General Motors awarded $71,088 contract for 4x4 SUVs by GSA, highlighting fleet acquisition needs

Contract Overview

Contract Amount: $71,088 ($71.1K)

Contractor: General Motors LLC

Awarding Agency: General Services Administration

Start Date: 2026-04-06

End Date: 2026-07-05

Contract Duration: 90 days

Daily Burn Rate: $790/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 10

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: 4X4 SUV, FULL SIZE, 4 DR, 8 PASS, MIN 7000 LBS GVWR

Place of Performance

Location: DETROIT, WAYNE County, MICHIGAN, 48243

State: Michigan Government Spending

Plain-Language Summary

General Services Administration obligated $71,088 to GENERAL MOTORS LLC for work described as: 4X4 SUV, FULL SIZE, 4 DR, 8 PASS, MIN 7000 LBS GVWR Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The firm-fixed-price contract type provides cost certainty for the government. 3. Delivery order issued against an existing contract, indicating potential for streamlined procurement. 4. The vehicle specifications point to a need for robust, high-capacity utility vehicles. 5. The contract duration of 90 days suggests a specific, short-term requirement. 6. Awarded by the General Services Administration, a key agency for federal vehicle procurement.

Value Assessment

Rating: good

The contract value of $71,088 for a single 4x4 SUV appears reasonable given the specifications for a full-size, 8-passenger vehicle with a minimum 7000 lbs GVWR. Benchmarking against similar government fleet purchases for specialized vehicles of this size and capability would provide a more precise value assessment. However, without direct comparisons of identical vehicles procured under similar conditions, it's difficult to definitively state if this represents exceptional value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of 10 bids suggests a healthy level of interest and competition for this requirement. A competitive process generally leads to better price discovery and potentially more favorable terms for the government.

Taxpayer Impact: The robust competition indicates that taxpayer dollars are likely being used efficiently, as multiple manufacturers vied to offer their best pricing and terms.

Public Impact

Federal agencies requiring durable, high-capacity vehicles for operational needs will benefit from this acquisition. The services delivered include the provision of specific 4x4 SUV models meeting stringent performance criteria. The geographic impact is likely national, as GSA procures vehicles for use across various federal agencies and locations. Workforce implications include providing essential transportation for federal employees performing duties that require such vehicles.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for higher-than-market price if competition was not sufficiently robust or if specifications were overly tailored.
Risk of delivery delays if the manufacturer faces production or supply chain issues.
Dependence on a single manufacturer (General Motors) for this specific vehicle type could limit future flexibility.

Positive Signals

Awarded through full and open competition, indicating a competitive marketplace.
Firm-fixed-price contract provides budget certainty.
Delivery order mechanism suggests efficient procurement against an established contract.
Vehicle specifications meet demanding operational requirements for federal use.

Sector Analysis

The automotive manufacturing sector is a significant part of the U.S. economy. Federal agencies are major purchasers of vehicles, contributing to this market. The General Services Administration (GSA) plays a crucial role in consolidating federal purchasing power for vehicles, aiming for cost savings through bulk procurement and competitive bidding. This contract fits within the broader category of federal fleet management and acquisition, a consistent area of government spending.

Small Business Impact

This contract does not appear to have a small business set-aside (ss: false) or indicate specific subcontracting goals for small businesses (sb: false). Therefore, the direct impact on the small business ecosystem from this particular award is likely minimal. However, General Motors, as a large prime contractor, may engage small businesses within its broader supply chain for components or services related to vehicle production.

Oversight & Accountability

The General Services Administration (GSA) oversees federal vehicle procurement, implementing oversight through its Federal Acquisition Service. Accountability is maintained through contract terms, performance monitoring, and the competitive bidding process. Transparency is generally provided through public contract databases like FPDS. Inspector General oversight may apply to GSA's procurement practices broadly, ensuring integrity and efficiency.

Related Government Programs

Federal Fleet Management
GSA Vehicle Procurement
Automotive Supply Chain
General Purpose Vehicles

Risk Flags

Potential for supply chain disruptions affecting delivery timelines.
Vehicle specifications may lead to higher operational and maintenance costs.
Dependence on a single manufacturer for specific vehicle needs.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $71,088 to GENERAL MOTORS LLC. 4X4 SUV, FULL SIZE, 4 DR, 8 PASS, MIN 7000 LBS GVWR

Who is the contractor on this award?

The obligated recipient is GENERAL MOTORS LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $71,088.

What is the period of performance?

Start: 2026-04-06. End: 2026-07-05.

What is the historical spending pattern for similar 4x4 SUVs by the General Services Administration?

Analyzing historical spending data for similar 4x4 SUVs by the GSA would reveal trends in pricing, quantities, and awarded contractors over time. This contract's value of $71,088 for a specific configuration can be benchmarked against previous awards for vehicles with comparable GVWR, passenger capacity, and drivetrain. For instance, if GSA previously procured similar vehicles for significantly less or more, it would provide context for the current award's value. Understanding the frequency of such awards and the number of bidders in past competitions can also indicate market maturity and potential for cost savings. This historical perspective is crucial for assessing whether the current award represents a fair and reasonable price and whether the procurement strategy remains effective.

How does the number of bids (10) compare to the average number of bids for similar GSA vehicle procurements?

A comparison of the 10 bids received for this 4x4 SUV contract against the average number of bids for similar GSA vehicle procurements would indicate the level of market interest and competition. If 10 bids is significantly higher than the average, it suggests strong competition and potentially favorable pricing for the government. Conversely, if it's lower than average, it might signal declining interest in this specific vehicle type or procurement method, potentially leading to less competitive pricing. GSA often aims for multiple bids to ensure robust price discovery. Understanding this benchmark helps assess if the procurement strategy effectively attracted a sufficient number of qualified bidders to drive value for taxpayers.

What are the specific performance requirements and potential risks associated with the 7000 lbs GVWR specification?

The requirement for a minimum 7000 lbs Gross Vehicle Weight Rating (GVWR) indicates a need for a heavy-duty vehicle capable of carrying substantial payload and/or towing significant weight. This specification is critical for applications such as transporting equipment, personnel in remote or challenging terrains, or specialized agency functions. Potential risks associated with this specification include higher acquisition costs compared to lighter-duty vehicles, increased fuel consumption, and potentially higher maintenance expenses. Furthermore, ensuring that the awarded vehicle consistently meets or exceeds this GVWR under various operating conditions is crucial for safety and mission success. The contractor's ability to reliably deliver vehicles meeting these stringent requirements is a key performance indicator.

What is General Motors LLC's track record with GSA vehicle contracts?

General Motors LLC (GM) has a long-standing relationship with the General Services Administration (GSA) as a major supplier of federal vehicles. Their track record typically involves supplying a wide range of sedans, SUVs, trucks, and specialized vehicles to various federal agencies. Historically, GM has been a significant participant in GSA's fleet acquisition programs, often securing substantial contracts due to their broad product offerings and established manufacturing capabilities. Assessing GM's specific performance on past GSA contracts, including on-time delivery rates, adherence to specifications, and any past performance issues or awards, would provide valuable insight into their reliability and capability for fulfilling this current contract. Their consistent presence suggests a generally positive working relationship and proven ability to meet federal procurement standards.

How does the firm-fixed-price (FFP) contract type mitigate risks for the government in this acquisition?

The Firm-Fixed-Price (FFP) contract type is advantageous for the government in this acquisition as it shifts the majority of the cost risk to the contractor, General Motors LLC. Under an FFP agreement, the price is set and not subject to adjustment based on the contractor's actual costs. This provides the government with significant budget certainty, as the total cost of the vehicles is known upfront. It incentivizes the contractor to manage its costs efficiently to maintain profitability. For a relatively straightforward procurement like vehicle supply, where the scope of work and specifications are clearly defined, an FFP contract is generally preferred. It minimizes the risk of cost overruns for the government and simplifies financial administration compared to cost-reimbursement contracts.

Industry Classification

NAICS: Manufacturing › Motor Vehicle Manufacturing › Automobile Manufacturing

Product/Service Code: MOTOR VEHICLES, CYCLES, TRAILERS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 47QMCA21R0008

Offers Received: 10

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: General Motors Company

Address: 30400 VAN DYKE AVE, WARREN, MI, 48093

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $71,088

Exercised Options: $71,088

Current Obligation: $71,088

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47QMCA22D000Q

IDV Type: IDC

Timeline