DoD Awards $28.3M for Oman Marine Cargo Handling Services to Khimji Ramdas LLC

Contract Overview

Contract Amount: $28,300,000 ($28.3M)

Contractor: Khimji Ramdas LLC

Awarding Agency: Department of Defense

Start Date: 2011-10-01

End Date: 2012-09-30

Contract Duration: 365 days

Daily Burn Rate: $77.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: PROVIDE FUNDING FOR CONTINUED S&RTS SERVICES IN OMAN

Plain-Language Summary

Department of Defense obligated $28.3 million to KHIMJI RAMDAS LLC for work described as: PROVIDE FUNDING FOR CONTINUED S&RTS SERVICES IN OMAN Key points: 1. Contract awarded for essential S&RTS services in Oman. 2. Khimji Ramdas LLC is the sole awardee. 3. The contract duration is one year. 4. Services include marine cargo handling.

Value Assessment

Rating: fair

The award amount of $28.3 million for a 365-day contract appears high for marine cargo handling services. Benchmarking against similar contracts is difficult without more specific service details.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the specific awardee and the nature of the services might warrant further scrutiny regarding price discovery.

Taxpayer Impact: Taxpayer funds are being used to support critical logistical operations in Oman, ensuring the efficient movement of goods for military purposes.

Public Impact

Ensures continued logistical support for U.S. military operations in Oman. Supports the movement of essential supplies and equipment. Facilitates diplomatic and operational presence in the region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns due to the high award amount.
Limited transparency on the specific services provided for the price.
Dependence on a single contractor for critical services.

Positive Signals

Ensures continuity of essential services.
Awarded through full and open competition.

Sector Analysis

This contract falls under general logistics and support services, often associated with defense operations in foreign countries. Spending benchmarks for such services can vary widely based on location and scope.

Small Business Impact

There is no indication that small businesses were involved in this contract, either as prime contractors or subcontractors.

Oversight & Accountability

Oversight is crucial to ensure that the services provided by Khimji Ramdas LLC meet the contract's requirements and that the funds are used efficiently and effectively.

Related Government Programs

Marine Cargo Handling
Department of Defense Contracting
Department of the Army Programs

Risk Flags

High contract value for a one-year term.
Lack of detailed service description.
Potential for cost overruns.
Limited visibility into subcontractor utilization.
Dependence on a single contractor for critical operations.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $28.3 million to KHIMJI RAMDAS LLC. PROVIDE FUNDING FOR CONTINUED S&RTS SERVICES IN OMAN

Who is the contractor on this award?

The obligated recipient is KHIMJI RAMDAS 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 $28.3 million.

What is the period of performance?

Start: 2011-10-01. End: 2012-09-30.

What specific services are included in the 'Marine Cargo Handling' to justify the $28.3 million cost?

The specific services encompassed by 'Marine Cargo Handling' are not detailed in the provided data. This lack of specificity makes it challenging to assess the value for money. A comprehensive breakdown of tasks, such as loading, unloading, warehousing, and transportation of goods, along with associated labor and equipment costs, would be necessary for a thorough evaluation.

Given the full and open competition, why was only one award made for these services?

While the contract was advertised under full and open competition, it's possible that only one offer was received, or that Khimji Ramdas LLC was the only responsible bidder meeting all the technical and cost requirements. Alternatively, the nature of the services or specific requirements might have led to a single, highly competitive bid that was deemed the best value.

How does the $28.3 million award compare to industry benchmarks for similar cargo handling services in the region?

Without detailed service scope and regional cost data, a direct benchmark comparison is difficult. However, $28.3 million for a single year of marine cargo handling services in Oman appears substantial. Further research into typical rates for port operations, logistics, and specialized handling in that specific geographic area would be needed to determine if this represents a fair market price.

Industry Classification

NAICS: Transportation and Warehousing › Support Activities for Water Transportation › Marine Cargo Handling

Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › TRANSPORTATION OF THINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: KHIMJI HOUSE MUTTRAH STREET, MUSCAT

Business Categories: Category Business, Foreign Owned, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations

Financial Breakdown

Contract Ceiling: $28,300,000

Exercised Options: $28,300,000

Current Obligation: $28,300,000

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W52P1J09D0026

IDV Type: IDC

Timeline