DOJ's $138M EZ Pass Contract for NY Tolls Awarded to Port Authority

Contract Overview

Contract Amount: $138,473 ($138.5K)

Contractor: Port Authority of NEW York & NEW Jersey

Awarding Agency: Department of Justice

Start Date: 2022-10-01

End Date: 2026-09-30

Contract Duration: 1,460 days

Daily Burn Rate: $95/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Transportation

Official Description: FY23-27 D50 EZ PASS DISTRICT TOLLS

Place of Performance

Location: NEW YORK, NEW YORK County, NEW YORK, 10007

State: New York Government Spending

Plain-Language Summary

Department of Justice obligated $138,473.4 to PORT AUTHORITY OF NEW YORK & NEW JERSEY for work described as: FY23-27 D50 EZ PASS DISTRICT TOLLS Key points: 1. The contract value is $138.47 million over 4 years. 2. Awarded to Port Authority of NY & NJ, a government entity. 3. Competition was conducted under Simplified Acquisition Procedures (SAP). 4. The sector is Other Support Activities for Road Transportation.

Value Assessment

Rating: fair

The contract's fixed price structure provides cost certainty. Benchmarking against similar tolling services is difficult due to the unique nature of government agency contracts and specific geographic requirements.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under SAP, suggesting a limited competition approach. This method is typically used for smaller dollar value procurements and may not yield the most competitive pricing.

Taxpayer Impact: Taxpayer funds are used for tolling services, with the efficiency of the procurement process impacting the overall value for money.

Public Impact

Ensures continued operation of tolling systems for U.S. Marshals Service vehicles. Supports transportation infrastructure and services within New York. Potential for cost savings if competitive bidding were more robust.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition under SAP
Potential for higher costs due to limited competition

Positive Signals

Fixed price contract provides cost certainty
Contract supports essential transportation services

Sector Analysis

This contract falls under transportation infrastructure, specifically tolling services. Government spending in this sector often involves large infrastructure projects, but this focuses on operational support for agency vehicles.

Small Business Impact

There is no indication that small businesses were involved in this procurement, as it was awarded to a government authority.

Oversight & Accountability

The use of SAP for a contract of this value warrants oversight to ensure fair pricing and efficient use of funds. The awarding agency, Department of Justice, should monitor performance.

Related Government Programs

Other Support Activities for Road Transportation
Department of Justice Contracting
U.S. Marshals Service Programs

Risk Flags

Limited competition
Potential for non-competitive pricing
Lack of small business participation
Award to government entity may limit market options

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $138,473.4 to PORT AUTHORITY OF NEW YORK & NEW JERSEY. FY23-27 D50 EZ PASS DISTRICT TOLLS

Who is the contractor on this award?

The obligated recipient is PORT AUTHORITY OF NEW YORK & NEW JERSEY.

Which agency awarded this contract?

Awarding agency: Department of Justice (U.S. Marshals Service).

What is the total obligated amount?

The obligated amount is $138,473.4.

What is the period of performance?

Start: 2022-10-01. End: 2026-09-30.

What is the value proposition of awarding this contract to the Port Authority of NY & NJ?

The value proposition lies in leveraging an existing government entity with established infrastructure and expertise in tolling operations. This may streamline service delivery and potentially reduce administrative overhead compared to contracting with a private entity. However, the limited competition aspect raises questions about achieving the best possible price.

What are the primary risks associated with this contract?

The primary risk is the potential for suboptimal pricing due to limited competition under the Simplified Acquisition Procedures. There's also a risk of vendor lock-in if the Port Authority is the only viable option for these specific services, potentially leading to less incentive for cost efficiency over the contract's duration.

How effective is this contract in meeting the U.S. Marshals Service's transportation needs?

The contract appears effective in ensuring the operational continuity of tolling services for U.S. Marshals Service vehicles in New York. The fixed-price structure provides predictability. However, the effectiveness in terms of cost-efficiency is questionable given the procurement method.

Industry Classification

NAICS: Transportation and Warehousing › Support Activities for Road Transportation › Other Support Activities for Road Transportation

Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › OTHER TRANSPORT, TRAVEL, RELOCAT SV

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

Parent Company: THE Port Authority of NEW York & NEW Jersey

Address: 4 WORLD TRADE CTR, NEW YORK, NY, 10007

Business Categories: U.S. Government Authorities, Category Business, Government, U.S. Interstate Government Entity, U.S. National Government, Not Designated a Small Business, U.S. Regional/State Government

Financial Breakdown

Contract Ceiling: $165,407

Exercised Options: $138,473

Current Obligation: $138,473

Actual Outlays: $62,999

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline