VA awards $2.4M Mail Room Management Services contract to Pathfinder Inc

Contract Overview

Contract Amount: $2,434,567 ($2.4M)

Contractor: Pathfinder Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2022-02-01

End Date: 2026-01-31

Contract Duration: 1,460 days

Daily Burn Rate: $1.7K/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: MAIL ROOM MANAGEMENT SERVICES

Place of Performance

Location: NORTH LITTLE ROCK, PULASKI County, ARKANSAS, 72114

State: Arkansas Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $2.4 million to PATHFINDER INC for work described as: MAIL ROOM MANAGEMENT SERVICES Key points: 1. Contract awarded to a single vendor, raising questions about competition. 2. The contract value is relatively small, potentially limiting broad market impact. 3. Fixed-price contract type may offer some cost certainty. 4. Services fall under 'All Other Support Services' sector.

Value Assessment

Rating: fair

The contract value of $2.4M over 4 years is moderate. Without specific benchmarks for mail room management services, it's difficult to definitively assess pricing against similar contracts. The fixed-price nature suggests a pre-determined cost structure.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not competed under Simplified Acquisition Procedures (SAP), indicating a limited competition approach. This method may not yield the best possible price or value compared to a full and open competition.

Taxpayer Impact: The $2.4M expenditure represents taxpayer funds allocated for essential mail room services. The lack of robust competition could mean taxpayers are not receiving the most cost-effective solution available.

Public Impact

Ensures continuity of essential mail processing for VA facilities. Supports administrative functions within the Department of Veterans Affairs. Potential for improved efficiency in mail handling and distribution.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition
Lack of detailed cost breakdown
Potential for vendor lock-in

Positive Signals

Fixed-price contract
Clear service period

Sector Analysis

Mail room management services fall under broader administrative support categories. Spending in this niche area is typically tied to operational needs of government agencies rather than large-scale sector investments. Benchmarks are difficult without more specific service definitions.

Small Business Impact

The contract was awarded to Pathfinder Inc. and does not indicate any specific set-asides or participation goals for small businesses. Further analysis would be needed to determine if small businesses were excluded or had opportunities to participate.

Oversight & Accountability

The contract was awarded via a purchase order, suggesting it falls under established procurement procedures. Oversight would focus on performance metrics and adherence to the fixed-price agreement to ensure service delivery meets VA requirements.

Related Government Programs

All Other Support Services
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Limited competition
Lack of detailed service scope
Potential for higher cost due to non-competitive award
No clear small business participation

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $2.4 million to PATHFINDER INC. MAIL ROOM MANAGEMENT SERVICES

Who is the contractor on this award?

The obligated recipient is PATHFINDER 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 $2.4 million.

What is the period of performance?

Start: 2022-02-01. End: 2026-01-31.

What specific services are included in 'Mail Room Management Services' to allow for a better value assessment?

The provided data lacks specific details on the scope of 'Mail Room Management Services.' A comprehensive assessment of value would require a breakdown of services such as mail sorting, distribution, postage management, package handling, and potentially digital mailroom solutions. Without this granularity, it's challenging to benchmark against industry standards or determine if the $2.4M price is justified for the actual work performed.

What were the reasons for not competing this contract under SAP, and what is the potential risk to price discovery?

The data states the contract was 'NOT COMPETED UNDER SAP,' implying a justification for limited competition, possibly due to urgency, existing relationships, or specific capabilities required. This lack of broader competition inherently limits price discovery, as potential lower-cost providers were not solicited. The risk is that the VA may be paying a non-competitive price, impacting overall value for taxpayer money.

How does the performance of Pathfinder Inc. on this contract align with VA's operational needs and efficiency goals?

Assessing alignment requires performance data and user feedback, which are not included in the provided contract details. Effective mail room management is crucial for VA operations, impacting internal communication and external correspondence. Monitoring key performance indicators (KPIs) related to mail processing times, accuracy, and cost-effectiveness would be essential to determine if the contract is meeting its intended objectives and contributing to VA's efficiency.

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: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 36C25622Q0222

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2520 W MAIN ST, JACKSONVILLE, AR, 72076

Business Categories: AbilityOne Program Participant, Category Business, Corporate Entity Tax Exempt, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $9,459,890

Exercised Options: $5,233,814

Current Obligation: $2,434,567

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline