DoD's $25.3M Facilities Support Services Contract Awarded to Integrated Logistics Solutions, Inc

Contract Overview

Contract Amount: $25,295,261 ($25.3M)

Contractor: Integrated Logistics Solutions, Inc.

Awarding Agency: Department of Defense

Start Date: 2006-02-09

End Date: 2012-06-30

Contract Duration: 2,333 days

Daily Burn Rate: $10.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35805

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $25.3 million to INTEGRATED LOGISTICS SOLUTIONS, INC. for work described as: Key points: 1. Contract awarded through full and open competition after exclusion of sources, indicating a competitive process. 2. The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. 3. The duration of the contract was 2333 days, suggesting a long-term need for these services. 4. The base contract value was $10.8M, with significant subsequent modifications or task orders. 5. The contract was awarded by the Defense Contract Management Agency, a key oversight body. 6. The North American Industry Classification System (NAICS) code 561210 points to facilities support services.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without more detailed cost breakdowns and performance metrics. The Cost Plus Fixed Fee (CPFF) contract type, while allowing for flexibility, can sometimes lead to higher costs compared to fixed-price contracts if cost controls are not robust. Comparing this to similar facilities support contracts across the DoD would provide better insight into whether the pricing structure and final cost were competitive and represented good value for the services rendered.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES.' This designation suggests that while the competition was intended to be open, certain sources were excluded, potentially limiting the breadth of competition. The number of bidders is not specified, making it difficult to fully assess the level of competition and its impact on price discovery. A more open competition might have yielded more competitive pricing.

Taxpayer Impact: The limited competition may have resulted in a higher price for taxpayers than a fully open and unrestricted competition would have achieved.

Public Impact

The primary beneficiaries are the Department of Defense facilities requiring comprehensive support services. Services delivered include a range of facility maintenance, operations, and management functions. The geographic impact is concentrated in Alabama (AL), where the contract was administered. The contract likely supported a workforce involved in facility operations and maintenance, contributing to local employment.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contract type can incentivize higher spending if not closely monitored.
The 'exclusion of sources' in the competition method raises questions about the extent of market engagement.
Lack of specific performance metrics makes it difficult to assess the efficiency and effectiveness of services provided.

Positive Signals

Awarded by the Defense Contract Management Agency, suggesting a level of established oversight.
The contract was for essential facilities support services, indicating a critical need for the DoD.
The duration suggests a stable, long-term relationship, potentially leading to efficiencies through familiarity.

Sector Analysis

Facilities Support Services fall under the broader professional, scientific, and technical services sector. This sector is characterized by a wide range of service providers, from large corporations to specialized small businesses. The market size for such services is substantial, driven by the ongoing need for operational efficiency and maintenance across government and commercial entities. This contract represents a significant portion of spending within this niche, requiring a provider capable of managing complex facility needs.

Small Business Impact

The contract indicates that small business participation was not a primary set-aside consideration (ss: false, sb: false). This suggests that the primary awardee is likely a larger entity, and there may be limited direct subcontracting opportunities for small businesses unless specified in the contract's performance requirements. The impact on the small business ecosystem would depend on whether Integrated Logistics Solutions, Inc. actively seeks small business subcontractors for specialized services.

Oversight & Accountability

The Defense Contract Management Agency (DCMA) is responsible for overseeing this contract, implying established oversight mechanisms. However, the effectiveness of these mechanisms depends on the rigor of their performance monitoring, cost audits, and compliance checks. Transparency would be enhanced by public access to detailed performance reports and cost data. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Department of Defense Facilities Maintenance Contracts
Government Facilities Support Services
Logistics and Base Support Contracts
Defense Contract Management Agency Oversight

Risk Flags

Potential for cost overruns due to CPFF contract type.
Limited competition may impact price discovery.
Lack of detailed performance metrics hinders value assessment.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $25.3 million to INTEGRATED LOGISTICS SOLUTIONS, INC.. See the official description on USAspending.

Who is the contractor on this award?

The obligated recipient is INTEGRATED LOGISTICS SOLUTIONS, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $25.3 million.

What is the period of performance?

Start: 2006-02-09. End: 2012-06-30.

What was the specific nature of the 'exclusion of sources' in this 'full and open competition after exclusion of sources' award?

The designation 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' typically means that the solicitation was publicly advertised, but certain pre-qualified or previously contracted entities were excluded from bidding. This exclusion could be based on various factors, such as past performance issues, specific security requirements, or strategic sourcing decisions. Without further details from the contract award notice or associated documentation, the precise reasons for excluding specific sources remain unclear. This approach can limit the pool of potential bidders, potentially impacting the competitiveness of the pricing and the range of innovative solutions considered by the agency.

How does the Cost Plus Fixed Fee (CPFF) contract structure compare to other contract types for similar services in terms of cost efficiency?

Cost Plus Fixed Fee (CPFF) contracts reimburse the contractor for allowable costs plus a fixed fee representing profit. This structure is often used when the scope of work is not well-defined or involves significant uncertainty, allowing for flexibility. However, it carries a higher risk of cost overruns compared to fixed-price contracts, as the contractor is incentivized to incur costs to cover the fixed fee. For facilities support services, where scope can be somewhat predictable, fixed-price or cost-plus-incentive-fee contracts might offer better cost control and value for money if performance metrics are clearly defined and achievable. The CPFF structure here suggests a need for flexibility but requires stringent oversight to manage costs effectively.

What were the key performance indicators (KPIs) used to evaluate Integrated Logistics Solutions, Inc.'s performance under this contract?

Specific Key Performance Indicators (KPIs) for this contract are not detailed in the provided data. Typically, for facilities support services, KPIs might include response times for maintenance requests, uptime of critical systems (e.g., HVAC, power), cleanliness and safety compliance scores, energy efficiency metrics, and customer satisfaction ratings from facility occupants. The effectiveness of the Defense Contract Management Agency's oversight would be directly tied to the establishment and monitoring of relevant KPIs. Without this information, assessing the contractor's performance and the overall value delivered is difficult.

What is the typical spending range for facilities support services contracts of similar scope and duration within the Department of Defense?

Spending on facilities support services within the Department of Defense can vary significantly based on the size and complexity of the facilities, geographic location, and the specific services included. Contracts can range from a few million dollars for smaller installations to hundreds of millions for large bases or complex operations. A $25.3 million contract over approximately 6.4 years (2333 days) suggests a substantial but not exceptionally large contract for comprehensive support. Benchmarking requires comparing it against contracts with similar NAICS codes (561210), contract types (CPFF), and geographic scope, considering inflation and specific service requirements.

What is the track record of Integrated Logistics Solutions, Inc. in performing similar government contracts?

Information regarding the specific track record of Integrated Logistics Solutions, Inc. on similar government contracts is not provided in the data. A comprehensive assessment would require reviewing their past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), any past disputes or contract terminations, and the scale and complexity of previous contracts they have managed. Their ability to successfully execute this $25.3 million facilities support contract would depend on their demonstrated experience in managing logistics, maintenance, and operational support for government facilities.

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 › OPERATION OF SHIPS, SMALL CRAFTS, PONTOONS AND FLOATING DOCKS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 2

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 3317 TRIANA BLVD SW, HUNTSVILLE, AL, 35805

Business Categories: Category Business, Service Disabled Veteran Owned Business, Small Business, Veteran Owned Business

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline