DoD awards $5.4M for shelf stocking and custodial services to Goodwill Easter Seals Miami Valley

Contract Overview

Contract Amount: $5,417,464 ($5.4M)

Contractor: Goodwill Easter Seals Miami Valley

Awarding Agency: Department of Defense

Start Date: 2022-02-01

End Date: 2027-01-31

Contract Duration: 1,825 days

Daily Burn Rate: $3.0K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: SHELF STOCKING AND CUSTODIAL OPERATIONS

Place of Performance

Location: DAYTON, GREENE County, OHIO, 45433

State: Ohio Government Spending

Plain-Language Summary

Department of Defense obligated $5.4 million to GOODWILL EASTER SEALS MIAMI VALLEY for work described as: SHELF STOCKING AND CUSTODIAL OPERATIONS Key points: 1. Contract awarded on a non-competitive basis, raising questions about potential cost savings through competition. 2. The firm-fixed-price contract structure shifts performance risk to the contractor. 3. Services are essential for commissary operations, indicating a critical support function. 4. The contract duration of five years suggests a long-term need for these services. 5. Awardee has a mission-driven focus, potentially aligning with public service goals.

Value Assessment

Rating: fair

The contract value of $5.4 million over five years for shelf stocking and custodial operations appears reasonable given the scope of services. However, without competitive bidding, it is difficult to benchmark the pricing against market rates or identify potential cost efficiencies. The firm-fixed-price nature of the award suggests that the contractor bears the risk of cost overruns, which is a positive indicator for the government. Further analysis would require comparing this award to similar contracts for comparable services, especially those awarded competitively.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a 'NOT AVAILABLE FOR COMPETITION' basis, indicating that a full and open competition was not conducted. The specific reasons for this sole-source award are not detailed in the provided data. Sole-source awards can sometimes lead to higher prices due to the lack of competitive pressure. The absence of multiple bidders means that the government did not benefit from a range of proposals and pricing strategies that typically emerge from a competitive procurement process.

Taxpayer Impact: Taxpayers may not be receiving the best possible value due to the absence of competition, potentially leading to higher costs than if multiple vendors had vied for the contract.

Public Impact

Military personnel and their families benefit from well-stocked commissaries and clean facilities. The services ensure the efficient operation of Defense Commissary Agency stores. The contract impacts the Dayton, Ohio region through employment opportunities. Support services are critical for maintaining morale and quality of life for service members and their families.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may result in suboptimal pricing.
Sole-source award requires strong justification to ensure necessity and fairness.
Performance monitoring is crucial to ensure service quality meets expectations.

Positive Signals

Award to an organization with a social mission (Goodwill) can align with government objectives.
Firm-fixed-price contract shifts cost risk to the contractor.
Long-term contract provides stability for service delivery.

Sector Analysis

The contract falls within the broader support services sector, specifically focusing on facility maintenance and logistics. The North American Industry Classification System (NAICS) code 561990, 'All Other Support Services,' encompasses a wide range of non-classified support activities. The market for such services is generally competitive, with numerous providers capable of offering shelf stocking and custodial operations. However, the specific context of supporting military commissaries may involve unique requirements or existing relationships that influence procurement decisions.

Small Business Impact

The provided data indicates that this contract was not awarded as a small business set-aside, nor does it explicitly mention subcontracting opportunities for small businesses. The awardee, Goodwill Easter Seals Miami Valley, is an organization that often employs individuals with disabilities or other barriers to employment, which aligns with some social objectives but does not automatically translate to small business subcontracting. Further investigation into the contractor's subcontracting plan would be necessary to assess the impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the Defense Commissary Agency (DECA). Performance standards and quality control measures would be outlined in the contract's statement of work. Transparency is generally maintained through contract award databases, though the specifics of sole-source justifications may have limited public visibility. The Inspector General for the Department of Defense would have jurisdiction to investigate any allegations of fraud, waste, or abuse related to this contract.

Related Government Programs

Defense Commissary Agency Operations
Base Support Services
Logistics and Warehousing Support
Facility Maintenance Contracts

Risk Flags

Sole-source award lacks competitive pricing validation.
Performance metrics and oversight details are not publicly available.
Potential for higher costs due to non-competitive nature.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $5.4 million to GOODWILL EASTER SEALS MIAMI VALLEY. SHELF STOCKING AND CUSTODIAL OPERATIONS

Who is the contractor on this award?

The obligated recipient is GOODWILL EASTER SEALS MIAMI VALLEY.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Commissary Agency).

What is the total obligated amount?

The obligated amount is $5.4 million.

What is the period of performance?

Start: 2022-02-01. End: 2027-01-31.

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

The provided data indicates the contract was awarded under 'NOT AVAILABLE FOR COMPETITION,' which is a category for sole-source procurements. Specific justifications for sole-source awards often include factors such as unique capabilities of the contractor, urgent and compelling needs where competition is not feasible, or when only one responsible source exists. Without further documentation from the agency, the precise reason for this non-competitive award remains unclear. Typically, such justifications are detailed in a Justification and Approval (J&A) document, which would need to be accessed through Freedom of Information Act (FOIA) requests or agency-specific portals. Understanding this justification is crucial for assessing whether the government truly exhausted all competitive options and obtained fair value.

How does the annual cost of this contract compare to similar shelf stocking and custodial services at other military installations?

Direct comparison of the annual cost ($5.4M / 5 years = ~$1.08M per year) to similar services at other military installations is challenging without access to a broader dataset of comparable contracts. Factors such as the size and volume of the commissary, geographic location (affecting labor costs), specific service requirements (e.g., hours of operation, frequency of cleaning), and the level of inventory managed can significantly influence pricing. Furthermore, the fact that this contract was sole-sourced prevents a direct benchmark against competitively awarded contracts, which often yield lower prices. To conduct a robust comparison, one would need to identify contracts with similar scope, duration, and performance metrics, ideally those procured through full and open competition, and adjust for regional economic differences.

What are the key performance indicators (KPIs) used to evaluate the contractor's performance?

The provided data does not specify the Key Performance Indicators (KPIs) for this contract. However, for shelf stocking and custodial operations, typical KPIs would likely include metrics related to inventory management (e.g., stockout rates, on-shelf availability), cleanliness standards (e.g., adherence to cleaning schedules, inspection scores), timeliness of restocking, and customer satisfaction related to store conditions. The contract's statement of work (SOW) would detail these performance requirements and the methods for measuring them. Effective monitoring of these KPIs is essential for ensuring the contractor meets the government's needs and maintains the operational readiness of the commissary.

What is the track record of Goodwill Easter Seals Miami Valley in performing similar government contracts?

Goodwill Easter Seals Miami Valley's track record in performing similar government contracts is not detailed in the provided data. However, as an organization often involved in providing employment and training services, particularly for individuals with disabilities, they may have experience in service delivery roles. Their capacity to manage large-scale logistics and facility maintenance for a government entity like the Defense Commissary Agency would depend on their specific operational infrastructure, management expertise, and past performance on contracts of similar size and complexity. A review of their contract history, past performance evaluations, and any debriefings from previous government procurements would be necessary to fully assess their suitability and reliability for this role.

What is the potential impact of this contract on the local workforce in Ohio?

This $5.4 million contract is expected to have a positive impact on the local workforce in Ohio, particularly in the Dayton area where Goodwill Easter Seals Miami Valley is based. The provision of shelf stocking and custodial services typically requires a significant number of personnel for tasks such as receiving, stocking shelves, organizing inventory, and maintaining facility cleanliness. The five-year duration of the contract suggests sustained employment opportunities. Given the mission of Goodwill organizations, there is also a potential for this contract to support job creation for individuals facing employment barriers, contributing to workforce development and community well-being in the region.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Other Support Services › All Other Support Services

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 660 S MAIN ST, DAYTON, OH, 45402

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: $9,854,644

Exercised Options: $9,854,644

Current Obligation: $5,417,464

Actual Outlays: $301,016

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline