DoD Awards $226M Facilities Support Services Contract to Chenega Management, LLC
Contract Overview
Contract Amount: $22,614,492 ($22.6M)
Contractor: Chenega Management, LLC
Awarding Agency: Department of Defense
Start Date: 2001-06-01
End Date: 2006-03-31
Contract Duration: 1,764 days
Daily Burn Rate: $12.8K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Other
Place of Performance
Location: NELLIS AFB, CLARK County, NEVADA, 89191
State: Nevada Government Spending
Plain-Language Summary
Department of Defense obligated $22.6 million to CHENEGA MANAGEMENT, LLC for work described as: Key points: 1. The contract value is substantial at $226.14 million. 2. The award was not available for competition, raising questions about price discovery. 3. Facilities support services are critical for operational readiness. 4. The contract duration is over 4 years, indicating a long-term need.
Value Assessment
Rating: questionable
The contract was awarded without competition, making a direct pricing assessment against similar contracts difficult. The lack of competitive bidding suggests potential for overpayment or suboptimal pricing.
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 limits price discovery and potentially leads to higher costs for taxpayers.
Taxpayer Impact: The lack of competition likely resulted in a higher price than a fully competitive process would have yielded, impacting taxpayer funds.
Public Impact
Taxpayers may have paid more due to the absence of competitive bidding. The long-term nature of the contract suggests a sustained need for these services. The specific services provided are essential for the Air Force's operational capabilities.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Potential for inflated pricing
- Long-term commitment without competitive validation
Positive Signals
- Essential service provision
- Long-term contract stability
Sector Analysis
Facilities support services are a broad category encompassing maintenance, repair, and operational support for government facilities. Spending in this sector can vary significantly based on the number and type of facilities managed.
Small Business Impact
The data does not indicate whether small businesses were involved as subcontractors. The prime contractor is Chenega Management, LLC.
Oversight & Accountability
The limited competition award warrants scrutiny to ensure fair pricing and effective service delivery. Oversight should focus on performance metrics and cost justification.
Related Government Programs
- Facilities Support Services
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Sole-source award
- Lack of competitive pricing
- Potential for cost overruns
- Limited transparency on justification
Tags
facilities-support-services, department-of-defense, nv, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $22.6 million to CHENEGA MANAGEMENT, LLC. See the official description on USAspending.
Who is the contractor on this award?
The obligated recipient is CHENEGA MANAGEMENT, LLC.
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 $22.6 million.
What is the period of performance?
Start: 2001-06-01. End: 2006-03-31.
What was the justification for awarding this contract without competition?
The provided data states the contract was 'NOT AVAILABLE FOR COMPETITION'. A full justification would typically involve reasons such as urgent need, unique capabilities of the contractor, or the existence of only one responsible source. Without this detailed justification, it's difficult to assess the validity of the sole-source award.
How does the awarded price compare to industry benchmarks for similar facilities support services?
Since the contract was awarded without competition, a direct comparison to industry benchmarks is challenging. A thorough analysis would require access to the contractor's cost proposals and a detailed breakdown of the services provided to compare against market rates for comparable contracts.
What are the key performance indicators (KPIs) for this contract, and how is contractor performance being measured?
The provided data does not include specific KPIs or performance metrics for this contract. Effective oversight would require clearly defined performance standards and regular evaluations to ensure the contractor is meeting service level agreements and delivering value for taxpayer money.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services
Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES
Competition & Pricing
Extent Competed: NOT AVAILABLE FOR COMPETITION
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Contractor Details
Parent Company: THE Chenega Corporation (UEI: 622692994)
Address: 911 W 8TH AVENUE, ANCHORAGE, AK, 00
Business Categories: Category Business, HUBZone Firm, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations
Contract Characteristics
Cost or Pricing Data: NO
Timeline
Start Date: 2001-06-01
Current End Date: 2006-03-31
Potential End Date: 2006-03-31 00:00:00
Last Modified: 2010-08-18
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