Agriculture Department awards $12.9M contract for forestry support, with a timber value of $4.5M

Contract Overview

Contract Amount: $13,005,874 ($13.0M)

Contractor: Black Knight Enterprises Inc

Awarding Agency: Department of Agriculture

Start Date: 2023-07-07

End Date: 2026-12-18

Contract Duration: 1,260 days

Daily Burn Rate: $10.3K/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: TRINITY STEWARDSHIP IRSC -12363N23F4192 $4,500.00 TOTAL TIMBER VALUE APPLIED $12,902,985.85TOTAL APPROPRIATED DOLLARS $12,907,485.85 TOTAL CONTRACT VALUE COR: TIM RITCHEY (TIMOTHY.RITCHEY@USDA.GOV) AND KEITH ROHRS (KEITH.ROHRS@USDA.GOV) PER

Place of Performance

Location: WEAVERVILLE, TRINITY County, CALIFORNIA, 96093

State: California Government Spending

Plain-Language Summary

Department of Agriculture obligated $13.0 million to BLACK KNIGHT ENTERPRISES INC for work described as: TRINITY STEWARDSHIP IRSC -12363N23F4192 $4,500.00 TOTAL TIMBER VALUE APPLIED $12,902,985.85TOTAL APPROPRIATED DOLLARS $12,907,485.85 TOTAL CONTRACT VALUE COR: TIM RITCHEY (TIMOTHY.RITCHEY@USDA.GOV) AND KEITH ROHRS (KEITH.ROHRS@USDA.GOV) PER Key points: 1. The contract's total value significantly exceeds the estimated timber value, suggesting a focus on broader support services. 2. Competition dynamics for this contract are unclear, as it was awarded under Simplified Acquisition Procedures (SAP). 3. The contract duration of 1260 days (approximately 3.5 years) indicates a need for sustained support. 4. The firm fixed-price contract type suggests that cost risks are primarily borne by the contractor. 5. The contract is for Support Activities for Forestry, a critical function for land management. 6. The geographic focus is California, a state with significant forest resources and wildfire risks.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without more detailed service descriptions. The significant difference between the total contract value ($12.9M) and the timber value ($4.5M) implies substantial costs for services beyond timber management, such as planning, monitoring, or administrative support. Comparing this to similar forestry support contracts would be necessary for a more precise value assessment. The firm fixed-price nature, however, provides some cost certainty for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: unknown

The contract was competed under Simplified Acquisition Procedures (SAP), which typically involve less formal competition than full and open solicitations. While the number of bidders is not specified, SAP awards are often made to a limited number of pre-qualified vendors or through streamlined processes. The level of competition under SAP can vary, potentially leading to less aggressive pricing compared to highly competitive bids.

Taxpayer Impact: The limited competition inherent in SAP awards may mean taxpayers do not benefit from the most cost-effective pricing achievable through broader market engagement.

Public Impact

The primary beneficiaries are likely the US Forest Service, receiving essential support for forestry operations in California. Services delivered include support activities crucial for managing and protecting forest resources. The geographic impact is concentrated in California, affecting state and local land management efforts. Workforce implications may include support roles for foresters, rangers, and administrative staff involved in forestry programs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of transparency regarding the competition process under SAP.
Potential for higher costs due to limited bidding opportunities.
Unclear breakdown of costs beyond the stated timber value.

Positive Signals

Firm fixed-price contract provides cost predictability.
Long duration suggests a stable, ongoing need for services.
Awarded by the Department of Agriculture, a relevant agency for forestry.

Sector Analysis

This contract falls within the broader 'Forestry and Logging' sector, which is a subset of the natural resources industry. The market for forestry support services is driven by government land management needs, environmental regulations, and timber harvesting activities. Comparable spending benchmarks would typically involve other federal or state contracts for land management, environmental consulting, and administrative support for natural resource agencies. The total contract value of $12.9 million is moderate for a multi-year federal support contract.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications or specific impacts on the small business ecosystem stemming from a set-aside provision. The prime contractor, BLACK KNIGHT ENTERPRISES INC, is not identified as a small business in the provided data.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Agriculture's Forest Service contracting officers and program managers. Accountability measures are typically embedded in the contract terms and performance requirements. Transparency is facilitated through contract databases like FPDS, though detailed performance reports are not always publicly available. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Forest Management Services
Environmental Consulting
Natural Resource Management
Timber Harvesting Support
Federal Land Management Contracts

Risk Flags

Potential for limited competition due to SAP.
Unclear cost breakdown beyond timber value.
Geographic concentration in California may limit broader applicability.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $13.0 million to BLACK KNIGHT ENTERPRISES INC. TRINITY STEWARDSHIP IRSC -12363N23F4192 $4,500.00 TOTAL TIMBER VALUE APPLIED $12,902,985.85TOTAL APPROPRIATED DOLLARS $12,907,485.85 TOTAL CONTRACT VALUE COR: TIM RITCHEY (TIMOTHY.RITCHEY@USDA.GOV) AND KEITH ROHRS (KEITH.ROHRS@USDA.GOV) PER

Who is the contractor on this award?

The obligated recipient is BLACK KNIGHT ENTERPRISES INC.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Forest Service).

What is the total obligated amount?

The obligated amount is $13.0 million.

What is the period of performance?

Start: 2023-07-07. End: 2026-12-18.

What specific services are included under 'Support Activities for Forestry' for this contract?

The provided data snippet does not detail the specific services encompassed by 'Support Activities for Forestry.' However, this category typically includes a range of tasks essential for forest management and operations. These can encompass activities such as forest inventory and analysis, timber stand improvement planning, reforestation support, pest and disease monitoring, fire management planning and support, environmental compliance, data collection and analysis, administrative support for forestry programs, and potentially public outreach or educational components related to forest resources. The significant difference between the total contract value ($12.9M) and the timber value ($4.5M) suggests that a substantial portion of the contract's scope is dedicated to these non-timber related support functions.

How does the $12.9 million contract value compare to typical spending for similar forestry support contracts?

Direct comparison of the $12.9 million contract value to 'similar' forestry support contracts is difficult without a more precise definition of 'similar' and access to a comprehensive database of historical contracts. However, for a multi-year (approximately 3.5 years) contract supporting federal land management activities, particularly in a large state like California, this value is within a moderate range. Contracts for large-scale land management, environmental services, or complex operational support can often reach tens of millions of dollars. The value is significantly influenced by the scope of work, duration, geographic coverage, and the specific services required by the Forest Service. A more detailed analysis would involve benchmarking against contracts with comparable service descriptions, durations, and agency requirements.

What are the potential risks associated with a contract competed under Simplified Acquisition Procedures (SAP)?

Contracts competed under Simplified Acquisition Procedures (SAP) generally carry a different risk profile compared to those awarded through full and open competition. A primary risk is potentially reduced price competition, as SAP is designed for smaller dollar value procurements (typically under $250,000, though specific thresholds can vary) and often involves less formal solicitation processes. This can lead to less aggressive bidding and potentially higher prices for the government. Another risk is limited transparency into the selection process and the number of bidders considered. While SAP aims for efficiency, it may not always yield the best value for taxpayers if market reach is restricted. Furthermore, the contractor's track record and past performance might be less rigorously vetted compared to larger, more complex contract competitions.

What is the significance of the contract being awarded to BLACK KNIGHT ENTERPRISES INC?

The significance of the contract being awarded to BLACK KNIGHT ENTERPRISES INC lies in its role as the prime contractor responsible for delivering the 'Support Activities for Forestry' services. As the awardee, this company assumes the primary responsibility for fulfilling the contract's requirements, managing resources, and ensuring performance standards are met. Without further information on the company's size, past performance, or specific expertise in forestry, it's difficult to assess its strategic importance. However, the award indicates that the Forest Service deemed BLACK KNIGHT ENTERPRISES INC capable of performing the required tasks under the specified terms and conditions, including the firm fixed-price structure.

How does the timber value of $4.5 million relate to the total contract value of $12.9 million?

The timber value of $4.5 million represents the estimated monetary worth of the timber resources that are part of or related to the contract's scope. The total contract value of $12.9 million, however, encompasses all costs associated with the contract, including the services rendered, administrative overhead, profit, and potentially other expenses beyond the direct timber valuation. The fact that the total contract value is nearly three times the timber value ($12.9M vs. $4.5M) strongly suggests that the contract's primary purpose is not solely timber harvesting or sales. Instead, it indicates a significant focus on broader 'Support Activities for Forestry,' which could include planning, environmental assessments, monitoring, compliance, reforestation efforts, or other land management functions that are essential for sustainable forestry practices and forest health, irrespective of immediate timber revenue.

Industry Classification

NAICS: Agriculture, Forestry, Fishing and Hunting › Support Activities for Forestry › Support Activities for Forestry

Product/Service Code: NATURAL RESOURCES MANAGEMENT › NATURAL RESOURCE CONSERVERVAT SVCS

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1115 4TH AVE, ORLAND, CA, 95963

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $13,005,874

Exercised Options: $13,005,874

Current Obligation: $13,005,874

Actual Outlays: $10,041,295

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 12363N23A4165

IDV Type: BPA

Timeline