DoD Awards $623M Facilities Support Contract to U.S. Defense Systems, LLC
Contract Overview
Contract Amount: $15,751,672 ($15.8M)
Contractor: U.S. Defense Systems, LLC
Awarding Agency: Department of Defense
Start Date: 2003-02-25
End Date: 2007-09-30
Contract Duration: 1,678 days
Daily Burn Rate: $9.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIXED PRICE
Sector: Other
Official Description: 200306!164947!1700!C3191 !NAVAL FACILITIES ENGINEERING COM!N3319103C1161 !A!N! !N! !20030225!20030930!623375854!378520647!045860756!N!U S DEFENSE SYSTEMS, INC !ONE COLONIAL PLACE !GLEN ALLEN !DC!23059!* !* !BA!* !* !BAHRAIN !+000001025381!N!N!000000000000!S206!GUARD SERVICES !S1 !SERVICES !2000!NOT DISCERNABLE OR CLASSIFIED !561210!E! !3! ! ! ! ! !99990909!B! ! !N!Z!A!U!J!2!003!A! !Z!N!Z!B !BA!N!M!N! ! ! ! ! !A!A!000!A!B!N! ! ! ! ! ! !0001! !
Plain-Language Summary
Department of Defense obligated $15.8 million to U.S. DEFENSE SYSTEMS, LLC for work described as: 200306!164947!1700!C3191 !NAVAL FACILITIES ENGINEERING COM!N3319103C1161 !A!N! !N! !20030225!20030930!623375854!378520647!045860756!N!U S DEFENSE SYSTEMS, INC !ONE COLONIAL PLACE !GLEN ALLEN !DC!23059!* !* !BA!* !* … Key points: 1. The contract is for facilities support services, a broad category with significant government spending. 2. Competition was full and open, suggesting a competitive bidding process. 3. The fixed-price contract type aims to control costs, but the large value warrants close monitoring. 4. The sector is dominated by large, established players, making it challenging for smaller firms to compete.
Value Assessment
Rating: good
The contract value of $623.38 million over its period of performance is substantial. Benchmarking against similar facilities support contracts would be necessary to fully assess its pricing.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating multiple bidders likely participated. This method generally promotes competitive pricing and ensures the government receives the best value.
Taxpayer Impact: The competitive nature of the award suggests taxpayers are likely receiving a fair price for the services rendered.
Public Impact
Ensures essential facilities support services for the Department of the Navy. Supports jobs within the facilities management and support services sector. The large contract value could indicate significant operational scale and impact.
Waste & Efficiency Indicators
Waste Risk Score: 75 / 10
Warning Flags
- Potential for cost overruns if scope creep occurs.
- Dependence on a single contractor for critical services.
Positive Signals
- Full and open competition likely secured competitive pricing.
- Fixed-price contract type provides cost certainty.
- Long-term contract allows for stable service provision.
Sector Analysis
Facilities Support Services (NAICS 561210) is a significant sector within government contracting, encompassing a wide range of maintenance, operations, and management services for government facilities. Spending in this sector is generally stable, driven by the ongoing need to maintain government infrastructure.
Small Business Impact
While the contract was awarded to U.S. Defense Systems, LLC, the data does not indicate if small businesses were involved as subcontractors. The nature of large-scale facilities support often involves significant resources, which can be a barrier for smaller entities.
Oversight & Accountability
The contract was awarded by the Department of the Navy, part of the Department of Defense. Standard oversight mechanisms for DoD contracts would apply, including performance monitoring and financial reviews.
Related Government Programs
- Facilities Support Services
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Large contract value increases potential financial risk.
- Fixed-price contract may not fully account for unforeseen operational complexities.
- Dependence on a single contractor for essential services.
- Lack of detail on small business participation.
Tags
facilities-support-services, department-of-defense, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $15.8 million to U.S. DEFENSE SYSTEMS, LLC. 200306!164947!1700!C3191 !NAVAL FACILITIES ENGINEERING COM!N3319103C1161 !A!N! !N! !20030225!20030930!623375854!378520647!045860756!N!U S DEFENSE SYSTEMS, INC !ONE COLONIAL PLACE !GLEN ALLEN !DC!23059!* !* !BA!* !* !BAHRAIN !+000001025381!N!N!000000000000!S206!GUARD SERVICES !S1 !SERVICES !2000!NOT DISCERNABLE OR CLASSIFIED !561210!E! !3! ! ! ! ! !99990909!B
Who is the contractor on this award?
The obligated recipient is U.S. DEFENSE SYSTEMS, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $15.8 million.
What is the period of performance?
Start: 2003-02-25. End: 2007-09-30.
What specific facilities support services are included in this contract, and how do they align with the Navy's operational needs?
The contract specifies 'Facilities Support Services' under NAICS code 561210. This broad category typically includes services such as building operations and maintenance, groundskeeping, custodial services, and potentially specialized support like security or logistics management. The alignment with the Navy's needs would depend on the specific installations and operational requirements being supported, which are not detailed in the provided data.
Given the fixed-price nature, what mechanisms are in place to prevent cost overruns or scope creep over the contract's duration?
Fixed-price contracts aim to shift cost risk to the contractor. However, mechanisms to prevent overruns and scope creep include detailed contract statements of work, clear change order procedures, rigorous performance monitoring by the government, and regular progress reviews. Any deviation from the original scope would typically require a formal modification and potentially a price adjustment, subject to negotiation and approval.
How does the performance of U.S. Defense Systems, LLC on this contract compare to industry benchmarks for facilities support services?
Assessing performance against industry benchmarks requires access to specific performance metrics and quality data for this contract, which is not provided. Key performance indicators for facilities support often include response times, service completion rates, customer satisfaction, and adherence to safety and environmental standards. A comparative analysis would necessitate reviewing contractor performance reports and potentially comparing them to industry best practices.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services
Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Offers Received: 3
Pricing Type: FIXED PRICE (J)
Contractor Details
Parent Company: Armorgroup International PLC (UEI: 736724043)
Address: ONE COLONIAL PLACE, GLEN ALLEN, DC, 23059
Business Categories: Category Business, Not Designated a Small Business
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2003-02-25
Current End Date: 2007-09-30
Potential End Date: 2007-09-30 00:00:00
Last Modified: 2021-07-28
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