESTER, ROCHESTER, NY.

Place of Performance

Location: ROCHESTER, MONROE County, NEW YORK, 14617

State: New York Government Spending

Plain-Language Summary

Department of Homeland Security obligated $2.4 million to PRESTIGE DEVELOPMENT SERVICES INC. for work described as: DESIGN BUILD SERVICES FOR MAJOR M&R OF FLOORING DAMAGES @ U. S. COAST GUARD STATION ROCHESTER, ROCHESTER, NY. Key points: 1. Contract addresses critical infrastructure maintenance for the U.S. Coast Guard. 2. Sole-source award raises questions about competition and potential cost efficiencies. 3. Project duration of nearly two years suggests a significant scope of work. 4. Fixed-price contract type aims to control costs, but initial award value is a key benchmark. 5. Geographic focus on Rochester, NY, indicates localized infrastructure investment.

Value Assessment

Rating: fair

The contract value of approximately $2.37 million for flooring repair services appears to be a significant investment for a single station. Without comparable data on similar large-scale flooring repair projects within the Coast Guard or DHS, it is difficult to definitively benchmark the value. The fixed-price nature of the contract provides some cost certainty, but the absence of competition makes it challenging to assess if this represents the best possible price. Further analysis would require understanding the scope of 'major M&R' and comparing unit costs for materials and labor against industry standards.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning only one contractor, Prestige Development Services Inc., was solicited. This approach bypasses the standard competitive bidding process, which typically involves multiple companies submitting proposals. While sole-source awards can be justified in specific circumstances (e.g., urgent needs, unique capabilities), they generally limit price discovery and may not result in the most cost-effective outcome for the government compared to a fully competed contract. The lack of competition here means taxpayers may not have benefited from the potential cost savings that could arise from a bidding war among qualified contractors.

Taxpayer Impact: Sole-source awards mean taxpayers may not be getting the best possible price, as there was no opportunity for multiple companies to compete and offer lower bids. This can lead to higher overall spending for government projects.

Public Impact

The U.S. Coast Guard station in Rochester, NY, will benefit from improved facilities, enhancing operational readiness. Essential maintenance and repair of flooring damages will be addressed, ensuring a safer and more functional work environment. The project's geographic impact is localized to Rochester, New York. While not explicitly stated, the project may support local construction and skilled labor jobs during its execution.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competitive pressure, potentially increasing costs for taxpayers.
Lack of transparency in the justification for a sole-source award.
The significant contract value for flooring repairs warrants scrutiny for potential overpricing.
Long project duration could indicate unforeseen complexities or potential for delays.

Positive Signals

Fixed-price contract type provides cost certainty for the government.
Award addresses necessary infrastructure maintenance, supporting Coast Guard operations.
Contract awarded to a specific entity, Prestige Development Services Inc., indicating a known provider.

Sector Analysis

The construction sector, particularly heavy and civil engineering, is a significant area of federal spending. This contract falls under 'Other Heavy and Civil Engineering Construction,' a broad category encompassing various infrastructure projects. Federal agencies frequently contract for maintenance, repair, and construction services to ensure the operational readiness of their facilities. Benchmarking this specific flooring repair contract against broader construction spending is challenging due to its specialized nature, but it represents a component of the larger federal investment in maintaining its physical assets across the country.

Small Business Impact

The contract details indicate that small business participation was not a primary consideration, as the 'sb' field is false. There is no indication of a small business set-aside or subcontracting plan being required. This suggests that the contract was not specifically structured to benefit small businesses, and opportunities for them to participate in this project may be limited to indirect roles or through the prime contractor's discretion.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Homeland Security's internal contracting and program management offices, as well as the U.S. Coast Guard's facilities and engineering commands. Given the sole-source nature, there may be heightened scrutiny from oversight bodies to ensure the justification was sound and the pricing is reasonable. Transparency regarding the specific reasons for the sole-source award and detailed project progress reports would be key accountability measures. The Inspector General for DHS would have jurisdiction to investigate any potential fraud, waste, or abuse.

Related Government Programs

Federal Buildings and Facilities
Military Construction
Infrastructure Maintenance Contracts
Department of Homeland Security Procurement
U.S. Coast Guard Operations Support

Risk Flags

Sole-source award without clear justification
Potential for cost overruns due to lack of competition
Limited transparency in procurement process

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $2.4 million to PRESTIGE DEVELOPMENT SERVICES INC.. DESIGN BUILD SERVICES FOR MAJOR M&R OF FLOORING DAMAGES @ U. S. COAST GUARD STATION ROCHESTER, ROCHESTER, NY.

Who is the contractor on this award?

The obligated recipient is PRESTIGE DEVELOPMENT SERVICES INC..

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Coast Guard).

What is the total obligated amount?

The obligated amount is $2.4 million.

What is the period of performance?

Start: 2023-09-25. End: 2026-07-31.

What is the specific justification provided by the U.S. Coast Guard for awarding this contract on a sole-source basis to Prestige Development Services Inc.?

The provided data does not include the specific justification for the sole-source award. Typically, sole-source contracts are awarded when only one responsible source is available or capable of providing the required service, often due to unique capabilities, urgent and compelling needs, or specific government property requirements. Without the official justification document (e.g., a Justification and Approval - J&A), it is impossible to ascertain the precise rationale. This lack of transparency is a common concern with sole-source awards, as it limits public understanding and scrutiny of why competitive processes were bypassed. Further investigation would involve accessing agency procurement records or Freedom of Information Act (FOIA) requests to obtain the detailed justification.

How does the contract value of $2.37 million compare to typical flooring repair projects of similar scale within federal agencies?

Benchmarking this $2.37 million contract for flooring repairs is challenging without more granular data on the scope of 'major M&R' and the specific types of flooring involved. Federal flooring repair projects can vary widely in cost depending on the square footage, materials used (e.g., carpet, tile, epoxy), labor intensity, and the complexity of subfloor preparation or remediation required. A contract of this magnitude suggests a substantial area or significant damage requiring extensive work. To provide a meaningful comparison, one would need to analyze data from similar contracts within the Department of Homeland Security or other agencies undertaking large-scale facility maintenance, looking at cost per square foot or cost per labor hour, and considering the specific nature of the damages being addressed.

What are the potential risks associated with a sole-source award for this type of construction service?

The primary risk associated with a sole-source award for construction services like flooring repair is the potential for inflated costs. Without competition, the contractor may not feel the same pressure to offer the most competitive pricing, potentially leading to the government paying more than necessary. Another risk is a lack of innovation; a single source may not bring the same range of solutions or efficiencies that multiple bidders might offer. Furthermore, sole-source awards can raise concerns about fairness and equal opportunity for other qualified contractors who were not given a chance to bid. There's also a risk that the chosen contractor may not be the most capable or experienced, although agencies typically vet sole-source recipients carefully.

What is the expected impact of this contract on the operational readiness and facility condition of the U.S. Coast Guard Station Rochester?

This contract is expected to significantly improve the operational readiness and facility condition of the U.S. Coast Guard Station Rochester by addressing major flooring damages. Properly maintained flooring is crucial for safety, preventing trip hazards, protecting sensitive equipment from damage, and maintaining overall hygiene and morale within the facility. By undertaking these repairs, the Coast Guard ensures that its personnel have a safe and functional working environment, which directly supports their mission-critical operations. The completion of this project should lead to a more reliable and well-maintained infrastructure at the station, reducing the likelihood of future disruptions caused by deteriorating flooring.

Are there any historical spending patterns with Prestige Development Services Inc. by the U.S. Coast Guard or Department of Homeland Security that might inform the assessment of this contract?

The provided data does not include historical spending patterns with Prestige Development Services Inc. To assess this contract effectively, it would be beneficial to review the company's past performance with the U.S. Coast Guard and the broader Department of Homeland Security. This would involve examining previous contracts awarded to them, their performance history on those contracts (e.g., on-time delivery, quality of work, adherence to budget), and whether they have previously been awarded sole-source contracts. Understanding their track record can provide insights into their reliability, capabilities, and whether their pricing has been competitive in the past. Without this historical context, evaluating the appropriateness and value of this current sole-source award is more challenging.

Industry Classification

NAICS: Construction › Other Heavy and Civil Engineering Construction › Other Heavy and Civil Engineering Construction

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

Solicitation ID: 70Z08323RABCD0040

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 169 LINCOLN AVE, BRONX, NY, 10454

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Economically Disadvantaged Women Owned Small Business, Hispanic American Owned Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $2,366,599

Exercised Options: $2,366,599

Current Obligation: $2,366,599

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: YES

Timeline