DoD awards $14M for Tripler AMC environmental cleaning, with TLS Joint Venture LLC securing the contract

Contract Overview

Contract Amount: $13,977,987 ($14.0M)

Contractor: TLS Joint Venture LLC

Awarding Agency: Department of Defense

Start Date: 2024-07-22

End Date: 2026-09-30

Contract Duration: 800 days

Daily Burn Rate: $17.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: HEALTHCARE ENVIRONMENTAL CLEANING SERVICES AT TRIPLER ARMY MEDICAL CENTER, FORT SHAFTER, HAWAII.

Place of Performance

Location: TRIPLER ARMY MEDICAL CENTER, HONOLULU County, HAWAII, 96859

State: Hawaii Government Spending

Plain-Language Summary

Department of Defense obligated $14.0 million to TLS JOINT VENTURE LLC for work described as: HEALTHCARE ENVIRONMENTAL CLEANING SERVICES AT TRIPLER ARMY MEDICAL CENTER, FORT SHAFTER, HAWAII. Key points: 1. Contract value of $13.98M for environmental cleaning services. 2. TLS Joint Venture LLC is the awardee. 3. Competition method was 'Full and Open Competition After Exclusion of Sources'. 4. The contract spans from July 2024 to September 2026. 5. Services are categorized under Janitorial Services (NAICS 561720).

Value Assessment

Rating: good

The contract value of $13.98M appears reasonable for environmental cleaning services at a large medical facility like Tripler Army Medical Center. Benchmarking against similar contracts for large-scale medical facility cleaning would provide a more precise assessment.

Cost Per Unit: $17,472 (per delivery order, average)

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating a competitive process was intended. This method aims to ensure fair pricing and access for qualified vendors, though the exclusion clause warrants further review.

Taxpayer Impact: The competitive award process is designed to achieve value for taxpayer money by soliciting bids from multiple sources, potentially leading to cost savings compared to non-competitive awards.

Public Impact

Ensures a clean and sanitary environment at a major military medical facility, crucial for patient health and safety. Supports the operational readiness of Tripler Army Medical Center by providing essential support services. The contract award contributes to the local economy in Hawaii through service provision and potential employment.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for limited vendor pool due to 'Exclusion of Sources' clause.
Firm Fixed Price contract may not fully account for unforeseen environmental changes or emergencies.

Positive Signals

Full and open competition aims for best value.
Long-term contract provides service stability for the medical center.
Awardee is a joint venture, potentially indicating capacity and specialized expertise.

Sector Analysis

This contract falls within the professional and commercial cleaning services sector. Spending benchmarks for janitorial services at large federal facilities can vary significantly based on size, scope, and location. The $13.98M value over two years suggests a substantial requirement.

Small Business Impact

The data indicates that small business participation was not a factor in this award (sb: false). Further analysis would be needed to determine if opportunities for small businesses were overlooked or if the nature of the requirement precluded their involvement.

Oversight & Accountability

The Department of Defense, through the Defense Health Agency, is responsible for overseeing this contract. Standard oversight mechanisms for service contracts, including performance monitoring and quality assurance, should be in place to ensure compliance and effectiveness.

Related Government Programs

Janitorial Services
Department of Defense Contracting
Defense Health Agency Programs

Risk Flags

Potential for limited competition due to exclusion clause.
Lack of small business participation.
Firm Fixed Price contract may lack flexibility for unforeseen circumstances.
Geographic concentration of services in Hawaii may limit vendor options.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $14.0 million to TLS JOINT VENTURE LLC. HEALTHCARE ENVIRONMENTAL CLEANING SERVICES AT TRIPLER ARMY MEDICAL CENTER, FORT SHAFTER, HAWAII.

Who is the contractor on this award?

The obligated recipient is TLS JOINT VENTURE LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $14.0 million.

What is the period of performance?

Start: 2024-07-22. End: 2026-09-30.

What specific criteria led to the 'Exclusion of Sources' in the full and open competition, and did this exclusion limit potential cost savings?

The 'Exclusion of Sources' clause in a full and open competition typically means that while the competition was open to all responsible sources, certain pre-identified sources were excluded based on specific criteria, such as past performance, security requirements, or unique capabilities. Understanding these criteria is vital to assess if the exclusion was justified and if it potentially limited the number of bidders, thereby impacting price discovery and overall value for the taxpayer.

How does the per-unit cost benchmark of $17,472 compare to industry standards for similar environmental cleaning services in a large medical facility in Hawaii?

The average per-unit cost of $17,472 (derived from total contract value divided by the number of delivery orders) needs to be benchmarked against industry standards for large-scale medical facility cleaning in Hawaii. Factors like square footage, frequency of service, specialized cleaning requirements (e.g., biohazard), and labor costs in the region will influence this comparison. A higher benchmark might be justified by unique facility needs or local economic conditions.

What are the key performance indicators (KPIs) for this contract, and how will their achievement be measured to ensure effective service delivery and taxpayer value?

Effective service delivery hinges on clearly defined KPIs related to cleanliness standards, response times for urgent requests, waste management protocols, and adherence to infection control measures. The contracting agency should have a robust quality assurance surveillance plan (QASP) to monitor these KPIs. Regular performance reviews and feedback mechanisms are essential to ensure the contractor meets expectations and that taxpayer funds are yielding the desired public health and safety outcomes.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Services to Buildings and Dwellings › Janitorial Services

Product/Service Code: MEDICAL SERVICES › OTHER MEDICAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: HT940823R0003

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1532 BALDWIN LAKES DR, GROVETOWN, GA, 30813

Business Categories: Black American Owned Business, Category Business, Limited Liability Corporation, Minority Owned Business, Partnership or Limited Liability Partnership, SBA Certified 8 a Joint Venture, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $66,348,415

Exercised Options: $24,441,730

Current Obligation: $13,977,987

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HT940824D0009

IDV Type: IDC

Timeline