DOJ's ATF Spent $25.6M on Vehicle Purchases via Non-Competed Contract
Contract Overview
Contract Amount: $25,648,474 ($25.6M)
Contractor: GSA Financial and Payroll Service
Awarding Agency: Department of Justice
Start Date: 2009-05-22
End Date: 2010-09-30
Contract Duration: 496 days
Daily Burn Rate: $51.7K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: VEHICLE PURCHASES
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20226
Plain-Language Summary
Department of Justice obligated $25.6 million to GSA FINANCIAL AND PAYROLL SERVICE for work described as: VEHICLE PURCHASES Key points: 1. Significant spending on vehicle purchases by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). 2. The contract was not competed, raising questions about price discovery and potential value. 3. Lack of competition poses a risk of overpayment and reduced taxpayer value. 4. The sector involves automobile manufacturing, a mature industry with established pricing benchmarks.
Value Assessment
Rating: questionable
The contract value of $25.6M for vehicle purchases is substantial. Without competition, it's difficult to assess if this price reflects fair market value compared to similar government or commercial procurements.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
The contract was not competed, indicating a sole-source or limited competition award. This method bypasses competitive bidding, potentially leading to higher prices and reduced transparency in price discovery.
Taxpayer Impact: The lack of competition for a $25.6M contract means taxpayers may not have received the best possible price for these vehicles.
Public Impact
Taxpayers may have overpaid due to the absence of competitive bidding. The ATF's acquisition process for vehicles lacked transparency and accountability. This non-competed award could set a precedent for future vehicle procurements within the agency.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Potential for overpricing
- Limited transparency
Positive Signals
- Firm fixed price contract type can provide cost certainty if priced appropriately.
Sector Analysis
The $25.6M spent on vehicle purchases falls under the broader category of transportation equipment. Government spending benchmarks for vehicles vary widely based on type and quantity, but significant non-competed awards warrant scrutiny.
Small Business Impact
The data does not indicate whether small businesses were involved in this procurement. Non-competed contracts often limit opportunities for small business participation.
Oversight & Accountability
The non-competed nature of this significant contract raises concerns about oversight. The ATF's Acquisition and Property Management Division should ensure robust justification for sole-source awards.
Related Government Programs
- Automobile Manufacturing
- Department of Justice Contracting
- Bureau of Alcohol, Tobacco, Firearms and Explosives Acquisition and Property Management Division Programs
Risk Flags
- Lack of competition
- Potential for inflated pricing
- Limited transparency in award process
- Absence of small business participation (likely)
- Questionable value for taxpayer dollars
Tags
automobile-manufacturing, department-of-justice, dc, po, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Justice awarded $25.6 million to GSA FINANCIAL AND PAYROLL SERVICE. VEHICLE PURCHASES
Who is the contractor on this award?
The obligated recipient is GSA FINANCIAL AND PAYROLL SERVICE.
Which agency awarded this contract?
Awarding agency: Department of Justice (Bureau of Alcohol, Tobacco, Firearms and Explosives Acquisition and Property Management Division).
What is the total obligated amount?
The obligated amount is $25.6 million.
What is the period of performance?
Start: 2009-05-22. End: 2010-09-30.
What was the specific justification for awarding this $25.6M vehicle purchase contract on a non-competed basis?
The provided data indicates the contract was 'NOT COMPETED' but does not offer the specific justification. Typically, sole-source awards require a documented justification, such as only one responsible source being available or an urgent need that precludes competition. Without this justification, it's impossible to assess the validity of the non-competitive award.
How does the $25.6M expenditure compare to the average cost of similar vehicle procurements by federal agencies?
Comparing this $25.6M expenditure requires detailed information on the types and quantities of vehicles purchased. However, as a non-competed contract, there's an inherent risk that the price is higher than what could have been achieved through competitive bidding. Benchmarking against similar, competitively awarded contracts would be necessary for a precise comparison.
What measures are in place to ensure accountability and prevent future non-competed awards of this magnitude without adequate justification?
Accountability for future procurements relies on adherence to federal acquisition regulations (FAR) and robust internal agency oversight. Agencies must have clear policies and training to ensure competitive sourcing is the default. Independent review boards or contracting officer representatives play a crucial role in scrutinizing justifications for non-competitive awards.
Industry Classification
NAICS: Manufacturing › Motor Vehicle Manufacturing › Automobile Manufacturing
Product/Service Code: MOTOR VEHICLES, CYCLES, TRAILERS
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Government of the United States (UEI: 161906193)
Address: 1500 E BNNSTER RD RM-1109, KANSAS CITY, MO, 05
Business Categories: Category Business, Government, U.S. National Government, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $25,648,474
Exercised Options: $25,648,474
Current Obligation: $25,648,474
Timeline
Start Date: 2009-05-22
Current End Date: 2010-09-30
Potential End Date: 2010-09-30 00:00:00
Last Modified: 2010-06-30
More Contracts from GSA Financial and Payroll Service
- -Lease of SIX (6) Vehicles or Replacements for the Nogales International Wastewater Treatment Plant. Includes Lease, Fuel, Mileage, Special Equipment and Repairs. (fedcode 62) Lease of ONE (1) Vehicle or Replacement for the Nogales Field Office. Inc — $67.5K (Department of State)
- ---------- Comments: IT Request Status: False — $9.0K (Department of State)
View all GSA Financial and Payroll Service federal contracts →
Other Department of Justice Contracts
- Contractor Owned and Operated Existing Correctional Facility for Approximately 3,500 LOW Security Male Inmates — $794.5M (Cornell Companies, Inc.)
- Detention Services - SAN Diego — $776.9M (THE GEO Group, Inc.)
- CO: Telly Renfroe Award of NEW Task Order Base Year Initial Funding — $616.4M (AT&T Enterprises, LLC)
- TAS 151060 - Services for the Management and Operation of a Contractor-Owned, Contractor-Operated, Correctional Facility for 2,567 Beds in Adams County, Mississippi — $574.3M (Corecivic, Inc.)
- Provide Services for the Management and Operation of a Correctional Facility in Accordance With Rfp-Pcc-0014 — $568.9M (Cornell Companies, Inc.)