HHS awards $315K janitorial contract to Cedar Park Group Inc. for services in New York

Contract Overview

Contract Amount: $315,248 ($315.2K)

Contractor: Cedar Park Group Inc

Awarding Agency: Department of Health and Human Services

Start Date: 2022-01-27

End Date: 2026-09-30

Contract Duration: 1,707 days

Daily Burn Rate: $185/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: AWARD QUARTERLY CLEANING LOCKPORT

Place of Performance

Location: LOCKPORT, NIAGARA County, NEW YORK, 14094

State: New York Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $315,248 to CEDAR PARK GROUP INC for work described as: AWARD QUARTERLY CLEANING LOCKPORT Key points: 1. Contract awarded for essential cleaning services, ensuring facility hygiene and operational readiness. 2. Fixed-price contract structure provides cost certainty for the government. 3. Competition under Simplified Acquisition Procedures (SAP) suggests a focus on smaller value procurements. 4. Contract duration extends over multiple years, indicating a need for sustained service. 5. Geographic focus on New York for service delivery. 6. No small business set-aside, suggesting broader competition or specific capability requirements.

Value Assessment

Rating: fair

The contract value of $315,248 over its duration appears reasonable for janitorial services, especially considering the fixed-price nature which shifts risk to the contractor. Benchmarking against similar government contracts for janitorial services in the Northeast region would provide a clearer picture of value for money. Without specific details on the scope of services or square footage, a precise per-unit cost comparison is difficult, but the overall award seems within expected ranges for this type of service.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under Simplified Acquisition Procedures (SAP), which typically involves a limited number of bidders and is often used for procurements valued below a certain threshold. While the exact number of bidders is not provided, SAP competition generally offers less robust price discovery than full and open competition. This method is often employed for services where the market is well-understood and competition is expected to be sufficient.

Taxpayer Impact: Competition under SAP aims to balance efficiency with fair pricing. For taxpayers, this means the government likely received competitive offers, but the potential for even lower prices through broader competition may have been foregone.

Public Impact

The Indian Health Service benefits from maintained facility cleanliness, supporting its mission. Janitorial services ensure a safe and healthy environment for staff and visitors. Services are delivered within New York state. The contract supports employment opportunities for cleaning staff employed by Cedar Park Group Inc.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition under SAP may not yield the absolute lowest price.
Contract duration could lead to price increases if not managed effectively.
Lack of specific performance metrics in the provided data makes assessing service quality challenging.

Positive Signals

Fixed-price contract provides budget certainty.
Award to an established entity suggests a degree of reliability.
Contract duration indicates a stable, ongoing need for these services.

Sector Analysis

Janitorial services represent a significant segment within the broader facilities management industry. Government contracts for these services are common across various agencies, ensuring the upkeep of federal buildings and installations. The market is characterized by numerous providers, ranging from small local businesses to large national corporations. This contract, competed under SAP, likely falls within the smaller end of the government contracting spectrum for janitorial services, where efficiency and straightforward procurement are prioritized.

Small Business Impact

The contract was not set aside for small businesses, and the data does not indicate any subcontracting requirements. This suggests that either Cedar Park Group Inc. is not a small business, or the procurement process did not prioritize small business participation. The impact on the small business ecosystem is neutral to negative, as opportunities were not specifically directed towards them.

Oversight & Accountability

Oversight for this contract would typically fall under the Indian Health Service contracting office within HHS. Accountability measures are inherent in the fixed-price contract terms, requiring the contractor to deliver services as specified. Transparency is facilitated by public contract databases, though detailed performance reports are not always publicly available. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Federal Janitorial Services Contracts
HHS Facilities Management Spending
Indian Health Service Operations Support

Risk Flags

Limited competition may impact price optimization.
Contract duration could lead to price escalation if not managed.
Performance quality assessment requires further data.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $315,248 to CEDAR PARK GROUP INC. AWARD QUARTERLY CLEANING LOCKPORT

Who is the contractor on this award?

The obligated recipient is CEDAR PARK GROUP INC.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Indian Health Service).

What is the total obligated amount?

The obligated amount is $315,248.

What is the period of performance?

Start: 2022-01-27. End: 2026-09-30.

What is the track record of Cedar Park Group Inc. in performing government contracts, particularly for janitorial services?

Information regarding Cedar Park Group Inc.'s specific track record with government contracts, especially for janitorial services, is not detailed in the provided data. A comprehensive assessment would require reviewing past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), other federal contract awards, and any history of disputes or contract terminations. Without this information, it's difficult to definitively assess their reliability and past performance quality for this specific contract.

How does the awarded price compare to market rates for similar janitorial services in the New York region?

The provided data does not include specific details about the scope of services, square footage, or frequency of cleaning, making a direct comparison to market rates challenging. However, the total award of $315,248 over approximately 4.75 years (from Jan 2022 to Sep 2026) suggests an average annual cost of roughly $66,000. This figure needs to be contextualized by the specific requirements. For instance, cleaning a large complex would justify a higher cost than a smaller facility. A detailed market analysis would involve obtaining quotes from multiple private sector providers for comparable services in the specified New York location.

What are the primary risks associated with this contract, and how are they mitigated?

Key risks include potential underperformance by the contractor leading to inadequate cleaning standards, cost overruns if the fixed-price contract doesn't adequately account for all service needs, and potential disruptions to service delivery. Mitigation strategies typically involve clear performance standards outlined in the contract, regular inspections and performance monitoring by the government, and the contractor's own quality control processes. The fixed-price nature also mitigates financial risk for the government, provided the scope is well-defined.

How effective is the Simplified Acquisition Procedures (SAP) competition in ensuring value for money for this janitorial service contract?

SAP competition aims to streamline the procurement process for smaller value contracts, balancing efficiency with fair pricing. While it generally involves multiple bids, it may not achieve the same level of price competition as full and open solicitations. For a contract of this size, SAP is often appropriate and can yield good value. However, the ultimate effectiveness depends on the number and quality of bids received, the clarity of the solicitation, and the government's ability to negotiate favorable terms. Without knowing the number of bidders, it's hard to definitively assess the value achieved.

What is the historical spending pattern for janitorial services by the Indian Health Service or HHS in New York?

The provided data focuses solely on this specific contract award. To understand historical spending patterns, one would need to analyze aggregate data from HHS and the Indian Health Service for janitorial services, potentially filtering by geographic region (New York) and contract type. This would involve querying federal procurement databases for similar contracts over several fiscal years to identify trends in award values, number of contractors, and average contract durations. Such analysis could reveal if this award is consistent with past spending or represents a significant deviation.

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: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2 LAWSON AVE UNIT 11, EAST ROCKAWAY, NY, 11518

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Economically Disadvantaged Women Owned Small 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: $315,248

Exercised Options: $315,248

Current Obligation: $315,248

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline