Air Force's $14.4M janitorial contract awarded to CHIMES DISTRICT OF COLUMBIA INCORPORATED shows long-term commitment

Contract Overview

Contract Amount: $14,433,274 ($14.4M)

Contractor: Chimes District of Columbia Incorporated

Awarding Agency: Department of Defense

Start Date: 2007-05-01

End Date: 2012-03-31

Contract Duration: 1,796 days

Daily Burn Rate: $8.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: BASE CUSTODIAL

Place of Performance

Location: JB ANDREWS, PRINCE GEORGE'S County, MARYLAND, 20762, UNITED STATES OF AMERICA

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $14.4 million to CHIMES DISTRICT OF COLUMBIA INCORPORATED for work described as: BASE CUSTODIAL Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract duration of nearly 5 years (1796 days) indicates a significant, long-term service requirement. 3. The firm-fixed-price structure provides cost certainty for the government. 4. The contract was awarded to a single vendor, CHIMES DISTRICT OF COLUMBIA INCORPORATED. 5. The service falls under facilities support services, a common government expenditure. 6. The contract was awarded in Maryland, indicating a specific geographic focus for the services.

Value Assessment

Rating: fair

Benchmarking the value of this janitorial contract is challenging without more specific service details and comparable contract data. However, a $14.4 million award over nearly five years suggests an average annual spend of approximately $2.9 million. This figure needs to be compared against the scope of facilities managed, square footage cleaned, and the specific services provided (e.g., frequency of cleaning, specialized services). Without this context, it's difficult to definitively assess if the pricing represents excellent value for money or if it's on the higher side compared to similar contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'full and open competition,' indicating that all responsible sources were permitted to submit bids. The data does not specify the number of bids received, but the designation implies a robust competitive process. A full and open competition generally leads to better price discovery and potentially more favorable terms for the government, as multiple vendors vie for the contract.

Taxpayer Impact: Taxpayers benefit from a competitive process that aims to secure janitorial services at the best possible price. The open competition suggests that the government sought multiple offers, which can drive down costs and ensure a fair market price is achieved.

Public Impact

The primary beneficiaries are the personnel and operations within the Department of the Air Force facilities managed under this contract, ensuring a clean and sanitary environment. The services delivered include essential janitorial and custodial functions, crucial for maintaining government infrastructure. The geographic impact is concentrated in Maryland, where the contract was awarded and services are likely performed. This contract supports jobs within the janitorial services industry, contributing to the local workforce in Maryland.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics or quality assurance details in the provided data makes it difficult to assess the contractor's performance history.
The long contract duration could potentially lead to complacency if not managed with rigorous oversight.
Without knowing the number of bidders, it's hard to confirm the extent of competition and its impact on pricing.

Positive Signals

Awarded through full and open competition, suggesting a fair and transparent procurement process.
The firm-fixed-price contract type provides budget certainty for the agency.
The contract has a defined end date, allowing for future re-competition or reassessment of needs.

Sector Analysis

Janitorial services represent a significant segment within the broader facilities management and support services industry. This sector is characterized by a mix of large, established companies and numerous smaller, specialized providers. Government contracts for janitorial services are common across various agencies, reflecting the ongoing need to maintain government buildings and installations. Benchmarks for such contracts often consider factors like square footage, service frequency, and labor costs, which can vary widely by region and service level.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications or specific impacts on the small business ecosystem stemming from a small business set-aside. The award to CHIMES DISTRICT OF COLUMBIA INCORPORATED, without a small business designation, suggests it is likely a larger entity or that the contract was competed without specific small business considerations.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the contract administration office within the Department of the Air Force. Accountability measures would be embedded in the contract's performance standards and delivery requirements. Transparency is generally facilitated through contract award databases and public reporting, although specific performance details may be internal. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Facilities Maintenance Services
Custodial Services Contracts
Department of Defense Support Services
General Services Administration (GSA) Schedules for Facilities Maintenance

Risk Flags

Potential for service degradation over long contract duration without strict oversight.
Cost certainty is high, but contractor profit margin is directly tied to efficiency.
Lack of specific performance metrics in provided data hinders detailed assessment.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $14.4 million to CHIMES DISTRICT OF COLUMBIA INCORPORATED. BASE CUSTODIAL

Who is the contractor on this award?

The obligated recipient is CHIMES DISTRICT OF COLUMBIA INCORPORATED.

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 $14.4 million.

What is the period of performance?

Start: 2007-05-01. End: 2012-03-31.

What is the track record of CHIMES DISTRICT OF COLUMBIA INCORPORATED with federal contracts, particularly in janitorial services?

To assess the track record of CHIMES DISTRICT OF COLUMBIA INCORPORATED, a review of their past federal contract awards and performance history would be necessary. This would involve examining databases like FPDS-NG or SAM.gov for previous contracts, their values, durations, and any reported performance issues or commendations. Understanding their experience with similar-sized contracts and their ability to meet service level agreements is crucial for evaluating their reliability and capability in fulfilling the current $14.4 million janitorial services contract awarded by the Department of the Air Force. Without specific historical data on this contractor, it's difficult to provide a detailed assessment of their performance.

How does the $14.4 million contract value compare to similar janitorial services contracts awarded by the Department of Defense or other federal agencies?

The $14.4 million contract value for janitorial services over approximately five years (1796 days) translates to an average annual value of roughly $2.9 million. To benchmark this, one would compare it against contracts for similar facilities (e.g., military bases, office buildings) of comparable size and scope. Factors such as geographic location (labor costs), specific services required (e.g., frequency of cleaning, specialized treatments), and the level of security clearance needed for personnel can significantly influence pricing. A comprehensive comparison would involve analyzing the square footage serviced, the number of personnel required, and the specific tasks outlined in the Statement of Work for this contract against those of other federal janitorial contracts.

What are the primary risks associated with a long-term janitorial services contract like this one?

Long-term janitorial services contracts, such as this nearly five-year award, carry several potential risks. One primary risk is the potential for service degradation over time if performance is not rigorously monitored, leading to complacency by the contractor. Another risk is related to cost escalation if the contract terms do not adequately account for inflation or changes in labor costs, although the firm-fixed-price structure mitigates this to some extent. Furthermore, changes in agency needs or facility usage could render the contracted services less optimal, requiring contract modifications or potentially leading to inefficiencies. Finally, reliance on a single contractor for an extended period can reduce flexibility and limit the agency's ability to adopt newer, more cost-effective cleaning technologies or methods that might emerge during the contract's term.

What does the 'firm-fixed-price' contract type imply for the government and the contractor in terms of risk and cost management?

A firm-fixed-price (FFP) contract type means that the price is set and not subject to adjustment based on the contractor's cost experience. For the government, this offers significant cost certainty and budget predictability, as the total expenditure is known upfront. The risk of cost overruns rests primarily with the contractor. If the contractor's costs are higher than anticipated, their profit margin will decrease, and if costs are lower, their profit will increase. For the contractor, an FFP contract requires careful cost estimation and efficient performance to ensure profitability. This contract type is generally preferred by the government for services where the scope of work is well-defined and unlikely to change significantly, such as janitorial services.

How does the geographic location (Maryland) potentially influence the cost and execution of these janitorial services?

The contract's award in Maryland suggests that the janitorial services are likely to be performed within that state. Geographic location significantly influences the cost of services due to variations in local labor rates, cost of living, and operational expenses. Maryland, particularly the areas surrounding major federal installations, often has higher labor costs compared to less urbanized regions. This could mean that the $14.4 million contract value reflects higher wages for cleaning staff, increased costs for supplies, and potentially higher overhead for the contractor operating in this region. Effective execution also depends on the contractor's logistical capabilities within the specified geographic area to ensure timely service delivery across all required locations.

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

Solicitation ID: FA441606R0025

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 4815 SETON DR, BALTIMORE, MD, 21215

Business Categories: AbilityOne Program Participant, Category Business, Nonprofit Organization, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $14,438,217

Exercised Options: $14,438,217

Current Obligation: $14,433,274

Contract Characteristics

Cost or Pricing Data: NO

Timeline