Department of Defense awards TRESCO INC $24.1M for MDA support, highlighting facilities maintenance needs

Contract Overview

Contract Amount: $24,132,672 ($24.1M)

Contractor: Tresco Inc

Awarding Agency: Department of Defense

Start Date: 2003-12-23

End Date: 2009-12-31

Contract Duration: 2,200 days

Daily Burn Rate: $11.0K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: COST NO FEE

Sector: Defense

Official Description: 200403!000293!2100!W9113M!USA SPACE AND STRATEGIC DEF CDR !W9113M04F0018 !A!N! !Y! ! !20031223!20041201!079348777!079348777!079348777!N!TRESCO INC !2325 E NEVADA AVE !LAS CRUCES !NM!88001!84880!013!35!WHITE SANDS MSL RGE !DONA ANA !NEW MEXICO!+000000526888!N!N!000000000000!R499!OTHER PROFESSIONAL SERVICES !C9E!ALL OTHER SUPPLIES AND EQUIPMENT !CAA !MDA SUPPORT !561210!E! !3! ! ! ! ! !99990909!B! ! !A! !B!N!S!1!001!N!5A!C!N!Z! ! !N!D!N! ! ! ! ! !A!A!000!A!B!N! ! ! ! ! ! !0001! !

Place of Performance

Location: LAS CRUCES, DOÑA ANA County, NEW MEXICO, 88005

State: New Mexico Government Spending

Plain-Language Summary

Department of Defense obligated $24.1 million to TRESCO INC for work described as: 200403!000293!2100!W9113M!USA SPACE AND STRATEGIC DEF CDR !W9113M04F0018 !A!N! !Y! ! !20031223!20041201!079348777!079348777!079348777!N!TRESCO INC !2325 E NEVADA AVE !LAS CRUCES !NM!88001!84880!013!35!WHITE SANDS MSL RGE !DONA… Key points: 1. Contract awarded for Missile Defense Agency (MDA) support services, indicating a need for specialized facilities maintenance. 2. The contract's duration of approximately 6 years suggests a long-term requirement for these services. 3. Awarded to TRESCO INC, a company with a track record in government contracting. 4. The significant value of the contract points to the critical nature of MDA operations and infrastructure. 5. The 'Facilities Support Services' NAICS code suggests a focus on maintaining physical infrastructure and operational readiness. 6. The contract type 'COST NO FEE' implies that the government will reimburse allowable costs incurred by the contractor, with no additional fee.

Value Assessment

Rating: fair

The contract value of $24.1 million over approximately six years for facilities support services for the MDA appears to be within a reasonable range for specialized government support. However, without specific details on the scope of services and performance metrics, a precise value-for-money assessment is challenging. Benchmarking against similar MDA support contracts or broader facilities management contracts for large-scale government installations would provide a clearer picture of whether this pricing reflects competitive market rates for the level of expertise and support required.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not openly competed. This approach is typically used when only one responsible source is available or when a compelling justification exists for not seeking competition. The lack of competition means that price discovery through market forces was limited, potentially leading to higher costs for the government compared to a fully competed contract.

Taxpayer Impact: Taxpayers may have paid a premium due to the absence of competitive bidding, as TRESCO INC was the only provider considered.

Public Impact

The primary beneficiaries are the Missile Defense Agency (MDA) and its operational readiness, ensuring critical defense infrastructure is maintained. Services delivered include facilities support, likely encompassing maintenance, repair, and potentially operational support for MDA facilities. The geographic impact is centered around White Sands Missile Range, New Mexico, where the contractor is located and services are likely performed. Workforce implications include employment opportunities for TRESCO INC personnel at or supporting White Sands Missile Range.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competitive pressure, potentially impacting cost-effectiveness.
Cost-plus-no-fee contract type requires careful monitoring of incurred costs to ensure reasonableness.
Lack of detailed performance metrics in the provided data makes it difficult to assess service quality and efficiency.
Long contract duration could lead to complacency if not actively managed and overseen.

Positive Signals

Award to a single contractor suggests specialized capabilities required for MDA support.
The contract's significant value indicates a critical need and commitment from the Department of Defense.
Contractor is located in proximity to White Sands Missile Range, potentially facilitating efficient service delivery.

Sector Analysis

This contract falls within the Facilities Support Services sector, a critical component of government operations and defense infrastructure. The market for such services is substantial, with numerous providers ranging from large corporations to specialized small businesses. This specific contract, supporting the Missile Defense Agency, likely requires specialized knowledge and security clearances, positioning TRESCO INC within a niche segment of the broader facilities management market. Comparable spending benchmarks would typically involve analyzing other large-scale facilities maintenance contracts at major military installations or research facilities.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses, nor does it explicitly mention subcontracting plans for small businesses. Therefore, the direct impact on the small business ecosystem appears minimal based on this information. However, it is possible that TRESCO INC may engage small businesses as subcontractors, which would require further investigation into their subcontracting reports.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of the Army and the Missile Defense Agency. Given the cost-plus-no-fee structure, rigorous financial oversight and auditing by the agency and potentially the Inspector General would be crucial to ensure that all reimbursed costs are allowable and reasonable. Transparency would be enhanced through regular performance reviews and reporting requirements stipulated in the contract.

Related Government Programs

Missile Defense Agency (MDA) Operations
Facilities Support Services
Department of Defense Infrastructure Maintenance
White Sands Missile Range Support Contracts

Risk Flags

Sole-source award may limit cost-effectiveness.
Lack of detailed performance metrics requires close monitoring.
Cost-plus-no-fee structure necessitates stringent financial oversight.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $24.1 million to TRESCO INC. 200403!000293!2100!W9113M!USA SPACE AND STRATEGIC DEF CDR !W9113M04F0018 !A!N! !Y! ! !20031223!20041201!079348777!079348777!079348777!N!TRESCO INC !2325 E NEVADA AVE !LAS CRUCES !NM!88001!84880!013!35!WHITE SANDS MSL RGE !DONA ANA !NEW MEXICO!+000000526888!N!N!000000000000!R499!OTHER PROFESSIONAL SERVICES !C9E!ALL OTHER SUPPLIES AND EQUIPMENT !CAA !MDA SUPPORT !561210!E! !3! ! ! ! ! !999

Who is the contractor on this award?

The obligated recipient is TRESCO INC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $24.1 million.

What is the period of performance?

Start: 2003-12-23. End: 2009-12-31.

What is the specific scope of 'MDA SUPPORT' services provided under this contract?

The provided data indicates the contract is for 'MDA SUPPORT' under the NAICS code 561210 (Facilities Support Services). While the specific scope is not detailed, it likely encompasses a range of services essential for the operation and maintenance of Missile Defense Agency facilities. This could include routine building maintenance, groundskeeping, custodial services, minor repairs, utility management, and potentially specialized support related to the unique infrastructure and security requirements of MDA installations. The 'COST NO FEE' contract type suggests that TRESCO INC incurs costs directly related to providing these services, which are then reimbursed by the government without an additional profit margin. A deeper dive into the contract's Statement of Work (SOW) would be necessary to fully delineate the precise services rendered.

How does the $24.1 million contract value compare to similar facilities support contracts for defense agencies?

Benchmarking the $24.1 million contract value requires comparing it to similar facilities support contracts awarded to defense agencies, particularly those supporting specialized operations like the Missile Defense Agency. Contracts for large military installations or research facilities can range widely depending on size, complexity, and the specific services required. For instance, contracts for base operations support at major Army or Air Force installations often run into tens or hundreds of millions of dollars annually. However, a contract specifically for MDA support might command higher costs due to specialized technical requirements, security protocols, and the critical nature of the assets being supported. Without access to a database of comparable MDA-specific facilities support contracts, it's challenging to definitively state if $24.1 million over approximately six years represents a high, low, or average cost. Further analysis would involve identifying contracts with similar NAICS codes (561210) and service scopes for comparable defense entities.

What are the key performance indicators (KPIs) used to evaluate TRESCO INC's performance on this contract?

The provided data does not specify the key performance indicators (KPIs) used to evaluate TRESCO INC's performance on this contract. However, for facilities support services, typical KPIs often include response times for maintenance requests, completion rates for scheduled maintenance, adherence to safety standards, energy efficiency targets, and customer satisfaction ratings from facility users. Given the 'COST NO FEE' structure, performance metrics are crucial for ensuring that the contractor is efficiently managing resources and delivering services effectively. The Missile Defense Agency would likely have established specific metrics within the contract's Statement of Work (SOW) to monitor service quality, operational uptime, and cost control. Regular performance reviews and audits would be conducted to ensure these KPIs are met.

What is TRESCO INC's track record with government contracts, particularly within the Department of Defense?

TRESCO INC has a history of receiving government contracts, as indicated by this award. To assess their track record, one would need to examine their past performance on similar contracts, particularly within the Department of Defense and for agencies like the Missile Defense Agency. Key aspects to review would include past performance evaluations, any history of contract disputes or terminations, and their experience with cost-reimbursement type contracts. A positive track record would demonstrate their ability to meet performance requirements, manage costs effectively, and comply with government regulations. Conversely, any negative performance history could indicate potential risks associated with this current contract. Further research into contract databases and performance assessment reports would provide a more comprehensive view of TRESCO INC's capabilities and reliability.

What are the potential risks associated with a sole-source award for critical MDA support services?

Sole-source awards for critical services like MDA support carry several potential risks. Firstly, the absence of competition can lead to higher costs for the government, as there is less pressure on the contractor to offer the most competitive pricing. Secondly, it limits the government's ability to explore innovative solutions or alternative service providers that might emerge in a competitive bidding process. Thirdly, there's a risk of vendor lock-in, where the government becomes dependent on a single provider, potentially reducing leverage in future negotiations. Finally, without the scrutiny of multiple bidders, there's a possibility that the chosen contractor may not be the most capable or efficient, although this is mitigated by pre-award responsibility determinations. Robust oversight and performance management are therefore essential to mitigate these risks.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: COST NO FEE (S)

Evaluated Preference: NONE

Contractor Details

Address: 2325 E NEVADA AVE, LAS CRUCES, NM, 02

Business Categories: AbilityOne Program Participant, Category Business, Small Business, Special Designations, U.S.-Owned Business

Contract Characteristics

Cost or Pricing Data: NO

Timeline