FAA Awards $392K for Trash Removal in Palmdale, CA to Waste Management of California

Contract Overview

Contract Amount: $39,254 ($39.3K)

Contractor: Waste Management of California, Inc

Awarding Agency: Department of Transportation

Start Date: 2024-09-24

End Date: 2026-06-30

Contract Duration: 644 days

Daily Burn Rate: $61/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: TRASH REMOVAL SERVICES ZLA ARTCC, PALMDALE, CA

Place of Performance

Location: PALMDALE, LOS ANGELES County, CALIFORNIA, 93551

State: California Government Spending

Plain-Language Summary

Department of Transportation obligated $39,254.04 to WASTE MANAGEMENT OF CALIFORNIA, INC for work described as: TRASH REMOVAL SERVICES ZLA ARTCC, PALMDALE, CA Key points: 1. Contract awarded to a single, established provider. 2. Limited competition may impact price discovery. 3. Potential for cost savings through competitive bidding. 4. Sector: Government Services/Waste Management.

Value Assessment

Rating: fair

The contract value of $392,540.04 over approximately 2 years appears reasonable for specialized waste removal services at an Air Route Traffic Control Center. Benchmarking against similar municipal or federal contracts for waste management in California would provide a clearer picture of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This contract was not competed, suggesting a limited competition approach. The lack of a competitive bidding process may have resulted in a higher price than could have been achieved through full and open competition.

Taxpayer Impact: Taxpayer funds are utilized for this service. Without competition, there's a risk of overpayment, impacting the efficient use of public money.

Public Impact

Ensures essential waste management services for critical FAA operations. Supports local employment through the contracted company. Maintains environmental compliance for waste disposal.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition
Potential for price inflation

Positive Signals

Essential service provision
Contract duration aligns with operational needs

Sector Analysis

This contract falls within the government services sector, specifically waste management. Spending benchmarks for similar services vary widely based on location, volume, and specific requirements, but typically involve recurring operational costs.

Small Business Impact

The contractor, Waste Management of California, Inc., is a large corporation, not a small business. There is no indication that small businesses were involved as subcontractors in this specific award.

Oversight & Accountability

The Federal Aviation Administration is responsible for overseeing this contract. Standard procurement regulations and contract management practices should be in place to ensure service delivery and financial accountability.

Related Government Programs

Solid Waste Collection
Department of Transportation Contracting
Federal Aviation Administration Programs

Risk Flags

Lack of competitive bidding
Potential for inflated pricing
Absence of small business participation
Limited transparency on justification for non-competition

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $39,254.04 to WASTE MANAGEMENT OF CALIFORNIA, INC. TRASH REMOVAL SERVICES ZLA ARTCC, PALMDALE, CA

Who is the contractor on this award?

The obligated recipient is WASTE MANAGEMENT OF CALIFORNIA, INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $39,254.04.

What is the period of performance?

Start: 2024-09-24. End: 2026-06-30.

What specific factors justified the 'not competed' status for this essential service?

The justification for not competing this contract would likely stem from factors such as the unique requirements of the ZLA ARTCC facility, the need for specialized waste handling, or potentially a sole-source justification based on existing infrastructure or service agreements. Without further documentation, the exact reasons remain unclear, but it suggests a perceived lack of readily available alternative providers or a critical, time-sensitive need.

How does the per-unit cost of this contract compare to similar waste removal services in the region?

A direct per-unit cost comparison is difficult without knowing the exact volume and types of waste generated. However, given the lack of competition, it is plausible that the unit costs are higher than they might be under a competitive scenario. Benchmarking against municipal contracts or other federal facilities in California would be necessary for a more accurate assessment.

What mechanisms are in place to ensure the effectiveness and efficiency of waste removal services provided under this contract?

Effectiveness and efficiency are typically ensured through contract performance standards, service level agreements (SLAs), and regular monitoring by the contracting officer's representative (COR). The FAA would likely have established metrics for pickup frequency, waste diversion rates, and compliance with environmental regulations. Periodic performance reviews and invoice verification are standard oversight procedures.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Waste Collection › Solid Waste Collection

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 697DCK-24-R-00397

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Zippy Shell Incorporated

Address: 1205 W CITY RANCH RD, PALMDALE, CA, 93551

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

Financial Breakdown

Contract Ceiling: $126,863

Exercised Options: $39,254

Current Obligation: $39,254

Actual Outlays: $27,600

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline