Army awards $18.5M for trash and garbage collection services in Hawaii over 6 years

Contract Overview

Contract Amount: $9,930,383 ($9.9M)

Contractor: Rolloffs Hawaii, Inc

Awarding Agency: Department of Defense

Start Date: 2003-10-30

End Date: 2009-12-31

Contract Duration: 2,254 days

Daily Burn Rate: $4.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: 200407!000218!2100!W912CN!ACA, FORT SHAFTER !W912CN04C0007 !A!N! !Y! ! !20031030!20031231!185077971!185077971!185077971!N!ROLLOFFS HAWAII INC !1020 ULUPONO ST !HONOLULU !HI!96819!69050!003!15!SCHOFIELD BARRACKS !HONOLULU !HAWAII !+000001339031!N!N!000008951680!S205!TRASH/GARBAGE COLLECTION SRVCS-INCL PORT SAN SVCS !S1 !SERVICES !000 !* !562111!E! !3! ! ! ! ! !99990909!B! ! !A! !A!U!J!2!007!B! !C!N!Z! ! !Y!B!N!N! !B!Z! !A!A!00 !A!B!Y!S!N! ! ! ! !0001! !

Place of Performance

Location: SCHOFIELD BARRACKS, HONOLULU County, HAWAII, 96857

State: Hawaii Government Spending

Plain-Language Summary

Department of Defense obligated $9.9 million to ROLLOFFS HAWAII, INC for work described as: 200407!000218!2100!W912CN!ACA, FORT SHAFTER !W912CN04C0007 !A!N! !Y! ! !20031030!20031231!185077971!185077971!185077971!N!ROLLOFFS HAWAII INC !1020 ULUPONO ST !HONOLULU !HI!96819!69050!003!15!SCHOFIELD BARRACKS !HONO… Key points: 1. Contract awarded for essential waste management services, indicating a stable demand for such support. 2. The duration of the contract suggests a need for long-term, reliable service provision. 3. Awarded to a single vendor, raising questions about potential competition limitations. 4. The service category aligns with common operational needs for military installations. 5. Geographic concentration in Hawaii may reflect specific logistical or environmental considerations. 6. Firm Fixed Price contract type offers cost certainty for the government.

Value Assessment

Rating: fair

The total award amount of $18.5 million over approximately six years for trash and garbage collection services at Schofield Barracks, Hawaii, appears to be within a reasonable range for such essential services. However, without specific benchmarks for per-unit costs (e.g., per ton collected, per bin serviced) or comparisons to other similar contracts in the region or for similar military installations, a definitive value-for-money assessment is challenging. The firm fixed-price nature of the contract provides budget predictability.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting that multiple vendors had the opportunity to bid. The presence of 7 bids indicates a moderate level of competition for this service. While full and open competition is generally preferred, the fact that only 7 bids were received for a contract of this duration and value might suggest that the market for specialized waste management services in Hawaii is somewhat concentrated or that other potential bidders faced barriers to entry.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it encourages multiple vendors to offer competitive pricing, potentially leading to lower costs and better service quality.

Public Impact

Residents and personnel at Schofield Barracks, Hawaii, benefit from reliable waste management and sanitation services. Ensures environmental compliance and public health standards are maintained through proper refuse disposal. Supports local employment through the contractor's operations in Hawaii. The contract contributes to the operational readiness of the military installation by managing a critical support function.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for limited competition in the Hawaii market for specialized waste services.
Long contract duration could lead to vendor complacency if not actively managed.
Reliance on a single vendor for a critical service introduces risk if the vendor faces operational issues.

Positive Signals

Awarded through full and open competition, maximizing potential for competitive pricing.
Firm Fixed Price contract provides cost certainty for the government.
Contract duration of over 6 years suggests a stable and reliable service provider was selected.

Sector Analysis

The solid waste collection industry is a mature sector characterized by local and regional service providers. Contracts for these services are common across government agencies, particularly for facilities management. The market can be influenced by environmental regulations, disposal site availability, and transportation logistics. Benchmarking this contract against similar municipal or federal contracts for waste management in similar geographic areas would provide further insight into its cost-effectiveness.

Small Business Impact

While this contract was awarded under full and open competition, there is no explicit indication of a small business set-aside. The contractor, Rolloffs Hawaii, Inc., is a small business according to the NAICS code 562111 (which has a size standard of $47 million). This suggests that the contract may have been awarded to a small business that successfully competed against larger entities, or that the competition pool included both small and large businesses. Further analysis would be needed to determine if subcontracting opportunities for other small businesses were included or encouraged.

Oversight & Accountability

Oversight for this contract would typically fall under the purview of the contracting officer and the relevant Department of the Army contracting command. Performance monitoring would likely involve regular reviews of service delivery, adherence to environmental regulations, and complaint resolution. Transparency is generally maintained through contract databases like FPDS. Inspector General involvement would be triggered by allegations of fraud, waste, or abuse.

Related Government Programs

Base Operations Support Services
Environmental Services Contracts
Logistics and Transportation Services
Municipal Solid Waste Management Contracts

Risk Flags

Potential for limited competition due to geographic concentration and service specialization.
Long contract duration may reduce flexibility and increase risk of price misalignment over time.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $9.9 million to ROLLOFFS HAWAII, INC. 200407!000218!2100!W912CN!ACA, FORT SHAFTER !W912CN04C0007 !A!N! !Y! ! !20031030!20031231!185077971!185077971!185077971!N!ROLLOFFS HAWAII INC !1020 ULUPONO ST !HONOLULU !HI!96819!69050!003!15!SCHOFIELD BARRACKS !HONOLULU !HAWAII !+000001339031!N!N!000008951680!S205!TRASH/GARBAGE COLLECTION SRVCS-INCL PORT SAN SVCS !S1 !SERVICES !000 !* !562111!E! !3! ! ! ! ! !999

Who is the contractor on this award?

The obligated recipient is ROLLOFFS HAWAII, INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $9.9 million.

What is the period of performance?

Start: 2003-10-30. End: 2009-12-31.

What is the historical spending pattern for trash and garbage collection services at Schofield Barracks or similar Army installations in Hawaii?

Analyzing historical spending requires access to detailed contract databases over a longer period. However, the current award of $18.5 million over approximately 6 years (2003-2009) suggests an average annual expenditure of roughly $3 million. To understand historical patterns, one would need to examine prior contracts for similar services at Schofield Barracks and other Hawaiian installations. This would reveal trends in pricing, competition levels, and vendor stability. For instance, were previous contracts also awarded under full and open competition? Were there significant price increases or decreases over time? Understanding these patterns helps contextualize the current award's value and identify potential anomalies or efficiencies.

How does the per-unit cost of this contract compare to industry benchmarks for solid waste collection in Hawaii?

Determining the precise per-unit cost requires breaking down the total contract value by the volume or weight of waste collected, or by the number of service points. The provided data does not include these specifics. However, the NAICS code 562111 (Solid Waste Collection) has a small business size standard of $47 million. This indicates a significant market, but also suggests that contracts can vary widely in scope. To benchmark, one would need to find data on average cost per ton, per household, or per cubic yard for commercial waste collection in Hawaii. Factors like landfill tipping fees, transportation distances, and recycling mandates heavily influence these costs. Without specific service metrics, a direct per-unit comparison is not feasible, but the total award suggests a substantial operational scale.

What is Rolloffs Hawaii, Inc.'s track record with government contracts, particularly within the Department of Defense?

Rolloffs Hawaii, Inc. has been awarded this specific contract (W912CN04C0007) valued at $18,507,797.10. Further investigation into federal procurement databases (like FPDS or SAM.gov) would be necessary to ascertain their complete contract history. This would include identifying other contracts awarded to them, their values, agencies involved (especially within the DoD), and their performance ratings, if available. A review of past performance would help assess their reliability, experience in handling similar scope and scale of services, and any history of disputes or contract modifications. Their status as a small business under the relevant NAICS code is also a key characteristic.

What are the potential risks associated with a long-term (6+ year) contract for essential services like waste management?

Long-term contracts for essential services like waste management present several potential risks. Firstly, there's the risk of vendor complacency; a contractor might reduce service quality or responsiveness over time, assuming their position is secure. Secondly, market conditions can change significantly over six years. Inflation, fuel price volatility, and evolving environmental regulations could make the fixed price less favorable for the contractor, potentially leading to requests for modification or, in extreme cases, contract termination. Conversely, if costs decrease significantly, the government might be locked into paying above-market rates. Finally, a long-term commitment reduces the government's flexibility to adopt new technologies or service models that may emerge during the contract period. Robust performance management and clear contract clauses are crucial to mitigate these risks.

How does the number of bidders (7) in this full and open competition reflect the competitiveness of the solid waste collection market in Hawaii for government contracts?

Receiving 7 bids in a full and open competition for a solid waste collection contract in Hawaii suggests a moderately competitive market. While 7 bidders indicate that the opportunity was known and accessible to multiple firms, it may not represent the maximum possible competition. The specific nature of the services required (e.g., specialized equipment, environmental compliance, proximity to military bases) could limit the number of qualified bidders. For a large, long-term contract, one might expect more bids if the market were highly saturated or if barriers to entry were low. Conversely, 7 bids are generally considered a healthy number, indicating that the government likely received competitive offers and avoided a sole-source situation. Further analysis could involve comparing this to other similar DoD contracts in the region.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Waste Collection › Solid Waste Collection

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: TWO STEP

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1020 ULUPONO ST, HONOLULU, HI, 01

Business Categories: Category Business, Minority Owned Business, Other Minority Owned Business, Small Business, Veteran Owned Business

Contract Characteristics

Cost or Pricing Data: NO

Timeline