DoD Education Activity awards $21.4M contract for daily bus transit services over 7 years

Contract Overview

Contract Amount: $21,434,674 ($21.4M)

Contractor: Wolfgang Oshowski

Awarding Agency: Department of Defense

Start Date: 2004-10-01

End Date: 2011-07-31

Contract Duration: 2,494 days

Daily Burn Rate: $8.6K/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 5

Pricing Type: FIXED PRICE AWARD FEE

Sector: Transportation

Official Description: HDLBG DAILY COMMUTE FY05

Plain-Language Summary

Department of Defense obligated $21.4 million to WOLFGANG OSHOWSKI for work described as: HDLBG DAILY COMMUTE FY05 Key points: 1. Contract awarded for fixed-price award fee structure, indicating performance incentives. 2. Competition was conducted under Simplified Acquisition Procedures (SAP), suggesting a focus on smaller procurements. 3. The contract duration of 2494 days (approx. 7 years) provides long-term service stability. 4. Awarded by the Department of Defense Education Activity (DoDEA), serving military families. 5. The National Industry Classification (NAICS) code 485113 points to a specific transit service niche. 6. No indication of small business set-aside, suggesting a focus on larger prime contractors.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific per-unit cost data or comparisons to similar DoDEA contracts. The fixed-price award fee structure suggests an attempt to control costs while incentivizing performance. However, the lack of detailed cost breakdowns or competitive pricing information makes a definitive value assessment difficult. The total award amount of $21.4 million over nearly seven years averages to approximately $3 million annually, which needs to be evaluated against the scope and quality of services provided.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was competed under Simplified Acquisition Procedures (SAP), which typically implies a streamlined process for procurements under a certain dollar threshold. While this indicates some level of competition, the exact number of bidders is not specified. SAP can sometimes lead to less robust competition compared to full and open competition for larger contracts, potentially impacting price discovery. The fact that it was competed suggests that multiple vendors were considered.

Taxpayer Impact: Competing the contract, even under SAP, likely resulted in a more competitive price than a sole-source award. This benefits taxpayers by ensuring funds are used more efficiently for essential transportation services.

Public Impact

Benefits military families and their children by providing reliable daily transportation to and from educational facilities. Ensures continuity of education for students in areas served by DoDEA. Supports the operational readiness of military bases by providing essential family support services. Creates employment opportunities within the local communities where transit services are provided.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of detailed cost breakdown makes it difficult to assess true value for money.
Competition under SAP may not have yielded the lowest possible price compared to full-scale bidding.
Long contract duration could lead to price escalation if not managed effectively.
Performance metrics and award fee details are not publicly available for scrutiny.

Positive Signals

Contract was competed, indicating an effort to secure competitive pricing.
Fixed-price award fee structure incentivizes contractor performance.
Long-term award provides stability for essential student transportation services.
Awarded by a specialized agency (DoDEA) focused on serving a specific population.

Sector Analysis

This contract falls within the Transportation and Logistics sector, specifically focusing on bus and motor vehicle transit systems. The market for educational transportation services, particularly for government-dependent populations like military families, is a specialized niche. Spending in this area is driven by the need to provide safe and reliable transport to schools, often in locations where public transit is limited. Comparable spending benchmarks would involve analyzing other contracts for similar services awarded by DoDEA or other government agencies serving remote or specialized communities.

Small Business Impact

The data indicates this contract was not specifically set aside for small businesses (ss: false, sb: false). This suggests that the procurement process was open to a broader range of contractors, potentially favoring larger companies with the capacity to handle the scale and duration of the services required. There is no information provided regarding subcontracting plans, so the impact on the small business ecosystem is unclear, but it is unlikely to have a direct positive impact through a set-aside mechanism.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Defense Education Activity (DoDEA) contracting and program management offices. Accountability measures are likely embedded within the fixed-price award fee structure, which ties a portion of the payment to contractor performance. Transparency is limited by the public availability of detailed performance reports and cost justifications. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Department of Defense Education Activity (DoDEA) Operations
Military Base Support Services
Student Transportation Contracts
Federal Transit Contracts
Fixed-Price Award Fee Contracts

Risk Flags

Long contract duration may expose the government to price volatility.
Performance metrics and award fee details are not publicly detailed, limiting transparency.
Competition under SAP might not have achieved maximum price competition.
Contractor's specific performance history in federal transit is not detailed.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $21.4 million to WOLFGANG OSHOWSKI. HDLBG DAILY COMMUTE FY05

Who is the contractor on this award?

The obligated recipient is WOLFGANG OSHOWSKI.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of Defense Education Activity).

What is the total obligated amount?

The obligated amount is $21.4 million.

What is the period of performance?

Start: 2004-10-01. End: 2011-07-31.

What is the historical spending pattern for bus and motor vehicle transit systems by the Department of Defense Education Activity?

Analyzing the historical spending patterns for bus and motor vehicle transit systems by the Department of Defense Education Activity (DoDEA) is crucial for understanding the context of the $21.4 million award. While specific historical data for this exact contract is limited to its award period (2004-2011), DoDEA's mission inherently requires consistent transportation services for students across numerous military installations worldwide. Spending in this category would fluctuate based on the number of schools operational, student enrollment figures, geographic locations, and the specific transit needs of each base. Factors such as fuel costs, vehicle maintenance, driver wages, and regulatory compliance also influence annual expenditures. Without access to DoDEA's detailed historical procurement databases, it's difficult to provide precise figures, but it's reasonable to assume a sustained and significant investment in student transportation to ensure educational continuity for military dependents.

How does the per-unit cost of this contract compare to similar transit contracts awarded by other federal agencies?

Comparing the per-unit cost of this $21.4 million contract to similar transit contracts awarded by other federal agencies is challenging without specific per-unit cost data (e.g., cost per student, cost per mile, cost per bus hour). The provided data only offers the total award amount and duration. Federal transit contracts can vary significantly based on geographic location (affecting labor and fuel costs), the type of vehicles used, the level of service required (e.g., fixed routes vs. on-demand), and the specific needs of the population served. Contracts awarded by agencies like the General Services Administration (GSA) for fleet management or other Department of Defense components for base transportation might offer benchmarks. However, DoDEA's focus on educational transport for military families presents a unique service requirement that may not directly align with general transit contracts, potentially influencing cost structures.

What are the key performance indicators (KPIs) and award fee criteria used in this contract?

The provided data indicates this contract utilized a 'FIXED PRICE AWARD FEE' (pt: FIXED PRICE AWARD FEE) structure, which implies that key performance indicators (KPIs) and specific award fee criteria were established. However, the exact details of these KPIs and criteria are not publicly available in the summary data. Typically, for transit services, KPIs might include on-time performance, vehicle safety and maintenance records, driver qualifications and conduct, adherence to routes and schedules, and passenger satisfaction. The award fee would likely be a mechanism to incentivize the contractor to exceed minimum performance standards, with higher fees paid for superior performance against these defined metrics. Without access to the contract's statement of work or award fee plan, a precise assessment of these criteria and their impact on contractor behavior and overall service quality remains speculative.

What is the track record of the contractor, WOLFGANG OSHOWSKI, with federal transit contracts?

Information regarding the contractor 'WOLFGANG OSHOWSKI' and their specific track record with federal transit contracts is not detailed in the provided summary data. The data indicates this entity was awarded a definitive contract valued at $21.4 million by the Department of Defense Education Activity (DoDEA) for bus and motor vehicle transit systems. To assess their track record, one would need to examine past federal contract awards, performance evaluations (such as Contractor Performance Assessment Reporting System - CPARS), and any history of contract disputes or terminations associated with this entity. Without this additional information, it is difficult to gauge their experience, reliability, and past performance in delivering similar services to the government.

What is the risk assessment associated with this contract, considering its duration and type?

The risk assessment for this contract, awarded for nearly seven years (2494 days) with a fixed-price award fee structure, involves several considerations. The long duration presents a risk of potential cost escalation due to inflation, fuel price volatility, and unforeseen operational challenges over an extended period. The fixed-price nature, while aiming for cost certainty, can shift risk to the contractor if costs exceed projections, potentially impacting service quality if the contractor seeks to cut corners. The award fee component introduces performance risk; failure to meet KPIs could result in reduced contractor profit, potentially leading to dissatisfaction or disputes. Furthermore, reliance on a single contractor for essential student transportation carries operational risk if the contractor experiences financial instability or service disruptions. The competition under SAP might also imply a slightly higher risk if it didn't fully explore the market's competitive potential.

Industry Classification

NAICS: Transportation and Warehousing › Urban Transit Systems › Bus and Other Motor Vehicle Transit Systems

Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › TRAVEL, LODGING, RECRUITMENT SVCS

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 5

Pricing Type: FIXED PRICE AWARD FEE (M)

Evaluated Preference: NONE

Contractor Details

Address: SCH¿FERHAGEN 5, LAUENF¿RDE

Business Categories: Category Business, Foreign Owned, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $21,434,674

Exercised Options: $21,434,674

Current Obligation: $21,434,674

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline