GSA's $16.7M Janitorial Services Contract for Indianapolis Federal Center Awarded to Goodwill of Central and Southern Indiana

Contract Overview

Contract Amount: $16,690,585 ($16.7M)

Contractor: Goodwill of Central and Southern Indiana Inc

Awarding Agency: General Services Administration

Start Date: 2008-10-01

End Date: 2013-09-30

Contract Duration: 1,825 days

Daily Burn Rate: $9.1K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: THE CONTRACTOR SHALL PROVIDE THE MANAGEMENT, SUPERVISION, MANPOWER, EQUIPMENT AND SUPPLIES NECES-SARY TO PROVIDE JANITORIAL AND RELATED SERVICES AS DESCRIBED HEREIN. THE CONTRACTOR SHALL BE RESPONSIBLE FOR PERFORMING ALL WORK UNDER THIS CONTRACT IN ACCORDANCE WITH ALL FEDERAL, STATE, COUNTY, AND CITY LAWS, AND CODES, AND FOLLOW THE MORE STRINGENT OF THEM. IN ADDITION TO COMPLIANCE WITH THESE LAWS, THE CONTRACTOR SHALL FOLLOW ALL APPLICABLE STANDARD INDUSTRY PRACTICES INCLUDING, BUT NOT LIMITED TO: OCCUPATIONAL SAFETY AND HEALTH ACT (OSHA) AND NIBS. JANITORIAL & RELATED SERVICES AT THE MAJOR GENERAL EMMETT J. BEAN FEDERAL CENTER, 8899 E. 56TH STREET, INDIANAPOLIS, IN 46249.

Place of Performance

Location: INDIANAPOLIS, MARION County, INDIANA, 46249

State: Indiana Government Spending

Plain-Language Summary

General Services Administration obligated $16.7 million to GOODWILL OF CENTRAL AND SOUTHERN INDIANA INC for work described as: THE CONTRACTOR SHALL PROVIDE THE MANAGEMENT, SUPERVISION, MANPOWER, EQUIPMENT AND SUPPLIES NECES-SARY TO PROVIDE JANITORIAL AND RELATED SERVICES AS DESCRIBED HEREIN. THE CONTRACTOR SHALL BE RESPONSIBLE FOR PERFORMING ALL WORK UNDER THIS CONTRACT IN ACCORDANCE WITH ALL FEDERAL, ST… Key points: 1. Contract awarded to a non-profit organization, potentially aligning with social impact goals. 2. Long-term contract duration of 5 years suggests a stable, ongoing need for services. 3. The contract type is Firm Fixed Price, which shifts cost risk to the contractor. 4. Services are for janitorial and related functions at a specific federal facility. 5. The contract was not competed, raising questions about potential cost savings from competition. 6. Geographic focus on Indianapolis, Indiana, indicates localized service delivery.

Value Assessment

Rating: fair

The contract value of $16.7 million over five years for janitorial services at a single federal center appears to be within a reasonable range for such a large facility. However, without specific benchmarks for janitorial services at comparable federal buildings or detailed service requirements, a precise value-for-money assessment is challenging. The firm-fixed-price structure provides cost certainty but may not capture the lowest possible price if competition were robust.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was designated as 'NOT AVAILABLE FOR COMPETITION,' indicating it was not openly competed. The specific reasons for this designation are not provided in the data. A lack of competition means that the government did not explore offers from multiple potential providers, which could limit price discovery and potentially lead to higher costs than if the contract had been competed.

Taxpayer Impact: The absence of competition means taxpayers may not have benefited from the cost savings that typically arise from a competitive bidding process, where multiple vendors vie for the contract by offering their best prices.

Public Impact

The primary beneficiary is the General Services Administration (GSA) and the occupants of the Major General Emmett J. Bean Federal Center in Indianapolis. The contract ensures the provision of essential janitorial and related services, maintaining the cleanliness and functionality of the federal facility. The geographic impact is localized to Indianapolis, Indiana. The contract supports employment through the contractor, Goodwill of Central and Southern Indiana, a non-profit organization known for employing individuals with disabilities and other barriers to employment.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may have resulted in a higher price than a competed contract.
Limited transparency into the justification for the sole-source award.
Performance details and quality metrics are not readily available in the provided data.

Positive Signals

Award to a non-profit organization aligns with potential social mission objectives.
Firm-fixed-price contract provides budget certainty for the government.
Long-term contract indicates a stable and reliable service provider.

Sector Analysis

Janitorial services fall under the broader facilities maintenance and management sector. This sector is characterized by a mix of large, established companies and smaller, specialized providers. Federal contracts for janitorial services are common across various agencies and facilities nationwide. Benchmarking spending in this area is difficult without specific service scope, but the annual value of this contract suggests a significant facility requiring extensive services.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false) and there is no specific information regarding subcontracting plans. As the awardee is a large non-profit organization, the direct impact on the small business ecosystem is likely minimal unless they engage small businesses for subcontracted services, which is not detailed here.

Oversight & Accountability

Oversight for this contract would typically reside with the General Services Administration (GSA), specifically the Public Buildings Service. Accountability measures would be defined in the contract's Performance Work Statement (PWS). Transparency is limited by the 'not available for competition' designation and the lack of detailed performance reporting in the provided data. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Federal Building Maintenance Contracts
Government Facility Services
Janitorial and Cleaning Services
GSA Building Operations

Risk Flags

Lack of Competition
Potential for Overpricing
Limited Transparency on Award Justification

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $16.7 million to GOODWILL OF CENTRAL AND SOUTHERN INDIANA INC. THE CONTRACTOR SHALL PROVIDE THE MANAGEMENT, SUPERVISION, MANPOWER, EQUIPMENT AND SUPPLIES NECES-SARY TO PROVIDE JANITORIAL AND RELATED SERVICES AS DESCRIBED HEREIN. THE CONTRACTOR SHALL BE RESPONSIBLE FOR PERFORMING ALL WORK UNDER THIS CONTRACT IN ACCORDANCE WITH ALL FEDERAL, STATE, COUNTY, AND CITY LAWS, AND CODES, AND FOLLOW THE MORE STRINGENT OF THEM. IN ADDITION TO COMPLIANCE WITH THESE LAWS, THE CONTRACTOR SHALL FOLLOW ALL APPLICABLE STANDARD INDUSTRY PRACTICES INCLUDING, BUT NOT LIMITED

Who is the contractor on this award?

The obligated recipient is GOODWILL OF CENTRAL AND SOUTHERN INDIANA INC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Public Buildings Service).

What is the total obligated amount?

The obligated amount is $16.7 million.

What is the period of performance?

Start: 2008-10-01. End: 2013-09-30.

What specific services are included under 'janitorial and related services' for this contract?

The contract data specifies 'JANITORIAL AND RELATED SERVICES AT THE MAJOR GENERAL EMMETT J. BEAN FEDERAL CENTER'. While the exact scope is not detailed, 'related services' typically encompass tasks beyond basic cleaning, such as waste removal, floor care, window washing, restroom sanitation, and potentially minor maintenance or upkeep tasks within the facility. A comprehensive Performance Work Statement (PWS) would outline the precise duties, frequency, and quality standards required for each service to ensure the facility meets federal standards for cleanliness and safety.

Why was this contract designated as 'NOT AVAILABLE FOR COMPETITION'?

The provided data simply states 'CT: NOT AVAILABLE FOR COMPETITION' without offering a specific justification. Common reasons for non-competitive awards include urgent and compelling needs where only one source can fulfill the requirement, specific government property or capabilities possessed by only one source, or certain types of follow-on work where a specific contractor's proprietary knowledge is essential. Without further documentation from the GSA, the exact rationale remains unclear, preventing a full assessment of the necessity for a sole-source award.

How does the $16.7 million contract value compare to similar janitorial contracts for federal buildings of comparable size?

Benchmarking this $16.7 million contract value requires detailed comparison data on janitorial services for federal buildings of similar size, age, and location, which is not readily available. However, for a large federal center over a five-year period (approximately $3.34 million annually), this figure suggests a substantial scope of work. Factors influencing cost include the square footage, number of occupants, specific cleaning standards (e.g., LEED requirements), frequency of service, and inclusion of specialized services. The firm-fixed-price nature also means the contractor absorbed potential cost increases.

What is the track record of Goodwill of Central and Southern Indiana in performing large federal contracts?

Goodwill of Central and Southern Indiana is a well-established non-profit organization with a mission focused on employment and training for individuals facing barriers. While their primary focus is often on workforce development and retail operations, many Goodwill chapters successfully manage government contracts, particularly for services like custodial work, laundry, and groundskeeping. Their ability to secure and manage a contract of this size suggests they have demonstrated the capacity, infrastructure, and management expertise required for federal service delivery, often leveraging their social mission as a key operational driver.

What are the potential risks associated with a sole-source award for janitorial services?

The primary risk of a sole-source award is the potential for paying a higher price than would be achieved through competition. Without competing bids, the government loses the opportunity to leverage market forces to drive down costs. Additionally, there's a risk of complacency from the contractor, as there's no immediate threat of losing the business to a competitor. This could potentially impact service quality or innovation over the contract's duration if not managed through robust performance monitoring and contract administration by the GSA.

What is the significance of the contract being awarded to a non-profit organization like Goodwill?

Awarding the contract to Goodwill of Central and Southern Indiana signifies a potential alignment with federal goals to support social enterprises and provide employment opportunities for individuals with disabilities or other disadvantages. Non-profit organizations often have unique operational models and may prioritize mission fulfillment alongside service delivery. This can lead to positive community impacts, such as job creation and skill development, beyond the basic requirement of maintaining the federal facility.

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

Solicitation ID: GS-05P-08-SC-C-0007

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1635 W MICHIGAN ST, INDIANAPOLIS, IN, 07

Business Categories: Category Business, Corporate Entity Tax Exempt, Manufacturer of Goods, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $26,149,235

Exercised Options: $16,690,585

Current Obligation: $16,690,585

Contract Characteristics

Cost or Pricing Data: NOT OBTAINED - WAIVED

Timeline