USDA Spends $27M on Custodial Services with Olympus Building Services Inc. via Full and Open Competition
Contract Overview
Contract Amount: $27,048,938 ($27.0M)
Contractor: Olympus Building Services Inc
Awarding Agency: Department of Agriculture
Start Date: 2012-09-25
End Date: 2018-08-29
Contract Duration: 2,164 days
Daily Burn Rate: $12.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 4
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: USDA CUSTODIAL AND WASTE MANAGEMENT SERVICES
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20250
Plain-Language Summary
Department of Agriculture obligated $27.0 million to OLYMPUS BUILDING SERVICES INC for work described as: USDA CUSTODIAL AND WASTE MANAGEMENT SERVICES Key points: 1. Contract awarded for janitorial services to support USDA's Office of the Chief Financial Officer. 2. Olympus Building Services Inc. secured the contract through a full and open competition. 3. The contract duration was 2164 days, indicating a long-term service agreement. 4. The total award amount was approximately $27 million. 5. The service falls under the Janitorial Services NAICS code 561720.
Value Assessment
Rating: good
The contract's firm fixed price structure suggests predictable costs. Benchmarking against similar janitorial service contracts would provide a clearer picture of value, but the competitive award process is a positive indicator.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, allowing multiple vendors to bid. This method generally promotes competitive pricing and ensures the government receives best value.
Taxpayer Impact: The competitive nature of the award suggests taxpayers likely benefited from a fair market price for the custodial and waste management services.
Public Impact
Ensures a clean and functional working environment for USDA employees. Supports the operational needs of the Office of the Chief Financial Officer. Provides employment opportunities through the awarded contractor, Olympus Building Services Inc. Contributes to the local economy in Washington D.C.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific performance metrics or quality assurance details.
- Potential for price creep if contract terms are not strictly managed.
- Dependence on a single contractor for essential facility services.
Positive Signals
- Awarded via full and open competition, indicating market responsiveness.
- Firm fixed price contract provides cost certainty.
- Long contract duration suggests a stable, ongoing need for services.
Sector Analysis
The janitorial services sector is highly competitive, with numerous small and large businesses offering these essential facility maintenance functions. Spending benchmarks vary significantly based on facility size, location, and service scope.
Small Business Impact
The contract was awarded to Olympus Building Services Inc. and there is no indication that small businesses were specifically involved as subcontractors or prime contractors in this particular award. Further analysis would be needed to determine small business participation.
Oversight & Accountability
The contract was awarded by the USDA's Office of the Chief Financial Officer, suggesting internal financial oversight. However, specific details on ongoing performance monitoring and accountability mechanisms are not provided in the data.
Related Government Programs
- Janitorial Services
- Department of Agriculture Contracting
- Office of the Chief Financial Officer Programs
Risk Flags
- Lack of detailed performance metrics.
- No information on contract modifications or disputes.
- Potential for vendor lock-in due to long contract duration.
- Absence of specific cost-per-unit data for benchmarking.
Tags
janitorial-services, department-of-agriculture, dc, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Agriculture awarded $27.0 million to OLYMPUS BUILDING SERVICES INC. USDA CUSTODIAL AND WASTE MANAGEMENT SERVICES
Who is the contractor on this award?
The obligated recipient is OLYMPUS BUILDING SERVICES INC.
Which agency awarded this contract?
Awarding agency: Department of Agriculture (Office of the Chief Financial Officer).
What is the total obligated amount?
The obligated amount is $27.0 million.
What is the period of performance?
Start: 2012-09-25. End: 2018-08-29.
What was the average cost per square foot for these janitorial services, and how does it compare to industry benchmarks for similar government facilities?
The provided data does not include square footage or detailed cost breakdowns, making a per-square-foot analysis impossible. To assess value, this information would be crucial. Comparing the total award amount to the size and scope of USDA facilities in D.C. would be necessary to estimate a benchmark and evaluate cost-effectiveness against industry standards for custodial services.
Were there any performance issues or contract modifications during the contract's lifespan that could indicate potential risks or inefficiencies?
The data does not detail contract modifications or performance history. A review of contract line-item details, modification logs, and performance reports would be necessary to identify any issues. Such a review could reveal risks related to service delivery, cost overruns, or contractor performance that might not be apparent from the initial award data.
How effectively did the full and open competition process ensure the best possible price and service quality for the USDA?
The full and open competition is a strong indicator of an effective price discovery process, as it allows market forces to drive bids. However, effectiveness also depends on the clarity of the solicitation requirements and the evaluation criteria used. Without access to the bid details and evaluation outcomes, it's difficult to definitively assess if the 'best' price and quality were achieved, though the process itself is designed to facilitate this.
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: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 4
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 24 ARNETT AVE STE 112, LAMBERTVILLE, NJ, 08530
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $27,112,918
Exercised Options: $27,048,938
Current Obligation: $27,048,938
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Timeline
Start Date: 2012-09-25
Current End Date: 2018-08-29
Potential End Date: 2018-08-29 00:00:00
Last Modified: 2023-12-14
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