Department of the Army awards $6.07M for Janitorial Services to Pueblo Diversified Industries, Inc

Contract Overview

Contract Amount: $6,068,120 ($6.1M)

Contractor: Pueblo Diversified Industries, Inc.

Awarding Agency: Department of Defense

Start Date: 2025-02-01

End Date: 2026-01-31

Contract Duration: 364 days

Daily Burn Rate: $16.7K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: FUNDING FOR CLINS 2001-2003, 2008 OF OPTION YEAR 2 EXERCISE OF W911RZ-23-D0001

Place of Performance

Location: COLORADO SPRINGS, EL PASO County, COLORADO, 80913

State: Colorado Government Spending

Plain-Language Summary

Department of Defense obligated $6.1 million to PUEBLO DIVERSIFIED INDUSTRIES, INC. for work described as: FUNDING FOR CLINS 2001-2003, 2008 OF OPTION YEAR 2 EXERCISE OF W911RZ-23-D0001 Key points: 1. Contract awarded for essential facility maintenance services. 2. Pueblo Diversified Industries, Inc. is the selected contractor. 3. The contract duration is one year, with a potential for extensions. 4. Services are to be performed in Colorado. 5. The contract type is Firm Fixed Price, indicating predictable costs. 6. This award represents a significant investment in maintaining government facilities.

Value Assessment

Rating: fair

The contract value of $6.07 million for a one-year janitorial services contract appears to be within a reasonable range for large-scale facility maintenance. However, without specific details on the scope of services, square footage covered, or frequency of cleaning, a precise value-for-money assessment is challenging. Benchmarking against similar large federal janitorial contracts would provide a clearer picture of whether this pricing is competitive or elevated.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not competed among multiple vendors. While sole-source awards can be justified under specific circumstances (e.g., unique capabilities, urgent needs), they limit the potential for competitive bidding, which typically drives down prices and fosters innovation. The lack of competition here means taxpayers may not have received the benefit of the lowest possible price.

Taxpayer Impact: The absence of a competitive bidding process for this $6.07 million contract means taxpayers may have paid a premium compared to what could have been achieved through open competition.

Public Impact

The primary beneficiaries are the personnel and visitors at the facilities maintained by these janitorial services. The contract ensures the cleanliness and upkeep of government buildings, contributing to a safe and healthy work environment. Services are geographically focused within Colorado. The contract supports jobs within the janitorial services sector, likely benefiting local workers in Colorado.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of competition may lead to higher costs for taxpayers.
  • Sole-source awards can reduce transparency and accountability in the procurement process.
  • Performance metrics and quality control details are not readily available for assessment.

Positive Signals

  • Contract ensures essential facility maintenance, contributing to operational readiness.
  • Firm Fixed Price contract provides cost certainty for the government.
  • Award to Pueblo Diversified Industries, Inc. supports a specific business entity.

Sector Analysis

The janitorial services sector is a significant part of the broader facilities management industry. Federal agencies are major consumers of these services, awarding billions annually to maintain a vast portfolio of buildings. This contract fits within the government's ongoing need for routine maintenance and operational support services across its installations. Benchmarking against similar contracts for large federal facilities would be necessary for a comprehensive value analysis.

Small Business Impact

The data indicates that this contract was not awarded to a small business (ss: false) and does not appear to have a small business set-aside component (sb: false). Therefore, this specific award does not directly benefit small businesses through set-aside provisions. However, it is possible that the prime contractor, Pueblo Diversified Industries, Inc., may engage small businesses as subcontractors, though this information is not provided in the data.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of the Army's contracting and program management offices. Accountability measures are usually embedded within the contract's terms and conditions, including performance standards and payment schedules. Transparency is somewhat limited due to the sole-source nature of the award. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

  • Federal Janitorial Services Contracts
  • Department of Defense Facilities Maintenance
  • Army Base Operations Support
  • Government Building Services

Risk Flags

  • Sole-source award limits competition and potential for cost savings.
  • Lack of detailed performance standards in provided data.
  • No information on contractor's past performance or risk factors.

Tags

janitorial-services, department-of-defense, department-of-the-army, colorado, firm-fixed-price, delivery-order, sole-source, facilities-maintenance, large-contract

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $6.1 million to PUEBLO DIVERSIFIED INDUSTRIES, INC.. FUNDING FOR CLINS 2001-2003, 2008 OF OPTION YEAR 2 EXERCISE OF W911RZ-23-D0001

Who is the contractor on this award?

The obligated recipient is PUEBLO DIVERSIFIED INDUSTRIES, 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 $6.1 million.

What is the period of performance?

Start: 2025-02-01. End: 2026-01-31.

What is the track record of Pueblo Diversified Industries, Inc. with federal contracts, particularly for janitorial services?

Information regarding Pueblo Diversified Industries, Inc.'s specific track record with federal contracts, especially for janitorial services, is not detailed in the provided data. A comprehensive analysis would require reviewing their past performance on similar government contracts, including any awards, terminations, or performance issues. Examining their history with the Department of Defense or other agencies would offer insights into their reliability, quality of service, and ability to manage large-scale contracts. Without this historical data, assessing their suitability and past performance is speculative.

How does the pricing of this $6.07 million janitorial contract compare to similar federal contracts for facilities of comparable size and scope?

A direct comparison of the pricing for this $6.07 million janitorial contract to similar federal contracts is difficult without detailed scope-of-work information. Key factors influencing cost include the square footage of facilities, frequency of cleaning, specific services required (e.g., deep cleaning, specialized sanitation), and geographic location. To benchmark effectively, one would need to identify contracts for similar-sized military bases or large federal office complexes and analyze their per-square-foot cleaning costs or total contract values relative to facility size. The sole-source nature of this award also suggests that competitive pricing may not have been achieved.

What are the specific performance standards and quality assurance measures in place for this janitorial services contract?

The provided data does not specify the performance standards or quality assurance measures for this janitorial services contract. Typically, federal contracts include detailed performance work statements (PWS) outlining required service levels, cleaning frequencies, and acceptable quality thresholds. A Quality Assurance Surveillance Plan (QASP) would also be in place to monitor the contractor's performance. Without access to these documents, it's impossible to assess how the government will ensure the contractor meets its obligations and delivers satisfactory services. This lack of detail is a potential risk indicator.

What is the historical spending pattern for janitorial services at this specific Army installation or for similar facilities in Colorado?

The provided data snippet focuses on a single contract award and does not offer historical spending patterns for janitorial services at the specific Army installation or for similar facilities in Colorado. To analyze historical spending, one would need to access contract databases (like FPDS-NG) and query for all janitorial service contracts awarded by the Department of the Army or other federal agencies in Colorado over several fiscal years. This would reveal trends in contract values, number of awards, and average spending, providing context for the current $6.07 million award.

Are there any known risks associated with Pueblo Diversified Industries, Inc. as a federal contractor, such as past performance issues or financial instability?

The provided data does not contain information about any known risks associated with Pueblo Diversified Industries, Inc., such as past performance issues or financial instability. A thorough risk assessment would involve consulting sources like the Contractor Performance Assessment Reporting System (CPARS), the System for Award Management (SAM) for exclusions, and potentially financial health indicators. Given the sole-source nature of this award, a deeper dive into the contractor's background and suitability would be prudent to mitigate potential risks to contract performance and taxpayer funds.

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

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2828 GRANADA BLVD, PUEBLO, CO, 81005

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

Financial Breakdown

Contract Ceiling: $11,887,625

Exercised Options: $11,887,625

Current Obligation: $6,068,120

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W911RZ23D0001

IDV Type: IDC

Timeline

Start Date: 2025-02-01

Current End Date: 2026-01-31

Potential End Date: 2026-01-31 00:00:00

Last Modified: 2025-12-05

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