GSA awards $159M for heavy-duty trucks to Boyer Ford Trucks Inc
Contract Overview
Contract Amount: $15,947,173 ($15.9M)
Contractor: Boyer Ford Trucks Inc
Awarding Agency: General Services Administration
Start Date: 2010-03-31
End Date: 2010-09-27
Contract Duration: 180 days
Daily Burn Rate: $88.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 999
Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT
Sector: Other
Official Description: DESCR N.A.
Place of Performance
Location: MINNEAPOLIS, HENNEPIN County, MINNESOTA, 55413
Plain-Language Summary
General Services Administration obligated $15.9 million to BOYER FORD TRUCKS INC for work described as: DESCR N.A. Key points: 1. Contract awarded to Boyer Ford Trucks Inc. for heavy-duty trucks. 2. Full and open competition was utilized for this award. 3. The contract has a fixed-price structure with economic price adjustment. 4. The award value is substantial at $159,471,730. 5. The contract duration is 180 days.
Value Assessment
Rating: fair
The award value of $159M for heavy-duty trucks is significant. Benchmarking against similar contracts is difficult without specific truck configurations and quantities. However, the fixed-price with economic price adjustment suggests potential for cost fluctuations.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating a competitive bidding process. This method generally promotes price discovery and can lead to more favorable pricing for the government.
Taxpayer Impact: The use of full and open competition suggests efforts to secure competitive pricing, potentially benefiting taxpayers. However, the economic price adjustment clause warrants monitoring for cost increases.
Public Impact
Government agencies will receive heavy-duty trucks, essential for various operational needs. The award supports the automotive manufacturing sector, specifically truck production. Taxpayers are impacted through the funding of this significant federal procurement. The contract's short duration suggests a specific, immediate need for these vehicles.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Economic price adjustment clause could lead to cost overruns.
- Limited contract duration may indicate a need for follow-on contracts.
- Lack of specific product details makes detailed value assessment challenging.
Positive Signals
- Awarded under full and open competition.
- Significant contract value awarded to a single entity.
- Supports the domestic heavy-duty truck manufacturing industry.
Sector Analysis
This contract falls within the manufacturing sector, specifically heavy-duty truck production. Federal spending in this area supports national infrastructure and operational capabilities. Benchmarks are difficult without specific vehicle details.
Small Business Impact
The data indicates the award went to Boyer Ford Trucks Inc., a specific dealership. There is no explicit information on whether small businesses were involved as subcontractors or if this award directly benefited small businesses.
Oversight & Accountability
Oversight would focus on ensuring the trucks meet specifications, adherence to the economic price adjustment terms, and timely delivery within the 180-day period. The General Services Administration's Federal Acquisition Service is responsible for managing this contract.
Related Government Programs
- Heavy Duty Truck Manufacturing
- General Services Administration Contracting
- Federal Acquisition Service Programs
Risk Flags
- Potential for cost overruns due to economic price adjustment.
- Limited contract duration may necessitate future procurements.
- Lack of detailed specifications hinders thorough value assessment.
- Reliance on a single supplier (Boyer Ford Trucks Inc.) for a large value contract.
Tags
heavy-duty-truck-manufacturing, general-services-administration, mn, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
General Services Administration awarded $15.9 million to BOYER FORD TRUCKS INC. DESCR N.A.
Who is the contractor on this award?
The obligated recipient is BOYER FORD TRUCKS INC.
Which agency awarded this contract?
Awarding agency: General Services Administration (Federal Acquisition Service).
What is the total obligated amount?
The obligated amount is $15.9 million.
What is the period of performance?
Start: 2010-03-31. End: 2010-09-27.
What specific types and configurations of heavy-duty trucks were procured under this contract, and how do their features align with the government's operational requirements?
The provided data lacks specific details on the truck models, configurations, and intended uses. Understanding these specifics is crucial for assessing whether the procured vehicles precisely meet the government's needs and operational demands. Without this information, it's challenging to evaluate the true value and suitability of the acquisition beyond the general category of 'heavy-duty trucks'.
How did the economic price adjustment clause impact the final cost, and were there mechanisms in place to mitigate potential cost escalations beyond reasonable market fluctuations?
The economic price adjustment (EPA) clause allows for modifications to the contract price based on changes in economic conditions, such as inflation or material costs. While intended to protect contractors from unforeseen market shifts, EPA clauses can increase the final cost to the government. Effective oversight would involve scrutinizing the triggers for EPA adjustments and ensuring they reflect genuine market changes rather than excessive profit-taking.
What was the competitive landscape during the full and open competition, and how did the bidding process ensure the government received the best value considering the contract's fixed-price with EPA s
Full and open competition suggests multiple bidders participated, theoretically driving down prices. However, the fixed-price with EPA structure introduces complexity. The government likely evaluated bids based on a combination of initial price, proposed EPA mechanisms, and other factors like delivery timelines and past performance. Assessing 'best value' requires understanding the trade-offs made between upfront cost, potential future cost increases, and non-price factors.
Industry Classification
NAICS: Manufacturing › Motor Vehicle Manufacturing › Heavy Duty Truck Manufacturing
Product/Service Code: MOTOR VEHICLES, CYCLES, TRAILERS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 999
Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT (K)
Evaluated Preference: NONE
Contractor Details
Parent Company: Equipoise Corporation (UEI: 038384822)
Address: 2601 BROADWAY ST NE, MINNEAPOLIS, MN, 90
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business
Financial Breakdown
Contract Ceiling: $15,947,173
Exercised Options: $15,947,173
Current Obligation: $15,947,173
Parent Contract
Parent Award PIID: GS30F0027U
IDV Type: FSS
Timeline
Start Date: 2010-03-31
Current End Date: 2010-09-27
Potential End Date: 2010-09-27 00:00:00
Last Modified: 2014-02-14
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