HHS awards $27M for Guard Services to MVM, Inc. via non-competitive delivery order

Contract Overview

Contract Amount: $27,055,184 ($27.1M)

Contractor: MVM, Inc.

Awarding Agency: Department of Health and Human Services

Start Date: 2007-07-27

End Date: 2008-08-31

Contract Duration: 401 days

Daily Burn Rate: $67.5K/day

Competition Type: NON-COMPETITIVE DELIVERY ORDER

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: GUARD SERVICES

Place of Performance

Location: BETHESDA, MONTGOMERY County, MARYLAND, 20892

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $27.1 million to MVM, INC. for work described as: GUARD SERVICES Key points: 1. Spending of $27M on guard services. 2. Sole provider MVM, Inc. secured the contract. 3. Contract awarded via non-competitive delivery order. 4. Risk of limited price discovery due to non-competitive award.

Value Assessment

Rating: fair

The contract value of $27M for a 13-month period appears high for guard services. Benchmarking against similar contracts is difficult without more detailed service scope and location.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded as a non-competitive delivery order, indicating a lack of full and open competition. This method limits price discovery and potentially leads to higher costs for taxpayers.

Taxpayer Impact: The non-competitive nature of this award may result in taxpayers paying a premium for guard services, as market forces were not leveraged to ensure the best price.

Public Impact

Taxpayers may be overpaying for essential security services. Lack of competition raises concerns about service quality and innovation. Limited transparency in the procurement process.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Non-competitive award
Potential for overpricing
Limited transparency

Positive Signals

Essential service provision

Sector Analysis

The security services sector, particularly guard and patrol services, is a significant area of government spending. Benchmarks for this NAICS code (561612) vary widely based on service level and geographic location.

Small Business Impact

There is no indication that small businesses were considered or involved in this procurement, which was awarded non-competitively.

Oversight & Accountability

The non-competitive award mechanism warrants further oversight to ensure the justification for sole-sourcing was robust and that the pricing reflects fair market value.

Related Government Programs

Security Guards and Patrol Services
Department of Health and Human Services Contracting
National Institutes of Health Programs

Risk Flags

Lack of competition
Potential for inflated pricing
Limited transparency in procurement
No small business participation evident

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $27.1 million to MVM, INC.. GUARD SERVICES

Who is the contractor on this award?

The obligated recipient is MVM, INC..

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (National Institutes of Health).

What is the total obligated amount?

The obligated amount is $27.1 million.

What is the period of performance?

Start: 2007-07-27. End: 2008-08-31.

What was the specific justification for awarding this contract non-competitively?

The justification for a non-competitive award typically involves factors such as urgent and compelling needs, unique capabilities of the contractor, or specific government requirements that only one source can meet. Without access to the contract file and associated documentation, the precise reason remains unknown, but it is crucial for ensuring the award was appropriate and in the government's best interest.

How does the $27M contract value compare to market rates for similar guard services?

Directly comparing the $27M contract value to market rates is challenging without detailed service specifications, geographic location, and contract duration. However, given the 13-month period and the non-competitive nature, there's a heightened risk that the price may exceed what could have been achieved through a competitive bidding process. Further analysis would require detailed service scope and location data.

What measures are in place to ensure the effectiveness and quality of guard services provided by MVM, Inc. under this contract?

Effectiveness and quality are typically ensured through performance standards, service level agreements, and regular oversight by the contracting officer's representative (COR). While the contract type is firm fixed price, which shifts some performance risk to the contractor, the government still needs robust monitoring mechanisms to verify that the services meet the required standards and objectives.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Investigation and Security Services › Security Guards and Patrol Services

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: NON-COMPETITIVE DELIVERY ORDER

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1593 SPRING HILL RD STE 700, VIENNA, VA, 22182

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Hispanic American Owned Business, Minority Owned Business, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $27,055,184

Exercised Options: $27,055,184

Current Obligation: $27,055,184

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: GS07F0366K

IDV Type: FSS

Timeline