DoD's $32.6M Vehicle Operations Management Contract with Professional Contract Services, Inc. Lacks Competition

Contract Overview

Contract Amount: $32,644,637 ($32.6M)

Contractor: Professional Contract Services, Inc.

Awarding Agency: Department of Defense

Start Date: 2017-04-28

End Date: 2022-01-31

Contract Duration: 1,739 days

Daily Burn Rate: $18.8K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Transportation

Official Description: IGF::OT::IGF VEHICLE OPERATIONS MANAGEMENT

Place of Performance

Location: OKLAHOMA CITY, OKLAHOMA County, OKLAHOMA, 73145

State: Oklahoma Government Spending

Plain-Language Summary

Department of Defense obligated $32.6 million to PROFESSIONAL CONTRACT SERVICES, INC. for work described as: IGF::OT::IGF VEHICLE OPERATIONS MANAGEMENT Key points: 1. Significant spending of $32.6 million on vehicle operations management. 2. Contract awarded to Professional Contract Services, Inc. with no competition. 3. Potential risk due to lack of competitive bidding and fixed-price contract. 4. Services fall under 'Other Support Activities for Road Transportation'.

Value Assessment

Rating: questionable

The contract's value of $32.6 million is substantial. Without competitive pricing data, it's difficult to assess if this represents fair value. The firm fixed-price structure offers cost certainty but may limit savings if efficiencies are found.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not available for competition, indicating a limited source selection. This lack of competition raises concerns about price discovery and potentially higher costs for taxpayers.

Taxpayer Impact: The absence of competition may lead to inflated prices, resulting in a less efficient use of taxpayer funds.

Public Impact

Taxpayers may be overpaying for vehicle operations management due to the lack of competitive bidding. The Department of the Air Force relies on a single vendor for critical transportation support services. Long contract duration (2017-2022) without re-competition limits opportunities for cost savings and innovation.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of competition
  • Potential for overpricing
  • Limited oversight on pricing effectiveness

Positive Signals

  • Defined contract type (Firm Fixed Price)
  • Clear agency and vendor identified

Sector Analysis

This contract falls within the transportation sector, specifically road transportation support. Benchmarking against similar contracts is challenging due to the limited competition noted.

Small Business Impact

The data indicates this contract was not awarded to a small business, and there is no indication of subcontracting opportunities for small businesses within this award.

Oversight & Accountability

The contract's limited competition status suggests a need for enhanced oversight to ensure fair pricing and effective service delivery. Accountability for cost-effectiveness is reduced without competitive benchmarks.

Related Government Programs

  • Other Support Activities for Road Transportation
  • Department of Defense Contracting
  • Department of the Air Force Programs

Risk Flags

  • Lack of competitive bidding
  • Potential for inflated pricing
  • Limited transparency on justification for non-competition
  • No small business participation evident

Tags

other-support-activities-for-road-transp, department-of-defense, ok, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $32.6 million to PROFESSIONAL CONTRACT SERVICES, INC.. IGF::OT::IGF VEHICLE OPERATIONS MANAGEMENT

Who is the contractor on this award?

The obligated recipient is PROFESSIONAL CONTRACT SERVICES, 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 $32.6 million.

What is the period of performance?

Start: 2017-04-28. End: 2022-01-31.

What was the justification for awarding this contract on a limited/non-competitive basis?

The provided data states the contract was 'NOT AVAILABLE FOR COMPETITION'. A thorough review would require accessing the contract file or agency justifications to understand the specific reasons, such as unique capabilities, urgent needs, or prior sole-source awards that were extended.

How can the Department of the Air Force ensure cost-effectiveness without competition?

The agency could implement robust performance metrics and conduct regular market research to establish independent cost estimates. Benchmarking against industry standards and potentially seeking competitive proposals for future contract renewals are crucial steps to ensure value for taxpayer money.

What are the risks associated with a long-term, non-competitive contract for vehicle operations?

The primary risks include potential cost escalation over time, reduced incentive for the contractor to innovate or improve efficiency, and a lack of exposure to new technologies or service providers. This can lead to suboptimal service quality and higher overall expenditure.

Industry Classification

NAICS: Transportation and WarehousingSupport Activities for Road TransportationOther Support Activities for Road Transportation

Product/Service Code: TRANSPORT, TRAVEL, RELOCATIONTRAVEL, LODGING, RECRUITMENT SVCS

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: FA810117R0010

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 718 W FM 1626, AUSTIN, TX, 78748

Business Categories: AbilityOne Program Participant, Category Business, Corporate Entity Tax Exempt, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $35,769,498

Exercised Options: $35,311,494

Current Obligation: $32,644,637

Actual Outlays: $1,262,646

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2017-04-28

Current End Date: 2022-01-31

Potential End Date: 2022-01-31 00:00:00

Last Modified: 2021-12-10

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