GSA Awards $29.1M Contract for Managed Services to Life Science Logistics LLC

Contract Overview

Contract Amount: $29,105,208 ($29.1M)

Contractor: Life Science Logistics LLC

Awarding Agency: General Services Administration

Start Date: 2021-07-26

End Date: 2023-12-25

Contract Duration: 882 days

Daily Burn Rate: $33.0K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: MANAGED SERVICES SITE F

Place of Performance

Location: COLUMBIA, HOWARD County, MARYLAND, 21046

State: Maryland Government Spending

Plain-Language Summary

General Services Administration obligated $29.1 million to LIFE SCIENCE LOGISTICS LLC for work described as: MANAGED SERVICES SITE F Key points: 1. Contract value of $29.1 million over its term. 2. Life Science Logistics LLC is the sole awardee. 3. The contract is for refrigerated warehousing and storage services. 4. The contract was not competed, raising potential value concerns.

Value Assessment

Rating: questionable

The contract was not competed, making a direct pricing assessment difficult. Without competitive bids, it's hard to determine if the $29.1 million price represents fair market value compared to similar refrigerated warehousing services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded sole-source, meaning it was not open to competition. This method limits price discovery and may result in higher costs for taxpayers compared to a fully competed contract.

Taxpayer Impact: The lack of competition could lead to taxpayers paying a premium for these managed services.

Public Impact

Ensures critical refrigerated warehousing and storage for federal agencies. Supports the supply chain for sensitive materials, potentially in the life sciences sector. The sole-source nature may limit broader market participation and innovation.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition
Potential for overpayment due to sole-source award
Limited transparency on pricing benchmarks

Positive Signals

Provides essential logistics services
Long-term contract duration ensures service continuity

Sector Analysis

The contract falls under the Refrigerated Warehousing and Storage sector (NAICS 493120). Spending in this sector is crucial for maintaining supply chains for temperature-sensitive goods, but competitive bidding is typically expected to ensure cost-effectiveness.

Small Business Impact

The contract was not awarded to a small business, as indicated by 'sb': false. There is no information provided on whether small businesses were considered as subcontractors.

Oversight & Accountability

The sole-source award warrants further oversight to ensure the pricing is justified and that the government received the best possible value. Documentation justifying the sole-source decision is critical.

Related Government Programs

Refrigerated Warehousing and Storage
General Services Administration Contracting
Federal Acquisition Service Programs

Risk Flags

Sole-source award lacks competitive pricing
Potential for inflated costs due to non-competitive nature
Limited transparency on cost justification
No indication of small business participation

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $29.1 million to LIFE SCIENCE LOGISTICS LLC. MANAGED SERVICES SITE F

Who is the contractor on this award?

The obligated recipient is LIFE SCIENCE LOGISTICS LLC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $29.1 million.

What is the period of performance?

Start: 2021-07-26. End: 2023-12-25.

What specific justification was provided for awarding this contract sole-source, and does it align with federal procurement regulations for non-competitive actions?

The provided data indicates the contract was 'NOT COMPETED' and awarded via a 'sole-source' method. Federal regulations (like FAR Part 6) allow for sole-source procurements under specific circumstances, such as when only one responsible source can satisfy agency requirements. A thorough review of the justification documentation is necessary to confirm its validity and ensure compliance, especially regarding the necessity and lack of alternatives.

How does the awarded price of $29.1 million compare to industry benchmarks for similar refrigerated warehousing and storage services, especially considering the lack of competition?

Without competitive bids, directly benchmarking the $29.1 million price is challenging. A comprehensive analysis would involve comparing the contract's scope, service levels, and duration against publicly available data for similar government or commercial contracts. However, the absence of competition inherently raises concerns that the price may not reflect the most cost-effective market rate, potentially leading to taxpayer overpayment.

What is the potential impact on service quality and cost-effectiveness when a critical service like refrigerated warehousing is procured through a sole-source contract?

Sole-source contracts can ensure service continuity with a known provider, which might be beneficial for specialized needs. However, the lack of competition can reduce the incentive for the contractor to offer the most competitive pricing or to innovate. This can potentially lead to higher costs for the government and taxpayers, and may not always guarantee the highest level of service quality compared to a market driven by competitive pressures.

Industry Classification

NAICS: Transportation and Warehousing › Warehousing and Storage › Refrigerated Warehousing and Storage

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 47QFCA21R0029

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Life Science Logistics, LLC

Address: 2600 REGENT BLVD, DFW AIRPORT, TX, 75261

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $32,388,172

Exercised Options: $31,300,709

Current Obligation: $29,105,208

Actual Outlays: $28,056,032

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline