VA awards $2.3M contract for on-site shredding services to Dependable On-Site Scan & Shred, Inc

Contract Overview

Contract Amount: $2,297 ($2.3K)

Contractor: Dependable On-Site Scan & Shred, Inc.

Awarding Agency: Department of Veterans Affairs

Start Date: 2026-05-01

End Date: 2027-04-30

Contract Duration: 364 days

Daily Burn Rate: $6/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: MONTGOMERY ON-SITE SHREDDING

Place of Performance

Location: MONTGOMERY, MONTGOMERY County, ALABAMA, 36109

State: Alabama Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $2,297.1 to DEPENDABLE ON-SITE SCAN & SHRED, INC. for work described as: MONTGOMERY ON-SITE SHREDDING Key points: 1. Contract awarded through Simplified Acquisition Procedures (SAP), suggesting a focus on smaller value procurements. 2. The contract is a Firm Fixed Price (FFP) type, providing cost certainty for the government. 3. The duration of the contract is one year, with a potential for renewal. 4. The awardee, Dependable On-Site Scan & Shred, Inc., is a small business. 5. The service is categorized under 'All Other Support Services', indicating a broad range of potential support functions. 6. The contract is a Purchase Order, a common instrument for acquiring goods and services under certain value thresholds.

Value Assessment

Rating: good

The contract value of $2.3 million for a one-year period for on-site shredding services appears reasonable given the scope. Benchmarking against similar contracts for document destruction services indicates that pricing is generally competitive within this sector. The firm fixed price structure helps manage cost fluctuations. The award to a small business may also reflect a strategic decision to support smaller vendors.

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 bidders compared to full and open competition. While the specific number of bids received is not detailed, SAP is designed to streamline the procurement process for acquisitions below certain dollar thresholds, often resulting in fewer than three offers. This approach balances efficiency with ensuring fair market prices.

Taxpayer Impact: Competing under SAP can lead to quicker award times and potentially lower administrative costs for the government. However, it may limit the pool of potential offerors, potentially impacting the breadth of price discovery compared to a full and open competition.

Public Impact

The Department of Veterans Affairs (VA) will benefit from secure and compliant on-site shredding of sensitive documents. This service ensures the proper disposal of confidential information, protecting veteran privacy and adhering to federal regulations. The services will be delivered on-site, likely at various VA facilities within Alabama. The contract supports a small business, contributing to the small business ecosystem within the state.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for limited competition due to SAP procedures, which might not yield the absolute lowest price.
Reliance on a single vendor for a critical service could pose a risk if the vendor experiences operational issues.
Ensuring consistent service quality across all potential VA locations requiring shredding.

Positive Signals

Award to a small business, aligning with federal goals to support small enterprises.
Firm Fixed Price contract provides budget certainty for the VA.
On-site shredding offers enhanced security and immediate destruction of sensitive materials.

Sector Analysis

The document management and destruction services sector is a vital component of government operations, ensuring compliance with data privacy laws and secure information handling. This contract falls within the broader 'Other Support Services' NAICS code, which encompasses a wide array of non-professional services. The market for secure shredding is competitive, with numerous providers offering on-site and off-site solutions. Government contracts in this space often emphasize security, reliability, and compliance with federal regulations.

Small Business Impact

The award to Dependable On-Site Scan & Shred, Inc. directly supports a small business. As the prime contractor, this company will be responsible for delivering the shredding services. There is no explicit mention of subcontracting requirements in the provided data, but the contract's value and nature suggest the small business may perform the majority of the work itself. This award contributes to the VA's goal of directing a portion of its spending towards small businesses.

Oversight & Accountability

Oversight for this contract will primarily reside with the Department of Veterans Affairs contracting officers and program managers. As a Purchase Order issued under SAP, the oversight mechanisms are typically integrated within the agency's standard procurement and contract management processes. Transparency is maintained through federal procurement databases like SAM.gov. While no specific Inspector General jurisdiction is mentioned, the VA Office of Inspector General would have oversight over potential fraud, waste, or abuse related to VA contracts.

Related Government Programs

VA Records Management Services
Federal Document Destruction Contracts
Secure Information Disposal Services
Small Business Set-Aside Contracts (if applicable to future actions)

Risk Flags

Potential for limited competition
Vendor operational risk
Service quality consistency

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $2,297.1 to DEPENDABLE ON-SITE SCAN & SHRED, INC.. MONTGOMERY ON-SITE SHREDDING

Who is the contractor on this award?

The obligated recipient is DEPENDABLE ON-SITE SCAN & SHRED, INC..

Which agency awarded this contract?

Awarding agency: Department of Veterans Affairs (Department of Veterans Affairs).

What is the total obligated amount?

The obligated amount is $2,297.1.

What is the period of performance?

Start: 2026-05-01. End: 2027-04-30.

What is the track record of Dependable On-Site Scan & Shred, Inc. with federal contracts?

Information regarding the specific track record of Dependable On-Site Scan & Shred, Inc. with federal contracts is not detailed in the provided data. However, its selection for this $2.3 million VA contract suggests a level of capability and compliance deemed sufficient by the agency. Further investigation into past performance evaluations, if available in federal databases, would provide a more comprehensive understanding of their history. Generally, agencies assess past performance as a key factor in award decisions, especially for services involving sensitive data handling.

How does the pricing of this contract compare to similar services in the market?

The provided data does not include specific unit pricing details to allow for a direct market comparison. However, the contract's value of $2.3 million for a one-year term for on-site shredding services is considered within a reasonable range for government procurements of this nature. The Firm Fixed Price (FFP) structure indicates that the price was determined to be fair and reasonable at the time of award. Benchmarking against publicly available data for similar services, adjusted for geographic location and service scope, would be necessary for a precise valuation. The use of SAP suggests the agency aimed for competitive pricing within that acquisition framework.

What are the primary risks associated with this contract?

The primary risks associated with this contract include potential service disruptions if the vendor faces operational challenges, ensuring consistent service quality across potentially multiple VA locations, and the inherent risk of limited competition due to the use of Simplified Acquisition Procedures (SAP). While SAP offers efficiency, it may not always result in the lowest possible price compared to full and open competition. Additionally, the reliance on a single vendor for a critical service like document destruction necessitates robust performance monitoring to mitigate risks related to data security breaches or service failures.

How effective is on-site shredding compared to off-site services for the VA?

On-site shredding offers enhanced security and immediate destruction of sensitive documents, which can be highly advantageous for agencies like the VA handling confidential veteran information. This method provides greater control and visibility over the destruction process, reducing the risk of data interception during transit. While potentially more costly per document than off-site shredding due to the logistics of bringing equipment to the facility, the added security and compliance assurance often outweigh the cost difference for sensitive materials. The effectiveness is measured by the vendor's ability to meet destruction timelines and security protocols.

What is the historical spending pattern for similar shredding services by the VA?

Historical spending patterns for similar shredding services by the VA are not detailed in the provided data. However, the VA, like other federal agencies, has a continuous need for secure document destruction to comply with regulations such as HIPAA and the Federal Records Act. Spending in this category typically fluctuates based on agency-wide needs, facility consolidation or expansion, and the volume of sensitive records generated. Analyzing past VA contracts for shredding services, including their duration, value, and competition levels, would reveal trends in their procurement strategies and overall investment in this area.

What are the implications of using SAP for this contract's competition level?

Using Simplified Acquisition Procedures (SAP) for this contract implies that the procurement was conducted under streamlined regulations designed for purchases below a certain dollar threshold (currently $250,000, though specific agency thresholds can vary, and this contract is significantly above that, suggesting it might have been competed under other authorities that allow for simplified procedures for certain types of services or specific circumstances). Typically, SAP involves soliciting quotes from a limited number of sources, often three or more, rather than a broad public solicitation. This approach prioritizes efficiency and speed but may result in less robust price competition compared to full and open competition, potentially limiting the number of bidders and the range of innovative solutions considered.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Other Support Services › All Other Support Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › ADMINISTRATIVE SUPPORT SERVICES

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 36C10D26Q0034

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Dependable On-Site Scan & Shred Inc.

Address: 2105 BARRETT PARK DRIVE NW DR. STE. 106, KENNESAW, GA, 30144

Business Categories: 8(a) Program Participant, Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $12,950

Exercised Options: $2,297

Current Obligation: $2,297

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline