DoD's $208M Janitorial Services Contract with PRIDE INDUSTRIES INC: A 7-Year Deal with Limited Competition

Contract Overview

Contract Amount: $20,867,459 ($20.9M)

Contractor: Pride Industries Inc

Awarding Agency: Department of Defense

Start Date: 1999-10-27

End Date: 2007-09-30

Contract Duration: 2,895 days

Daily Burn Rate: $7.2K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Place of Performance

Location: TRAVIS AFB, SOLANO County, CALIFORNIA, 94535

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $20.9 million to PRIDE INDUSTRIES INC for work described as: Key points: 1. Significant contract value of $208.7 million over nearly 8 years. 2. Limited competition raises questions about price discovery and potential overspending. 3. The contract is for janitorial services, a common but essential government function. 4. Sector context suggests potential for efficiency gains through competitive bidding.

Value Assessment

Rating: questionable

The contract value of $208.7 million over 2895 days (approx. 7.9 years) is substantial. Without a clear benchmark or competitive pricing data, it's difficult to definitively assess value for money. The lack of competition is a primary driver of this assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not available for competition, indicating a sole-source or limited competition award. This significantly restricts price discovery and may lead to higher costs for taxpayers compared to a fully competitive environment.

Taxpayer Impact: The lack of competition likely results in a higher cost to taxpayers than if the contract had been awarded through a competitive process.

Public Impact

Taxpayers may be overpaying for janitorial services due to limited competition. The long duration of the contract (nearly 8 years) limits opportunities for re-evaluation and potential cost savings. Essential services like janitorial support are critical for government facility operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition
Long contract duration
Lack of clear benchmark for value

Positive Signals

Essential service provision
Long-term relationship with contractor

Sector Analysis

Janitorial services are a common procurement category for government agencies, supporting facility maintenance. Benchmarks for this sector can vary widely based on location, scope, and service level agreements. The significant value of this contract suggests a large-scale operation.

Small Business Impact

The data does not indicate whether small businesses were involved in subcontracting opportunities or if this contract was specifically set aside for small business participation. Further analysis would be needed to determine the impact on small businesses.

Oversight & Accountability

The limited competition aspect warrants further oversight to ensure the Department of Defense received fair pricing and adequate service levels throughout the contract's duration. Accountability for performance and cost management is crucial.

Related Government Programs

Janitorial Services
Department of Defense Contracting
Department of the Air Force Programs

Risk Flags

Potential for overpayment due to limited competition
Lack of transparency in the award process
Long contract duration may stifle innovation and cost savings
Absence of a clear competitive benchmark makes value assessment difficult

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $20.9 million to PRIDE INDUSTRIES INC. See the official description on USAspending.

Who is the contractor on this award?

The obligated recipient is PRIDE INDUSTRIES INC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $20.9 million.

What is the period of performance?

Start: 1999-10-27. End: 2007-09-30.

What was the justification for awarding this contract with limited competition?

The justification for limited competition is critical. Typically, this occurs when only one source can meet the requirement, or when a public exigency requires it. Without this justification, the award raises significant concerns about potential waste and the government's ability to secure the best value.

How does the per-unit cost of these janitorial services compare to industry benchmarks for similar government contracts?

Without specific details on the scope of services and the exact pricing structure (e.g., cost per square foot, hourly rates for specific tasks), a direct per-unit cost comparison is challenging. However, the lack of competition suggests that the negotiated price may be higher than what could be achieved in a competitive bidding process.

What performance metrics were established, and how was contractor performance monitored over the contract's nearly 8-year term?

Effective oversight requires robust performance metrics and consistent monitoring. For a contract of this duration and value, the Department of Defense should have had clear standards for cleanliness, response times, and staff conduct, with regular reviews to ensure compliance and address any deficiencies.

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: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 300 BERRY ST, ROSEVILLE, CA, 03

Business Categories: AbilityOne Program Participant, Category Business, Not Designated a Small Business, Special Designations

Contract Characteristics

Cost or Pricing Data: NO

Timeline