DOE's $16.4M Forrestal Building Janitorial Contract Awarded to L.T. Services, Inc
Contract Overview
Contract Amount: $16,439,743 ($16.4M)
Contractor: L. T. Services, Inc.
Awarding Agency: Department of Energy
Start Date: 2005-04-16
End Date: 2010-10-19
Contract Duration: 2,012 days
Daily Burn Rate: $8.2K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: JANITORIAL SERVICES AT THE FORRESTAL BLDG
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20585
Plain-Language Summary
Department of Energy obligated $16.4 million to L. T. SERVICES, INC. for work described as: JANITORIAL SERVICES AT THE FORRESTAL BLDG Key points: 1. Contract value of $16.4M over its period of performance. 2. L.T. Services, Inc. secured the contract. 3. The contract was awarded by the Department of Energy. 4. Service category is Janitorial Services (NAICS 561720).
Value Assessment
Rating: fair
The contract value of $16.4M for janitorial services over approximately 5 years appears reasonable, but without specific scope details or comparable contract data, a precise benchmark is difficult. The award amount is within a typical range for large federal building maintenance.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating a limited competition scenario. This method might have restricted the pool of potential bidders, potentially impacting price discovery and overall cost-effectiveness.
Taxpayer Impact: The limited competition nature raises questions about whether taxpayers received the best possible price. Further analysis of the exclusion justification is needed to confirm value for money.
Public Impact
Ensures cleanliness and maintenance of the Forrestal Building, a key federal facility. Supports the operational needs of the Department of Energy. Provides employment opportunities through L.T. Services, Inc.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition raises concerns about price optimization.
- Exclusion of sources needs clear justification to ensure fairness.
Positive Signals
- Contract awarded to a specific company, providing service continuity.
- Clear service category and agency identified.
Sector Analysis
Janitorial services represent a significant portion of facilities management spending within the federal government. Benchmarks for such contracts vary widely based on building size, location, and service intensity.
Small Business Impact
The data does not indicate if L.T. Services, Inc. is a small business. Analysis of small business participation is not possible with the provided information.
Oversight & Accountability
The contract was awarded by the Department of Energy, implying internal oversight. However, the 'exclusion of sources' aspect warrants specific review to ensure adherence to procurement regulations and accountability.
Related Government Programs
- Janitorial Services
- Department of Energy Contracting
- Department of Energy Programs
Risk Flags
- Limited competition
- Potential for suboptimal price discovery
- Need for justification of source exclusion
- Lack of small business participation data
Tags
janitorial-services, department-of-energy, dc, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Energy awarded $16.4 million to L. T. SERVICES, INC.. JANITORIAL SERVICES AT THE FORRESTAL BLDG
Who is the contractor on this award?
The obligated recipient is L. T. SERVICES, INC..
Which agency awarded this contract?
Awarding agency: Department of Energy (Department of Energy).
What is the total obligated amount?
The obligated amount is $16.4 million.
What is the period of performance?
Start: 2005-04-16. End: 2010-10-19.
What was the justification for excluding sources in this full and open competition?
The justification for excluding sources in a 'full and open competition after exclusion of sources' award is critical. Typically, such exclusions are based on specific technical requirements, past performance, or unique capabilities that only a limited number of vendors possess. Without this justification, it's difficult to assess if the exclusion was necessary and if it truly served the government's best interest or potentially limited competition unfairly.
How does the contract's price compare to industry benchmarks for similar janitorial services in the DC area?
Comparing the $16.4M contract value to industry benchmarks requires detailed scope of work and service levels. However, for a large federal building over several years, this figure is plausible. A deeper dive into cost breakdowns, service hours, and specific cleaning standards versus market rates would be needed for a definitive assessment of value for money.
What is the potential impact of limited competition on the long-term effectiveness of janitorial services?
Limited competition can sometimes lead to complacency or reduced innovation from the incumbent contractor if they perceive little threat of losing the contract. While L.T. Services, Inc. may provide excellent service, the lack of robust competition might mean missed opportunities for cost savings or service enhancements that a more competitive environment could foster.
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 AFTER EXCLUSION OF SOURCES
Solicitation Procedures: SEALED BID
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 4304 EVERGREEN LANE, SUITE 104, ANNANDALE, VA, 90
Business Categories: 8(a) Program Participant, Asian Pacific American Owned Business, Category Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $16,439,743
Exercised Options: $16,439,743
Current Obligation: $16,439,743
Timeline
Start Date: 2005-04-16
Current End Date: 2010-10-19
Potential End Date: 2010-10-19 00:00:00
Last Modified: 2011-03-07
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