Commerce Department awards $456K for recycling services to Georgetown Paper Stock of Rockville, Inc

Contract Overview

Contract Amount: $45,600 ($45.6K)

Contractor: Georgetown Paper Stock of Rockville, Inc

Awarding Agency: Department of Commerce

Start Date: 2023-09-18

End Date: 2028-09-12

Contract Duration: 1,821 days

Daily Burn Rate: $25/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: RECYCLABLE SERVICE

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20230

State: District of Columbia Government Spending

Plain-Language Summary

Department of Commerce obligated $45,600 to GEORGETOWN PAPER STOCK OF ROCKVILLE, INC for work described as: RECYCLABLE SERVICE Key points: 1. Contract awarded for essential recycling services, supporting environmental sustainability goals. 2. The contract was competed under SAP, suggesting a streamlined process for smaller procurements. 3. A single award indicates potential for limited competition or a focused market search. 4. The firm fixed price structure provides cost certainty for the government. 5. The contract duration spans over four years, indicating a long-term need for these services. 6. Geographic focus on the District of Columbia aligns with local environmental initiatives.

Value Assessment

Rating: good

The award amount of $456,000 over approximately five years for recycling services appears reasonable. Benchmarking against similar municipal or federal contracts for materials recovery facilities (NAICS 562920) would provide a more precise value assessment. However, given the relatively modest total value and the nature of the service, the pricing is likely competitive, especially considering the firm fixed price arrangement which transfers some risk to the contractor.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under SAP (Small Acquisition Procedures), which typically involves a simplified acquisition process. While the specific number of bidders is not provided, the 'COMPETED UNDER SAP' designation often implies a more limited outreach than full and open competition. This could mean fewer potential offerors were solicited, or that the solicitation was posted on a platform accessible to a smaller pool of vendors.

Taxpayer Impact: For taxpayers, competition under SAP can sometimes lead to slightly higher prices compared to full and open competition due to a smaller bidder pool. However, it also allows for faster procurement, potentially reducing administrative costs.

Public Impact

The primary beneficiary is the Department of Commerce, which will receive essential recycling services for its facilities. This contract ensures the proper management and disposal of recyclable materials, contributing to environmental protection. The services are geographically focused within the District of Columbia, supporting local waste management efforts. The contract supports the operational needs of the agency, indirectly benefiting federal employees and visitors by maintaining a clean and sustainable work environment.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition under SAP may not always yield the absolute lowest price.
Lack of detailed performance metrics in the provided data makes assessing service quality challenging.
The specific types of materials recovered and their ultimate destination are not detailed, impacting full environmental impact assessment.

Positive Signals

Firm fixed price contract provides budget certainty.
Long contract duration suggests a stable and reliable service provider was selected.
Award to an established company (Georgetown Paper Stock of Rockville, Inc.) implies prior experience in the field.

Sector Analysis

The waste management and recycling sector is a critical component of environmental services, encompassing collection, processing, and disposal of waste materials. NAICS code 562920, Materials Recovery Facilities, specifically addresses the processing of recyclable materials. Federal spending in this sector supports agency operations and broader environmental mandates. Comparable spending benchmarks would involve analyzing contracts for similar recycling and waste management services across various federal agencies and municipal governments.

Small Business Impact

The provided data indicates this contract was not set aside for small businesses (ss: false) and does not specify any subcontracting requirements for small businesses (sb: false). Therefore, this particular award does not appear to directly benefit the small business ecosystem through set-asides or mandated subcontracting. Further analysis would be needed to determine if the prime contractor, Georgetown Paper Stock of Rockville, Inc., is itself a small business.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Commerce's contracting officers and program managers. As a purchase order, it is subject to standard procurement regulations and agency policies. Transparency is facilitated through contract databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Federal Government Waste Management Services
Environmental Services Contracts
Recycling and Materials Recovery Contracts
Department of Commerce Procurement

Risk Flags

Potential for limited competition due to SAP procurement method.
Lack of detailed performance metrics requires close monitoring.
Dependence on market conditions for recycling commodities.

