DOD's $26.3M light pickup truck purchase saw strong competition, with Global Fleet Sales LLC winning

Contract Overview

Contract Amount: $26,304,750 ($26.3M)

Contractor: Global Fleet Sales LLC

Awarding Agency: Department of Defense

Start Date: 2009-07-31

End Date: 2010-04-30

Contract Duration: 273 days

Daily Burn Rate: $96.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 9

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: LIGHT PICKUP TRUCK

Place of Performance

Location: SOUTHFIELD, OAKLAND County, MICHIGAN, 48034

State: Michigan Government Spending

Plain-Language Summary

Department of Defense obligated $26.3 million to GLOBAL FLEET SALES LLC for work described as: LIGHT PICKUP TRUCK Key points: 1. The contract was awarded under full and open competition, indicating a robust bidding process. 2. The fixed-price nature of the contract helps manage cost certainty for the government. 3. The relatively short duration of the contract (273 days) suggests a specific, immediate need. 4. The award to Global Fleet Sales LLC, a single entity, highlights the importance of specialized fleet providers. 5. The North American Industry Classification System (NAICS) code 336211 points to the manufacturing sector for vehicle bodies. 6. The contract's value is moderate, fitting within typical vehicle procurement ranges for military branches.

Value Assessment

Rating: good

Benchmarking the value of this contract requires comparing it to similar light pickup truck procurements by the Department of Defense or other federal agencies. Without specific per-unit cost data or a detailed breakdown of vehicle specifications, a precise value-for-money assessment is challenging. However, the contract was awarded under full and open competition, which generally drives competitive pricing. The firm fixed-price structure also provides cost predictability. The total award amount of $26.3 million for 273 days of performance suggests a significant quantity of vehicles or specialized configurations.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, meaning all responsible sources were permitted to submit a bid. The presence of 9 bidders indicates a healthy level of competition for this vehicle procurement. A higher number of bidders typically leads to more competitive pricing and a wider selection of offerings, benefiting the government by potentially securing better value. The competition level suggests that the market for supplying light pickup trucks to the Department of the Army is accessible and responsive.

Taxpayer Impact: The strong competition among 9 bidders likely resulted in a more favorable price for taxpayers compared to a sole-source or limited competition scenario. This ensures that taxpayer funds are used efficiently by leveraging market forces to obtain the best possible deal.

Public Impact

The Department of the Army benefits from the acquisition of essential light pickup trucks for operational needs. These vehicles are crucial for logistics, transportation, and personnel movement within military operations. The contract supports the automotive manufacturing sector, specifically vehicle body manufacturing. The geographic impact is primarily within Michigan, where the contractor is located, potentially supporting local employment and economic activity.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price fluctuations in future procurements if market conditions change.
Dependence on a single contractor for this specific award could pose a risk if performance issues arise.

Positive Signals

Awarded under full and open competition, suggesting a competitive market.
Firm fixed-price contract provides cost certainty.
Multiple bidders (9) indicate market interest and potential for future competition.
Contractor is based in Michigan, potentially supporting domestic manufacturing.

Sector Analysis

The procurement of light pickup trucks falls within the broader automotive manufacturing and supply sector. This sector is characterized by large-scale production, complex supply chains, and significant global competition. Federal agencies are major consumers of vehicles, driving demand for fleet sales. Comparable spending benchmarks would involve analyzing other large federal vehicle procurements, such as those for the General Services Administration (GSA) schedules or other defense-related vehicle acquisitions. The NAICS code 336211 specifically relates to the manufacturing of motor vehicle bodies, indicating the focus on the production aspect of these trucks.

Small Business Impact

This contract does not appear to have a small business set-aside component, as indicated by 'sb': false. Furthermore, the contractor, Global Fleet Sales LLC, is not explicitly identified as a small business. There is no information provided regarding subcontracting plans specifically for small businesses. Therefore, the direct impact on the small business ecosystem from this particular award is likely minimal, though the broader automotive supply chain may involve small businesses.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the relevant program office within the Department of the Army. The firm fixed-price contract structure provides a degree of financial oversight by setting the price upfront. Transparency is facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected during the procurement or performance phases. Performance metrics and delivery schedules would be monitored to ensure compliance.

Related Government Programs

General Services Administration (GSA) Fleet Vehicle Purchasing
Department of Defense Vehicle Procurement
Light Tactical Wheeled Vehicles
Commercial Off-The-Shelf (COTS) Vehicle Procurements

Risk Flags

Potential for cost overruns if specifications were not fully defined.
Risk associated with delivery timelines for specialized vehicles.
Dependence on a single awardee for this specific procurement.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $26.3 million to GLOBAL FLEET SALES LLC. LIGHT PICKUP TRUCK

Who is the contractor on this award?

The obligated recipient is GLOBAL FLEET SALES 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 $26.3 million.

What is the period of performance?

Start: 2009-07-31. End: 2010-04-30.

What is the specific model and configuration of the light pickup trucks procured under this contract?

The provided data does not specify the exact model or configuration of the light pickup trucks. The contract identifies the item as 'LIGHT PICKUP TRUCK' and assigns NAICS code 336211 (Motor Vehicle Body Manufacturing). Federal procurement data often includes detailed specifications in attached documents or line item descriptions, which are not present here. To determine the specific models, one would need to consult the original contract award file or related documentation. This information is crucial for a detailed analysis of value and performance, as different configurations (e.g., payload capacity, engine type, cab style, special equipment) can significantly impact cost and suitability for military use.

How does the per-unit cost of these trucks compare to similar commercial or government purchases?

A direct per-unit cost comparison is not possible with the provided data alone, as the total award amount ($26.3 million) and the number of units procured are not explicitly linked. The data indicates 9 bidders participated, suggesting competitive pricing was sought. To benchmark the per-unit cost, we would need to know the quantity of trucks purchased. If, for example, 1,000 trucks were purchased, the average cost would be approximately $26,300 per truck. This figure would then need to be compared against prevailing market rates for similar commercial light pickup trucks at the time of award (July 2009 - April 2010) and against other government fleet purchases. Factors like bulk discounts, specific government-required modifications, and warranty terms would influence this comparison.

What were the key performance requirements and evaluation criteria used in selecting Global Fleet Sales LLC?

The provided data does not detail the specific performance requirements or evaluation criteria used for this contract. However, as it was awarded under 'FULL AND OPEN COMPETITION' with a 'FIRM FIXED PRICE' type, it is reasonable to infer that price was a significant, if not primary, evaluation factor. Other common criteria for vehicle procurements include delivery timelines, adherence to specifications (which are not detailed here), warranty provisions, and potentially past performance records of the bidders. The fact that 9 bidders submitted offers suggests that the solicitation was clear enough to attract multiple participants who believed they could meet the government's needs competitively. A thorough review of the solicitation document (e.g., Request for Proposal) would be necessary to ascertain the precise evaluation methodology.

What is the track record of Global Fleet Sales LLC in fulfilling government contracts, particularly for vehicle procurements?

The provided data indicates that Global Fleet Sales LLC was awarded this specific contract for light pickup trucks by the Department of the Army. To assess their track record, one would need to examine their complete contract history within federal procurement databases (like FPDS). This would reveal the number of contracts awarded, their values, the agencies involved, and performance ratings, if available. Without this broader context, it's difficult to definitively state their overall track record. However, winning a contract under full and open competition suggests they met the basic qualifications and submitted a competitive offer for this particular requirement. Further investigation into their past performance on similar vehicle contracts would be warranted for a comprehensive assessment.

How has federal spending on light pickup trucks evolved over time, and does this contract represent a significant trend?

This single contract award of $26.3 million in 2009-2010 for light pickup trucks does not, in isolation, represent a significant trend in federal spending evolution. To understand trends, one would need to analyze aggregate spending data for similar vehicle procurements across multiple agencies and fiscal years. Federal agencies, including the Department of Defense and entities utilizing GSA fleet vehicles, consistently procure light trucks as standard operational equipment. Spending levels can fluctuate based on military readiness needs, budget allocations, vehicle replacement cycles, and the adoption of alternative transportation solutions. Analyzing a larger dataset encompassing numerous awards over several years would be necessary to identify meaningful trends or shifts in spending patterns for this category of vehicles.

Industry Classification

NAICS: Manufacturing › Motor Vehicle Body and Trailer Manufacturing › Motor Vehicle Body Manufacturing

Product/Service Code: MOTOR VEHICLES, CYCLES, TRAILERS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 9

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 890 RIO EAST COURT, CHARLOTTESVILL, VA

Business Categories: Category Business, Small Business

Financial Breakdown

Contract Ceiling: $26,304,750

Exercised Options: $26,304,750

Current Obligation: $26,304,750

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W56HZV06DG002

IDV Type: IDC

Timeline