Transportation contract awarded to TRANBEN, LIMITED for $16.67M, highlighting immediate need for transit services

Contract Overview

Contract Amount: $16,674,252 ($16.7M)

Contractor: Tranben, Limited

Awarding Agency: Department of Transportation

Start Date: 2010-03-09

End Date: 2010-09-30

Contract Duration: 205 days

Daily Burn Rate: $81.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Transportation

Official Description: NEW DO REQUEST FOR TRANBEN, LTD DTOS59-10-D-00501 PROJECTED ORDER DATE 03/5/2010

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20590

State: District of Columbia Government Spending

Plain-Language Summary

Department of Transportation obligated $16.7 million to TRANBEN, LIMITED for work described as: NEW DO REQUEST FOR TRANBEN, LTD DTOS59-10-D-00501 PROJECTED ORDER DATE 03/5/2010 Key points: 1. Contract value of $16.67M suggests a significant investment in transit and ground passenger transportation. 2. Awarded under full and open competition, indicating a potentially competitive bidding process. 3. The short duration (205 days) points to an urgent or project-specific need. 4. Firm Fixed Price contract type offers cost certainty for the government. 5. The contract falls under 'All Other Transit and Ground Passenger Transportation', a broad category. 6. Awarded to TRANBEN, LIMITED, whose track record requires further examination for performance consistency.

Value Assessment

Rating: fair

The total contract value of $16.67M for a 205-day period appears substantial for the specified services. Benchmarking against similar, short-term transit support contracts is necessary to determine if the pricing is competitive. Without more detailed service descriptions or performance metrics, a definitive value-for-money assessment is challenging. The firm fixed-price nature provides budget predictability, but the overall cost-effectiveness hinges on the quality and efficiency of the services delivered.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting that multiple vendors had the opportunity to bid. The presence of 4 bids indicates a degree of market interest. This competitive environment is generally favorable for price discovery and potentially securing better terms for the government. However, the specific details of the solicitation and the evaluation criteria would provide a clearer picture of the actual competitive intensity.

Taxpayer Impact: Full and open competition typically leads to more competitive pricing, potentially saving taxpayer dollars compared to sole-source or limited competition awards. A robust bidding process can ensure the government receives the best value for its investment.

Public Impact

The primary beneficiaries are likely users of public transit and ground passenger services within the District of Columbia. Services delivered are expected to support or enhance existing transit operations. The geographic impact is concentrated in Washington D.C. Potential workforce implications include employment opportunities for drivers, support staff, and management within the transit sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for service disruptions if TRANBEN, LIMITED has a history of performance issues.
Risk of cost overruns if the firm fixed price does not adequately account for unforeseen operational challenges.
Dependence on a single contractor for critical transit services could pose a risk if capacity is exceeded or issues arise.

Positive Signals

Awarded through full and open competition, suggesting a competitive selection process.
Firm fixed price contract provides cost certainty for the government.
The contract addresses a specific need within the Department of Transportation, indicating focused resource allocation.

Sector Analysis

This contract falls within the broader transportation sector, specifically focusing on transit and ground passenger services. The market for such services is often characterized by a mix of large established operators and smaller specialized firms. Government contracts in this area can be substantial, driven by public service mandates and the need for reliable transportation infrastructure. Benchmarking against other DOT contracts for similar services would provide context on typical award values and durations.

Small Business Impact

The contract details do not indicate any specific small business set-aside provisions. Given the total award value, it is possible that subcontracting opportunities may exist for small businesses within the transit support ecosystem, but this is not explicitly stated. Further analysis of the contract's subcontracting plan, if applicable, would be needed to assess the impact on small businesses.

Oversight & Accountability

Oversight for this contract would typically reside with the contracting officer's representative (COR) within the Department of Transportation's Immediate Office of the Secretary of Transportation. Accountability measures are embedded in the firm fixed-price structure, requiring delivery of services as specified. Transparency is generally maintained through contract award databases, though detailed performance reports may not always be publicly accessible. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Federal Transit Administration (FTA) Grants
Department of Transportation Operating Expenses
Public Transportation Infrastructure Projects
Urbanized Area Formula Grants

Risk Flags

Contract Duration vs. Value
Contractor Performance History Unknown
Specificity of Services Unclear

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $16.7 million to TRANBEN, LIMITED. NEW DO REQUEST FOR TRANBEN, LTD DTOS59-10-D-00501 PROJECTED ORDER DATE 03/5/2010

Who is the contractor on this award?

The obligated recipient is TRANBEN, LIMITED.

Which agency awarded this contract?

Awarding agency: Department of Transportation (Immediate Office of the Secretary of Transportation).

What is the total obligated amount?

The obligated amount is $16.7 million.

What is the period of performance?

Start: 2010-03-09. End: 2010-09-30.

What is the specific nature of the transit and ground passenger transportation services being procured under this contract?

The contract falls under PSC code 485999, which covers 'All Other Transit and Ground Passenger Transportation'. This broad classification suggests the services could range from operating specific bus routes, providing shuttle services, managing passenger terminals, or offering specialized transportation solutions for particular events or needs within the District of Columbia. Without the detailed statement of work (SOW), the precise nature of the services remains general. However, the award date and duration imply a need for immediate operational support rather than long-term infrastructure development.

How does the $16.67M contract value compare to similar short-term transit support contracts awarded by the Department of Transportation?

Comparing the $16.67M value for a 205-day contract requires careful consideration of service scope and urgency. Short-term contracts, by definition, often have higher per-diem or per-unit costs due to mobilization and the immediate nature of the need. If this contract is for operational services like bus operation or fleet management, $16.67M over approximately 7 months ($2.38M/month) is a significant sum. Benchmarking against other DOT contracts for similar 'on-demand' or short-duration transit support would be crucial. If comparable contracts are for longer durations or broader scopes at similar or lower total values, it might suggest this contract is priced at a premium due to its immediacy or specific requirements.

What is TRANBEN, LIMITED's track record with federal contracts, particularly within the Department of Transportation?

Information on TRANBEN, LIMITED's track record is essential for assessing performance risk. A review of past federal contract awards, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any history of contract disputes or terminations would provide insight. If TRANBEN, LIMITED has a history of successful, on-time, and within-budget performance on similar transit contracts, it would mitigate risk. Conversely, a history of issues could indicate potential problems with service delivery, quality, or adherence to contract terms for this new award. Specific details on past performance are not provided in the summary data.

What are the potential risks associated with a firm fixed-price contract for transit services of this magnitude and duration?

Firm fixed-price (FFP) contracts offer cost certainty but shift performance risk to the contractor. For transit services, risks include potential underestimation of operational costs (fuel, maintenance, labor), unforeseen service demands, or regulatory changes impacting operations. If TRANBEN, LIMITED cannot deliver the required services within the agreed price, they may incur losses, potentially impacting service quality or leading to disputes. Conversely, if the price was set too high due to lack of competition or poor estimation by the government, taxpayers may overpay. The short duration (205 days) might suggest a less complex operational environment, but the substantial value warrants scrutiny of the contractor's cost structure and risk management.

How does the 'All Other Transit and Ground Passenger Transportation' category typically perform in terms of spending and contractor performance?

The 'All Other Transit and Ground Passenger Transportation' category (PSC 485999) is broad and can encompass a wide array of services, making generalizations difficult. Spending within this category can fluctuate significantly based on specific agency needs, such as special events, emergency transportation, or pilot programs. Contractor performance can vary widely depending on the specific services required and the contractors involved. Agencies often use this category when a more precise PSC code doesn't exist or when the services are unique. Analyzing historical spending trends and performance data for this specific PSC code across the government, or within the DOT, could reveal patterns of cost-effectiveness or recurring issues.

Industry Classification

NAICS: Transportation and Warehousing › Other Transit and Ground Passenger Transportation › All Other Transit and Ground Passenger Transportation

Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › OTHER TRANSPORT, TRAVEL, RELOCAT SV

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 155 SANDSHELL DR, CHARLESTON, SC, 29492

Business Categories: Category Business, Not Designated a Small Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $16,674,252

Exercised Options: $16,674,252

Current Obligation: $16,674,252

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: DTOS5910D00501

IDV Type: IDC

Timeline