GSA awards $3,492 purchase order for specialized tool to Argo Turboserve Corporation

Contract Overview

Contract Amount: $3,492 ($3.5K)

Contractor: Argo Turboserve Corporation

Awarding Agency: General Services Administration

Start Date: 2026-04-08

End Date: 2027-05-03

Contract Duration: 390 days

Daily Burn Rate: $9/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: INSTALLING TOOL: USED FOR PK RINGS INTO CAVITIES FOR RODS ON DRESSER-RAND AIR COMPRESSORS CURTISS-WRIGHT ELECTRO-MECHANICAL CORPORATION PN 1W118059 (PARTIAL DESCRIPTION)

Place of Performance

Location: VIRGINIA BEACH, VIRGINIA BEACH CITY County, VIRGINIA, 23455

State: Virginia Government Spending

Plain-Language Summary

General Services Administration obligated $3,492.1 to ARGO TURBOSERVE CORPORATION for work described as: INSTALLING TOOL: USED FOR PK RINGS INTO CAVITIES FOR RODS ON DRESSER-RAND AIR COMPRESSORS CURTISS-WRIGHT ELECTRO-MECHANICAL CORPORATION PN 1W118059 (PARTIAL DESCRIPTION) Key points: 1. The contract value is relatively small, suggesting a focus on a specific component or service. 2. The award was made on a sole-source basis, raising questions about potential cost efficiencies and market competition. 3. The duration of the contract (390 days) is standard for this type of procurement. 4. The product is a specialized tool for Dresser-Rand air compressors, indicating a niche application. 5. The contractor, Argo Turboserve Corporation, is likely chosen for its specific expertise or existing relationship. 6. The Federal Acquisition Service (FAS) is the issuing agency, part of the General Services Administration (GSA).

Value Assessment

Rating: questionable

Given the sole-source nature of this award, a direct comparison to similar contracts is difficult. The price of $3,492.10 for a specialized tool is not inherently high or low without more context on the tool's complexity and market availability. However, the lack of competition prevents a robust assessment of value for money. It is difficult to benchmark this price against market rates due to the specialized nature of the part and the limited information available.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed under the Simplified Acquisition Procedures (SAP), indicating it was likely awarded on a sole-source basis. This means only one vendor was solicited or considered for the award. The lack of competition limits the government's ability to explore alternative suppliers and potentially negotiate better pricing. It suggests that either only one vendor could provide the specific tool or that the procurement process did not prioritize competitive bidding.

Taxpayer Impact: Taxpayers may not be receiving the best possible price due to the absence of a competitive bidding process. This could lead to higher costs than if multiple vendors had the opportunity to bid.

Public Impact

The primary beneficiaries are likely the entities operating or maintaining Dresser-Rand air compressors, ensuring operational continuity. The service delivered is the provision of a specific, specialized tool essential for maintenance or repair. The geographic impact is likely localized to where these specific air compressors are in operation, potentially across various federal facilities. There are no immediate workforce implications as this is a procurement of goods, not services requiring new personnel.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may lead to higher prices for taxpayers.
Sole-source awards can indicate potential over-reliance on a single supplier.
Limited transparency into the justification for sole-source award.

Positive Signals

Procurement of a specialized tool ensures operational readiness for critical equipment.
Award to a specific vendor suggests expertise in niche components.
Clear contract end date provides predictability for budgeting.

Sector Analysis

This contract falls within the manufacturing and industrial supplies sector, specifically related to components for heavy machinery like air compressors. The market for such specialized tools is often niche, with a limited number of manufacturers or distributors capable of producing or supplying them. Comparable spending benchmarks are difficult to establish without knowing the exact specifications and function of the tool, but the overall value suggests a low-volume, high-specificity item rather than a broad industrial supply.

Small Business Impact

This contract was not set aside for small businesses, and there is no indication of subcontracting opportunities for small businesses. The award to Argo Turboserve Corporation, without specific size information, does not provide insight into its small business status. The overall impact on the small business ecosystem is likely negligible given the nature and value of this specific procurement.

Oversight & Accountability

Oversight for this purchase order would typically fall under the General Services Administration's Federal Acquisition Service. Accountability measures are inherent in the purchase order system, requiring the vendor to deliver the specified item by the deadline. Transparency is limited due to the sole-source nature and the low dollar value, which may not trigger extensive public reporting beyond basic contract award data.

Related Government Programs

Industrial Equipment Maintenance
Air Compressor Parts and Services
Federal Supply Schedule (FSS) Contracts
General Services Administration (GSA) Procurements

Risk Flags

Sole-source award
Lack of competition

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $3,492.1 to ARGO TURBOSERVE CORPORATION. INSTALLING TOOL: USED FOR PK RINGS INTO CAVITIES FOR RODS ON DRESSER-RAND AIR COMPRESSORS CURTISS-WRIGHT ELECTRO-MECHANICAL CORPORATION PN 1W118059 (PARTIAL DESCRIPTION)

Who is the contractor on this award?

The obligated recipient is ARGO TURBOSERVE CORPORATION.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $3,492.1.

What is the period of performance?

Start: 2026-04-08. End: 2027-05-03.

What is the specific function of the tool being procured and why is it specialized?

The tool is identified as 'INSTALLING TOOL: USED FOR PK RINGS INTO CAVITIES FOR RODS ON DRESSER-RAND AIR COMPRESSORS'. This indicates it's a specialized piece of equipment designed for a precise task within the maintenance or assembly of Dresser-Rand air compressors. PK rings are likely specific components within the compressor's rod system. The specialization means it's not a general-purpose tool and requires specific design parameters to fit and install these rings correctly, ensuring the integrity and proper functioning of the compressor's internal mechanisms.

What is the justification for awarding this contract on a sole-source basis?

The provided data indicates the contract was 'NOT COMPETED UNDER SAP' (Simplified Acquisition Procedures), strongly suggesting a sole-source award. The specific justification is not detailed in the provided data. However, common reasons for sole-source awards include the unique capability of a single contractor, the unavailability of the item from any other source, or urgent and compelling circumstances. For a specialized tool like this, it's plausible that only Argo Turboserve Corporation or a very limited number of entities possess the proprietary knowledge, design specifications, or manufacturing capability to produce it for Dresser-Rand compressors.

How does the price of $3,492.10 compare to similar specialized tools in the market?

Benchmarking the price of $3,492.10 for this specialized tool is challenging without more detailed specifications and market research. Specialized industrial tools can vary significantly in cost based on complexity, materials, precision engineering, and brand. Given that this is a single purchase order for a specific function on Dresser-Rand air compressors, the price might be considered reasonable if it represents a unique, precision-engineered component. However, the lack of competition means there's no direct market comparison to confirm if this price represents optimal value for money. Without access to pricing for comparable tools or quotes from other potential suppliers, a definitive value assessment is not possible.

What is the track record of Argo Turboserve Corporation in providing similar goods or services to the government?

The provided data does not include specific details on Argo Turboserve Corporation's past performance or track record with the government. It only lists them as the contractor for this particular purchase order. To assess their track record, one would need to consult government contract databases (like SAM.gov or FPDS) for previous awards, performance reviews, and any history of issues or successes. Without this additional information, it's impossible to evaluate their reliability or expertise based solely on this single, low-value contract.

What are the potential risks associated with a sole-source procurement of this nature?

The primary risk associated with this sole-source procurement is the potential for inflated pricing due to the lack of competition. The government may be paying more than necessary if alternative suppliers could have offered the tool at a lower cost. Another risk is vendor lock-in, where the government becomes dependent on a single supplier for critical parts, potentially limiting future options and negotiation leverage. Furthermore, sole-source awards can sometimes indicate a lack of thorough market research or a failure to identify potential competitors, which could represent a systemic risk in procurement processes.

How does this contract fit into the broader spending patterns of the General Services Administration (GSA)?

This contract represents a very small expenditure within the vast portfolio of the General Services Administration (GSA). GSA manages billions of dollars in contracts annually, covering a wide range of goods and services, including facility management, IT, vehicles, and office supplies. A $3,492 purchase order for a specific industrial tool is a minor transaction. It likely falls under GSA's Federal Acquisition Service (FAS), which provides centralized procurement solutions. Such small, specialized procurements are common as agencies fulfill specific operational needs, but they do not represent significant trends in GSA's overall spending.

Industry Classification

NAICS: Manufacturing › Cutlery and Handtool Manufacturing › Saw Blade and Handtool Manufacturing

Product/Service Code: HAND TOOLS

Competition & Pricing

Extent Competed: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 200 GOLDEN OAK CT STE 205, VIRGINIA BEACH, VA, 23452

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

Financial Breakdown

Contract Ceiling: $3,492

Exercised Options: $3,492

Current Obligation: $3,492

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline