Fort Lee Food Service Contract Awarded to Cantu Services Inc. for $20.7M

Contract Overview

Contract Amount: $20,688,653 ($20.7M)

Contractor: Cantu Services Inc

Awarding Agency: Department of Defense

Start Date: 2020-06-22

End Date: 2021-06-04

Contract Duration: 347 days

Daily Burn Rate: $59.6K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: FULL FOOD SERVICE AT FORT LEE

Place of Performance

Location: FORT LEE, PRINCE GEORGE County, VIRGINIA, 23801

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $20.7 million to CANTU SERVICES INC for work described as: FULL FOOD SERVICE AT FORT LEE Key points: 1. Contract awarded to Cantu Services Inc. for $20.7 million. 2. The contract falls under the Food Service Contractors industry. 3. Competition was full and open after exclusion of sources. 4. The contract duration is 347 days. 5. The award type is a Delivery Order.

Value Assessment

Rating: good

The contract value of $20.7 million for a 347-day period appears reasonable for full food services at a military installation. Benchmarking against similar contracts would provide a more precise assessment.

Cost Per Unit: $59,621 per day (estimated)

Competition Analysis

Competition Level: full-and-open

The contract was awarded using full and open competition after exclusion of sources, indicating a competitive bidding process. This method generally promotes price discovery and ensures fair market value.

Taxpayer Impact: The competitive nature of the award suggests taxpayers are likely receiving a fair price for the food services provided.

Public Impact

Ensures essential food services for personnel at Fort Lee. Supports military readiness and morale through reliable catering. Provides employment opportunities through the contractor, Cantu Services Inc.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for price creep in future contract renewals.
  • Dependence on a single contractor for critical services.

Positive Signals

  • Competitive award process.
  • Clear contract scope for food services.

Sector Analysis

This contract is within the Food Service Contractors sector, which is a common area of government spending to support personnel at various facilities. Benchmarks for similar contracts can vary significantly based on location and service level.

Small Business Impact

The data does not indicate if small businesses were involved as subcontractors or prime contractors in this specific award.

Oversight & Accountability

The contract was awarded by the Department of the Army, a component of the Department of Defense, suggesting established oversight mechanisms are in place. Monitoring performance and adherence to contract terms is crucial.

Related Government Programs

  • Food Service Contractors
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Contract duration is relatively short (less than a year).
  • Potential for price escalation in future contract actions.
  • Reliance on a single vendor for essential services.
  • Exclusion of sources in the competition process warrants review.

Tags

food-service-contractors, department-of-defense, va, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $20.7 million to CANTU SERVICES INC. FULL FOOD SERVICE AT FORT LEE

Who is the contractor on this award?

The obligated recipient is CANTU SERVICES 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 $20.7 million.

What is the period of performance?

Start: 2020-06-22. End: 2021-06-04.

What is the historical performance of Cantu Services Inc. on similar government contracts?

Assessing Cantu Services Inc.'s past performance is crucial for understanding their reliability and quality in delivering food services. Reviewing past contract awards, performance evaluations, and any documented issues can provide insight into their capabilities and potential risks associated with this contract. This information helps in determining if the contractor has a track record of successful service delivery or if there are recurring problems that might impact Fort Lee.

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

Comparing the estimated per-unit cost of $59,621 per day to industry benchmarks for military food services is essential for evaluating value for money. If this cost is significantly higher than comparable contracts, it could indicate potential overpricing or unique service requirements. Conversely, a lower cost might suggest efficient operations or favorable market conditions. This comparison helps identify potential savings or areas where costs might be justified.

What are the key performance indicators (KPIs) and service level agreements (SLAs) for this contract?

Understanding the specific KPIs and SLAs is vital for measuring the effectiveness of the food services provided by Cantu Services Inc. These metrics define the expected quality, timeliness, and scope of services. Effective monitoring of these indicators ensures that Fort Lee personnel receive adequate and satisfactory food provisions, directly impacting morale and operational readiness. Without clear KPIs and SLAs, assessing contract performance becomes subjective and less accountable.

Industry Classification

NAICS: Accommodation and Food ServicesSpecial Food ServicesFood Service Contractors

Product/Service Code: UTILITIES AND HOUSEKEEPINGHOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W91QF517R0005

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 308 MISSISSIPPI AVE, WICHITA FALLS, TX, 76301

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Hispanic American Owned Business, Minority Owned Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $22,788,102

Exercised Options: $22,788,102

Current Obligation: $20,688,653

Actual Outlays: $9,021,394

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W91QF517D0003

IDV Type: IDC

Timeline

Start Date: 2020-06-22

Current End Date: 2021-06-04

Potential End Date: 2021-06-04 00:00:00

Last Modified: 2025-12-31

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