DoD Leases Transportation Equipment for $31.4M Under Full and Open Competition

Contract Overview

Contract Amount: $31,433,832 ($31.4M)

Contractor: Textainer Equipment Management (U.S.) Limited

Awarding Agency: Department of Defense

Start Date: 2006-09-22

End Date: 2010-04-16

Contract Duration: 1,302 days

Daily Burn Rate: $24.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Transportation

Place of Performance

Location: HACKENSACK, BERGEN County, NEW JERSEY, 07601

State: New Jersey Government Spending

Plain-Language Summary

Department of Defense obligated $31.4 million to TEXTAINER EQUIPMENT MANAGEMENT (U.S.) LIMITED for work described as: Key points: 1. Significant contract value of $31.4 million for equipment rental and leasing. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. No small business participation noted, which could be a missed opportunity. 4. The contract falls under the Defense Logistics Agency's purview, indicating strategic support needs.

Value Assessment

Rating: fair

The contract value of $31.4 million for a 1302-day duration needs comparison to similar equipment leasing contracts. Without specific unit costs or detailed service scope, a precise value assessment is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The use of full and open competition is a positive indicator for price discovery. It allows all responsible sources to submit bids, theoretically leading to more competitive pricing.

Taxpayer Impact: The competitive nature of the award suggests taxpayers likely received a fair price, though the overall necessity and efficiency of the leased equipment are not detailed.

Public Impact

Ensures availability of critical transportation equipment for military operations. Supports logistical readiness and deployment capabilities of the Department of Defense. Leasing avoids large capital outlays for equipment that may have fluctuating needs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of small business participation.
  • Potential for underutilization of competitive pricing if market research was limited.

Positive Signals

  • Full and open competition utilized.
  • Contract supports critical defense logistics.

Sector Analysis

This contract falls within the transportation equipment rental and leasing sector, supporting the Defense Logistics Agency's mission. Benchmarks for this specific type of leasing are difficult to ascertain without more granular data on equipment types and lease terms.

Small Business Impact

The contract data indicates no small business participation (sb: false). This suggests that either small businesses were not solicited, did not bid, or did not meet the requirements for this specific leasing requirement.

Oversight & Accountability

The contract was awarded by the Defense Logistics Agency, which typically has robust oversight mechanisms. However, the duration and value warrant ongoing monitoring to ensure continued value and adherence to terms.

Related Government Programs

  • Commercial Air, Rail, and Water Transportation Equipment Rental and Leasing
  • Department of Defense Contracting
  • Defense Logistics Agency Programs

Risk Flags

  • Lack of small business participation.
  • Limited insight into specific equipment leased.
  • No data on performance or modifications.
  • Difficulty in benchmarking lease costs without more detail.

Tags

commercial-air-rail-and-water-transporta, department-of-defense, nj, do, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $31.4 million to TEXTAINER EQUIPMENT MANAGEMENT (U.S.) LIMITED. See the official description on USAspending.

Who is the contractor on this award?

The obligated recipient is TEXTAINER EQUIPMENT MANAGEMENT (U.S.) LIMITED.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Logistics Agency).

What is the total obligated amount?

The obligated amount is $31.4 million.

What is the period of performance?

Start: 2006-09-22. End: 2010-04-16.

What specific types of transportation equipment were leased under this contract, and how did their specifications align with the agency's needs?

The provided data does not specify the exact types of transportation equipment leased. It falls under NAICS code 532411 (Commercial Air, Rail, and Water Transportation Equipment Rental and Leasing). Understanding the specific assets is crucial for assessing if the lease met the agency's operational requirements and if the pricing reflects the utility and condition of the equipment.

Were there any performance issues or contract modifications during the 1302-day period that impacted the final cost or effectiveness?

The data does not detail any performance issues or modifications. A comprehensive review would require access to contract performance reports and modification logs. Such information is vital for a complete understanding of the contract's effectiveness and whether the initial fixed price remained optimal throughout its lifecycle.

How does the $31.4 million total award compare to the agency's budget for similar equipment leasing over the contract's duration?

Without access to the agency's specific budget allocations for transportation equipment leasing during the 2006-2010 period, a direct comparison is not possible. The $31.4 million represents the total obligated amount. Assessing value requires comparing this expenditure against budgeted amounts and alternative procurement methods like purchasing.

Industry Classification

NAICS: Real Estate and Rental and LeasingCommercial and Industrial Machinery and Equipment Rental and LeasingCommercial Air, Rail, and Water Transportation Equipment Rental and Leasing

Product/Service Code: CONTAINERS/PACKAGING/PACKING SUPPL

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Textainer Equipment Management (UEI: 855465977)

Address: 1 UNIVERSITY PLZ STE 301, HACKENSACK, NJ, 05

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DAMT0103D0173

IDV Type: IDC

Timeline

Start Date: 2006-09-22

Current End Date: 2010-04-16

Potential End Date: 2010-04-16 00:00:00

Last Modified: 2010-04-16

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