HHS awards $18M for Logistics Preparedness Support Services to SRM Group, LLC

Contract Overview

Contract Amount: $18,053,699 ($18.1M)

Contractor: SRM Group, LLC

Awarding Agency: Department of Health and Human Services

Start Date: 2009-08-31

End Date: 2014-02-28

Contract Duration: 1,642 days

Daily Burn Rate: $11.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: LABOR HOURS

Sector: Other

Official Description: SUPPORT SERVICE REQUIREMENTS FOR LOGISTICS PREPAREDNESS AND RESPONSE OPERATIONS.

Place of Performance

Location: ALEXANDRIA, FAIRFAX County, VIRGINIA, 22309, UNITED STATES OF AMERICA

State: Virginia Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $18.1 million to SRM GROUP, LLC for work described as: SUPPORT SERVICE REQUIREMENTS FOR LOGISTICS PREPAREDNESS AND RESPONSE OPERATIONS. Key points: 1. Contract awarded to SRM Group, LLC for logistics preparedness and response operations. 2. The contract value is $18,053,699.33 over a period of 1642 days. 3. Competition was full and open, suggesting a competitive bidding process. 4. The sector is Facilities Support Services, with NAICS code 561210. 5. The contract was awarded under the VA (Veterans Affairs) status.

Value Assessment

Rating: fair

The contract value of $18M for logistics support services appears reasonable given the duration and scope. Benchmarking against similar contracts for facilities support services would provide a clearer picture of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, which typically leads to better price discovery and potentially lower costs for the government. The use of labor hours indicates payment based on effort expended.

Taxpayer Impact: The competitive nature of the award suggests taxpayers likely received a fair price for the services rendered, though a detailed cost analysis would confirm this.

Public Impact

Ensures continuity of essential logistics operations for public health emergencies. Supports the Department of Health and Human Services' mission in preparedness and response. Provides critical services that can impact national health and safety during crises.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics in provided data.
Potential for cost overruns if labor hours are not managed effectively.

Positive Signals

Full and open competition promotes market efficiency.
Supports critical government functions in health and emergency response.

Sector Analysis

The Facilities Support Services sector encompasses a wide range of services essential for government operations. Spending in this sector can vary significantly based on agency needs and infrastructure requirements. This contract falls within a critical area for HHS.

Small Business Impact

The data indicates that small business participation was not a factor in this award (ss: false, sb: false). Further analysis would be needed to determine if opportunities were missed for small businesses in this procurement.

Oversight & Accountability

Oversight would typically involve monitoring contractor performance against contract requirements and ensuring adherence to labor hour limitations. The 'VA' status might imply specific oversight protocols related to veteran services or facilities.

Related Government Programs

Facilities Support Services
Department of Health and Human Services Contracting
Office of the Assistant Secretary for Administration Programs

Risk Flags

Potential for cost creep due to labor hour basis.
Limited insight into specific performance metrics.
No indication of small business utilization.
Contract duration is substantial, requiring ongoing monitoring.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $18.1 million to SRM GROUP, LLC. SUPPORT SERVICE REQUIREMENTS FOR LOGISTICS PREPAREDNESS AND RESPONSE OPERATIONS.

Who is the contractor on this award?

The obligated recipient is SRM GROUP, LLC.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Office of the Assistant Secretary for Administration).

What is the total obligated amount?

The obligated amount is $18.1 million.

What is the period of performance?

Start: 2009-08-31. End: 2014-02-28.

What specific logistics preparedness and response operations are covered under this contract?

The contract likely covers a broad spectrum of logistical support, including but not limited to, supply chain management, warehousing, transportation coordination, and readiness assessments for emergency response. Specific details would be found in the contract's statement of work, outlining the exact services required by HHS for their preparedness and response initiatives.

How effectively were costs controlled given the labor hour payment structure?

Without detailed performance reports or cost breakdowns, it's difficult to assess cost control effectiveness. The government would typically monitor labor hours billed against estimated effort and task completion to prevent overspending. The 'AW' (Awarded Amount) of $18M suggests a ceiling, but actual spending depends on utilized hours.

What is the long-term impact of this contract on HHS's logistical capabilities?

This contract likely enhances HHS's ability to respond to health crises by ensuring robust logistical support. Its duration suggests a strategic investment in maintaining and improving these capabilities. The effectiveness would be measured by the seamless execution of logistics during actual emergencies or preparedness exercises.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 6910 RICHMOND HIGHWAY, SUITE 500, ALEXANDRIA, VA, 22306

Business Categories: Category Business, Not Designated a Small Business, Subchapter S Corporation

Financial Breakdown

Contract Ceiling: $18,053,699

Exercised Options: $18,053,699

Current Obligation: $18,053,699

Parent Contract

Parent Award PIID: GS10F0282U

IDV Type: FSS

Timeline