GSA awards $3.1M warehousing contract to Consolidated Transportation Services Inc. in Guam

Contract Overview

Contract Amount: $3,077,727 ($3.1M)

Contractor: Consolidated Transportation Services Inc

Awarding Agency: General Services Administration

Start Date: 2024-02-01

End Date: 2027-01-31

Contract Duration: 1,095 days

Daily Burn Rate: $2.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: SITE C AWARD

Place of Performance

Location: TAMUNING, GUAM County, GUAM, 96913

Plain-Language Summary

General Services Administration obligated $3.1 million to CONSOLIDATED TRANSPORTATION SERVICES INC for work described as: SITE C AWARD Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract is a firm-fixed-price definitive contract, providing cost certainty. 3. Duration of 1095 days (3 years) indicates a medium-term need for services. 4. The North American Industry Classification System (NAICS) code 493110 points to general warehousing and storage services. 5. Awarded by the General Services Administration (GSA), a key federal procurement agency. 6. The contract is not set aside for small businesses, implying larger firms were likely involved. 7. The contract is not a small business subcontracting goal, indicating no specific set-aside for smaller entities.

Value Assessment

Rating: fair

The award amount of $3,077,727 for a 3-year warehousing contract in Guam appears to be within a reasonable range for general warehousing services. Without specific benchmarks for warehousing in Guam or detailed service requirements, a precise value-for-money assessment is challenging. However, the firm-fixed-price structure helps control costs. Further analysis would require comparing this to similar GSA contracts for warehousing in similar geographic locations and for comparable service scopes.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The number of bidders is not specified, but this method generally fosters price discovery and encourages competitive pricing. The GSA's use of this procurement method suggests they sought the best value through a broad market solicitation.

Taxpayer Impact: Taxpayers benefit from a competitive process that aims to secure the most advantageous pricing and terms for the government.

Public Impact

The primary beneficiaries are federal agencies in Guam requiring general warehousing and storage solutions. Services delivered include the storage, handling, and management of government property. The geographic impact is focused on Guam, supporting federal operations in the region. Workforce implications may include local employment opportunities for warehouse staff and management within Guam.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics or KPIs in the provided data makes it difficult to assess service quality.
Geographic isolation of Guam could lead to higher logistical costs and potential supply chain vulnerabilities.
Dependence on a single awardee for a critical service like warehousing carries inherent risk if performance falters.

Positive Signals

Firm-fixed-price contract provides cost predictability for the government.
Awarded by GSA, an agency with extensive experience in federal procurement.
Full and open competition suggests a robust selection process.
The contract duration of three years allows for stable service provision.

Sector Analysis

The General Services Administration (GSA) procures a wide range of goods and services for federal agencies. Warehousing and storage services fall under the logistics and supply chain management sector. The NAICS code 493110, General Warehousing and Storage, covers establishments primarily engaged in operating merchandise warehouses for storage of goods. This contract fits within GSA's mission to provide efficient and cost-effective support services to the federal government, particularly in regions like Guam where dedicated federal logistics infrastructure may be limited.

Small Business Impact

This contract was not set aside for small businesses, nor does it appear to have specific subcontracting goals for small businesses mentioned in the provided data. This suggests that the competition was open to all responsible offerors, including large businesses. The absence of a small business set-aside may indicate that the scope or nature of the services required were not deemed suitable for such a designation, or that larger prime contractors were expected to be the primary participants.

Oversight & Accountability

The General Services Administration (GSA) typically has robust oversight mechanisms for its contracts, including performance monitoring and contract management. As a definitive contract, it is subject to standard federal procurement regulations and oversight. The firm-fixed-price nature of the award provides a degree of financial oversight by locking in costs. Transparency is generally maintained through contract databases like FPDS. Inspector General oversight would fall under the GSA's Office of Inspector General.

Related Government Programs

GSA Federal Acquisition Service Contracts
General Warehousing and Storage Services
Logistics and Supply Chain Management Contracts
Federal Government Property Management

Risk Flags

Potential for increased costs due to Guam's geographic isolation.
Dependence on a single contractor for essential warehousing services.
Lack of detailed performance metrics in summary data.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $3.1 million to CONSOLIDATED TRANSPORTATION SERVICES INC. SITE C AWARD

Who is the contractor on this award?

The obligated recipient is CONSOLIDATED TRANSPORTATION SERVICES INC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $3.1 million.

What is the period of performance?

Start: 2024-02-01. End: 2027-01-31.

What is the historical spending pattern for general warehousing and storage services by the GSA in Guam?

Analyzing historical spending for warehousing and storage in Guam by GSA requires access to detailed procurement data beyond the scope of this single award. Typically, GSA manages a portfolio of contracts to meet agency needs. Past spending would likely reflect previous contracts for similar services, potentially with different awardees or contract types. Factors influencing historical spending include the number of federal agencies operating in Guam, the volume of goods requiring storage, and the prevailing market rates. Without specific historical data, it's difficult to establish a precise trend, but GSA aims to achieve cost efficiencies through competitive contracting over time. This current award of $3.1 million over three years provides a new data point for future comparisons.

How does the per-unit cost of this contract compare to similar warehousing contracts in other Pacific territories or mainland US locations?

A direct per-unit cost comparison is challenging without detailed service breakdowns (e.g., cost per square foot per month, cost per item handled). Warehousing costs are highly sensitive to location, labor rates, real estate values, and transportation logistics. Guam's geographic isolation and higher cost of living compared to many mainland US locations would likely result in higher per-unit costs. Comparing this contract to similar ones in Hawaii or other Pacific islands might offer a more relevant benchmark than mainland US locations. However, the firm-fixed-price nature of this contract aims to cap overall expenditure, making the total award value a key indicator of budget adherence.

What are the specific performance expectations and metrics outlined in the contract for Consolidated Transportation Services Inc.?

The provided data does not detail the specific performance expectations or metrics for Consolidated Transportation Services Inc. However, standard federal contracts for warehousing and storage typically include requirements related to inventory accuracy, on-time delivery/retrieval, facility maintenance, security, and compliance with safety regulations. Performance is usually monitored through contract surveillance, periodic reviews, and potentially through a Contractor Performance Assessment Reporting System (CPARS). The firm-fixed-price structure implies that the contractor is responsible for meeting these performance standards within the agreed-upon price. Failure to meet critical performance metrics could lead to contract remedies or termination.

What is the track record of Consolidated Transportation Services Inc. in performing federal warehousing contracts?

Assessing the track record of Consolidated Transportation Services Inc. requires reviewing their past performance on federal contracts, ideally those involving similar warehousing and logistics services. Information on past performance, including any CPARS reports, would be available through federal procurement databases. A positive track record would indicate reliability, quality service, and adherence to contract terms. Conversely, any history of performance issues, disputes, or contract terminations would raise concerns. GSA, as the awarding agency, would have conducted due diligence on the contractor's past performance during the solicitation process to ensure capability and reliability.

What are the potential risks associated with a single awardee providing warehousing services in Guam for the federal government?

The primary risk associated with a single awardee for warehousing in Guam is the potential for service disruption if the contractor fails to perform adequately or faces financial/operational difficulties. Guam's remote location can exacerbate these risks, making it more challenging and costly to onboard a replacement contractor quickly. Other risks include potential price increases in future contract renewals if competition is limited, and over-reliance on one entity for critical logistical support. Mitigation strategies often involve strong contract management, clear performance standards, and contingency planning by the government.

How does this contract align with GSA's broader strategy for logistics and supply chain management in the Pacific region?

This contract aligns with GSA's strategy to provide efficient and cost-effective logistics support to federal agencies across all regions, including the Pacific. By consolidating warehousing needs through competitive procurement, GSA aims to achieve economies of scale and ensure reliable service delivery. For the Pacific region, GSA's strategy often involves establishing regional hubs or supporting critical infrastructure to meet the unique logistical challenges of island territories. This award demonstrates GSA's commitment to maintaining essential services in Guam, supporting the operational readiness and effectiveness of federal entities located there.

Industry Classification

NAICS: Transportation and Warehousing › Warehousing and Storage › General Warehousing and Storage

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 47QFCA23R0084

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 278 GUERRERO DR, TAMUNING, GU, 96913

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $4,920,659

Exercised Options: $3,147,727

Current Obligation: $3,077,727

Actual Outlays: $1,735,945

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline