DoD's $2M Solid Waste Services Contract with Six-Nations Inc. Faces Scrutiny Over Competition and Value

Contract Overview

Contract Amount: $2,038,554 ($2.0M)

Contractor: Six-Nations Inc

Awarding Agency: Department of Defense

Start Date: 2019-04-05

End Date: 2024-10-05

Contract Duration: 2,010 days

Daily Burn Rate: $1.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: INTEGRATED SOLID WASTE MANAGEMENT SERVICES

Place of Performance

Location: CANNON AFB, CURRY County, NEW MEXICO, 88103

State: New Mexico Government Spending

Plain-Language Summary

Department of Defense obligated $2.0 million to SIX-NATIONS INC for work described as: INTEGRATED SOLID WASTE MANAGEMENT SERVICES Key points: 1. Contract awarded to Six-Nations Inc. for $2.04M over 5 years. 2. Competition method 'Full and Open Competition After Exclusion of Sources' raises questions. 3. Lack of small business participation noted. 4. Sector: Waste Management Services, a critical but often overlooked area.

Value Assessment

Rating: fair

The contract's value of $2.04M over five years for solid waste management services appears reasonable on the surface. However, without detailed cost breakdowns or benchmarks for similar services in New Mexico, a precise value assessment is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The competition method, 'Full and Open Competition After Exclusion of Sources,' suggests that while open competition was intended, specific sources were excluded, potentially limiting the competitive pool and impacting price discovery.

Taxpayer Impact: The exclusion of sources may have led to a higher price than could have been achieved through truly open competition, impacting taxpayer value.

Public Impact

Essential service for military operations, ensuring environmental compliance and base functionality. Potential for cost savings through enhanced competition or alternative service providers. Impact on local waste management industry and potential for small business involvement.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Limited competition due to source exclusion.
  • No small business participation.
  • Potential for price inflation due to limited competition.

Positive Signals

  • Essential service delivery.
  • Long-term contract provides stability.

Sector Analysis

Solid waste management services are crucial for government operations, ensuring compliance with environmental regulations and maintaining facility functionality. Benchmarks for these services can vary significantly based on location and service scope.

Small Business Impact

The contract data indicates no small business participation, which is a missed opportunity for economic inclusion and potentially for accessing specialized or cost-effective services that small businesses can offer.

Oversight & Accountability

The 'Full and Open Competition After Exclusion of Sources' clause warrants further investigation to ensure fair market access and optimal taxpayer value. Oversight should focus on the justification for source exclusion.

Related Government Programs

  • Solid Waste Collection
  • Department of Defense Contracting
  • Department of the Air Force Programs

Risk Flags

  • Limited competition
  • Lack of small business participation
  • Unclear justification for source exclusion
  • Potential for non-optimal pricing

Tags

solid-waste-collection, department-of-defense, nm, definitive-contract, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $2.0 million to SIX-NATIONS INC. INTEGRATED SOLID WASTE MANAGEMENT SERVICES

Who is the contractor on this award?

The obligated recipient is SIX-NATIONS INC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $2.0 million.

What is the period of performance?

Start: 2019-04-05. End: 2024-10-05.

What was the justification for excluding specific sources in the 'Full and Open Competition After Exclusion of Sources' process, and did this exclusion impact the final contract price?

The justification for excluding sources is critical for understanding the competitive landscape. If the exclusion was not well-substantiated or based on arbitrary criteria, it could have artificially limited competition, potentially leading to a higher price than a truly open bidding process would have yielded. This warrants a review of the procurement documentation.

Are there opportunities to increase competition or incorporate small businesses in future contract renewals or similar service procurements within the Department of the Air Force?

Future contract renewals should actively seek to broaden the competitive base. This could involve re-evaluating the necessity of source exclusions, actively soliciting small businesses through set-asides or subcontracting requirements, and benchmarking against industry standards to ensure competitive pricing and maximize opportunities for diverse vendors.

How does the cost of these integrated solid waste management services compare to industry benchmarks in New Mexico for similar government contracts?

A thorough cost-benefit analysis against New Mexico's industry benchmarks for integrated solid waste management services is needed. Without this comparison, it's difficult to ascertain if the $2.04M contract represents optimal value for the taxpayer. Benchmarking would reveal potential overspending or cost efficiencies.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesWaste CollectionSolid Waste Collection

Product/Service Code: UTILITIES AND HOUSEKEEPINGHOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: FA485519R0001

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 35120 MICHIGAN AVE E, WAYNE, MI, 48184

Business Categories: 8(a) Program Participant, American Indian Owned Business, Category Business, Corporate Entity Not Tax Exempt, Economically Disadvantaged Women Owned Small Business, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $6,445,396

Exercised Options: $5,993,131

Current Obligation: $2,038,554

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline

Start Date: 2019-04-05

Current End Date: 2024-10-05

Potential End Date: 2024-10-05 00:00:00

Last Modified: 2026-01-22

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