FEMA awards $37M contract to Pistol Point, LLC for disaster food supply in Texas
Contract Overview
Contract Amount: $37,084,640 ($37.1M)
Contractor: Pistol Point, LLC
Awarding Agency: Department of Homeland Security
Start Date: 2017-10-13
End Date: 2017-12-09
Contract Duration: 57 days
Daily Burn Rate: $650.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 4
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: IGF::OT::IGF SUBSISTENCE FOOD SUPPLY TO BE DELIVERED&DISPERSED BY THE FOOD BANK OF HOUSTON IN SUPPORT OF PRESIDENTIALLY DECLARED DISASTER DR-4332 TX
Place of Performance
Location: HOUSTON, HARRIS County, TEXAS, 77029
State: Texas Government Spending
Plain-Language Summary
Department of Homeland Security obligated $37.1 million to PISTOL POINT, LLC for work described as: IGF::OT::IGF SUBSISTENCE FOOD SUPPLY TO BE DELIVERED&DISPERSED BY THE FOOD BANK OF HOUSTON IN SUPPORT OF PRESIDENTIALLY DECLARED DISASTER DR-4332 TX Key points: 1. Contract awarded for subsistence food supply delivery and dispersal. 2. Pistol Point, LLC is the contractor for this $37M award. 3. The contract supports disaster relief efforts in Texas (DR-4332 TX). 4. This is a firm-fixed-price contract with a duration of 57 days.
Value Assessment
Rating: fair
The contract value of $37,084,639.50 appears high for a 57-day delivery of food supplies. Benchmarking against similar disaster relief food contracts would be necessary to determine if this pricing is competitive.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the specific price discovery mechanisms and the number of bids received are not detailed, making it difficult to assess the full impact on price.
Taxpayer Impact: Taxpayer funds are being used for disaster relief, which is a necessary expenditure. The efficiency of this spending depends on the fairness of the price and the effectiveness of the food distribution.
Public Impact
Provides essential food supplies to disaster-stricken areas. Supports the Food Bank of Houston in their relief operations. Aims to alleviate food insecurity for affected populations. Funds are allocated for emergency response and recovery efforts.
Waste & Efficiency Indicators
Waste Risk Score: 65 / 10
Warning Flags
- Potential for overpricing given the short duration and nature of the service.
- Lack of detailed cost breakdown makes price validation difficult.
Positive Signals
- Supports a critical disaster relief mission.
- Awarded through full and open competition.
Sector Analysis
This contract falls under the General Line Grocery Merchant Wholesalers (NAICS 424410) sector, specifically for disaster relief food supply. Spending in this sector during emergencies can fluctuate significantly based on need and availability.
Small Business Impact
The data indicates this contract was not awarded to small businesses (SB = false). Further analysis would be needed to determine if small businesses had opportunities to participate in the subcontracting process.
Oversight & Accountability
Oversight would involve ensuring timely and accurate delivery of food supplies as per contract terms and verifying that funds are used appropriately for disaster relief purposes. The Federal Emergency Management Agency (FEMA) is responsible for this oversight.
Related Government Programs
- General Line Grocery Merchant Wholesalers
- Department of Homeland Security Contracting
- Federal Emergency Management Agency Programs
Risk Flags
- High contract value for a short duration.
- Lack of detailed cost breakdown.
- No information on number of bids received.
- Potential for price inflation during disaster events.
Tags
general-line-grocery-merchant-wholesaler, department-of-homeland-security, tx, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $37.1 million to PISTOL POINT, LLC. IGF::OT::IGF SUBSISTENCE FOOD SUPPLY TO BE DELIVERED&DISPERSED BY THE FOOD BANK OF HOUSTON IN SUPPORT OF PRESIDENTIALLY DECLARED DISASTER DR-4332 TX
Who is the contractor on this award?
The obligated recipient is PISTOL POINT, LLC.
Which agency awarded this contract?
Awarding agency: Department of Homeland Security (Federal Emergency Management Agency).
What is the total obligated amount?
The obligated amount is $37.1 million.
What is the period of performance?
Start: 2017-10-13. End: 2017-12-09.
What was the total number of bids received for this full and open competition, and how did the winning bid compare to others?
The provided data does not specify the number of bids received for this contract. While it was awarded under full and open competition, details on the bidding landscape and the specific comparison of the winning bid against others are absent. This information is crucial for a comprehensive assessment of price competitiveness and the effectiveness of the procurement process.
Are there any benchmarks or historical data available for similar disaster food supply contracts to assess the reasonableness of the $37M price?
Without access to a database of comparable disaster relief food supply contracts, it is difficult to definitively assess the reasonableness of the $37M price. Factors such as the quantity and type of food, logistical challenges in the disaster zone, and the specific services provided by the Food Bank of Houston would need to be considered against historical data for similar emergency procurements.
What mechanisms are in place to ensure the efficient and effective distribution of these food supplies to the affected population in Texas?
The contract specifies delivery and dispersal by the Food Bank of Houston, implying they are responsible for the logistical execution. FEMA's role would involve monitoring the Food Bank's performance against the contract requirements and ensuring that the food reaches the intended recipients in a timely and organized manner, thereby maximizing the effectiveness of the taxpayer funds.
Industry Classification
NAICS: Wholesale Trade › Grocery and Related Product Merchant Wholesalers › General Line Grocery Merchant Wholesalers
Product/Service Code: SUBSISTENCE
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: 4332DRTXJ01077
Offers Received: 4
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 408 WEST 17TH STREET OFC 101, AUSTIN, TX, 78701
Business Categories: Category Business, Limited Liability Corporation, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $37,084,640
Exercised Options: $37,084,640
Current Obligation: $37,084,640
Contract Characteristics
Commercial Item: COMMERCIAL ITEM
Cost or Pricing Data: NO
Timeline
Start Date: 2017-10-13
Current End Date: 2017-12-09
Potential End Date: 2017-12-09 00:00:00
Last Modified: 2018-06-18
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