DoD's $35.9M Ground Transportation Contract with Professional Contract Services, Inc. Faces Limited Competition

Contract Overview

Contract Amount: $35,888,455 ($35.9M)

Contractor: Professional Contract Services, Inc.

Awarding Agency: Department of Defense

Start Date: 2022-02-01

End Date: 2029-08-31

Contract Duration: 2,768 days

Daily Burn Rate: $13.0K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Transportation

Official Description: GROUND TRANSPORTATION AND VEHICLE MAINTENANCE

Place of Performance

Location: OKLAHOMA CITY, OKLAHOMA County, OKLAHOMA, 73145

State: Oklahoma Government Spending

Plain-Language Summary

Department of Defense obligated $35.9 million to PROFESSIONAL CONTRACT SERVICES, INC. for work described as: GROUND TRANSPORTATION AND VEHICLE MAINTENANCE Key points: 1. The contract value is substantial at $35.9 million. 2. Competition is limited, raising concerns about price discovery. 3. The contract duration is long (2768 days), increasing risk. 4. The sector is ground transportation and vehicle maintenance.

Value Assessment

Rating: questionable

The contract is a firm fixed price type, which can be beneficial for cost control. However, without competitive bidding, it's difficult to assess if the pricing is optimal compared to market rates for similar services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not available for competition, indicating a limited competition approach. This significantly impacts price discovery, as the absence of multiple bids likely leads to a higher price than would be achieved in a fully competitive environment.

Taxpayer Impact: The limited competition raises concerns about taxpayer value, as the government may be overpaying for these essential ground transportation and vehicle maintenance services.

Public Impact

Taxpayers may be paying a premium due to the lack of competitive bidding. The long contract duration could lead to escalating costs if not managed effectively. Ensuring reliable ground transportation and vehicle maintenance is critical for Air Force operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Limited competition
  • Long contract duration
  • Lack of clear justification for limited competition

Positive Signals

  • Firm fixed price contract type can offer cost certainty if priced appropriately.

Sector Analysis

This contract falls within the ground transportation and vehicle maintenance sector, which is crucial for military logistics and operations. Benchmarks for similar services are difficult to ascertain without competitive data, but typically, efficient operations in this sector rely on competitive sourcing.

Small Business Impact

There is no indication that small businesses were involved in this contract, either as prime contractors or subcontractors. Further analysis is needed to determine if opportunities were missed for small business participation.

Oversight & Accountability

The limited competition aspect warrants closer oversight to ensure the contractor is delivering services at a fair and reasonable price. Accountability should focus on performance metrics and cost justification throughout the contract's life.

Related Government Programs

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

Risk Flags

  • Limited competition
  • Long contract duration
  • Potential for overpricing
  • Lack of small business participation
  • Insufficient justification for sole-source/limited competition

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 $35.9 million to PROFESSIONAL CONTRACT SERVICES, INC.. GROUND TRANSPORTATION AND VEHICLE MAINTENANCE

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 $35.9 million.

What is the period of performance?

Start: 2022-02-01. End: 2029-08-31.

What is the justification for limiting competition on this significant contract?

The provided data states the contract was 'NOT AVAILABLE FOR COMPETITION' without further explanation. A thorough review would require access to the contract file to understand the specific reasons, such as unique capabilities, urgent needs, or prior investments that preclude broader competition. Without this justification, it's impossible to definitively assess the necessity of the limited competition approach.

How does the firm fixed price compare to industry benchmarks given the limited competition?

Assessing the firm fixed price against industry benchmarks is challenging without competitive data. Typically, a lack of competition can inflate prices. Further analysis would involve benchmarking against similar government or commercial contracts that *did* undergo competitive bidding, or consulting industry cost experts to evaluate the reasonableness of the price given the service scope and duration.

What are the potential risks associated with the long contract duration and limited competition?

The primary risks are cost overruns and reduced service quality. A long duration (2768 days) with limited competition increases the likelihood of the contractor charging above-market rates and potentially becoming complacent regarding service quality, as there's less pressure from potential competitors. This necessitates robust performance monitoring and contract management by the agency.

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

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: $69,913,030

Exercised Options: $67,826,062

Current Obligation: $35,888,455

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline

Start Date: 2022-02-01

Current End Date: 2029-08-31

Potential End Date: 2029-08-31 00:00:00

Last Modified: 2025-10-22

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