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $45,600 to GEORGETOWN PAPER STOCK OF ROCKVILLE, INC. RECYCLABLE SERVICE

Who is the contractor on this award?

The obligated recipient is GEORGETOWN PAPER STOCK OF ROCKVILLE, INC.

Which agency awarded this contract?

Awarding agency: Department of Commerce (Office of the Secretary).

What is the total obligated amount?

The obligated amount is $45,600.

What is the period of performance?

Start: 2023-09-18. End: 2028-09-12.

What is the track record of Georgetown Paper Stock of Rockville, Inc. with federal contracts?

Based on the provided data, Georgetown Paper Stock of Rockville, Inc. has received this specific purchase order from the Department of Commerce. Without access to broader federal procurement databases (like FPDS or SAM.gov), a comprehensive assessment of their federal contract history, including past performance, past disputes, or other awards, is not possible from this snippet alone. However, the award of a contract, even a purchase order, suggests they met the basic requirements and qualifications set forth by the agency for this procurement. Further investigation into their contract history would reveal the volume and types of contracts they have held, their performance ratings on previous federal work, and any potential red flags.

How does the value of this contract compare to similar recycling service contracts?

The total award value of $456,000 over approximately five years for recycling services is relatively modest. To benchmark effectively, one would need to compare this against contracts for similar services (e.g., materials recovery, waste hauling, recycling processing) awarded by other federal agencies or local governments. Factors such as the volume of recyclables, types of materials accepted, service frequency, geographic location, and specific processing requirements significantly influence pricing. Given the 'COMPETED UNDER SAP' designation, it suggests a procurement process geared towards smaller acquisitions, which often implies a more localized or specialized service scope compared to large-scale, agency-wide contracts. Without more specific details on the scope of services and market rates in the DC area, a precise comparison is difficult, but the overall value does not immediately suggest overpricing for a standard recycling service.

What are the primary risks associated with this contract?

The primary risks associated with this contract include potential performance issues where the contractor may not meet service level agreements (e.g., missed pickups, improper sorting), leading to operational disruptions or environmental non-compliance for the agency. Pricing risk, although mitigated by the firm fixed price, could still exist if market rates for recycling processing increase significantly beyond initial projections, potentially impacting the contractor's profitability and willingness to maintain service quality. There's also a risk related to the limited competition under SAP; if the chosen contractor underperforms, finding and onboarding a replacement quickly might be challenging due to a potentially smaller pool of qualified vendors familiar with the agency's specific needs. Finally, changes in recycling markets or regulations could impact the feasibility or cost-effectiveness of the services provided.

How effective is this contract likely to be in meeting the Department of Commerce's recycling goals?

The effectiveness of this contract hinges on the contractor's ability to consistently provide reliable recycling services as outlined in the purchase order. Assuming Georgetown Paper Stock of Rockville, Inc. has a solid operational capacity and adheres to the terms, the contract should effectively support the Department of Commerce's day-to-day recycling needs. The firm fixed price structure incentivizes the contractor to manage costs efficiently. However, the contract's effectiveness in achieving broader sustainability goals depends on factors not detailed here, such as the percentage of waste diverted from landfill, the types of materials processed, and the ultimate destination of the recycled materials. Regular monitoring and performance reviews by the Department of Commerce will be crucial to ensure the contract meets its intended objectives.

What are the historical spending patterns for recycling services at the Department of Commerce?

Historical spending patterns for recycling services at the Department of Commerce are not detailed in the provided data. To understand this, one would need to analyze past contracts awarded by the agency for similar services (NAICS 562920 or related codes) over several fiscal years. This analysis would reveal the typical contract values, types of competition used (e.g., sole source, competed), average contract durations, and the primary contractors utilized. Such a review could identify trends, such as increasing or decreasing costs, shifts in procurement strategies, or reliance on specific vendors. Without this historical context, it's difficult to determine if the current $456,000 award represents a typical, increased, or decreased level of investment in recycling services by the Department.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Remediation and Other Waste Management Services › Materials Recovery Facilities

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 14820 SOUTHLAWN LN, ROCKVILLE, MD, 20850

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $58,000

Exercised Options: $45,600

Current Obligation: $45,600

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline