NASA's $48M Logistics Contract with Lockwood Hills Federal Faces Scrutiny Over Competition and Value

Contract Overview

Contract Amount: $48,267,473 ($48.3M)

Contractor: Lockwood Hills Federal LLC

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2017-06-22

End Date: 2024-11-14

Contract Duration: 2,702 days

Daily Burn Rate: $17.9K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: IGF::OT::IGF LOGISTICS MANAGEMENT SERVICES- THE LOGISTICS OFFICE SUPPORTS NASA'S MISSION BY PROVIDING INSTITUTIONAL SERVICES FOR ARC, WHICH INCLUDES CONTRACTOR AND GOVERNMENT STAFF, OTHER FEDERAL AND NON-FEDERAL TENANTS, OTHER CENTERS AND NASA HEADQUARTERS.THESE SERVICES INCLUDE SUPPLY MANAGEMENT, EQUIPMENT MANAGEMENT SUPPORT, PROPERTY DISPOSAL SUPPORT, JANITORIAL SERVICES, REFUSE AND RECYCLABLE MATERIALS COLLECTION, REMOVAL, AND DISPOSAL SHIPPING, RECEIVING, MAIL SERVICE CENTER, WAREHOUSING AND RE-DISTRIBUTION, FLEET MANAGEMENT SERVICES, REPRODUCTION SERVICES, AND GRAPHICS SERVICES. CONTRACT ALSO PROVIDES OPTIONS FOR LOGISTICS AND BUSINESS OPERATIONS FOR NASA AMES CONFERENCE CENTER (NACC) AND DOCUMENTATION SERVICES FOR THE ARC.

Place of Performance

Location: MOFFETT FIELD, SANTA CLARA County, CALIFORNIA, 94035

State: California Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $48.3 million to LOCKWOOD HILLS FEDERAL LLC for work described as: IGF::OT::IGF LOGISTICS MANAGEMENT SERVICES- THE LOGISTICS OFFICE SUPPORTS NASA'S MISSION BY PROVIDING INSTITUTIONAL SERVICES FOR ARC, WHICH INCLUDES CONTRACTOR AND GOVERNMENT STAFF, OTHER FEDERAL AND NON-FEDERAL TENANTS, OTHER CENTERS AND NASA HEADQUARTERS.THESE SERVICES INCLUDE … Key points: 1. The contract supports a wide range of institutional logistics services for NASA's Ames Research Center. 2. Lockwood Hills Federal LLC is the sole awardee under a full and open competition after exclusion of sources. 3. The contract's duration and firm-fixed-price structure warrant a closer look at cost-effectiveness. 4. Services provided are critical for NASA's mission support but are also common facilities management functions.

Value Assessment

Rating: fair

The contract value of $48.27 million over its potential duration appears substantial for facilities support services. Benchmarking against similar large-scale logistics contracts for federal agencies would be necessary to determine if this pricing is competitive.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'full and open competition after exclusion of sources,' which suggests a competitive process but requires further investigation into the reasons for source exclusion. This method could potentially limit the pool of bidders and impact price discovery.

Taxpayer Impact: Taxpayer funds are being utilized for essential but potentially high-cost logistics operations. Ensuring competitive pricing and efficient service delivery is crucial for maximizing the value of this expenditure.

Public Impact

Ensures smooth operation of NASA Ames Research Center by providing essential support services. Supports contractor and government staff, as well as other federal and non-federal tenants. Includes a broad scope of services from supply management to fleet and reproduction services. Potential for cost savings or overspending depending on the efficiency of service delivery and pricing.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Limited clarity on 'exclusion of sources' in competition.
  • Potential for cost inefficiencies in a long-term, broad-scope contract.
  • Lack of specific performance metrics in the provided data.

Positive Signals

  • Supports critical NASA mission functions.
  • Long-term contract provides stability for service provision.
  • Firm-fixed-price structure can offer budget predictability.

Sector Analysis

This contract falls under Facilities Support Services, a broad category encompassing a wide array of operational and maintenance functions. Spending in this sector can vary significantly based on the scale and complexity of the facility, with large research centers like NASA Ames potentially representing higher-end expenditures.

Small Business Impact

The data indicates that this contract was not awarded to a small business. There is no information provided on whether small businesses were subcontracted or had opportunities to bid.

Oversight & Accountability

Oversight is crucial to ensure Lockwood Hills Federal LLC is meeting all contractual obligations and performance standards. NASA's internal oversight mechanisms and potential IG reviews would be key to accountability.

Related Government Programs

  • Facilities Support Services
  • National Aeronautics and Space Administration Contracting
  • National Aeronautics and Space Administration Programs

Risk Flags

  • Potential for inflated costs due to limited competition.
  • Lack of transparency regarding source exclusion.
  • Long contract duration may mask inefficiencies.
  • Broad scope of services could lead to management challenges.
  • No indication of small business participation.

Tags

facilities-support-services, national-aeronautics-and-space-administr, ca, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $48.3 million to LOCKWOOD HILLS FEDERAL LLC. IGF::OT::IGF LOGISTICS MANAGEMENT SERVICES- THE LOGISTICS OFFICE SUPPORTS NASA'S MISSION BY PROVIDING INSTITUTIONAL SERVICES FOR ARC, WHICH INCLUDES CONTRACTOR AND GOVERNMENT STAFF, OTHER FEDERAL AND NON-FEDERAL TENANTS, OTHER CENTERS AND NASA HEADQUARTERS.THESE SERVICES INCLUDE SUPPLY MANAGEMENT, EQUIPMENT MANAGEMENT SUPPORT, PROPERTY DISPOSAL SUPPORT, JANITORIAL SERVICES, REFUSE AND RECYCLABLE MATERIALS COLLECTION, REMOVAL, AND DISPOSAL SHIPPING, RECEIVING, MAIL SERVICE CENTER, WAREHOUSING AND

Who is the contractor on this award?

The obligated recipient is LOCKWOOD HILLS FEDERAL LLC.

Which agency awarded this contract?

Awarding agency: National Aeronautics and Space Administration (National Aeronautics and Space Administration).

What is the total obligated amount?

The obligated amount is $48.3 million.

What is the period of performance?

Start: 2017-06-22. End: 2024-11-14.

What specific criteria led to the 'exclusion of sources' in this full and open competition, and how did this impact the final pricing?

The 'exclusion of sources' clause in a 'full and open competition' suggests that while the competition was open, certain potential bidders were disqualified based on specific criteria. Understanding these criteria is vital to assess if the exclusion was justified and if it limited the competitive landscape, potentially leading to a less favorable price for the government. Without this information, it's difficult to fully evaluate the price discovery process.

How does the per-unit cost of specific services (e.g., janitorial, warehousing) compare to industry benchmarks for similar federal facilities?

Benchmarking the per-unit cost of individual services against industry standards for comparable federal facilities is essential for assessing value. If costs for services like janitorial, warehousing, or fleet management are significantly higher than benchmarks, it could indicate potential inefficiencies or overpricing within the contract, impacting overall taxpayer value.

What performance metrics are in place to ensure the effectiveness and efficiency of the logistics services provided by Lockwood Hills Federal LLC?

The effectiveness of this contract hinges on robust performance metrics that track service delivery, timeliness, and quality. Without clearly defined and monitored KPIs, it's challenging to ascertain if NASA is receiving optimal value and if the contractor is operating efficiently. Regular performance reviews and adherence to these metrics are critical for accountability and ensuring mission support.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesFacilities Support ServicesFacilities Support Services

Product/Service Code: UTILITIES AND HOUSEKEEPINGHOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: NNA16555182R

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Nana Regional Corporation, Inc.,

Address: 2553 DULLES VIEW DR STE 700, HERNDON, VA, 20171

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: $48,786,112

Exercised Options: $48,371,172

Current Obligation: $48,267,473

Actual Outlays: $34,896,659

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline

Start Date: 2017-06-22

Current End Date: 2024-11-14

Potential End Date: 2024-11-14 00:00:00

Last Modified: 2024-12-13

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