DoD awards $52M food service contract to SC Commission for the Blind, highlighting regional support

Contract Overview

Contract Amount: $51,964,199 ($52.0M)

Contractor: South Carolina Commission for Blind

Awarding Agency: Department of Defense

Start Date: 2023-04-01

End Date: 2024-03-31

Contract Duration: 365 days

Daily Burn Rate: $142.4K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: FULL FOOD SERVICE FINAL ORDERING PERIOD

Place of Performance

Location: COLUMBIA, RICHLAND County, SOUTH CAROLINA, 29201

State: South Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $52.0 million to SOUTH CAROLINA COMMISSION FOR BLIND for work described as: FULL FOOD SERVICE FINAL ORDERING PERIOD Key points: 1. Contract value of $51.96M over one year indicates significant operational scale. 2. Full and open competition suggests a potentially competitive bidding environment. 3. Fixed-price contract type offers cost certainty for the government. 4. Award to a state commission suggests a unique approach to service delivery. 5. Focus on food services points to essential base support operations. 6. Geographic concentration in South Carolina may reflect regional economic development goals.

Value Assessment

Rating: good

The contract value of approximately $52 million for a one-year period for food services is substantial. Benchmarking this against similar large-scale food service contracts for military bases is difficult without more specific service scope details. However, the firm fixed-price structure suggests an effort to control costs. The award to a state commission, rather than a traditional large defense contractor, could indicate a unique value proposition or a specific strategic objective, potentially offering good value if operational efficiency is high.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The number of bidders is not specified, but this method generally promotes a competitive environment, which should theoretically lead to better pricing and service offerings. The government's use of this procurement method suggests confidence in achieving a fair market price and quality service through a broad solicitation.

Taxpayer Impact: Taxpayers benefit from the competitive process, which aims to secure the best possible price and quality for essential food services, preventing potential overspending associated with less competitive awards.

Public Impact

Service members and personnel at the supported Department of the Army installation will receive food services. The South Carolina Commission for the Blind is the primary beneficiary, receiving significant funding for its operations. The contract directly impacts the workforce employed by the South Carolina Commission for the Blind. Geographic impact is concentrated in South Carolina, supporting regional economic activity and employment.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for service disruption if the contractor faces unforeseen operational challenges.
  • Dependence on a single state commission for a critical service could pose a risk if capacity is exceeded.
  • Ensuring consistent quality and compliance across all food service operations requires robust oversight.

Positive Signals

  • Award to a state commission may foster unique partnerships and support state-level employment.
  • Full and open competition suggests a well-defined requirement and a structured procurement process.
  • Firm fixed-price contract provides budget certainty for the Department of Defense.

Sector Analysis

The food service industry is a large and diverse sector, encompassing everything from institutional catering to restaurant operations. Within the federal government, contracts for food services are common, particularly for military bases, correctional facilities, and other institutions requiring large-scale catering. This contract falls within the broader category of support services for defense operations. Comparable spending benchmarks for similar military base food service contracts can vary widely based on location, size of the installation, and specific service requirements, but a $52 million annual contract suggests a significant operational footprint.

Small Business Impact

This contract was not set aside for small businesses, as indicated by `ss: false` and `sb: false`. The award to the South Carolina Commission for the Blind, while a state entity, does not appear to involve specific subcontracting plans for small businesses based on the provided data. The absence of small business set-asides means that opportunities for small businesses to participate in this specific contract are likely limited unless they are part of the prime contractor's supply chain.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of the Army, which awarded the delivery order. Accountability measures are typically embedded within the contract terms, including performance standards, reporting requirements, and potential penalties for non-compliance. Transparency is facilitated through the Federal Procurement Data System (FPDS), where contract awards are recorded. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

  • Base Operations Support Services
  • Food and Hospitality Services
  • Department of Defense Procurement
  • State Agency Contracts
  • Institutional Food Service Contracts

Risk Flags

  • Potential for performance issues due to contractor's potential lack of experience with large federal contracts.
  • Risk of service disruption if the contractor's capacity is insufficient for the scale of operations.
  • Need for robust oversight to ensure compliance with federal standards and quality.

Tags

defense, department-of-the-army, food-service, full-and-open-competition, firm-fixed-price, south-carolina, state-commission, large-contract, support-services, institutional-catering

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $52.0 million to SOUTH CAROLINA COMMISSION FOR BLIND. FULL FOOD SERVICE FINAL ORDERING PERIOD

Who is the contractor on this award?

The obligated recipient is SOUTH CAROLINA COMMISSION FOR BLIND.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $52.0 million.

What is the period of performance?

Start: 2023-04-01. End: 2024-03-31.

What is the track record of the South Carolina Commission for the Blind in managing large federal contracts, particularly in food services?

The provided data does not offer specific details on the South Carolina Commission for the Blind's historical performance on federal contracts, especially concerning food services. While they are a state entity, their experience with large-scale, fixed-price federal contracts of this magnitude requires further investigation. Assessing their past performance, including any previous government contracts, client satisfaction, and adherence to regulatory requirements, would be crucial for a comprehensive understanding of their capability and reliability in fulfilling this $52 million award. Without this information, it is difficult to gauge their track record.

How does the per-meal cost under this contract compare to industry benchmarks for military food services?

The provided data does not include the number of meals served or the specific scope of services, making a direct per-meal cost calculation impossible. To benchmark this contract's value, one would need to know the total number of meals provided annually or the per-person daily cost. Comparing this to industry benchmarks for military food services, which can range significantly based on location, type of facility, and service level, would require additional data points. Generally, firm fixed-price contracts aim for competitive pricing, but without more granular data, assessing the cost-effectiveness on a per-meal basis remains speculative.

What are the primary risks associated with awarding a large food service contract to a state commission rather than a traditional defense contractor?

A primary risk involves potential differences in operational agility and established supply chains compared to large, specialized defense contractors. State commissions may have less experience navigating the complex regulatory and logistical demands of federal defense contracts, potentially leading to performance issues or delays. Furthermore, their capacity to scale operations rapidly or absorb unexpected cost increases might be more limited. Ensuring robust oversight and clear communication channels will be critical to mitigate these risks and ensure consistent service delivery that meets military standards.

What is the expected impact of this contract on the South Carolina economy and employment?

This $52 million contract is expected to have a significant positive impact on the South Carolina economy. It will likely create or sustain numerous jobs within the South Carolina Commission for the Blind and its associated operations. The substantial funding infusion can stimulate local economic activity through the purchase of goods and services from other South Carolina businesses, contributing to the state's overall economic health. The contract also supports the Commission's mission, potentially enhancing services for individuals with visual impairments within the state.

How does the duration and value of this contract compare to previous food service contracts at this specific Department of the Army installation?

The provided data indicates this is a delivery order with a duration of 365 days (one year) and a value of $51,964,198.66. To compare this to previous contracts at the specific installation, one would need access to historical contract data for that location and service type. Analyzing past awards, their values, durations, and contractors would reveal trends in spending, potential changes in service scope, and the stability of the contracting environment. Without this historical context, it's impossible to determine if this contract represents an increase, decrease, or consistent level of spending for food services at the installation.

Are there specific performance metrics or key performance indicators (KPIs) tied to this contract that ensure quality and timeliness?

The provided data does not explicitly list the specific performance metrics or Key Performance Indicators (KPIs) for this contract. However, standard government contracts, especially for essential services like food, typically include detailed performance standards. These often cover aspects such as food quality, safety and sanitation compliance, timeliness of service, nutritional standards, and customer satisfaction. Failure to meet these KPIs can result in contractual remedies, including financial penalties or termination. A thorough review of the contract's statement of work and performance clauses would be necessary to identify the exact KPIs.

Industry Classification

NAICS: Accommodation and Food ServicesSpecial Food ServicesFood Service Contractors

Product/Service Code: OPERATION OF GOVT OWNED FACILITYOPERATE GOVT OWNED BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W9124J17R0054

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1430 CONFEDERATE AVE, COLUMBIA, SC, 29201

Business Categories: Category Business, Government, U.S. National Government, Not Designated a Small Business, U.S. Regional/State Government

Financial Breakdown

Contract Ceiling: $52,626,904

Exercised Options: $52,626,904

Current Obligation: $51,964,199

Actual Outlays: $4,752,875

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: W9124J19D0008

IDV Type: IDC

Timeline

Start Date: 2023-04-01

Current End Date: 2024-03-31

Potential End Date: 2024-03-31 00:00:00

Last Modified: 2024-05-20

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