Department of Defense awards $15.3M custodial services contract to LIFEROOTS, INC for Kirtland Air Force Base

Contract Overview

Contract Amount: $15,322,024 ($15.3M)

Contractor: Liferoots, Inc

Awarding Agency: Department of Defense

Start Date: 2022-05-27

End Date: 2027-05-31

Contract Duration: 1,830 days

Daily Burn Rate: $8.4K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: CUSTODIAL SERVICES FOR KIRTLAND AIR FORCE BASE

Place of Performance

Location: KIRTLAND AFB, BERNALILLO County, NEW MEXICO, 87117

State: New Mexico Government Spending

Plain-Language Summary

Department of Defense obligated $15.3 million to LIFEROOTS, INC for work described as: CUSTODIAL SERVICES FOR KIRTLAND AIR FORCE BASE Key points: 1. Contract awarded on a firm-fixed-price basis, indicating predictable costs for the government. 2. The contract duration of 1830 days suggests a long-term need for these services. 3. The award was not competed, raising questions about potential cost savings through broader market engagement. 4. The specific Public Service Code (PSC) is not detailed, making direct comparisons to similar janitorial service contracts challenging. 5. The contract value of $15.3 million over approximately five years requires careful monitoring for performance and value. 6. The contractor, LIFEROOTS, INC, is the sole awardee, highlighting a lack of demonstrated competition for this specific requirement.

Value Assessment

Rating: fair

The contract value of $15.3 million over five years averages to approximately $3 million annually for custodial services. Without specific performance metrics or detailed service scope, it is difficult to benchmark this against similar contracts. The firm-fixed-price structure provides cost certainty, but the lack of competition means there's no direct market comparison to assess if the pricing is optimal. Further analysis would require understanding the square footage serviced and the specific services included.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded under a 'NOT AVAILABLE FOR COMPETITION' status, indicating that the requirement was not publicly solicited or competed among multiple vendors. This suggests that either only one vendor was deemed capable of meeting the requirement, or there were specific circumstances (e.g., urgent need, unique capabilities) that precluded a competitive process. The lack of competition limits the government's ability to leverage market forces to achieve the best possible price and service.

Taxpayer Impact: The absence of competition means taxpayers may not be benefiting from the most cost-effective pricing that could have been achieved through a bidding process. This could potentially lead to higher overall costs for the government compared to a fully competed contract.

Public Impact

The primary beneficiaries are the personnel and operations at Kirtland Air Force Base, who will receive essential custodial services. The contract ensures a clean and sanitary environment, crucial for military readiness and personnel well-being. The geographic impact is localized to Kirtland Air Force Base in New Mexico. While not explicitly stated, the contract likely supports local employment through the contractor's workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may result in higher costs for taxpayers.
Limited transparency into the justification for sole-source award.
Performance metrics and quality control details are not readily available for assessment.

Positive Signals

Firm-fixed-price contract provides cost certainty.
Long-term contract (5 years) ensures continuity of essential services.
Award to a single entity simplifies contract management.

Sector Analysis

The custodial services sector is a significant part of the facilities management industry, encompassing a wide range of cleaning and maintenance activities. Government contracts for these services are common across various agencies and installations. While specific market size data for federal custodial services is not provided, the industry is generally characterized by numerous small to medium-sized businesses, as well as larger facility management corporations. This contract represents a portion of the Department of Defense's broader spending on base operations and support services.

Small Business Impact

The contract indicates that small business participation was not a primary consideration, as the 'sb' (small business) flag is false and the contract was not set aside for small businesses. There is no information provided regarding subcontracting plans. This suggests that the primary awardee is likely not a small business, and opportunities for small businesses to participate in this contract may be limited unless they are part of the prime contractor's supply chain.

Oversight & Accountability

Oversight for this contract would typically fall under the contracting officer and the relevant administrative contracting officer at the Department of the Air Force. Performance monitoring, quality assurance checks, and invoice approvals are standard oversight mechanisms. Transparency is limited by the sole-source nature of the award and the lack of publicly available detailed performance reports. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Base Operations Support Contracts
Facilities Maintenance Services
Government Cleaning Contracts
Department of Defense Service Contracts

Risk Flags

Sole-source award lacks competitive pricing pressure.
Limited public information on contractor performance and justification for award.
Potential for cost overruns if performance is not rigorously monitored.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $15.3 million to LIFEROOTS, INC. CUSTODIAL SERVICES FOR KIRTLAND AIR FORCE BASE

Who is the contractor on this award?

The obligated recipient is LIFEROOTS, 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 $15.3 million.

What is the period of performance?

Start: 2022-05-27. End: 2027-05-31.

What is the specific justification for awarding this custodial services contract on a sole-source basis?

The provided data indicates the contract was awarded under 'NOT AVAILABLE FOR COMPETITION' (CT: NOT AVAILABLE FOR COMPETITION). This designation typically means that the agency determined that only one responsible source was available or could satisfy the agency's needs. Common reasons include unique capabilities, urgent and compelling needs where competition is not feasible, or specific government property requirements. Without further documentation from the Department of the Air Force, the precise justification remains unspecified in the provided data. This lack of competition warrants scrutiny to ensure taxpayer funds are used efficiently and that market opportunities were not overlooked.

How does the annual cost of this contract compare to industry benchmarks for similar facilities?

The total contract value is $15,322,023.76 over approximately 1830 days (5 years), equating to an average annual cost of roughly $3,064,404.75. Benchmarking this requires detailed information about the scope of services, square footage of Kirtland Air Force Base being serviced, frequency of services, and specific cleaning standards. General industry benchmarks for commercial janitorial services can range widely, from $0.50 to $2.00+ per square foot annually, depending on service intensity. Without knowing the facility size and specific service level agreement, a precise comparison is not feasible. However, the lack of competition suggests this price may not have been optimized through market forces.

What are the key performance indicators (KPIs) and quality assurance measures for this contract?

The provided data does not specify the Key Performance Indicators (KPIs) or the Quality Assurance Surveillance Plan (QASP) for this custodial services contract. Typically, such contracts would include metrics related to cleanliness standards, response times for issues, adherence to schedules, and safety compliance. The firm-fixed-price nature suggests that the contractor is responsible for meeting defined service levels. However, the effectiveness of oversight and the assurance of value for money depend heavily on the robustness of these unstated KPIs and the agency's quality assurance processes.

What is LIFEROOTS, INC's track record with government contracts, particularly for custodial services?

The provided data identifies LIFEROOTS, INC as the contractor but does not offer details on their past performance, track record, or experience with government contracts. A comprehensive assessment would require reviewing their contract history, past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any history of disputes or awards. Without this information, it is difficult to gauge their reliability and capability to fulfill the requirements of this significant contract effectively and efficiently.

What is the historical spending trend for custodial services at Kirtland Air Force Base?

The provided data pertains to a single, new contract awarded in May 2022. It does not offer historical spending data for custodial services at Kirtland Air Force Base. To understand spending trends, one would need to access historical contract awards for similar services at this installation over previous years. This would allow for an analysis of spending patterns, potential cost increases or decreases, and the evolution of contract types and competition levels over time.

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: FA940122R0003

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1111 MENAUL BLVD NE, ALBUQUERQUE, NM, 87107

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: $19,471,185

Exercised Options: $15,394,855

Current Obligation: $15,322,024

Actual Outlays: $5,929,535

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline