NASA's $30M custodial and waste management contract awarded to Melwood Horticultural Training Center, Inc. shows mixed value

Contract Overview

Contract Amount: $30,269,137 ($30.3M)

Contractor: Melwood Horticultural Training Center, Inc.

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2014-12-31

End Date: 2020-06-30

Contract Duration: 2,008 days

Daily Burn Rate: $15.1K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: IGF::OT::IGF CUSTODIAL, LANDSCAPING, RECYCLING, AND TRASH REMOVAL SERVICES AT NATIONAL AERONAUTICS AND SPACE ADMINISTRATION'S GODDARD SPACE FLIGHT CENTER, GREENBELT, MD.

Place of Performance

Location: GREENBELT, PRINCE GEORGES County, MARYLAND, 20771

State: Maryland Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $30.3 million to MELWOOD HORTICULTURAL TRAINING CENTER, INC. for work described as: IGF::OT::IGF CUSTODIAL, LANDSCAPING, RECYCLING, AND TRASH REMOVAL SERVICES AT NATIONAL AERONAUTICS AND SPACE ADMINISTRATION'S GODDARD SPACE FLIGHT CENTER, GREENBELT, MD. Key points: 1. The contract's value proposition appears fair, with a total award of over $30 million for a period of approximately 5.5 years. 2. Competition dynamics were limited, as the contract was not available for full and open competition. 3. Risk indicators are moderate, with a firm fixed-price contract type mitigating some cost overrun risks. 4. Performance context suggests a long-standing relationship, with the contract duration extending over several years. 5. Sector positioning places this contract within the facilities support services industry, a common area for government procurement.

Value Assessment

Rating: fair

The total award of $30,269,137.32 over roughly 5.5 years averages to approximately $5.5 million annually. Benchmarking this against similar custodial and waste management contracts for large federal facilities is challenging without more specific service details and geographic comparisons. However, the firm fixed-price nature of the contract provides cost certainty for the government, which is a positive indicator of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was designated as 'NOT AVAILABLE FOR COMPETITION,' indicating a sole-source or limited competition award. The specific justification for this limited competition is not provided in the data. A lack of full and open competition can limit price discovery and potentially lead to higher costs for the government.

Taxpayer Impact: Taxpayers may not have received the benefit of the most competitive pricing due to the absence of a broad bidding process.

Public Impact

The primary beneficiary is the National Aeronautics and Space Administration (NASA) Goddard Space Flight Center, which receives essential custodial, landscaping, recycling, and trash removal services. These services ensure a clean, safe, and functional working environment for NASA personnel and visitors. The geographic impact is localized to Greenbelt, Maryland, where the Goddard Space Flight Center is located. The contract supports employment through Melwood Horticultural Training Center, Inc., which has a mission focused on training and employing individuals with disabilities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Limited competition raises concerns about potentially paying a premium compared to a fully competed contract.
  • Lack of detailed performance metrics makes it difficult to assess the true effectiveness and efficiency of the services provided.
  • The long duration of the contract, if not managed closely, could lead to complacency or reduced incentive for cost savings.

Positive Signals

  • The firm fixed-price contract type offers budget predictability and protects against cost overruns.
  • Awarding to Melwood Horticultural Training Center, Inc. aligns with social objectives by supporting employment for individuals with disabilities.
  • The contract provides essential services that maintain the operational integrity of a critical NASA facility.

Sector Analysis

This contract falls within the broader facilities support services sector, which includes a wide range of services necessary for the operation and maintenance of government and commercial properties. This sector is characterized by numerous providers, from large integrated service companies to smaller specialized firms. Government spending in this area is substantial and consistent, driven by the need to maintain federal buildings and installations. Comparable spending benchmarks would typically involve analyzing per-square-foot costs for janitorial, landscaping, and waste management services at similar-sized federal installations.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). While the primary contractor, Melwood Horticultural Training Center, Inc., may have its own mission-related employment goals, there is no explicit information regarding subcontracting opportunities for small businesses within this award. The absence of a small business set-aside means that larger businesses or specialized organizations were likely the focus of this procurement.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the relevant program officials within NASA's Goddard Space Flight Center. Accountability measures would be outlined in the contract's terms and conditions, including performance standards and reporting requirements. Transparency is facilitated through federal procurement databases, though specific performance evaluations are often internal. The Inspector General's office for NASA would have jurisdiction to investigate any allegations of fraud, waste, or abuse related to this contract.

Related Government Programs

  • NASA Goddard Space Flight Center Operations Support
  • Federal Facilities Maintenance Contracts
  • Government Custodial Services
  • Waste Management and Recycling Services
  • Landscaping and Grounds Maintenance Contracts

Risk Flags

  • Limited competition may result in suboptimal pricing.
  • Lack of detailed performance metrics hinders objective assessment.
  • Contract duration could reduce incentive for efficiency if not actively managed.

Tags

nasa, goddard-space-flight-center, facilities-support-services, custodial-services, landscaping-services, waste-management, recycling-services, firm-fixed-price, definitive-contract, sole-source, maryland, melwood-horticultural-training-center-inc

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $30.3 million to MELWOOD HORTICULTURAL TRAINING CENTER, INC.. IGF::OT::IGF CUSTODIAL, LANDSCAPING, RECYCLING, AND TRASH REMOVAL SERVICES AT NATIONAL AERONAUTICS AND SPACE ADMINISTRATION'S GODDARD SPACE FLIGHT CENTER, GREENBELT, MD.

Who is the contractor on this award?

The obligated recipient is MELWOOD HORTICULTURAL TRAINING CENTER, INC..

Which agency awarded this contract?

Awarding agency: National Aeronautics and Space Administration (National Aeronautics and Space Administration).

What is the total obligated amount?

The obligated amount is $30.3 million.

What is the period of performance?

Start: 2014-12-31. End: 2020-06-30.

What is the historical spending trend for custodial, landscaping, recycling, and trash removal services at NASA's Goddard Space Flight Center?

The provided data focuses on a single definitive contract awarded from December 31, 2014, to June 30, 2020, with a total value of $30,269,137.32. This represents a significant portion of spending for these services during that period. To understand the historical trend, one would need to examine prior contracts for similar services at Goddard Space Flight Center, looking at award amounts, durations, and contractor performance over a longer timeframe (e.g., the last 10-20 years). Analyzing trends would reveal whether spending has increased, decreased, or remained relatively stable, and whether contract values have escalated due to inflation, increased scope, or changes in service requirements. Without access to historical contract data beyond this single award, a comprehensive trend analysis is not possible.

How does the per-square-foot cost of these services compare to industry benchmarks for similar federal facilities?

The provided data does not include the square footage of the NASA Goddard Space Flight Center, which is essential for calculating a per-square-foot cost. Additionally, the specific details of the services rendered (e.g., frequency of cleaning, types of landscaping, waste disposal volumes) are not itemized. To perform this comparison, one would need the total square footage of the facility, a breakdown of the services provided, and the total contract value. Then, this calculated per-square-foot cost could be benchmarked against industry reports or government cost-estimating guides for custodial, landscaping, and waste management services at comparable federal installations. Given the 'NOT AVAILABLE FOR COMPETITION' status, it's plausible that the pricing might not be as competitive as a fully bid contract, making benchmarking crucial for assessing value.

What is Melwood Horticultural Training Center, Inc.'s track record with federal contracts, particularly in facilities management?

Melwood Horticultural Training Center, Inc. has a history of performing federal contracts, often leveraging its social mission to employ individuals with disabilities. Information available through federal procurement databases (like SAM.gov or FPDS) would detail their past awards, including contract types, values, agencies served, and performance ratings, if available. For this specific contract, the duration (2014-2020) suggests a sustained performance period. A review of their contract history would reveal their experience in delivering custodial, landscaping, and waste removal services, their ability to meet performance requirements, and any past performance issues or commendations. Their success in securing and fulfilling this significant NASA contract indicates a level of capability and reliability recognized by the agency.

What are the key performance indicators (KPIs) used to evaluate the contractor's performance under this contract?

The provided data does not specify the Key Performance Indicators (KPIs) used to evaluate Melwood Horticultural Training Center, Inc.'s performance. Typically, for custodial, landscaping, and waste management contracts, KPIs would include metrics related to cleanliness standards (e.g., cleanliness ratings in specific areas), response times for service requests (e.g., trash removal, spill cleanup), landscaping quality (e.g., adherence to horticultural standards, appearance of grounds), waste diversion rates (for recycling), and adherence to safety protocols. NASA's contracting officer and technical representatives would monitor these KPIs throughout the contract period, often documented in performance reports. The absence of this information in the summary data limits a detailed assessment of service quality and contractor accountability.

Were there any significant cost underruns or overruns during the life of this contract, and how were they managed?

The contract type is 'FIRM FIXED PRICE' (pt: "FIRM FIXED PRICE"), which generally means the contractor assumes the risk for cost overruns. In a firm fixed-price contract, the price is set and not subject to adjustment based on the contractor's cost experience. Therefore, significant cost overruns by the contractor would typically result in reduced profit margins or even a loss for Melwood Horticultural Training Center, Inc., while cost underruns would increase their profit. The government's liability is generally fixed at the awarded price. Without access to the contractor's internal financial data or specific contract modification history detailing cost adjustments (which are rare for FFP unless scope changes), it's impossible to determine if there were significant underruns or overruns and how they were managed. The total award amount ($30,269,137.32) represents the ceiling or final negotiated price.

What is the rationale behind awarding this contract as 'NOT AVAILABLE FOR COMPETITION'?

The rationale for awarding this contract as 'NOT AVAILABLE FOR COMPETITION' (ct: "NOT AVAILABLE FOR COMPETITION") is not detailed in the provided data. Federal procurement regulations (like the Federal Acquisition Regulation - FAR) allow for non-competitive awards under specific circumstances, such as when only one responsible source exists, there is a compelling urgency, or the acquisition is for a brand-name item for which only one source can provide it. Agencies must justify these sole-source or limited-competition awards. For this contract, potential justifications could include unique capabilities of Melwood Horticultural Training Center, Inc., a prior relationship that established specific operational efficiencies, or perhaps a consolidation of services where transitioning to a new vendor would be excessively costly or disruptive. A formal justification document would typically be required and made available under certain transparency rules.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesServices to Buildings and DwellingsJanitorial Services

Product/Service Code: UTILITIES AND HOUSEKEEPINGHOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: NNG14521844R

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5606 DOWER HOUSE RD, UPPER MARLBORO, MD, 20772

Business Categories: AbilityOne Program Participant, Category Business, Corporate Entity Tax Exempt, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $31,616,968

Exercised Options: $31,616,968

Current Obligation: $30,269,137

Actual Outlays: $5,364,756

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline

Start Date: 2014-12-31

Current End Date: 2020-06-30

Potential End Date: 2020-06-30 00:00:00

Last Modified: 2024-08-19

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