HUD's $68.5M Multifamily Servicing Contract Awarded to Dynaxys, LLC

Contract Overview

Contract Amount: $68,555,811 ($68.6M)

Contractor: Dynaxys, LLC

Awarding Agency: Department of Housing and Urban Development

Start Date: 2003-05-31

End Date: 2008-09-30

Contract Duration: 1,949 days

Daily Burn Rate: $35.2K/day

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: MULTIFAMILY SERVICING CONTRACT-REPROCUREMENT.

Place of Performance

Location: SILVER SPRING, MONTGOMERY County, MARYLAND, 20904

State: Maryland Government Spending

Plain-Language Summary

Department of Housing and Urban Development obligated $68.6 million to DYNAXYS, LLC for work described as: MULTIFAMILY SERVICING CONTRACT-REPROCUREMENT. Key points: 1. Contract value of $68.5M over 5 years. 2. Dynaxys, LLC is the incumbent contractor. 3. Potential for sole-source award due to incumbent status. 4. Financial Transactions Processing is the relevant sector.

Value Assessment

Rating: fair

The contract value of $68.5M over 5 years averages to $13.7M annually. Benchmarking against similar financial transaction processing contracts is difficult without more detailed scope information. However, the duration suggests a significant, ongoing service requirement.

Cost Per Unit: N/A

Competition Analysis

Competition Level: unknown

The competition method is not specified, but given Dynaxys, LLC is the incumbent, there's a possibility of a limited or sole-source justification. If competition was limited, price discovery may not have been fully optimized.

Taxpayer Impact: The impact on taxpayers depends heavily on the level of competition and the final negotiated price. A well-competed contract would ensure better value for taxpayer dollars.

Public Impact

Ensures continuity of essential multifamily housing servicing operations. Supports the Department of Housing and Urban Development's mission. Potential impact on housing market stability through efficient servicing.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specified competition method.
Potential for sole-source award.
Limited public information on performance metrics.

Positive Signals

Incumbent contractor likely has established processes.
Contract supports critical HUD functions.

Sector Analysis

This contract falls under Financial Transactions Processing, Reserve, and Clearinghouse Activities. Spending in this area is crucial for government agencies managing large financial operations and loan portfolios. Benchmarks are highly dependent on the specific services provided.

Small Business Impact

No information is provided regarding small business participation in this contract. Further analysis would be needed to determine if small businesses were involved or had opportunities to compete.

Oversight & Accountability

Oversight by the Department of Housing and Urban Development is expected to ensure contract performance and adherence to terms. The effectiveness of this oversight will be critical in managing costs and service quality.

Related Government Programs

Financial Transactions Processing, Reserve, and Clearinghouse Activities
Department of Housing and Urban Development Contracting
Department of Housing and Urban Development Programs

Risk Flags

Lack of transparency in competition.
Potential for cost overruns if not managed effectively.
Reliance on incumbent may stifle innovation.
Absence of detailed performance data for benchmarking.

Frequently Asked Questions

What is this federal contract paying for?

Department of Housing and Urban Development awarded $68.6 million to DYNAXYS, LLC. MULTIFAMILY SERVICING CONTRACT-REPROCUREMENT.

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 $68.6 million.

What is the period of performance?

Start: 2003-05-31. End: 2008-09-30.

What was the justification for the competition method used for this reprocurement?

The provided data does not specify the competition method used for this reprocurement. Given Dynaxys, LLC is the incumbent, it's possible the contract was awarded sole-source or through limited competition. Understanding the justification is key to assessing whether full and open competition was pursued, which typically leads to better pricing and innovation.

How does Dynaxys, LLC's performance as the incumbent compare to industry benchmarks for similar servicing contracts?

Without specific performance metrics from the previous contract period, it's impossible to directly compare Dynaxys, LLC's performance to industry benchmarks. A thorough review of past performance, including service level agreements, error rates, and customer satisfaction, would be necessary to make such an assessment and inform the current contract's value.

What are the key performance indicators (KPIs) for this contract, and how will they ensure effectiveness?

The provided data does not detail the specific Key Performance Indicators (KPIs) for this multifamily servicing contract. Effective oversight would require clearly defined KPIs related to response times, accuracy, financial reconciliation, and compliance. Regular monitoring and reporting against these KPIs are essential to ensure the contractor is meeting its obligations and delivering value.

Industry Classification

NAICS: Finance and Insurance › Activities Related to Credit Intermediation › Financial Transactions Processing, Reserve, and Clearinghouse Activities

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

Contractor Details

Address: 11911 TECH RD, SILVER SPRING, MD, 08

Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business

Financial Breakdown

Contract Ceiling: $68,555,811

Exercised Options: $68,555,811

Current Obligation: $68,555,811

Timeline