Goodwill of Colorado awarded $19M for custodial services to support Air Force Academy dormitories

Contract Overview

Contract Amount: $18,965,509 ($19.0M)

Contractor: Goodwill of Colorado

Awarding Agency: Department of Defense

Start Date: 2010-02-01

End Date: 2015-03-31

Contract Duration: 1,884 days

Daily Burn Rate: $10.1K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: AFA 10-1004 BASE AND DORM CUSTODIAL

Place of Performance

Location: USAF ACADEMY, EL PASO County, COLORADO, 80840, UNITED STATES OF AMERICA

State: Colorado Government Spending

Plain-Language Summary

Department of Defense obligated $19.0 million to GOODWILL OF COLORADO for work described as: AFA 10-1004 BASE AND DORM CUSTODIAL Key points: 1. Contract awarded to a non-profit organization, potentially aligning with social impact goals. 2. The contract utilized a 'not available for competition' justification, raising questions about market exploration. 3. A firm-fixed-price contract type suggests predictable costs for the government. 4. The duration of the contract (over 5 years) indicates a long-term need for these services. 5. The award was made to a single entity, limiting immediate competitive pressure on pricing. 6. The contract value of approximately $19 million over its term warrants scrutiny for value for money.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without comparable janitorial service contracts for similar facilities. The firm-fixed-price structure provides cost certainty, but the absence of competition means there's no direct market comparison to assess if the price was optimal. The total value of $18.9 million over approximately five years suggests a significant investment in maintaining dormitory facilities.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded under a 'not available for competition' justification. This implies that the agency determined that only one source was capable of fulfilling the requirement. Without a competitive bidding process, it is difficult to ascertain the level of competition and its potential impact on price discovery. The lack of multiple bidders suggests limited opportunities for market forces to drive down costs.

Taxpayer Impact: Taxpayers may not have received the benefit of competitive pricing, potentially leading to a higher cost than if multiple firms had vied for the contract.

Public Impact

Service members and students residing in dormitories at the Air Force Academy benefit from maintained living conditions. The contract ensures the provision of essential janitorial and custodial services. The geographic impact is localized to the U.S. Air Force Academy in Colorado. The contract supports the operational readiness and quality of life for personnel at the academy. Employment opportunities are likely generated by Goodwill of Colorado to fulfill these services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may have led to suboptimal pricing.
Long contract duration without competitive re-evaluation could mask inefficiencies.
Reliance on a single provider limits flexibility in service adjustments.

Positive Signals

Award to a non-profit organization aligns with potential social mission objectives.
Firm-fixed-price contract provides budget predictability.
Established relationship with a single provider can ensure continuity of service.

Sector Analysis

The janitorial services sector is highly fragmented, with numerous small and large providers. Government contracts for these services are common across various agencies and facilities. This contract represents a significant portion of spending within the facility maintenance sub-sector for the Department of Defense in Colorado. Comparable contracts would involve other large federal installations requiring similar levels of cleaning and maintenance for residential or operational facilities.

Small Business Impact

This contract was not awarded as a small business set-aside. Goodwill of Colorado, while a non-profit, is a large organization. There is no explicit information on subcontracting plans for small businesses within this award. The impact on the small business ecosystem is likely minimal, as the primary awardee is not a small business, and the contract type does not mandate small business participation.

Oversight & Accountability

Oversight for this contract would typically fall under the contracting officer and the relevant Department of the Air Force administrative units at the Air Force Academy. Performance standards and quality control measures would be defined in the contract's statement of work. Transparency is limited by the sole-source nature of the award, but contract award data is publicly available. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Base Operations Support Contracts
Facility Maintenance Services
Dormitory Management Contracts
Government Cleaning Services

Risk Flags

Sole-source award limits price competition.
Lack of transparency in source selection process.
Potential for higher costs due to absence of bidders.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $19.0 million to GOODWILL OF COLORADO. AFA 10-1004 BASE AND DORM CUSTODIAL

Who is the contractor on this award?

The obligated recipient is GOODWILL OF COLORADO.

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 $19.0 million.

What is the period of performance?

Start: 2010-02-01. End: 2015-03-31.

What is the track record of Goodwill of Colorado in performing similar government custodial contracts?

Information regarding Goodwill of Colorado's specific track record with government custodial contracts of this magnitude is not detailed in the provided data. However, as a large non-profit organization, Goodwill typically engages in various service provision activities, including employment and training programs, and sometimes facilities management. Their ability to secure and execute a multi-million dollar contract with the Department of Defense suggests they possess the organizational capacity and operational experience necessary for such a task. Further investigation into their past performance ratings on federal contracts, if available, would provide a clearer picture of their reliability and quality of service.

How does the awarded price compare to market rates for similar janitorial services in Colorado?

Directly comparing the awarded price of $18.9 million over approximately five years to market rates is difficult without a detailed breakdown of services, square footage, and service frequency. The contract was awarded on a sole-source basis, meaning no competitive bidding occurred to establish a market-driven price. However, general industry data suggests that large-scale custodial contracts for federal facilities can be substantial due to the scope and security requirements. To benchmark effectively, one would need to identify comparable contracts for similar-sized facilities (e.g., other military bases, large university campuses) in the Colorado region and analyze their per-square-foot or per-service-unit costs, adjusting for differences in service levels and contract duration.

What are the primary risks associated with a sole-source award for custodial services?

The primary risk associated with a sole-source award for custodial services is the potential for inflated pricing due to the lack of competitive pressure. Without competing bids, the government may pay more than necessary. Another risk is reduced incentive for the contractor to innovate or improve service quality beyond the minimum contractual requirements, as there is no immediate threat of losing the contract to a competitor. Furthermore, a sole-source award can indicate potential issues with market research or a lack of available qualified sources, which could point to broader systemic risks in service procurement for that specific need.

What is the expected effectiveness of these custodial services in maintaining dormitory conditions?

The effectiveness of the custodial services is contingent upon the detailed requirements outlined in the contract's Statement of Work (SOW) and Goodwill of Colorado's execution capabilities. Assuming the SOW includes comprehensive cleaning schedules, standards for hygiene, and specific tasks for dormitory upkeep, the services should contribute significantly to maintaining acceptable living conditions. The firm-fixed-price nature of the contract incentivizes the contractor to perform the defined scope efficiently. However, ongoing performance monitoring by the Air Force is crucial to ensure that the services consistently meet the required standards and contribute positively to the quality of life for academy residents.

How has federal spending on janitorial services at the Air Force Academy evolved over time?

The provided data only pertains to a single contract awarded from 2010 to 2015. To understand the evolution of federal spending on janitorial services at the Air Force Academy, historical data for previous and subsequent contracts would be required. This would involve analyzing contract awards for custodial and related facility maintenance services at the academy over a longer period. Such an analysis could reveal trends in contract values, types of services procured, and the competitive landscape (e.g., shifts between sole-source and competitive awards) over time, providing context for the $18.9 million award.

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: ONLY ONE SOURCE

Solicitation ID: FA700009R0022

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2320 W COLORADO AVE, COLORADO SPRINGS, CO, 80904

Business Categories: AbilityOne Program Participant, Category Business, Corporate Entity Tax Exempt, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $18,965,509

Exercised Options: $18,965,509

Current Obligation: $18,965,509

Contract Characteristics

Cost or Pricing Data: NO

Timeline