USDA's $21.4M food services contract awarded to Big Sky Mobile Catering Corp

Contract Overview

Contract Amount: $21,410,738 ($21.4M)

Contractor: BIG SKY Mobile Catering Corp

Awarding Agency: Department of Agriculture

Start Date: 2010-01-01

End Date: 2014-12-31

Contract Duration: 1,825 days

Daily Burn Rate: $11.7K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 21

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT

Sector: Other

Official Description: NATIONAL MOBILE FOOD SERVICES

Place of Performance

Location: MISSOULA, MISSOULA County, MONTANA, 59802

State: Montana Government Spending

Plain-Language Summary

Department of Agriculture obligated $21.4 million to BIG SKY MOBILE CATERING CORP for work described as: NATIONAL MOBILE FOOD SERVICES Key points: 1. Contract value appears reasonable given the 5-year duration and fixed-price structure. 2. Full and open competition suggests a competitive bidding process. 3. Potential risks include contractor performance and adherence to food safety standards. 4. This contract supports essential services for the Forest Service. 5. The food service sector is characterized by numerous small and large providers. 6. Contract duration of 5 years allows for stable service provision.

Value Assessment

Rating: good

The contract's total value of $21.4 million over five years averages approximately $4.28 million annually. This appears to be within a reasonable range for large-scale mobile food services, especially considering the fixed-price with economic price adjustment structure which can buffer against inflation. Benchmarking against similar large federal food service contracts would provide a more precise value assessment, but initial indicators suggest fair pricing for the scope of services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that while the initial solicitation might have had some exclusions, the final award was made after a broad competitive process. The presence of 21 bids suggests a robust level of competition, which typically drives down prices and encourages better service offerings from contractors.

Taxpayer Impact: A high number of bidders generally benefits taxpayers by fostering a competitive environment that can lead to more cost-effective solutions and prevent price gouging.

Public Impact

Federal employees and visitors to national forests in Montana will benefit from accessible food services. The contract ensures the provision of food and beverage services. Geographic impact is concentrated in Montana, where the Forest Service operates. Potential workforce implications include employment opportunities for catering staff.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Ensuring consistent food quality and safety across all service locations.
Managing potential supply chain disruptions for food and beverages.
Monitoring contractor compliance with contract terms and service level agreements.

Positive Signals

Award to a single, established contractor can lead to streamlined operations and accountability.
Fixed-price contract with EPA provides cost predictability while allowing for market adjustments.
Long-term contract (5 years) offers stability for service delivery and planning.

Sector Analysis

The food service industry is a large and diverse sector, encompassing everything from small local eateries to large contract catering companies. Federal contracts for food services, particularly for agencies like the Forest Service that operate in remote or dispersed locations, often require specialized mobile capabilities. This contract fits within the broader category of government support services, where competition can be significant, but specialized needs can lead to focused bidding.

Small Business Impact

This contract was not set aside for small businesses, and there is no indication of specific subcontracting requirements for small businesses. The award to Big Sky Mobile Catering Corp. suggests a focus on a larger prime contractor capable of handling the scale of operations. This may limit direct opportunities for small businesses to participate as prime contractors on this specific award, though they could potentially be subcontractors.

Oversight & Accountability

Oversight is likely managed by the contracting officer and program managers within the Forest Service. Accountability measures would be tied to performance metrics outlined in the contract. Transparency is generally facilitated through contract award databases, though detailed operational oversight specifics are typically internal.

Related Government Programs

National Forest Food and Beverage Services
Federal Food Service Contracts
Department of Agriculture Support Services
Mobile Food Operations

Risk Flags

Contract duration may be long for a service with potential for changing needs.
Reliance on a single contractor for essential services in potentially remote areas.
Potential for price increases due to economic price adjustment clause.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $21.4 million to BIG SKY MOBILE CATERING CORP. NATIONAL MOBILE FOOD SERVICES

Who is the contractor on this award?

The obligated recipient is BIG SKY MOBILE CATERING CORP.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Forest Service).

What is the total obligated amount?

The obligated amount is $21.4 million.

What is the period of performance?

Start: 2010-01-01. End: 2014-12-31.

What is the track record of Big Sky Mobile Catering Corp. with federal contracts?

Information on Big Sky Mobile Catering Corp.'s specific track record with federal contracts is not detailed in the provided data. However, the award of a significant 5-year contract valued at over $21 million by the Department of Agriculture's Forest Service suggests a level of capability and past performance deemed sufficient by the agency. Further investigation into the contractor's history, including past performance reviews, any prior contract disputes, or awards on similar federal food service contracts, would be necessary for a comprehensive assessment of their track record.

How does the annual cost of this contract compare to similar federal food service contracts?

The annual cost of this contract averages approximately $4.28 million ($21.4M / 5 years). To benchmark this effectively, one would need to compare it against federal food service contracts of similar scope, duration, and geographic coverage. For instance, contracts supporting large national parks, military bases, or extensive remote operations could serve as comparators. Without specific data on comparable contracts, it's challenging to definitively state if this represents a superior or inferior value. However, the 'full and open competition' with 21 bidders suggests a market-driven price, which generally leans towards fair value.

What are the primary risks associated with this type of mobile food service contract?

Key risks include ensuring consistent food quality and safety, especially given the mobile nature of the service which may involve varied locations and conditions. Operational risks involve potential disruptions to supply chains, equipment maintenance for mobile units, and logistical challenges in remote areas. Contractor performance risk is also significant; failure to meet service level agreements, maintain hygiene standards, or manage staff effectively could lead to service interruptions or public dissatisfaction. Furthermore, economic price adjustments, while intended to manage inflation, could lead to costs exceeding initial projections if not carefully monitored.

How effective has the Forest Service been in managing its food service contracts historically?

Assessing the historical effectiveness of the Forest Service in managing its food service contracts requires a review of past contract performance data, customer satisfaction surveys, and any reports from oversight bodies like Inspectors General. The provided data focuses on a single contract award. Generally, agencies like the Forest Service aim for reliable service delivery to support visitors and staff in often remote locations. Effectiveness can be measured by contract continuity, service quality, and adherence to budget. Without specific historical performance metrics for the Forest Service's food service portfolio, a definitive statement on their overall effectiveness cannot be made.

What is the historical spending trend for food services by the Forest Service?

The provided data only details one specific contract from 2010-2014. To understand historical spending trends for food services by the Forest Service, one would need to analyze spending data across multiple years and contracts. This would involve examining the total amount obligated annually for food services, the number and types of contracts awarded, and whether spending has increased, decreased, or remained stable over time. Such an analysis would reveal patterns in demand, agency priorities, and the evolution of service provision within the Forest Service.

Industry Classification

NAICS: Accommodation and Food Services › Special Food Services › Food Service Contractors

Product/Service Code: NATURAL RESOURCES MANAGEMENT › NATURAL RESOURCE CONSERVERVAT SVCS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: AG-024B-S-07-9001

Offers Received: 21

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT (K)

Evaluated Preference: NONE

Contractor Details

Address: 224 N HIGGINS AVE, MISSOULA, MT, 59802

Business Categories: Category Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $21,410,738

Exercised Options: $21,410,738

Current Obligation: $21,410,738

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline