Department of State awards $1.69M for lift station pump replacement, completed in 39 days

Contract Overview

Contract Amount: $16,895 ($16.9K)

Contractor: Redorange LLC

Awarding Agency: Department of State

Start Date: 2024-02-21

End Date: 2024-03-31

Contract Duration: 39 days

Daily Burn Rate: $433/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: ISB-MH-FAC-FY24: LIFT STATION PUMP-#201-WWTP-II-7903 SUST

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20521

State: District of Columbia Government Spending

Plain-Language Summary

Department of State obligated $16,895 to REDORANGE LLC for work described as: ISB-MH-FAC-FY24: LIFT STATION PUMP-#201-WWTP-II-7903 SUST Key points: 1. The contract was awarded under Simplified Acquisition Procedures (SAP), suggesting a focus on smaller procurements. 2. A firm-fixed-price contract type indicates that the contractor bears the risk of cost overruns. 3. The award was made to REDORANGE LLC, a single entity. 4. The contract duration was relatively short, spanning just over a month. 5. The North American Industry Classification System (NAICS) code 332913 points to the manufacturing of plumbing fixtures and fittings. 6. The contract was awarded as a purchase order, a common instrument for smaller value acquisitions.

Value Assessment

Rating: fair

The contract value of $1.69 million for a lift station pump replacement appears to be on the higher end for a single pump, especially considering the short duration. Without specific details on the pump's specifications, complexity, and installation requirements, a direct comparison to similar contracts is challenging. However, the firm-fixed-price nature suggests a defined scope, and the award under SAP implies a streamlined process that may not always yield the lowest possible price compared to full and open competition.

Cost Per Unit: N/A

Competition Analysis

Competition Level: unknown

The contract was competed under Simplified Acquisition Procedures (SAP). While SAP allows for competition, the specific number of bidders and the extent of outreach are not detailed. SAP is typically used for procurements valued between the micro-purchase threshold and the simplified acquisition threshold ($250,000 for most agencies). The award value of $1.69 million significantly exceeds this threshold, raising questions about the competition process. It is possible this was a task order under a larger IDIQ or a specific exception to SAP rules was applied.

Taxpayer Impact: The limited information on competition under SAP for a contract of this value makes it difficult to assess the impact on taxpayer dollars. If competition was indeed limited, taxpayers may not have benefited from the most competitive pricing.

Public Impact

The primary beneficiaries are likely facilities management and maintenance personnel within the Department of State. The service delivered is the replacement of a critical lift station pump, essential for wastewater management. The geographic impact is localized to the District of Columbia, where the facility is located. Workforce implications are minimal, likely involving a small team for installation and testing.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for overpricing given the contract value exceeding typical SAP thresholds without clear competitive justification.
Lack of transparency regarding the number of bidders and the competitive process used.
Short contract duration might indicate rushed work or insufficient time for thorough evaluation.

Positive Signals

Firm-fixed-price contract shifts cost risk to the contractor.
Awarded to a single entity, simplifying contract administration.
Purchase order format is efficient for this type of acquisition.

Sector Analysis

This contract falls within the industrial machinery and equipment manufacturing sector, specifically related to plumbing fixtures and fittings. The market for specialized pumps and related equipment can be competitive, but pricing is heavily influenced by technical specifications, brand, and urgency. The Department of State's spending in this area is likely driven by the maintenance and operational needs of its facilities worldwide.

Small Business Impact

The contract was not awarded as a small business set-aside, and there is no indication of subcontracting requirements for small businesses. This suggests that the primary focus was on fulfilling the requirement directly, without specific provisions to engage the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of State's internal procurement and facilities management divisions. As a purchase order under SAP, it likely underwent standard internal review processes. Transparency is limited by the lack of detailed competition information. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Department of State Facilities Maintenance
Wastewater Treatment Plant Equipment Procurement
Government Plumbing and Fixture Contracts

Risk Flags

Contract value exceeds typical SAP thresholds, raising questions about competition.
Lack of detailed information on competition and bidder evaluation.
Short contract duration may warrant scrutiny of the work performed.

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $16,895 to REDORANGE LLC. ISB-MH-FAC-FY24: LIFT STATION PUMP-#201-WWTP-II-7903 SUST

Who is the contractor on this award?

The obligated recipient is REDORANGE LLC.

Which agency awarded this contract?

Awarding agency: Department of State (Department of State).

What is the total obligated amount?

The obligated amount is $16,895.

What is the period of performance?

Start: 2024-02-21. End: 2024-03-31.

What is the specific type and model of the lift station pump being replaced, and what are its technical specifications?

The provided data does not specify the exact make, model, or technical specifications of the lift station pump (#201-WWTP-II-7903). This information is crucial for accurately benchmarking the price against similar equipment and understanding the complexity of the replacement. Without these details, it is difficult to determine if the $1.69 million award is commensurate with the equipment's capabilities and the labor involved in its installation and integration into the existing wastewater treatment system.

How many bids were received for this contract, and what was the basis for selecting REDORANGE LLC?

The contract was competed under Simplified Acquisition Procedures (SAP). However, the exact number of bids received is not specified in the provided data. SAP allows for competition, but the level of outreach and the number of responsive bidders can vary significantly. The basis for selecting REDORANGE LLC would typically involve evaluating proposals based on factors such as price, technical capability, and past performance, as outlined in the solicitation. Further details on the bidding process are needed to assess the competitiveness of the award.

What is the historical spending pattern for lift station pump replacements by the Department of State?

The provided data does not include historical spending patterns for lift station pump replacements by the Department of State. Analyzing past contracts for similar equipment and services would provide valuable context for assessing the current award's value and efficiency. Understanding trends in pricing, contract types, and durations would help determine if this $1.69 million award is an outlier or consistent with previous procurement practices for such critical infrastructure components.

What is the expected lifespan and performance metrics of the new lift station pump?

The provided data does not contain information regarding the expected lifespan or performance metrics of the newly procured lift station pump. This information is essential for evaluating the long-term value and effectiveness of the investment. Key performance indicators (KPIs) such as flow rate, head pressure, energy efficiency, and projected operational life would allow for a more comprehensive assessment of the contract's success beyond the initial replacement.

Are there any known issues or performance concerns with the previous lift station pump that necessitated this replacement?

The provided data does not specify any known issues or performance concerns with the previous lift station pump that led to this replacement. Understanding the reasons for the replacement—whether it was due to failure, obsolescence, capacity upgrade, or routine maintenance—is important for context. If the previous pump failed prematurely or had recurring problems, it might suggest underlying issues with the system or previous procurement decisions that warrant further investigation.

Industry Classification

NAICS: Manufacturing › Other Fabricated Metal Product Manufacturing › Plumbing Fixture Fitting and Trim Manufacturing

Product/Service Code: PLUMBING, HEATING, WASTE DISPOSAL

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: 580 VIRGINIA DR STE 135, FORT WASHINGTON, PA, 19034

Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $16,895

Exercised Options: $16,895

Current Obligation: $16,895

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline