Army awards $96.8M contract for facility maintenance to D D-M Leasing Company Inc
Contract Overview
Contract Amount: $20,436,708 ($20.4M)
Contractor: D D-M Leasing Company, Inc
Awarding Agency: Department of Defense
Start Date: 2006-06-30
End Date: 2008-07-18
Contract Duration: 749 days
Daily Burn Rate: $27.3K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIXED PRICE
Sector: Construction
Official Description: 200608!601215!2100!W91238!USA ENGINEER DIST SACRAMENTO !W9123806C0101 !A!N! !N! ! !20060630!20061101!968482034!968482034!968482034!N!DD-M LEASING COMPANY INC !2900 MAIN ST , SUITE 101 !ALAMEDA !CA!94501!64000!067!06!SACRAMENTO !SACRAMENTO !CALIFORNIA!+000017826680!N!N!000000000000!Z299!MAINT/ALL OTHER NON-BUILDING FACILITIES !C2 !CONSTRUCTION !000 !NOT DISCERNABLE !237990!E! !3! ! ! ! ! !99990909!B! ! !A! !A!N!J!2!002!A! !D!N!C! ! !N!A!Y!Y!D! ! ! !A!D!010!A!B!Y!S!Y! ! ! ! !0001! !
Place of Performance
Location: SACRAMENTO, SACRAMENTO County, CALIFORNIA, 95814
Plain-Language Summary
Department of Defense obligated $20.4 million to D D-M LEASING COMPANY, INC for work described as: 200608!601215!2100!W91238!USA ENGINEER DIST SACRAMENTO !W9123806C0101 !A!N! !N! ! !20060630!20061101!968482034!968482034!968482034!N!DD-M LEASING COMPANY INC !2900 MAIN ST , SUITE 101 !ALAMEDA !CA!94501!64000!067!06!SACRAMENTO !SACR… Key points: 1. The contract value is $96,848,203.40. 2. Competition was full and open, indicating a competitive bidding process. 3. The contract is for maintenance of non-building facilities, a critical but often overlooked area. 4. The sector is Construction, specifically heavy and civil engineering.
Value Assessment
Rating: good
The contract value of $96.8M for facility maintenance appears reasonable given the duration and scope. Benchmarking against similar large-scale maintenance contracts would provide further validation.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting that multiple vendors had the opportunity to bid. This method generally leads to better price discovery and value for the government.
Taxpayer Impact: The competitive nature of the award is positive for taxpayers, as it likely resulted in a more cost-effective outcome than a sole-source or limited competition scenario.
Public Impact
Ensures operational readiness of critical Army facilities. Supports infrastructure maintenance, preventing costly deterioration. Provides employment opportunities within the construction and maintenance sectors.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Contract duration is long (749 days), potentially leading to scope creep or price increases if not managed tightly.
- Specific details on the scope of 'ALL OTHER NON-BUILDING FACILITIES' are not fully elaborated, posing a risk of undefined requirements.
Positive Signals
- Awarded under full and open competition.
- Fixed-price contract type can offer cost certainty.
- Contract awarded to a single entity, potentially simplifying management.
Sector Analysis
This contract falls within the Construction sector, specifically for 'Other Heavy and Civil Engineering Construction'. Spending in this area is crucial for maintaining government infrastructure, with benchmarks varying widely based on project scope and location.
Small Business Impact
The data indicates this contract was not awarded to a small business. Further analysis would be needed to determine if small business participation was sought or achieved through subcontracting.
Oversight & Accountability
The award was made by the USA Engineer District Sacramento, part of the Department of the Army. Standard oversight mechanisms for federal contracts would apply, including performance monitoring and financial audits.
Related Government Programs
- Other Heavy and Civil Engineering Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Long contract duration.
- Vague service description.
- No small business award noted.
- Potential for scope creep.
Tags
other-heavy-and-civil-engineering-constr, department-of-defense, ca, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $20.4 million to D D-M LEASING COMPANY, INC. 200608!601215!2100!W91238!USA ENGINEER DIST SACRAMENTO !W9123806C0101 !A!N! !N! ! !20060630!20061101!968482034!968482034!968482034!N!DD-M LEASING COMPANY INC !2900 MAIN ST , SUITE 101 !ALAMEDA !CA!94501!64000!067!06!SACRAMENTO !SACRAMENTO !CALIFORNIA!+000017826680!N!N!000000000000!Z299!MAINT/ALL OTHER NON-BUILDING FACILITIES !C2 !CONSTRUCTION !000 !NOT DISCERNABLE !237990!E! !3! ! ! ! ! !999
Who is the contractor on this award?
The obligated recipient is D D-M LEASING COMPANY, 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 $20.4 million.
What is the period of performance?
Start: 2006-06-30. End: 2008-07-18.
What is the specific breakdown of services included in 'MAINT/ALL OTHER NON-BUILDING FACILITIES' and how does this align with industry standards for facility maintenance?
The contract description 'MAINT/ALL OTHER NON-BUILDING FACILITIES' is broad. A detailed breakdown of services, such as groundskeeping, road maintenance, utility infrastructure upkeep, and specialized equipment servicing, is necessary. Comparing these services against industry standards for similar government or commercial facilities would reveal if the scope is comprehensive and if the pricing reflects typical market rates for such extensive maintenance operations.
Given the 749-day duration, what are the mechanisms in place to mitigate risks associated with potential cost overruns or performance degradation over time?
The fixed-price contract type offers some cost control, but long durations necessitate robust performance monitoring. The government should have established key performance indicators (KPIs) and regular review periods to assess D D-M Leasing's performance. Contingency plans for addressing underperformance or unexpected cost increases, such as phased payments tied to milestones or defined escalation clauses, are crucial for mitigating long-term risks.
How effectively did the 'full and open competition' process ensure the best value was obtained for taxpayers, considering the significant contract value?
Full and open competition is designed to maximize value by encouraging broad participation and competitive pricing. To assess effectiveness, one would examine the number of bids received, the range of proposed prices, and the evaluation criteria used. If a significant number of qualified bidders participated and the winning bid was demonstrably competitive based on technical merit and price, then the process likely served taxpayer interests well. Post-award performance monitoring further validates the initial value assessment.
Industry Classification
NAICS: Construction › Other Heavy and Civil Engineering Construction › Other Heavy and Civil Engineering Construction
Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR NONBUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SEALED BID
Offers Received: 2
Pricing Type: FIXED PRICE (J)
Evaluated Preference: HZE
Contractor Details
Address: 2900 MAIN ST , SUITE 101, ALAMEDA, CA, 94501
Business Categories: Category Business, Emerging Small Business, Hispanic American Owned Business, HUBZone Firm, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, Woman Owned Business
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2006-06-30
Current End Date: 2008-07-18
Potential End Date: 2008-07-18 00:00:00
Last Modified: 2021-03-28
More Contracts from D D-M Leasing Company, Inc
- 200512!500851!2100!w912pl!usa Engineer Dist LOS Angeles !w912pl05c0015 !A!N! !N! ! !20050928!20061229!968482034!968482034!968482034!N!D D-M Leasing Company, Inc !160 River RD !RIO Vista !ca!94571!51182!059!06!newport Beach !orange !california!+000000500000!n!n!000016420710!z216!dredging, Excl. Dustpan and Sea-Going Hoppers !C2 !construction !000 !* !237990!E! !3! ! ! ! ! !20200930!B! ! !A! !a!u!j!2!002!a! !D!N!Z! ! !n!b!y!y! ! !Z! !a!a!000!a!b!y!u!y! ! ! ! !0001! ! — $24.4M (Department of Defense)
- Repair Three Critical Erosion Sites Along the Sacramento River Levee. Work Requirements Include Riprap Rock Placed Bank Protection, Re-Building of the TOE Bench to Include Anchoring In-Stream Woody Material, Seeding of ALL Disturbed Areas With Native Grasses, and the Planting of Trees and Shrubs on the Bench and Waterside Slope. a 3-Year Establishment and Maintenance Period for the Trees and Shrubs IS Also Required — $21.0M (Department of Defense)
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)