State Department's $15.6M NEC O&M contract awarded to PAE Government Services, Inc. for facilities support
Contract Overview
Contract Amount: $15,605,736 ($15.6M)
Contractor: PAE Government Services, Inc.
Awarding Agency: Department of State
Start Date: 2007-04-30
End Date: 2012-09-29
Contract Duration: 1,979 days
Daily Burn Rate: $7.9K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 7
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: NEC O&M FOR FIRST SIX MONTHS AND ALL MOBILIZATION COST.
Plain-Language Summary
Department of State obligated $15.6 million to PAE GOVERNMENT SERVICES, INC. for work described as: NEC O&M FOR FIRST SIX MONTHS AND ALL MOBILIZATION COST. Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract duration of 1979 days indicates a long-term need for these services. 3. Firm Fixed Price contract type helps manage cost certainty for the government. 4. The contract was awarded to PAE Government Services, Inc., a known entity in government contracting. 5. The North American Industry Classification System (NAICS) code 561210 points to facilities support services. 6. The contract's scope includes operations, maintenance, and mobilization costs for the first six months.
Value Assessment
Rating: fair
Benchmarking the value of this contract is challenging without specific performance metrics or comparable contract data. The firm fixed price structure provides some cost control. However, the total value of $15.6 million over nearly five years suggests a significant investment in facilities support. Further analysis would require understanding the specific services rendered and their criticality to the Department of State's mission.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit a bid. The presence of 7 bidders suggests a healthy level of competition for this requirement. This competitive environment is generally favorable for price discovery and potentially achieving better value for the government.
Taxpayer Impact: A competitive award process helps ensure taxpayer dollars are used efficiently by driving down prices through market forces.
Public Impact
The primary beneficiary is the Department of State, which receives essential facilities support services. Services include operations and maintenance, ensuring the functionality of necessary facilities. The contract supports the ongoing operations of the State Department, contributing to its diplomatic and operational missions. Workforce implications are likely related to the personnel required by PAE Government Services, Inc. to fulfill the contract.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of detailed performance metrics makes it difficult to assess the true value for money.
- The long contract duration could lead to potential complacency or reduced incentive for innovation if not managed effectively.
- Reliance on a single contractor for a significant period might pose risks if the contractor's performance degrades.
Positive Signals
- Awarded through full and open competition, indicating a robust bidding process.
- Firm Fixed Price contract type provides cost predictability.
- The contractor, PAE Government Services, Inc., has experience in government contracting.
- The contract addresses essential facilities support services, crucial for agency operations.
Sector Analysis
This contract falls within the broader facilities support services sector, which is a significant component of government contracting. This sector encompasses a wide range of services necessary for the operation and maintenance of government facilities, including building operations, maintenance, and related support. The market for these services is competitive, with numerous providers ranging from large corporations to smaller specialized firms. The Department of State's spending in this area is consistent with the needs of a large federal agency with global operations.
Small Business Impact
The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses stemming from a set-aside provision. However, the prime contractor, PAE Government Services, Inc., may engage small businesses as subcontractors to fulfill certain aspects of the contract, depending on their own subcontracting strategies and the nature of the services required.
Oversight & Accountability
Oversight for this contract would typically be managed by the contracting officer and the relevant program office within the Department of State. Accountability measures are inherent in the firm fixed price contract structure, which obligates the contractor to deliver specified services. Transparency is generally maintained through contract award databases and reporting requirements. The Inspector General for the Department of State would have jurisdiction to investigate any potential fraud, waste, or abuse related to this contract.
Related Government Programs
- Facilities Operations and Maintenance
- Government Support Services
- Department of State Contracts
- Public Building Services
Risk Flags
- Long contract duration may reduce flexibility for evolving needs.
- Lack of detailed performance metrics in summary data hinders value assessment.
- Potential for contractor complacency over extended contract period.
Tags
facilities-support, operations-and-maintenance, department-of-state, firm-fixed-price, full-and-open-competition, large-contract, federal-agency, support-services, pae-government-services, nec
Frequently Asked Questions
What is this federal contract paying for?
Department of State awarded $15.6 million to PAE GOVERNMENT SERVICES, INC.. NEC O&M FOR FIRST SIX MONTHS AND ALL MOBILIZATION COST.
Who is the contractor on this award?
The obligated recipient is PAE GOVERNMENT SERVICES, INC..
Which agency awarded this contract?
Awarding agency: Department of State (Department of State).
What is the total obligated amount?
The obligated amount is $15.6 million.
What is the period of performance?
Start: 2007-04-30. End: 2012-09-29.
What specific facilities and services are covered under this contract?
The contract data indicates 'NEC O&M FOR FIRST SIX MONTHS AND ALL MOBILIZATION COST.' NEC likely refers to a specific facility or network, and O&M stands for Operations and Maintenance. This suggests the contract covers the day-to-day running and upkeep of essential facilities or infrastructure, including initial setup and mobilization expenses for the first six months. Without more specific details in the provided data, it's difficult to pinpoint the exact nature of the facilities (e.g., office buildings, technical infrastructure, overseas posts) or the precise maintenance tasks (e.g., HVAC, electrical, janitorial, security systems).
How does the awarded price of $15.6 million compare to similar facilities support contracts?
Directly comparing the $15.6 million price tag to similar contracts is challenging without access to a comprehensive database of comparable facilities support contracts with identical scopes, durations, and service levels. However, for a contract spanning approximately 1979 days (over 5 years), this equates to an average annual cost of roughly $3.1 million. This figure needs to be contextualized by the size and complexity of the facilities managed, the geographic location, and the specific services included. The fact that it was awarded under full and open competition with 7 bidders suggests the price was deemed competitive within the market for the services rendered.
What are the key performance indicators (KPIs) used to measure the success of this contract?
The provided data does not explicitly list the Key Performance Indicators (KPIs) for this contract. However, typical KPIs for facilities support contracts often include response times for maintenance requests, uptime of critical systems (e.g., HVAC, power), adherence to safety standards, energy efficiency metrics, and overall client satisfaction. For a contract of this nature with the Department of State, KPIs would likely be stringent, focusing on reliability, security, and the seamless functioning of facilities essential for diplomatic operations. The firm fixed price nature implies that meeting these undefined KPIs is a condition of payment.
What is PAE Government Services, Inc.'s track record with similar Department of State contracts?
PAE Government Services, Inc. (now part of Amentum) has a significant history of contracting with the Department of State and other federal agencies, often providing a wide range of support services including facilities management, logistics, and base operations support. Their track record typically involves managing complex, large-scale operations in challenging environments. While specific performance details for this particular contract are not provided, PAE's general experience suggests they are a capable provider for such requirements. A deeper dive into past performance evaluations and contract histories would offer more granular insights into their reliability and effectiveness.
What is the historical spending trend for facilities support services at the Department of State?
The provided data focuses on a single contract and does not offer historical spending trends for facilities support services at the Department of State. However, federal agencies like the Department of State consistently allocate substantial budgets towards facilities operations and maintenance due to their extensive real estate portfolio, both domestically and internationally. Spending in this category is generally driven by the number and type of facilities, geopolitical requirements, and infrastructure modernization needs. Analyzing broader Department of State budget documents and historical contract awards would be necessary to identify specific spending trends over time.
What are the potential risks associated with a long-term (nearly 5-year) facilities support contract?
Long-term contracts, such as this nearly five-year agreement, carry several potential risks. Firstly, there's the risk of contractor performance degradation over time if incentives for high performance wane or if the contractor becomes complacent. Secondly, technological advancements or changes in operational needs might render the contracted services less efficient or outdated, leading to potential cost inefficiencies if the contract isn't flexible enough to adapt. Thirdly, a prolonged reliance on a single provider can reduce market competition for future services and potentially lead to price increases upon re-competition. Finally, unforeseen geopolitical events or changes in agency priorities could impact the necessity or scope of the services, creating contractual challenges.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services
Product/Service Code: OPERATION OF GOVT OWNED FACILITY › OPERATE GOVT OWNED BUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 7
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: PAE Holding Corporation (UEI: 968071493)
Address: 888 S FIGUEROA ST STE 1760, LOS ANGELES, CA, 90
Business Categories: Category Business, Not Designated a Small Business, Woman Owned Business
Financial Breakdown
Contract Ceiling: $15,605,737
Exercised Options: $15,605,737
Current Obligation: $15,605,736
Parent Contract
Parent Award PIID: SALMEC07D0033
IDV Type: IDC
Timeline
Start Date: 2007-04-30
Current End Date: 2012-09-29
Potential End Date: 2012-09-29 00:00:00
Last Modified: 2012-11-07
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