GSA awards $19.8M for industrial machinery, with SEALITE USA, LLC securing a firm-fixed-price call order

Contract Overview

Contract Amount: $19,817,267 ($19.8M)

Contractor: Sealite USA, LLC

Awarding Agency: General Services Administration

Start Date: 2024-08-02

End Date: 2025-07-26

Contract Duration: 358 days

Daily Burn Rate: $55.4K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: BPA CALL ORDER 3 EALS

Place of Performance

Location: WARNER ROBINS, HOUSTON County, GEORGIA, 31098

State: Georgia Government Spending

Plain-Language Summary

General Services Administration obligated $19.8 million to SEALITE USA, LLC for work described as: BPA CALL ORDER 3 EALS Key points: 1. Contract value of $19.8 million represents a significant investment in industrial machinery. 2. Full and open competition suggests a healthy market with multiple potential suppliers. 3. The firm-fixed-price contract type shifts cost risk to the contractor. 4. Contract duration of 358 days indicates a short-term need for these goods. 5. The award falls under a broader Blanket Purchase Agreement (BPA), suggesting potential for future task orders. 6. The North American Industry Classification System (NAICS) code 333924 points to specialized manufacturing capabilities.

Value Assessment

Rating: good

The contract value of $19.8 million for industrial machinery appears reasonable given the scope of specialized equipment likely procured under NAICS code 333924. Without specific details on the exact machinery or quantities, direct benchmarking is challenging. However, the firm-fixed-price structure suggests that the contractor has priced competitively to absorb potential cost fluctuations. The General Services Administration (GSA) typically leverages its purchasing power to secure favorable pricing, implying this award likely reflects a good value for the government.

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 specific number of bidders is not provided, but the designation implies a competitive process designed to solicit the best offers. This approach generally leads to a wider range of solutions and potentially more competitive pricing as contractors vie for the award.

Taxpayer Impact: Full and open competition maximizes the opportunity for taxpayers to benefit from the most cost-effective solutions available in the market for industrial machinery.

Public Impact

The primary beneficiaries are federal agencies requiring industrial trucks, tractors, trailers, and stacker machinery for operations. Services delivered include the provision of specialized manufacturing equipment essential for logistics, maintenance, and operational support. The geographic impact is likely nationwide, supporting various federal installations and facilities across the United States. Workforce implications may include support for personnel operating and maintaining this specialized machinery.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific details on the exact machinery and quantities makes it difficult to fully assess value for money.
The duration of the contract (358 days) might indicate a need for rapid deployment or a short-term project requirement, which could have implications for long-term support.
Reliance on a BPA call order means the specifics of this particular award are nested within a larger framework, potentially obscuring granular details.

Positive Signals

Awarded under full and open competition, suggesting a robust bidding process.
Firm-fixed-price contract type provides cost certainty for the government.
The General Services Administration (GSA) is a reputable agency known for its procurement expertise.
The contract is for essential industrial machinery, supporting critical government operations.

Sector Analysis

The contract falls within the Industrial Truck, Tractor, Trailer, and Stacker Machinery Manufacturing sector (NAICS 333924). This sector is crucial for logistics, warehousing, and material handling across various industries, including government operations. The market size for such specialized machinery is substantial, driven by the need for efficient movement and storage of goods. This award represents a typical procurement within this sector, where government agencies rely on specialized manufacturers to equip their facilities.

Small Business Impact

The provided data indicates that small business participation (sb) is false for this specific award. There is no indication of a small business set-aside. Therefore, the primary contractor, SEALITE USA, LLC, is likely not a small business for the purpose of this contract. Subcontracting opportunities for small businesses are not explicitly detailed in this award notice but could exist depending on the prime contractor's strategy.

Oversight & Accountability

Oversight for this contract would primarily fall under the purview of the General Services Administration (GSA), specifically the Federal Acquisition Service. As a BPA call order, it is subject to the terms and conditions of the parent BPA and any specific clauses within this order. Accountability is maintained through contract performance monitoring and adherence to the firm-fixed-price agreement. Transparency is facilitated by the public availability of contract award data.

Related Government Programs

General Services Administration (GSA) Federal Supply Schedule Contracts
Department of Defense Industrial Equipment Procurement
Logistics and Material Handling Equipment Contracts
Industrial Machinery Manufacturing Sector Spending

Risk Flags

Contract awarded under a Blanket Purchase Agreement (BPA) call order, requiring review of the parent BPA terms.
Limited information on the specific types and quantities of industrial machinery being procured.
Number of bidders not specified, making it difficult to fully assess the intensity of competition.
Contract duration is relatively short (358 days), which may impact long-term supportability considerations.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $19.8 million to SEALITE USA, LLC. BPA CALL ORDER 3 EALS

Who is the contractor on this award?

The obligated recipient is SEALITE USA, LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $19.8 million.

What is the period of performance?

Start: 2024-08-02. End: 2025-07-26.

What is the track record of SEALITE USA, LLC with federal contracts, particularly for industrial machinery?

A review of federal contract databases would be necessary to fully assess SEALITE USA, LLC's track record. This would involve examining past awards, performance reviews, and any history of contract modifications or disputes. Without access to this specific data, it's difficult to provide a detailed analysis of their performance history. However, the fact that they were awarded this $19.8 million contract under full and open competition suggests they met the necessary qualifications and demonstrated capability to the GSA. Further investigation into their past performance on similar contracts would provide a clearer picture of their reliability and expertise in delivering industrial machinery.

How does the $19.8 million award compare to historical GSA spending on similar industrial machinery?

To compare this $19.8 million award to historical GSA spending on similar industrial machinery, one would need to analyze past contract awards for NAICS code 333924 or related codes over several fiscal years. This analysis should account for inflation and changes in market demand. The General Services Administration (GSA) often procures large volumes of equipment, and individual call orders under BPAs can vary significantly. A benchmark would involve identifying the average value of similar call orders or contracts awarded by GSA or other agencies for industrial trucks, tractors, and stackers. Without specific historical data points, it's challenging to definitively state if this award is higher or lower than average, but GSA's role suggests an effort to achieve competitive pricing.

What are the primary risks associated with this firm-fixed-price contract for industrial machinery?

The primary risk associated with this firm-fixed-price contract is that the contractor, SEALITE USA, LLC, may face challenges in delivering the specified industrial machinery within the agreed-upon price if their cost estimates were inaccurate or if unforeseen production issues arise. While the firm-fixed-price structure protects the government from cost overruns, it places the financial risk on the contractor. Potential risks include delays in delivery if the contractor struggles with production capacity or supply chain disruptions, or if the quality of the machinery does not meet the stringent requirements, leading to potential disputes or contract termination. However, the full and open competition process likely mitigated some of these risks by selecting a contractor with a demonstrated ability to meet the requirements at a competitive price.

How effective is the full and open competition process in ensuring value for money for this type of industrial machinery procurement?

The full and open competition process is generally considered highly effective in ensuring value for money for procurements like this industrial machinery contract. By allowing all responsible sources to bid, it fosters a competitive environment where contractors are incentivized to offer their best pricing and most suitable solutions to win the award. This broad competition increases the likelihood that the government will receive high-quality machinery at a price reflecting market rates. The GSA's use of this method for a significant award like $19.8 million suggests a commitment to leveraging market forces to achieve cost savings and optimal performance for taxpayers. The effectiveness is further enhanced when clear performance standards and technical specifications are defined.

What are the potential implications of this contract award on the broader market for industrial machinery?

This $19.8 million contract award to SEALITE USA, LLC, under a GSA BPA call order, has several implications for the broader industrial machinery market. Firstly, it validates the capabilities and pricing of SEALITE USA, LLC, potentially enhancing their reputation and ability to secure future contracts. Secondly, the full and open competition process signals to other manufacturers and suppliers that the government is an active and significant customer in this sector, encouraging them to maintain competitive offerings. The award also contributes to the overall economic activity within the industrial machinery manufacturing sector. Depending on the specific machinery procured, it could influence demand for raw materials and specialized components, indirectly impacting upstream suppliers.

Industry Classification

NAICS: Manufacturing › Other General Purpose Machinery Manufacturing › Industrial Truck, Tractor, Trailer, and Stacker Machinery Manufacturing

Product/Service Code: LIGHTING FIXTURES, LAMPS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 47QSWC24Q0149

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 61 BUSINESS PARK DR, TILTON, NH, 03276

Business Categories: Category Business, Limited Liability Corporation, Manufacturer of Goods, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $19,817,267

Exercised Options: $19,817,267

Current Obligation: $19,817,267

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QSWC24A0004

IDV Type: BPA

Timeline