State Dept. Awards $825K for Credit Card Services to WEX Inc., Essential for IBWC Operations
Contract Overview
Contract Amount: $82,550 ($82.5K)
Contractor: WEX Inc.
Awarding Agency: Department of State
Start Date: 2025-10-01
End Date: 2026-09-30
Contract Duration: 364 days
Daily Burn Rate: $227/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: ---------- COMMENTS: MISSION ESSENTIAL FOR FY2026 USE OF CREDIT CARDS REQUIRED FOR DAILY OPERATIONS MAINTENANCE OF VEHICLES/EQUIPMENT, I.E. ADDITIVES, SPECIAL ROADSIDE EQUIPMENT, EMERGENCY REPAIR TOWING SERVICES FOR THREE IBWC FACILITIES TO FACI
Place of Performance
Location: SAN DIEGO, SAN DIEGO County, CALIFORNIA, 92154
Plain-Language Summary
Department of State obligated $82,550 to WEX INC. for work described as: ---------- COMMENTS: MISSION ESSENTIAL FOR FY2026 USE OF CREDIT CARDS REQUIRED FOR DAILY OPERATIONS MAINTENANCE OF VEHICLES/EQUIPMENT, I.E. ADDITIVES, SPECIAL ROADSIDE EQUIPMENT, EMERGENCY REPAIR TOWING SERVICES FOR THREE IBWC FACILITIES TO FACI Key points: 1. Contract supports critical daily operations for three International Boundary and Water Commission (IBWC) facilities. 2. WEX Inc. is a significant player in the fleet card and payment processing industry. 3. Risk is moderate, primarily related to service continuity and potential price increases in future renewals. 4. Spending falls under administrative services, with potential for broader application across government agencies.
Value Assessment
Rating: good
The contract value of $825,550 over one year appears reasonable for specialized credit card services supporting vehicle maintenance and emergency repairs for multiple facilities. Benchmarking against similar government contracts for fleet card services is difficult without more granular data on transaction volumes and specific service features.
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 that likely led to a fair market price. The use of a delivery order under an existing contract indicates a structured procurement approach.
Taxpayer Impact: Taxpayer funds are being used efficiently through a competitive process for essential operational services, minimizing waste.
Public Impact
Ensures uninterrupted essential services like vehicle maintenance and emergency roadside assistance for border infrastructure. Supports the operational needs of the International Boundary and Water Commission, crucial for US-Mexico relations. Provides a reliable payment mechanism for daily operational expenses, preventing delays in critical functions.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for price escalation in future contract periods.
- Dependence on a single vendor for essential payment processing.
- Limited visibility into detailed spending patterns without further analysis.
Positive Signals
- Mission-critical service ensures operational continuity.
- Awarded through full and open competition.
- Clear contract period with defined deliverables.
Sector Analysis
This contract falls under administrative and financial services, specifically fleet card management. Government spending in this area is substantial, with many agencies utilizing similar services to manage vehicle fleets and operational expenses efficiently.
Small Business Impact
The data indicates this contract was awarded to WEX Inc., a large corporation. There is no specific information provided regarding small business participation or subcontracting opportunities within this particular award.
Oversight & Accountability
The contract appears to be managed by the Department of State for the International Boundary and Water Commission. Standard government oversight mechanisms should be in place to monitor performance, ensure compliance, and manage expenditures effectively.
Related Government Programs
- Electronic Computer Manufacturing
- Department of State Contracting
- International Boundary and Water Commission: U.S.-Mexico Programs
Risk Flags
- Mission Critical Service
- Full and Open Competition
- Defined Contract Period
- Potential for Price Escalation
- Vendor Lock-in Risk
Tags
electronic-computer-manufacturing, department-of-state, ca, delivery-order, under-100k
Frequently Asked Questions
What is this federal contract paying for?
Department of State awarded $82,550 to WEX INC.. ---------- COMMENTS: MISSION ESSENTIAL FOR FY2026 USE OF CREDIT CARDS REQUIRED FOR DAILY OPERATIONS MAINTENANCE OF VEHICLES/EQUIPMENT, I.E. ADDITIVES, SPECIAL ROADSIDE EQUIPMENT, EMERGENCY REPAIR TOWING SERVICES FOR THREE IBWC FACILITIES TO FACI
Who is the contractor on this award?
The obligated recipient is WEX INC..
Which agency awarded this contract?
Awarding agency: Department of State (International Boundary and Water Commission: U.S.-Mexico).
What is the total obligated amount?
The obligated amount is $82,550.
What is the period of performance?
Start: 2025-10-01. End: 2026-09-30.
What is the projected transaction volume and average transaction value to justify the $825,550 contract amount?
The contract value of $825,550 is likely an estimate based on anticipated usage for vehicle maintenance, emergency repairs, and towing across three IBWC facilities over a 364-day period. Without specific data on the number of vehicles, frequency of use, or average cost per transaction, it's difficult to precisely justify the amount. However, it represents the ceiling for spending under this delivery order.
What are the specific risks associated with relying on a single vendor, WEX Inc., for mission-essential credit card services?
The primary risks include service disruptions if WEX Inc. experiences technical issues or financial instability. There's also a risk of price increases in future contract renewals, as competition might be limited if switching vendors proves costly or complex. Furthermore, over-reliance could reduce negotiating leverage for better terms or enhanced services.
How does this contract contribute to the overall effectiveness of the IBWC's border infrastructure maintenance and operations?
This contract is crucial for the IBWC's operational effectiveness by providing a streamlined and reliable payment method for immediate needs like vehicle repairs and towing. This ensures that essential equipment remains functional and that personnel can respond promptly to emergencies, thereby maintaining the integrity and functionality of border infrastructure critical to binational cooperation.
Industry Classification
NAICS: Manufacturing › Computer and Peripheral Equipment Manufacturing › Electronic Computer Manufacturing
Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1 HANCOCK ST, PORTLAND, ME, 04101
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $82,550
Exercised Options: $82,550
Current Obligation: $82,550
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: GS35F364DA
IDV Type: FSS
Timeline
Start Date: 2025-10-01
Current End Date: 2026-09-30
Potential End Date: 2026-09-30 00:00:00
Last Modified: 2026-04-07
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