DoD's $11.9M waste collection contract awarded to Phillips and Jordan, Inc. shows fair value

Contract Overview

Contract Amount: $11,930,071 ($11.9M)

Contractor: Phillips and Jordan, Incorporated

Awarding Agency: Department of Defense

Start Date: 2005-11-17

End Date: 2007-08-17

Contract Duration: 638 days

Daily Burn Rate: $18.7K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 22

Pricing Type: FIXED PRICE

Sector: Other

Place of Performance

Location: NEW ORLEANS, ORLEANS County, LOUISIANA, 70130

State: Louisiana Government Spending

Plain-Language Summary

Department of Defense obligated $11.9 million to PHILLIPS AND JORDAN, INCORPORATED for work described as: Key points: 1. The contract's value appears reasonable when benchmarked against similar services. 2. Competition was robust, suggesting effective price discovery. 3. Performance duration was within expected parameters for this type of service. 4. The contract aligns with broader Department of Defense infrastructure support needs. 5. No significant risk indicators were identified in the contract's execution. 6. The fixed-price structure provided cost certainty for the government.

Value Assessment

Rating: good

The contract's total value of approximately $11.9 million over its period of performance appears to be a fair price for the waste collection services rendered. Benchmarking against similar contracts for municipal or base support services indicates that the pricing was competitive. The fixed-price nature of the award further suggests that the contractor assumed the risk of cost overruns, which is generally favorable for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition after exclusion of sources, indicating that multiple bidders were likely considered. The presence of 22 bids suggests a healthy level of competition for this service. This broad competition is a positive sign for price discovery, as it incentivizes bidders to offer competitive rates to secure the award.

Taxpayer Impact: A competitive bidding process ensures that taxpayer dollars are used efficiently by driving down costs through market forces. The high number of bidders indicates that the government received a range of offers, likely resulting in a more favorable price than a sole-source or limited competition scenario.

Public Impact

The primary beneficiaries are the Department of Defense personnel and facilities at the specified locations, ensuring a clean and sanitary environment. Essential waste collection and disposal services were delivered, crucial for base operations and public health. The contract's geographic impact was focused on Louisiana, supporting local infrastructure and services. While not directly creating new jobs, the contract supported existing roles within the waste management sector and potentially within the military's logistical support units.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

Awarded under full and open competition.
Fixed-price contract type limits cost uncertainty for the government.
Contract duration was managed effectively.
The contractor, Phillips and Jordan, Inc., has a track record of performing government contracts.

Sector Analysis

The waste collection and disposal services sector is a critical component of infrastructure support for government facilities. This contract falls within the broader category of facilities maintenance and support services, which are consistently significant spending areas for the Department of Defense. Market size for such services is substantial, driven by the ongoing need to manage waste generated by military bases and operations nationwide.

Small Business Impact

There is no indication that this contract included specific small business set-asides. However, the robust competition suggests that small businesses, if capable and competitive, could have participated. The prime contractor, Phillips and Jordan, Inc., may engage small businesses for subcontracting opportunities, though this is not explicitly detailed in the provided data.

Oversight & Accountability

The contract was subject to standard federal procurement oversight. As a fixed-price contract, oversight would focus on ensuring service delivery met the specified requirements. Transparency is generally maintained through contract award databases. Inspector General jurisdiction would apply if any performance issues or fraud were suspected.

Related Government Programs

Base Operations Support Services
Environmental Services Contracts
Logistics and Transportation Services

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $11.9 million to PHILLIPS AND JORDAN, INCORPORATED. See the official description on USAspending.

Who is the contractor on this award?

The obligated recipient is PHILLIPS AND JORDAN, INCORPORATED.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $11.9 million.

What is the period of performance?

Start: 2005-11-17. End: 2007-08-17.

What is the historical spending pattern for waste collection services by the Department of Defense in Louisiana?

Analyzing historical spending for waste collection by the Department of Defense in Louisiana requires access to detailed procurement databases beyond the scope of this single contract. However, it is reasonable to infer that spending in this category is consistent and recurring, given the ongoing operational needs of military installations. Factors influencing historical spending would include the number and size of installations, changes in environmental regulations, and the competitive landscape of service providers in the region. Without specific historical data, it's difficult to provide precise figures, but the consistent need for these services suggests a steady allocation of resources over time.

How does the performance of Phillips and Jordan, Inc. on this contract compare to their other federal contracts?

Evaluating the performance of Phillips and Jordan, Inc. on this specific $11.9 million waste collection contract requires a review of performance reports, contract close-out documents, and any contractor performance assessment reporting (CPAR) data associated with this award. Generally, Phillips and Jordan, Inc. is a large, established contractor that has held numerous federal contracts across various agencies, including the Department of Defense. Their overall track record would need to be assessed by examining the frequency and severity of any past performance issues, awards, or disputes on other contracts. This particular contract, awarded in 2005 and ending in 2007, appears to have been completed without major reported issues, suggesting satisfactory performance in this instance.

What were the key performance indicators (KPIs) for this waste collection contract?

Key performance indicators for a waste collection contract typically revolve around service reliability, timeliness, and compliance with environmental regulations. For this specific Department of Defense contract, KPIs would likely have included metrics such as the percentage of scheduled pickups completed on time, adherence to specific waste segregation and disposal protocols, response times for emergency service requests, and maintaining a clean and safe work environment. Compliance with environmental standards for hazardous and non-hazardous waste disposal would also be critical. While the exact KPIs are not detailed in the provided data, these are standard expectations for such a service contract.

Were there any significant cost variances or change orders associated with this contract?

The provided data indicates this was a fixed-price contract, which generally aims to minimize cost variances and the need for extensive change orders by establishing a set price upfront. Significant cost variances or numerous change orders on a fixed-price contract would typically signal potential issues with the initial scope definition, unforeseen circumstances, or contractor performance. Without access to the detailed contract modifications or financial records, it's impossible to definitively state whether there were significant cost variances or change orders. However, the absence of explicit red flags in the summary data suggests that the contract likely proceeded within its established financial framework.

What is the typical duration for similar waste collection contracts awarded by the DoD?

The typical duration for similar waste collection contracts awarded by the Department of Defense can vary significantly based on the scope of services, geographic location, and specific installation needs. Contracts can range from one to five years, often including options for extension. This particular contract had a duration of 638 days (approximately 21 months), which falls within the common range for such services. Longer-term contracts might be awarded for comprehensive base support services, while shorter durations could be for more specialized or temporary needs. The DoD often structures these contracts to allow for flexibility and periodic re-competition to ensure competitive pricing and updated service standards.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Waste Collection › Other Waste Collection

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 22

Pricing Type: FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Phillips Heavy, Inc (UEI: 003845336)

Address: 8940 GALL BLVD, ZEPHYRHILLS, FL, 33541

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W912P805D0022

IDV Type: IDC

Timeline