DoD awards $177M for Route Clearing Vehicle Repairs, VSE Corp. wins contract
Contract Overview
Contract Amount: $177,363,010 ($177.4M)
Contractor: VSE Corporation
Awarding Agency: Department of Defense
Start Date: 2006-12-28
End Date: 2009-09-19
Contract Duration: 996 days
Daily Burn Rate: $178.1K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: TIME AND MATERIALS
Sector: Defense
Official Description: REPAIRS FOR ROUTE CLEARING VEHICLES
Place of Performance
Location: ALEXANDRIA, FAIRFAX County, VIRGINIA, 22310, UNITED STATES OF AMERICA
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $177.4 million to VSE CORPORATION for work described as: REPAIRS FOR ROUTE CLEARING VEHICLES Key points: 1. Contract value of $177.36M for vehicle repairs. 2. VSE Corporation is the sole awardee. 3. Potential risk in sole-source award for critical vehicle maintenance. 4. Spending falls under the 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' NAICS code.
Value Assessment
Rating: fair
The contract was awarded at $177.36M, slightly below the initial benchmark of $178.08M. However, without detailed cost breakdowns or comparisons to similar repair contracts, a precise value assessment is difficult.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally promotes price discovery and potentially better pricing for the government.
Taxpayer Impact: The competitive nature of the award suggests efforts to secure fair pricing, but the total $177.36M expenditure represents a significant taxpayer investment.
Public Impact
Ensures operational readiness of critical route clearing vehicles. Supports maintenance and repair services for military equipment. Impacts the defense industrial base and associated supply chains.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of small business participation.
- Time and Materials pricing could lead to cost overruns.
- Contract duration is unusually long (996 days).
Positive Signals
- Awarded under full and open competition.
- Contract value is slightly under the benchmark.
Sector Analysis
This contract falls within the defense sector, specifically related to vehicle maintenance and repair. Spending benchmarks for such services can vary widely based on vehicle type and complexity.
Small Business Impact
The data indicates no small business participation in this contract. This suggests that opportunities for small businesses in this specific procurement were either not pursued or not available.
Oversight & Accountability
The contract was awarded under full and open competition, which typically involves robust oversight. However, the long duration and T&M pricing warrant close monitoring to ensure cost control and performance.
Related Government Programs
- Other Aircraft Parts and Auxiliary Equipment Manufacturing
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Potential for cost overruns due to T&M pricing.
- Long contract duration may not reflect evolving needs.
- Lack of small business participation.
- Limited transparency on specific repair cost components.
Tags
other-aircraft-parts-and-auxiliary-equip, department-of-defense, va, do, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $177.4 million to VSE CORPORATION. REPAIRS FOR ROUTE CLEARING VEHICLES
Who is the contractor on this award?
The obligated recipient is VSE CORPORATION.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $177.4 million.
What is the period of performance?
Start: 2006-12-28. End: 2009-09-19.
What is the specific breakdown of repair costs versus parts for this contract?
The provided data does not include a detailed breakdown of repair costs versus parts. A Time and Materials (T&M) contract structure means costs are based on labor hours and material expenses. Further analysis would require access to the contract's detailed financial reports to understand the allocation between labor and parts.
What are the risks associated with the long contract duration and T&M pricing?
The 996-day duration combined with Time and Materials pricing presents a significant risk of cost escalation. Without fixed price elements or strong cost controls, the government could face higher-than-anticipated expenses if labor rates increase or more materials are needed than initially projected.
How does the performance of VSE Corporation on similar contracts compare?
Information on VSE Corporation's past performance on similar contracts is not provided in this dataset. A comprehensive assessment of effectiveness would require reviewing their performance history, client feedback, and adherence to delivery schedules and quality standards on previous defense repair contracts.
Industry Classification
NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Other Aircraft Parts and Auxiliary Equipment Manufacturing
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 1
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Address: 2550 HUNTINGTON AVE, ALEXANDRIA, VA, 22303
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $325,233,679
Exercised Options: $177,363,010
Current Obligation: $177,363,010
Contract Characteristics
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: DAAB0703DB012
IDV Type: IDC
Timeline
Start Date: 2006-12-28
Current End Date: 2009-09-19
Potential End Date: 2009-09-19 00:00:00
Last Modified: 2015-06-08
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