HUD awards $36.7M for Mortgage Loan Servicing Support, Dynaxys LLC secures contract

Contract Overview

Contract Amount: $36,701,868 ($36.7M)

Contractor: Dynaxys, LLC

Awarding Agency: Department of Housing and Urban Development

Start Date: 2022-05-16

End Date: 2026-05-15

Contract Duration: 1,460 days

Daily Burn Rate: $25.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: MORTGAGE LOAN SERVICING SUPPORT SERVICES

Place of Performance

Location: SILVER SPRING, MONTGOMERY County, MARYLAND, 20904

State: Maryland Government Spending

Plain-Language Summary

Department of Housing and Urban Development obligated $36.7 million to DYNAXYS, LLC for work described as: MORTGAGE LOAN SERVICING SUPPORT SERVICES Key points: 1. Contract value of $36.7M over approximately 4 years. 2. Dynaxys, LLC is the sole awardee. 3. Risk is moderate due to contract duration and fixed-price nature. 4. Spending falls under 'Other Activities Related to Credit Intermediation'.

Value Assessment

Rating: good

The contract value of $36.7M for mortgage loan servicing support appears reasonable given the 4-year duration. Benchmarking against similar contracts for comprehensive loan servicing would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally leads to better price discovery and potentially more favorable pricing for the government.

Taxpayer Impact: The use of full and open competition aims to ensure taxpayer funds are used efficiently by securing competitive pricing for essential mortgage loan servicing support.

Public Impact

Ensures continued support for mortgage loan servicing operations. Supports the Department of Housing and Urban Development's mission. Potential impact on borrowers if servicing is disrupted.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of small business participation noted.
  • Specific performance metrics not detailed in provided data.

Positive Signals

  • Awarded under full and open competition.
  • Fixed-price contract type can control costs.
  • Long-term contract provides stability.

Sector Analysis

This contract falls under 'Other Activities Related to Credit Intermediation,' a broad category. Benchmarking requires specific data on similar loan servicing contracts, which are often specialized.

Small Business Impact

The provided data indicates that small business participation was not a factor in this award (ss: false, sb: false). Further analysis would be needed to understand if opportunities were missed or if the nature of the service doesn't lend itself to small business involvement.

Oversight & Accountability

The contract is managed by the Department of Housing and Urban Development. Oversight would involve monitoring Dynaxys, LLC's performance against contract requirements and ensuring adherence to terms and conditions.

Related Government Programs

  • Other Activities Related to Credit Intermediation
  • Department of Housing and Urban Development Contracting
  • Department of Housing and Urban Development Programs

Risk Flags

  • Potential for vendor lock-in if competition is limited in future renewals.
  • Reliance on a single vendor for critical support functions.
  • Lack of explicit small business participation.
  • Cybersecurity risks associated with handling sensitive financial data.

Tags

other-activities-related-to-credit-inter, department-of-housing-and-urban-developm, md, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Housing and Urban Development awarded $36.7 million to DYNAXYS, LLC. MORTGAGE LOAN SERVICING SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is DYNAXYS, LLC.

Which agency awarded this contract?

Awarding agency: Department of Housing and Urban Development (Department of Housing and Urban Development).

What is the total obligated amount?

The obligated amount is $36.7 million.

What is the period of performance?

Start: 2022-05-16. End: 2026-05-15.

What is the specific scope of 'Mortgage Loan Servicing Support Services' and how does it align with HUD's core mission?

Mortgage loan servicing support typically includes tasks such as collecting payments, managing escrow accounts, handling delinquencies and foreclosures, and providing customer service to borrowers. For HUD, this likely supports their various mortgage insurance programs and affordable housing initiatives, ensuring the smooth operation and financial health of these programs.

What are the key performance indicators (KPIs) for Dynaxys, LLC under this contract, and how is performance measured?

The provided data does not specify the key performance indicators (KPIs) or the measurement methods for Dynaxys, LLC's performance. A thorough review of the contract's statement of work and performance work statement would be necessary to identify these metrics and understand how HUD ensures service quality and effectiveness.

Are there any specific risks associated with Dynaxys, LLC's ability to perform these critical financial services effectively over the contract period?

While the contract was awarded competitively, potential risks could include vendor financial stability, cybersecurity threats to sensitive loan data, or challenges in adapting to evolving regulatory requirements in mortgage servicing. The fixed-price nature might also incentivize cost-cutting that could impact service quality if not closely monitored.

Industry Classification

NAICS: Finance and InsuranceActivities Related to Credit IntermediationOther Activities Related to Credit Intermediation

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 86615720R00001

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 11911 TECH RD, SILVER SPRING, MD, 20904

Business Categories: Category Business, Limited Liability Corporation, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business

Financial Breakdown

Contract Ceiling: $56,962,357

Exercised Options: $36,726,868

Current Obligation: $36,701,868

Actual Outlays: $31,414,579

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline

Start Date: 2022-05-16

Current End Date: 2026-05-15

Potential End Date: 2027-05-15 00:00:00

Last Modified: 2026-01-09

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