DOJ's ATF Awards $469K Lodging Contract to Apple Ten Alabama Services, LLC

Contract Overview

Contract Amount: $46,900 ($46.9K)

Contractor: Apple TEN Alabama Services, LLC

Awarding Agency: Department of Justice

Start Date: 2026-04-11

End Date: 2026-05-16

Contract Duration: 35 days

Daily Burn Rate: $1.3K/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: HOTEL ACCOMMODATIONS/LODGING

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35898

State: Alabama Government Spending

Plain-Language Summary

Department of Justice obligated $46,900 to APPLE TEN ALABAMA SERVICES, LLC for work described as: HOTEL ACCOMMODATIONS/LODGING Key points: 1. Contract awarded for hotel accommodations, a common government need. 2. Competition was conducted under Simplified Acquisition Procedures (SAP), suggesting a focus on smaller value procurements. 3. The award is a delivery order against an unspecified contract. 4. The vendor, Apple Ten Alabama Services, LLC, is likely a local provider. 5. The contract duration is short, covering a specific period.

Value Assessment

Rating: fair

The contract value of $469,000 for a 35-day period appears reasonable for lodging services. However, without specific details on the number of rooms or services included, a precise benchmark is difficult. The firm fixed-price structure helps control costs.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under Simplified Acquisition Procedures (SAP), which typically involves a limited number of offers. While this method can be efficient for smaller procurements, it may not always yield the lowest possible price compared to full and open competition.

Taxpayer Impact: The taxpayer impact is likely minimal given the relatively small contract value and the use of SAP, which is designed for cost-effective procurement of goods and services below certain thresholds.

Public Impact

Ensures lodging is available for government personnel, potentially for training, temporary duty, or investigations. Supports a specific business in Alabama through a government contract. The short duration suggests a need for immediate or temporary lodging solutions. The contract's limited scope may not significantly impact the broader lodging market.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of detail on the specific services and number of rooms.
Competition under SAP may limit price discovery.
Vendor's capacity and past performance are not detailed.

Positive Signals

Firm fixed-price contract provides cost certainty.
Short duration indicates a specific, potentially urgent need.
Awarded to a business located in the state of service.

Sector Analysis

The lodging sector is a common area for government spending, particularly for travel and temporary assignments. Benchmarks for hotel accommodations vary widely based on location, duration, and services. This contract falls within the typical range for short-term, localized lodging needs.

Small Business Impact

The contract was awarded under SAP, which can be advantageous for small businesses. However, it is not explicitly stated whether Apple Ten Alabama Services, LLC is a small business, and the contract does not indicate any specific small business set-aside provisions.

Oversight & Accountability

The Department of Justice, through the ATF, is responsible for overseeing this contract. Standard procurement regulations and oversight mechanisms should be in place to ensure proper execution and accountability for the funds expended.

Related Government Programs

Hotels (except Casino Hotels) and Motels
Department of Justice Contracting
Bureau of Alcohol, Tobacco, Firearms and Explosives Acquisition and Property Management Division Programs

Risk Flags

Limited competition under SAP.
Lack of detailed service scope.
Potential for higher unit costs compared to larger contracts.
Vendor's specific capabilities not fully detailed.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $46,900 to APPLE TEN ALABAMA SERVICES, LLC. HOTEL ACCOMMODATIONS/LODGING

Who is the contractor on this award?

The obligated recipient is APPLE TEN ALABAMA SERVICES, LLC.

Which agency awarded this contract?

Awarding agency: Department of Justice (Bureau of Alcohol, Tobacco, Firearms and Explosives Acquisition and Property Management Division).

What is the total obligated amount?

The obligated amount is $46,900.

What is the period of performance?

Start: 2026-04-11. End: 2026-05-16.

What specific ATF operations or personnel will utilize these hotel accommodations, and how does this impact operational readiness?

The specific ATF operations are not detailed, but lodging is crucial for personnel on temporary duty, investigations, or training exercises away from their permanent duty stations. Ensuring timely and adequate accommodation directly supports operational readiness by allowing personnel to focus on their mission without logistical burdens. This contract appears to fulfill a localized, short-term need.

What is the potential risk associated with using Simplified Acquisition Procedures (SAP) for lodging, and how is it mitigated?

The primary risk with SAP is potentially less competitive pricing compared to full and open competition. Mitigation strategies include ensuring adequate market research was performed, soliciting from a reasonable number of sources, and verifying fair and reasonable pricing. The firm fixed-price structure also mitigates financial risk by capping costs.

How does the firm fixed-price (FFP) contract type ensure value for money in this lodging scenario?

The FFP contract type ensures value for money by establishing a ceiling price that the contractor cannot exceed. This shifts the risk of cost overruns to the contractor. For lodging, it provides predictability for the government, allowing for clear budgeting and preventing unexpected increases in accommodation expenses during the contract period.

Industry Classification

NAICS: Accommodation and Food Services › Traveler Accommodation › Hotels (except Casino Hotels) and Motels

Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › TRAVEL, LODGING, RECRUITMENT SVCS

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 15A00025R00000053

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Mckibbon Brothers, Inc.

Address: 7010 GOVERNORS WEST NW UNIT 3B, HUNTSVILLE, AL, 35806

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $46,900

Exercised Options: $46,900

Current Obligation: $46,900

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 15A00025DAQA00303

IDV Type: IDC

Timeline