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NAICS NewsletterNovember 16, 2009

NAICS 561730

Landscaping Services

Government Contract and Procurement Analysis Report

Report Summary

This report, offered by epipeline, contains a brief analysis of the Federal government's procurement practices with regards to purchasing the services of Landscaping Services.


You will find information on the top federal government agencies that purchase these services, as well as their procurement strategy (i.e. full and open competition, set-asides and more). Finally, there is a review of the top companies that are awarded federal government contracts for Landscaping Services.


To get a more comprehensive analysis and learn more about how epipeline can help you identify current and future bid opportunities, register for a live Demo.

This report takes an in-depth look at the 'Landscaping Services' industry, NAICS 561730. To understand the future, one must study the past. epipeline's Contract History Plus* provides you with a broad context and several perspectives that enables you to develop the best positioning and strategy for your company to more effectively compete for government contracts. The following graph illustrates one such perspective: the top Government departments/agencies buying these services over the last four fiscal years.

Top 10 Federal Agencies by % of Total Market FY05 through FY09 for NAICS 561730

WHAT IS NAICS 561730?

Companies represented by NAICS 561730 provide landscape care and maintenance services and/or installing trees, shrubs, plants, lawns, or gardens. This also includes firms that provide these services along with the design of landscape plans and/or the construction (i.e., installation) of walkways, retaining walls, decks, fences, ponds, and similar structures.

The description of NAICS 561730 is further broken out to include these additional specific topics:

  • Arborist services
  • Cemetery plot care services
  • Fertilizing lawns
  • Garden maintenance services
  • Hydroseeding services (e.g., decorative, erosion control purposes)
  • Landscape care and maintenance services
  • Landscape contractors (except construction)
  • Landscape installation services
  • Landscaping services (except planning)
  • Lawn care services (e.g., fertilizing, mowing, seeding, spraying)
  • Lawn fertilizing services
  • Lawn maintenance services
  • Lawn mowing services
  • Lawn seeding services
  • Lawn spraying services
  • Line slash (i.e., rights of way) maintenance services
  • Maintenance of plants and shrubs in buildings
  • Mowing services (e.g., highway, lawn, road strip)
  • Ornamental tree and shrub services
  • Plant and shrub maintenance in buildings
  • Plant maintenance services
  • Pruning services, ornamental tree and shrub
  • Seasonal property maintenance services (i.e., snow plowing in winter, landscaping during other seasons)
  • Seeding lawns
  • Shrub services (e.g., bracing, planting, pruning, removal, spraying, surgery, trimming)
  • Snow plowing services combined with landscaping services (i.e., seasonal property maintenance services)
  • Sod laying services
  • Spraying lawns
  • Tree and brush trimming, overhead utility line
  • Tree pruning services
  • Tree removal services
  • Tree services (e.g., bracing, planting, pruning, removal, spraying, surgery, trimming)
  • Tree surgery services
  • Tree trimming services
  • Tropical plant maintenance services
  • Turf (except artificial) installation services
  • Weed control and fertilizing services (except crop)

These services are more commonly referred to as grounds maintenance services. They are frequently bundled with other services, such as janitorial, building maintenance, or included in a base operations support (BOS) contract.

The size standard associated with NAICS 561730 is $7.0 Million (effective August 22, 2008), which means that a company, including its affiliates, would be considered a "small business" if their average annual gross receipts does not exceed $7.0Million for the past three years. If a company has not been in business for three years, the average weekly revenue for the number of weeks the company has been in business is multiplied by 52 to determine the average annual receipts.

Total reported spending under NAICS 561730 for the period of Fiscal Year 2005 (FY05) through the Fiscal Year 2009 (FY09) was over $1.3 Billion. FY09 reported spending of $307 Million for services under NAICS 561730. The chart below illustrates the reported** spending by year for FY05 through FY09.

Reported Contact Spending FY05 through FY09 for NAICS 561730 Source: epipeline's Contract History Plus*
** Note: it is possible that some Defense spending for the more recent fiscal years (FY05 to present) is not as widely reported as earlier years. These numbers will likely increase as more departments and agencies report their contract spending.

WHO ISSUES THE CONTRACTS?

The United States Army is the largest buyer of services under NAICS 561730, commanding over 28% of the market share for the last four fiscal years (FY05 through FY09), with over $375 Million in contract spending. The United States Air Force was not too far behind, reporting $327 Million for the same time period. The United States Navy and the Department of Veterans Affairs (VA aka DVA) both reported contract spending above $160 Million. Many military installations have base-wide grounds maintenance contracts and the VA contracts include those at national cemeteries.

Top 10 Federal Agencies by % of Total Market FY05 through FY09 for NAICS 561730 Source: epipeline's Contract History Plus*

WHO WINS THE CONTRACTS?

According to the Central Contractor Registry (CCR), there are 9,784 companies registered under NAICS 561730 (source: active registrants, www.ccr.gov as of 11/09/2009). Of this number, 8,383 qualify as small businesses, which includes the following breakout by socioeconomic categories (some companies may qualify under more than one category):

  • 550 SBA Certified 8(a) contractors;
  • 468 SBA Certified HUBZone contractors; and
  • 1,082 Service Disabled Veteran Owned Small Businesses (SDVOSB).

There are also 106 firms listed as AbilityOne non-profit agencies. The AbilityOne program (www.abilityone.org, formerly known as JWOD - Javits-Wagner-O’Day) provides employment for people who are blind or have other severe disabilities. Working with non-profit organizations, they can provide these services at a fair price. The program is overseen by The Committee for Purchase From People Who Are Blind or Severely Disabled (an independent federal agency). They receive help from the NISH (www.nish.org) and the National Industries for the Blind (NIB - www.nib.org). Some contracts are set-aside under the AbilityOne program and others may have an evaluation preference for this program.

The two charts below identify the top 10 Companies, by market share, for the period of FY05 through FY09. The first chart represents the top 10 companies that were awarded their contracts under ANY type of competition, whether it was full and open, small business set-aside, sole-sourced, etc. This list primarily consists of large businesses. The second chart, however, lists the top 10 companies that won their contracts under RESTRICTED competition. Specifically, epipeline limited this to those contracts awarded under the acquisition strategies listed below. The contract dollars represented on this second chart may not include all contract dollars for the individual contractor.

  • 8(a) Competed
  • 8(a) Small Disadvantaged (SDB) set-aside
  • 8(a) sole-source
  • SDB set-aside
  • SDB, 8(a) with HUBZone
  • Combination HUBZone and 8(a)
  • HUBZone set-aside
  • HUBZone sole-source
  • Service Disabled Veteran-Owned Small Business (SDVOSB) set-aside
  • SDVOSB sole-source
  • Emerging Small Business set-aside
  • Very Small Business set-aside
  • Reserved for Small Businesses ($2501 to $100,000)
  • Total Small Business set-aside

Skookum Educational Programs Inc. holds the top spot on the unrestricted competition list with over $36.8 Million in contract dollars for FY05-FY09 and over 3.79% of the market share. Pride Industries Inc., also holds contracts with reported spending above $30 Million for the FY05 through FY09 period. SPSA LLC, Ash Facility Services Inc., and Prime Irrigation Landscape Inc. all have contracts with total reported spending above $20 Million. The remaining companies in the top ten all had reported spending above $15 Million. Thirteen additional companies outside the top ten reported spending above $10 Million.

PLEASE NOTE: as this is a listing by Company name, rather than PARENT company, some companies may have more than one ranking, which may not reflected in the chart below.

Top 10 NAICS 561730 Contractors by % of Total Market for FY05 through FY09 - All Acquisition Strategies Source: epipeline's Contract History Plus*

The fifth company on the above list, Prime Irrigation Landscape Inc., is listed as the first company on the restricted acquisition strategy chart below. Their total reported spending for contracts with a restricted acquisition strategy was over $21 Million, representing a market share of 3.85%. Ash Facility Services Inc. was the fourth firm on the above list, and holds the third spot here. Their reported spending was about $15 Million. The contracting offices do not always report the acquisition strategy for their contracts, which could lead to the discrepancy between Ash's place on this list compared to the unrestricted competition. Additionally, Ash may have one contracts that used full and open competition, which are not represented on the chart below. Four other companies reported spending above $10 Million: Michael Tyning ($16M), Veterans Of The Land Inc. ($14M), Native Contractors Inc. ($13M), and Worrell Contracting Co. Inc. ($12M).

PLEASE NOTE: as this is a listing by Company name, rather than PARENT company, some companies may have more than one ranking, which may not reflected in the chart below.

Top 10 NAICS 561730 Contractors by % of Total Market for FY05 through FY09 - RESTRICTED Competition

HOW ARE THESE CONTRACTS PROCURED?

Almost 40% of contract spending reported for the FY05 through FY09 timeframe under NAICS 561730 used full and open (unrestricted aka "N/A") competition. This equated to over $530 Million. Contracts that were small business set-aside reported spending over $213 Million. Sole source 8a contracts held 12% of the market share, whereas competitive 8a contracts only held 6.33%. Contracts that did not indicate their acquisition strategy (which means they could represent any acquisition strategy) reported contract spending of over $116 Million.

Acquisition Breakout under NAICS 561730 - FY05 through FY09 Source: epipeline's Contract History Plus*

WHERE ARE THESE CONTRACTS PERFORMED?


These contracts are being performed across the continental United States and abroad. The 50 states plus Washington, DC have reported spending for the FY05 through FY09 period of $1.16 Billion and contracts for locations outside the United States (or unlisted) totaled over $171 Million.

The contracts with a reported place of performance located in California reported the highest level of spending under NAICS 561730, with over $161 Million - or 12% of the market share. Texas was the only other state with reported contract spending above $100 Million - with $115 Million for the FY05 through FY09 period. Both of these states are home to many military installations as well as other federal agency locations.

Virginia, Washington (state), Georgia, Florida, and the District of Columbia all reported spending above $50 Million for this same time period. Another 22 states reported spending over $10 Million.

Contract Place of Performance under NAICS 561730 for FY05 through FY09 Source: epipeline's Contract History Plus*
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