DoD's $506M Facilities Support Contract with TIYA Support Services Faces Scrutiny Over Competition and Value

Contract Overview

Contract Amount: $505,777,262 ($505.8M)

Contractor: Tiya Support Services LLC

Awarding Agency: Department of Defense

Start Date: 2010-05-19

End Date: 2022-09-24

Contract Duration: 4,511 days

Daily Burn Rate: $112.1K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 6

Pricing Type: COST PLUS AWARD FEE

Sector: Other

Official Description: BASE OPERATIONS

Place of Performance

Location: FORT BENNING, CHATTAHOOCHEE County, GEORGIA, 31905

State: Georgia Government Spending

Plain-Language Summary

Department of Defense obligated $505.8 million to TIYA SUPPORT SERVICES LLC for work described as: BASE OPERATIONS Key points: 1. Significant contract value of $506M over 12 years. 2. Competition method 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' warrants further investigation. 3. Cost Plus Award Fee contract type can lead to higher costs if not managed tightly. 4. Facilities Support Services sector is critical but often complex to benchmark. 5. No small business participation noted, potentially missing opportunities.

Value Assessment

Rating: questionable

The Cost Plus Award Fee structure, while allowing flexibility, can inflate costs if performance incentives are not rigorously defined and monitored. Benchmarking against similar facilities support contracts is difficult without detailed cost breakdowns.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' indicates a limited competition approach. This method may restrict the pool of potential bidders and could impact price discovery, potentially leading to less competitive pricing.

Taxpayer Impact: The limited competition and cost-plus structure raise concerns about taxpayer value. Without robust competition, there's a risk of overpaying for services.

Public Impact

Taxpayers may be overpaying due to limited competition and a cost-plus contract type. The long duration of the contract (over 12 years) means sustained potential for inefficiency. Lack of small business involvement could be a missed opportunity for economic development.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Limited competition method
  • Cost Plus Award Fee contract type
  • No small business participation
  • Long contract duration

Positive Signals

  • Contract awarded by Department of the Army
  • Services provided are essential for base operations

Sector Analysis

Facilities Support Services are crucial for maintaining government installations, encompassing a wide range of maintenance, repair, and operational activities. Benchmarking is challenging due to the bespoke nature of many contracts, but typical spending can vary widely based on facility size and complexity.

Small Business Impact

The contract data indicates no small business participation. This suggests a potential missed opportunity to leverage small businesses for specialized support services and to foster economic growth within the small business sector.

Oversight & Accountability

The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' and Cost Plus Award Fee structure necessitate strong oversight to ensure fair pricing and effective service delivery. Regular performance reviews and cost audits are critical.

Related Government Programs

  • Facilities Support Services
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Potential for inflated costs due to CPAF structure.
  • Limited competition may result in non-optimal pricing.
  • Lack of transparency in source exclusion.
  • No small business participation noted.
  • Long contract duration increases long-term risk.

Tags

facilities-support-services, department-of-defense, ga, definitive-contract, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $505.8 million to TIYA SUPPORT SERVICES LLC. BASE OPERATIONS

Who is the contractor on this award?

The obligated recipient is TIYA SUPPORT SERVICES LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $505.8 million.

What is the period of performance?

Start: 2010-05-19. End: 2022-09-24.

What specific criteria led to the exclusion of other sources in this 'full and open competition after exclusion of sources' award, and how was the pricing determined to be fair and reasonable under th

The exclusion of sources typically occurs when only one or a limited number of responsible sources can fulfill the requirement due to unique capabilities, proprietary data, or urgent needs. The contracting officer must justify this exclusion. Price reasonableness is usually determined through comparison with historical prices, other similar contracts, or independent government cost estimates. The specific justification for excluding sources and the method for price determination in this case require deeper investigation into the contract file.

How effectively has TIYA SUPPORT SERVICES LLC managed costs and performance under the Cost Plus Award Fee structure to ensure optimal value for taxpayers over the contract's lifespan?

Assessing the effectiveness of cost management under a Cost Plus Award Fee (CPAF) contract requires detailed analysis of award fee determinations and incurred costs against the base fee. If award fees were consistently high and costs remained within reasonable bounds compared to benchmarks, it suggests good performance. Conversely, consistently high costs or low award fees might indicate inefficiencies or poor oversight. Without access to performance metrics and detailed financial data, it's difficult to definitively assess value.

Given the absence of small business participation, what steps has the Department of the Army taken to ensure small businesses were considered or to identify future opportunities for their involvement

The absence of small business participation, especially on a contract of this magnitude, raises questions about outreach and set-aside strategies. Agencies are typically required to actively seek small business participation. This could involve market research to identify capable small businesses, setting aside portions of the contract for small business set-asides, or partnering with large businesses that have small business subcontracting plans. The agency's efforts in these areas would need to be reviewed.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesFacilities Support ServicesFacilities Support Services

Product/Service Code: UTILITIES AND HOUSEKEEPINGHOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W911SE07R0029

Offers Received: 6

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Address: 10604 COURSEY BLVD, BATON ROUGE, LA, 70816

Business Categories: American Indian Owned Business, Category Business, Government, Native American Tribal Government, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Small Business, Special Designations, Tribally Owned Firm, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $513,882,323

Exercised Options: $512,982,323

Current Obligation: $505,777,262

Actual Outlays: $1,331,443

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2010-05-19

Current End Date: 2022-09-24

Potential End Date: 2022-09-24 00:00:00

Last Modified: 2024-02-13

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