DoD's Navy Awards $11.7M for Lodging Rentals to Countrywide Quality Services, LLC
Contract Overview
Contract Amount: $11,706,592 ($11.7M)
Contractor: Countrywide Quality Services, LLC
Awarding Agency: Department of Defense
Start Date: 2025-08-04
End Date: 2026-07-01
Contract Duration: 331 days
Daily Burn Rate: $35.4K/day
Competition Type: COMPETED UNDER SAP
Number of Offers Received: 17
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: THE REQUIRED SERVICES ARE FOR THE SIMPLE RENTAL OF LODGING. THE RENTAL SERVICES REQUIRE THE CONTRACTOR TO PROVIDE LODGING IN ACCORDANCE WITH THE STATEMENT OF WORK.
Place of Performance
Location: GROTON, NEW LONDON County, CONNECTICUT, 06340
Plain-Language Summary
Department of Defense obligated $11.7 million to COUNTRYWIDE QUALITY SERVICES, LLC for work described as: THE REQUIRED SERVICES ARE FOR THE SIMPLE RENTAL OF LODGING. THE RENTAL SERVICES REQUIRE THE CONTRACTOR TO PROVIDE LODGING IN ACCORDANCE WITH THE STATEMENT OF WORK. Key points: 1. Spending focuses on basic lodging rental services. 2. Contract awarded under Simplified Acquisition Procedures (SAP). 3. No small business participation noted. 4. Potential for higher costs due to limited competition.
Value Assessment
Rating: fair
The contract value of $11.7M for lodging rental over 331 days appears high. Benchmarking against similar government lodging contracts or commercial rates is difficult without more specific service details, but the per-unit cost could be elevated.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was competed under SAP, suggesting a limited competition environment. This method, while potentially faster, may not yield the best price discovery compared to full and open competition, especially for a significant dollar amount.
Taxpayer Impact: Taxpayer funds are being used for lodging. The limited competition raises concerns about whether the most cost-effective solution was secured.
Public Impact
Ensures essential lodging is available for Navy personnel. Supports the operational readiness of the Department of the Navy. Potential for increased costs impacts overall defense budget allocation.
Waste & Efficiency Indicators
Waste Risk Score: 30 / 10
Warning Flags
- Limited competition for a substantial contract value.
- Lack of small business participation.
- Unclear if best value was achieved.
Positive Signals
- Provides necessary lodging services.
- Contract supports military operational needs.
Sector Analysis
The spending falls under the 'Lessors of Residential Buildings and Dwellings' NAICS code, typically associated with real estate and facilities management. Government spending in this sector often involves leasing office space, housing, or specialized facilities, with costs varying widely based on location and duration.
Small Business Impact
The data indicates that this contract was not awarded to a small business, nor does it appear to have provisions for small business subcontracting. This represents a missed opportunity to support small business participation in government contracting.
Oversight & Accountability
Oversight would involve ensuring the contractor meets all terms of the Statement of Work for lodging provision and that the pricing remains fair throughout the contract duration. The use of SAP warrants scrutiny to confirm adequate justification for limited competition.
Related Government Programs
- Lessors of Residential Buildings and Dwellings
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- High contract value awarded under SAP.
- Lack of transparency in pricing justification.
- No small business participation.
- Potential for inflated costs due to limited competition.
Tags
lessors-of-residential-buildings-and-dwe, department-of-defense, ct, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $11.7 million to COUNTRYWIDE QUALITY SERVICES, LLC. THE REQUIRED SERVICES ARE FOR THE SIMPLE RENTAL OF LODGING. THE RENTAL SERVICES REQUIRE THE CONTRACTOR TO PROVIDE LODGING IN ACCORDANCE WITH THE STATEMENT OF WORK.
Who is the contractor on this award?
The obligated recipient is COUNTRYWIDE QUALITY SERVICES, 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 $11.7 million.
What is the period of performance?
Start: 2025-08-04. End: 2026-07-01.
What specific factors justify the $11.7M cost for lodging rental, and how does this compare to market rates for similar accommodations in the specified region?
The justification for the $11.7M cost is not detailed in the provided data. A thorough analysis would require comparing the contract's specific requirements (e.g., number of units, duration, amenities, location) against prevailing market rates for comparable residential building leases or extended-stay hotel accommodations in Connecticut. Without this, it's difficult to ascertain if the price represents good value.
What risks are associated with awarding a significant lodging contract under Simplified Acquisition Procedures (SAP), particularly regarding price fairness and vendor performance?
Awarding a contract of this magnitude under SAP, which is designed for smaller purchases, introduces risks. These include potentially limited price competition, reduced transparency, and a higher likelihood of not achieving the best possible value for the government. Vendor performance risks remain, but the primary concern with SAP for larger contracts is the potential for suboptimal pricing and less rigorous vetting.
How effectively does this contract support the Department of the Navy's mission, and are there alternative, potentially more cost-effective solutions for securing lodging?
The contract effectively supports the Navy's mission by providing necessary lodging, crucial for operational readiness and personnel support. However, the effectiveness in terms of cost is questionable due to limited competition. Exploring alternative solutions like master lease agreements with multiple providers, negotiating bulk rates with hotel chains, or utilizing existing government-owned facilities could potentially yield better cost-efficiency.
Industry Classification
NAICS: Real Estate and Rental and Leasing › Lessors of Real Estate › Lessors of Residential Buildings and Dwellings
Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › TRAVEL, LODGING, RECRUITMENT SVCS
Competition & Pricing
Extent Competed: COMPETED UNDER SAP
Solicitation Procedures: SIMPLIFIED ACQUISITION
Offers Received: 17
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 409 E 2ND ST, DEER PARK, TX, 77536
Business Categories: Category Business, Joint Venture Women Owned Small Business, Limited Liability Corporation, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $11,706,592
Exercised Options: $11,706,592
Current Obligation: $11,706,592
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Timeline
Start Date: 2025-08-04
Current End Date: 2026-07-01
Potential End Date: 2026-07-01 00:00:00
Last Modified: 2025-11-03
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