FAA Awards $5.4M Contract for Mailroom and Warehouse Services to ServiceSource Inc

Contract Overview

Contract Amount: $5,423,911 ($5.4M)

Contractor: Servicesource Inc

Awarding Agency: Department of Transportation

Start Date: 2022-12-13

End Date: 2026-12-31

Contract Duration: 1,479 days

Daily Burn Rate: $3.7K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: MANAGEMENT OF ACE, AGL, ASW AND AWP MAILROOM AND WAREHOUSE SERVICES ASW FITNESS CENTER AND ASW AND CSC AV SUPPORT

Place of Performance

Location: FORT WORTH, TARRANT County, TEXAS, 76177

State: Texas Government Spending

Plain-Language Summary

Department of Transportation obligated $5.4 million to SERVICESOURCE INC for work described as: MANAGEMENT OF ACE, AGL, ASW AND AWP MAILROOM AND WAREHOUSE SERVICES ASW FITNESS CENTER AND ASW AND CSC AV SUPPORT Key points: 1. Contract awarded to ServiceSource Inc. for mailroom, warehouse, and AV support. 2. The contract value is $5,423,911.24 over its duration. 3. Competition was limited, with the contract type noted as 'NOT AVAILABLE FOR COMPETITION'. 4. The sector is Facilities Support Services, with a NAICS code of 561210. 5. The contract is a Firm Fixed Price type.

Value Assessment

Rating: fair

The contract value of $5.4M for facilities support services appears reasonable given the duration and scope. Benchmarking against similar contracts for mailroom and warehouse management is difficult without more detailed service descriptions.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not available for competition, suggesting a sole-source or limited competition scenario. This limits price discovery and potentially leads to higher costs for taxpayers.

Taxpayer Impact: The lack of competition may result in a higher cost to taxpayers than if the contract had been fully competed.

Public Impact

Ensures essential mailroom and warehouse operations for the FAA. Provides audio-visual support for facilities, impacting communication and events. Supports jobs within the Facilities Support Services sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of competition
  • Potential for inflated pricing due to limited competition

Positive Signals

  • Ensures continuity of essential services
  • Fixed price contract limits cost overruns

Sector Analysis

This contract falls under Facilities Support Services, a broad category encompassing various operational support functions. Spending in this sector can vary widely based on agency size and specific needs.

Small Business Impact

The data does not indicate whether small businesses were involved in this contract, either as prime contractors or subcontractors.

Oversight & Accountability

Oversight is crucial given the limited competition to ensure the contractor is meeting performance requirements and that pricing remains fair. The FAA's contracting office is responsible for monitoring performance.

Related Government Programs

  • Facilities Support Services
  • Department of Transportation Contracting
  • Federal Aviation Administration Programs

Risk Flags

  • Limited competition may lead to higher costs.
  • Lack of transparency regarding the reason for non-competition.
  • Potential for vendor lock-in if services are highly specialized.
  • Performance monitoring is critical to ensure value.

Tags

facilities-support-services, department-of-transportation, tx, definitive-contract, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $5.4 million to SERVICESOURCE INC. MANAGEMENT OF ACE, AGL, ASW AND AWP MAILROOM AND WAREHOUSE SERVICES ASW FITNESS CENTER AND ASW AND CSC AV SUPPORT

Who is the contractor on this award?

The obligated recipient is SERVICESOURCE INC.

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Aviation Administration).

What is the total obligated amount?

The obligated amount is $5.4 million.

What is the period of performance?

Start: 2022-12-13. End: 2026-12-31.

What specific services are included in the mailroom, warehouse, and AV support to justify the $5.4M cost?

The contract details are limited, but the scope likely includes receiving, sorting, and distributing mail, managing warehouse inventory and logistics, and providing audio-visual equipment setup and support for FAA facilities. A more granular breakdown of service requirements and associated labor hours would be needed for a precise cost justification.

What were the reasons for the contract not being available for competition?

The reason for the contract being 'NOT AVAILABLE FOR COMPETITION' is not provided. Typically, this occurs due to urgent needs, unique capabilities of a specific contractor, or when only one source is reasonably available. Understanding this rationale is key to assessing if the government received the best possible value.

How will the FAA ensure effective service delivery and value for money with a non-competed contract?

The FAA must implement robust contract management and performance monitoring. This includes establishing clear performance metrics, conducting regular reviews, and ensuring the contractor meets all service level agreements. Active oversight is essential to mitigate risks associated with limited competition and ensure taxpayer funds are used efficiently.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesFacilities Support ServicesFacilities Support Services

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

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 697DCK-22-R-00486

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 10467 WHITE GRANITE DR, OAKTON, VA, 22124

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: $7,380,558

Exercised Options: $5,423,911

Current Obligation: $5,423,911

Actual Outlays: $4,083,425

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2022-12-13

Current End Date: 2026-12-31

Potential End Date: 2026-12-31 00:00:00

Last Modified: 2026-02-26

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