Nellis AFB O&M Services contract awarded to J & J Maintenance Inc. for over $23.3 million

Contract Overview

Contract Amount: $23,365,218 ($23.4M)

Contractor: J & J Maintenance Inc

Awarding Agency: Department of Defense

Start Date: 2021-07-01

End Date: 2025-06-30

Contract Duration: 1,460 days

Daily Burn Rate: $16.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: O&M SERVICES - NELLIS AFB

Place of Performance

Location: NELLIS AFB, CLARK County, NEVADA, 89191

State: Nevada Government Spending

Plain-Language Summary

Department of Defense obligated $23.4 million to J & J MAINTENANCE INC for work described as: O&M SERVICES - NELLIS AFB Key points: 1. The contract value of over $23.3 million for 4 years suggests a significant investment in facilities support. 2. The award to J & J Maintenance Inc. indicates a competitive selection process for essential base operations. 3. The firm-fixed-price contract type aims to provide cost certainty for the government. 4. The duration of 1460 days (4 years) allows for stable service delivery and planning. 5. The contract is for Facilities Support Services, a critical component of base operations. 6. The geographic location in Nevada may influence labor costs and availability.

Value Assessment

Rating: good

The contract value of $23.3 million over four years for O&M services at Nellis AFB appears reasonable given the scope of facilities support required for a military installation. Benchmarking against similar contracts for base operations and maintenance across the Department of Defense would provide a more precise value-for-money assessment. The firm-fixed-price structure suggests an effort to control costs, but detailed cost breakdowns are not available to fully assess pricing reasonableness.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple qualified bidders had the opportunity to submit proposals. The presence of a competitive process is generally favorable for price discovery and ensuring the government receives competitive pricing. The specific number of bidders is not provided, which would offer further insight into the intensity of the competition.

Taxpayer Impact: Full and open competition typically leads to better pricing for taxpayers by fostering a competitive environment where contractors strive to offer their best value.

Public Impact

The primary beneficiaries are the U.S. Air Force personnel and operations at Nellis Air Force Base, Nevada, through the provision of essential facilities support. Services delivered include operations and maintenance for the base's infrastructure, ensuring a functional and safe environment. The geographic impact is concentrated at Nellis AFB in Nevada. The contract supports jobs within the facilities maintenance and operations sector, potentially benefiting the local Nevada workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if scope creep occurs within the firm-fixed-price contract.
Dependence on a single contractor for critical base operations could pose a risk if performance issues arise.
Labor availability and cost fluctuations in the Nevada region could impact service delivery.

Positive Signals

The firm-fixed-price contract provides cost certainty for the government.
Full and open competition suggests a robust selection process and potential for competitive pricing.
The multi-year duration allows for stable and consistent service delivery.

Sector Analysis

Facilities Support Services (NAICS 561210) is a broad category encompassing a wide range of services essential for the operation and maintenance of buildings and grounds. This contract for Nellis AFB falls within this sector, which is a significant market for government contracting. Comparable spending benchmarks for similar base operations and maintenance contracts across the Department of Defense can vary widely based on base size, location, and specific service requirements.

Small Business Impact

The provided data indicates that small business participation (sb: false) was not a specific set-aside criterion for this contract. Therefore, there are no direct subcontracting implications mandated by a small business set-aside. The prime contractor, J & J Maintenance Inc., is not identified as a small business in this data, suggesting it is likely a larger entity. Further analysis would be needed to determine if subcontracting opportunities exist for small businesses within this contract's scope.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the contract administration team within the Department of the Army, overseeing the Department of Defense. Accountability measures are inherent in the firm-fixed-price contract terms, with performance expectations tied to payment. Transparency is facilitated through contract award databases, though detailed performance metrics and oversight reports may not always be publicly accessible. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Base Operations Support (BOS)
Facilities Maintenance Contracts
O&M Services
Department of Defense Contracts
Air Force Base Services

Risk Flags

Potential for cost overruns if scope creep occurs.
Dependence on contractor performance for critical base operations.
Labor market fluctuations in Nevada could impact service delivery.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $23.4 million to J & J MAINTENANCE INC. O&M SERVICES - NELLIS AFB

Who is the contractor on this award?

The obligated recipient is J & J MAINTENANCE 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 $23.4 million.

What is the period of performance?

Start: 2021-07-01. End: 2025-06-30.

What is the track record of J & J Maintenance Inc. in performing similar facilities support contracts for the federal government?

A review of J & J Maintenance Inc.'s contract history with the federal government is crucial to assess their performance on similar facilities support contracts. Analyzing past performance evaluations, any documented disputes or contract terminations, and the scale and complexity of previous awards would provide insight into their reliability and capability. Specifically, looking at contracts with the Department of Defense or other agencies requiring similar O&M services would be most relevant. A strong track record suggests a lower risk of performance issues, while a history of deficiencies might indicate potential challenges in meeting the requirements of the Nellis AFB contract.

How does the awarded value of $23.3 million compare to similar facilities support contracts at other Air Force bases of comparable size?

To benchmark the value of this contract, one would compare the $23.3 million award over four years to similar Operations and Maintenance (O&M) services contracts at other Air Force bases with comparable square footage, infrastructure complexity, and personnel levels. For instance, if other bases of similar size in similar geographic regions have awarded contracts in the range of $5-7 million annually for comparable services, then this $5.8 million annual average ($23.3M / 4 years) appears to be within a reasonable range. Conversely, if comparable bases have significantly lower or higher contract values, it would warrant further investigation into the specific requirements, service levels, and market conditions influencing this particular award.

What are the key performance indicators (KPIs) and service level agreements (SLAs) associated with this contract, and how are they monitored?

The specific Key Performance Indicators (KPIs) and Service Level Agreements (SLAs) for this O&M Services contract are typically detailed within the contract's Performance Work Statement (PWS). These would likely include metrics related to response times for maintenance requests, preventative maintenance completion rates, facility condition assessments, energy efficiency targets, and safety compliance. Monitoring is usually conducted by a government Quality Assurance Representative (QAR) who tracks contractor performance against these KPIs/SLAs, often through regular reports and site inspections. Failure to meet these metrics can lead to contractually defined remedies, such as performance deductions or even termination.

What is the historical spending trend for O&M services at Nellis AFB over the past five years, and how does this award fit into that pattern?

Analyzing historical spending for O&M services at Nellis AFB over the past five years would reveal trends in the base's investment in facilities support. This would involve examining previous contract awards for similar services, noting any significant increases or decreases in spending. If historical spending has been consistently around $5-6 million annually for O&M, then this new $23.3 million, four-year contract aligns with that pattern. However, if there's a notable jump in the awarded amount compared to previous years, it might indicate an expansion of services, increased costs, or a change in contracting strategy that warrants further examination.

Are there any specific risks identified by the government or the contractor regarding the execution of this facilities support contract?

While the provided data doesn't explicitly list identified risks, common risks for facilities support contracts include unforeseen infrastructure issues requiring extensive repairs, fluctuations in labor costs or availability, environmental compliance challenges, and potential scope creep. The government's risk is mitigated by the firm-fixed-price structure and performance monitoring, while the contractor's risk is tied to accurately estimating costs and managing resources effectively. The 'wi' (what if) section of the schema highlights potential concerns like cost overruns and dependence on the contractor, which are typical risk considerations for such contracts.

Industry Classification

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

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: W912DY16R0104

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: J & J Maintenance, Inc.

Address: 8350 BROAD ST STE 1100, MCLEAN, VA, 22102

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $29,603,477

Exercised Options: $23,630,412

Current Obligation: $23,365,218

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W912DY20D0061

IDV Type: IDC

Timeline