VSE Corporation awarded $25.3M for Army logistics support, highlighting facilities services in Wisconsin
Contract Overview
Contract Amount: $25,270,597 ($25.3M)
Contractor: VSE Corporation
Awarding Agency: Department of Defense
Start Date: 2013-09-23
End Date: 2017-01-31
Contract Duration: 1,226 days
Daily Burn Rate: $20.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: BASE YEAR-88TH RSC LOGISTIC SUPPOT
Place of Performance
Location: SPARTA, MONROE County, WISCONSIN, 54656
Plain-Language Summary
Department of Defense obligated $25.3 million to VSE CORPORATION for work described as: BASE YEAR-88TH RSC LOGISTIC SUPPOT Key points: 1. Contract value appears reasonable for the duration and scope of logistics support. 2. Full and open competition suggests a healthy market for these services. 3. Potential risks include performance continuity and contractor responsiveness. 4. This contract falls within the broader category of facilities support services. 5. The award is situated within the defense sector, specifically supporting Army operations.
Value Assessment
Rating: good
The contract's total value of approximately $25.3 million over its period of performance (roughly 3.4 years) suggests a moderate annual spend for logistics support services. Benchmarking against similar contracts for facilities support and logistics in the defense sector would be necessary for a definitive value-for-money assessment. However, the firm-fixed-price structure generally indicates a predictable cost for the government, assuming the contractor can manage their expenses effectively.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating that multiple bidders had the opportunity to submit proposals. The presence of two bids suggests a competitive environment, though a higher number of bidders would typically lead to more robust price discovery and potentially lower prices for the government. The specific details of the bidding process and the evaluation criteria would further inform the assessment of competition effectiveness.
Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can drive down costs and improve service quality, ensuring the government receives the best value for its investment.
Public Impact
The primary beneficiaries are the Department of the Army, receiving essential logistics support services. Services delivered include facilities support, crucial for maintaining operational readiness. The geographic impact is concentrated in Wisconsin, where the services are performed. Workforce implications include the potential for local job creation and support within the Wisconsin economy.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns if unforeseen issues arise in facilities management.
- Risk of service disruption if contractor performance falters.
- Dependence on a single contractor for critical logistics functions.
Positive Signals
- Firm-fixed-price contract provides cost certainty.
- Awarded through full and open competition, suggesting market viability.
- Contract duration allows for stable service provision.
Sector Analysis
Facilities Support Services (NAICS 561210) is a significant sector within the broader professional, scientific, and technical services industry. This contract represents a portion of the Department of Defense's substantial spending on maintaining its infrastructure and operational capabilities. Comparable spending benchmarks would typically be found within government databases tracking facilities maintenance, logistics, and base operations support contracts.
Small Business Impact
The data indicates that this contract was not specifically set aside for small businesses, nor does it appear to have explicit subcontracting requirements for small businesses mentioned. Therefore, the direct impact on the small business ecosystem may be limited unless the prime contractor voluntarily engages small businesses in their supply chain. Further analysis of subcontracting plans would be needed for a comprehensive assessment.
Oversight & Accountability
Oversight for this contract would typically fall under the purview of the Department of the Army's contracting and program management offices. Accountability measures are inherent in the firm-fixed-price contract type, which obligates the contractor to deliver specified services at an agreed-upon price. Transparency would be enhanced through contract award databases and reporting requirements, though specific performance monitoring details are not provided.
Related Government Programs
- Base Operations Support Services
- Logistics and Supply Chain Management
- Facilities Maintenance and Repair
- Defense Readiness Support
Risk Flags
- Potential for cost creep if scope changes are not managed.
- Dependence on contractor's ability to maintain skilled workforce.
- Risk of service degradation if performance monitoring is inadequate.
Tags
facilities-support-services, logistics-support, department-of-the-army, vse-corporation, firm-fixed-price, full-and-open-competition, wisconsin, defense-sector, delivery-order, facilities-maintenance
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $25.3 million to VSE CORPORATION. BASE YEAR-88TH RSC LOGISTIC SUPPOT
Who is the contractor on this award?
The obligated recipient is VSE CORPORATION.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $25.3 million.
What is the period of performance?
Start: 2013-09-23. End: 2017-01-31.
What is the historical spending pattern for VSE Corporation with the Department of the Army for similar facilities support services?
Analyzing VSE Corporation's historical spending with the Department of the Army for similar facilities support services requires access to detailed federal procurement databases. A review of past contract awards would reveal the frequency, value, and duration of previous agreements. This analysis would help determine if this $25.3 million contract represents a significant increase or decrease in business volume, and whether the company has a consistent track record in delivering these types of services to the Army. Understanding past performance, including any issues or successes, provides crucial context for assessing the current contract's risk and value.
How does the per-unit cost of this contract compare to industry benchmarks for facilities support services in Wisconsin?
Determining the per-unit cost for this contract requires a breakdown of the services provided and their associated costs, which is not detailed in the provided data. Facilities support services can encompass a wide range of activities, from janitorial services to complex maintenance and repair. Without specific metrics (e.g., cost per square foot maintained, cost per service call resolved), a direct comparison to industry benchmarks is challenging. However, if specific service deliverables can be identified, they could be benchmarked against publicly available data or industry reports for similar services in the Midwest region. The firm-fixed-price nature suggests the government sought predictable costs, but the efficiency of those costs relative to market rates is not immediately apparent.
What are the key performance indicators (KPIs) used to evaluate VSE Corporation's performance under this contract?
The provided data does not specify the Key Performance Indicators (KPIs) used to evaluate VSE Corporation's performance. Typically, for facilities support services, KPIs might include response times for service requests, completion rates for scheduled maintenance, adherence to safety standards, customer satisfaction ratings, and budget compliance. The contract documents themselves would outline these specific metrics and the associated award-fee or incentive structures, if any. Effective oversight relies on clearly defined and measurable KPIs to ensure the contractor meets the government's requirements and delivers value.
What is the potential impact of this contract on local small businesses in Wisconsin through subcontracting opportunities?
The provided data indicates that this contract was awarded under full and open competition and does not explicitly mention small business set-asides or subcontracting goals. Therefore, the direct impact on local small businesses in Wisconsin through mandated subcontracting opportunities is likely limited. However, VSE Corporation, as the prime contractor, may choose to subcontract portions of the work to small businesses based on their own business strategies and capabilities. The extent of this impact would depend on the specific services subcontracted and the availability of qualified small businesses in the region. A review of VSE Corporation's subcontracting plan, if available, would provide more definitive insights.
Are there any known performance issues or disputes associated with VSE Corporation on previous Department of Defense contracts?
Assessing VSE Corporation's performance history requires a thorough review of past contract performance evaluations, such as Contractor Performance Assessment Reporting System (CPARS) data, and any records of disputes or litigation with the Department of Defense. Without access to these specific records, it is impossible to definitively state whether there are known performance issues. However, the fact that they were awarded this contract suggests they met the necessary pre-award qualifications and demonstrated a satisfactory performance record at the time of award. A deeper dive into CPARS data would be essential for a comprehensive risk assessment.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services
Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 2550 HUNTINGTON AVE, ALEXANDRIA, VA, 22303
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $25,270,597
Exercised Options: $25,270,597
Current Obligation: $25,270,597
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W911SE07D0017
IDV Type: IDC
Timeline
Start Date: 2013-09-23
Current End Date: 2017-01-31
Potential End Date: 2017-01-31 00:00:00
Last Modified: 2018-08-22
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