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 indicates predictable costs for the government. 3. Delivery order issued against an existing contract, implying a streamlined acquisition process. 4. The vehicle specifications point to a need for robust, high-capacity utility vehicles. 5. Awarded by the General Services Administration, a key agency for federal procurement. 6. The contract duration is 90 days, suggesting a short-term need or rapid deployment.

Value Assessment

Rating: good

The contract value of $71,088 for a single 4x4 SUV appears reasonable given the specifications (full size, 4-door, 8-passenger, minimum 7000 lbs GVWR). Benchmarking against similar government fleet vehicle procurements would provide a more precise value assessment. However, the firm-fixed-price structure limits the government's exposure to cost overruns.

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 competition for this specific vehicle requirement. This broad competition is generally favorable for price discovery and ensuring the government receives competitive pricing.

Taxpayer Impact: Full and open competition typically leads to better pricing for taxpayers by fostering a competitive environment among manufacturers and dealers.

Public Impact

Federal agencies requiring robust, multi-passenger utility 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 concentrated where federal agencies operate and require such vehicles, with the delivery location specified as Michigan. Workforce implications may include support staff for vehicle delivery, maintenance, and operation within the acquiring agencies.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for higher-than-market prices if competition was not robust despite stated 'full and open'.
Risk of vehicle suitability issues if specifications do not perfectly align with end-user operational requirements.
Dependence on a single manufacturer (General Motors) for this specific vehicle type could limit future flexibility.

Positive Signals

Awarded via full and open competition, indicating a competitive process.
Firm-fixed-price contract provides cost certainty.
Delivery order mechanism suggests efficient procurement against an existing framework.
Specific vehicle requirements met, ensuring operational capability.

Sector Analysis

The automotive manufacturing sector is a significant part of the U.S. economy. Federal government procurements, particularly for fleet vehicles, represent a consistent demand stream for manufacturers. This contract falls within the broader category of vehicle acquisition, where agencies like the GSA manage large-scale purchasing to achieve economies of scale and standardized specifications across the federal fleet.

Small Business Impact

This contract was not set aside for small businesses, and the data indicates no subcontracting plans were specified. The award to a large manufacturer like General Motors suggests that the primary focus was on meeting specific vehicle performance and volume requirements, rather than specifically fostering small business participation in this particular award.

Oversight & Accountability

The General Services Administration (GSA) oversees federal procurement, including fleet vehicle acquisitions. Oversight mechanisms likely include the Federal Acquisition Regulation (FAR) and internal GSA policies governing contract award and administration. Transparency is generally maintained through public contract databases like FPDS. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Federal Fleet Management
General Services Administration Vehicle Procurement
Department of Defense Vehicle Acquisition
Law Enforcement Vehicle Procurement

Risk Flags

Potential for specification mismatch
Supply chain dependency
Limited competition for specialized vehicles

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, volume, and preferred manufacturers over time. For instance, examining awards from the past 3-5 years for vehicles with comparable GVWR, passenger capacity, and drivetrain specifications would provide a benchmark. This analysis could highlight whether the current $71,088 award is consistent with, higher than, or lower than previous procurements. It would also indicate if GSA has historically favored specific models or manufacturers for such requirements, and whether competition levels have remained consistent. Understanding these patterns is crucial for assessing the value-for-money of the current contract and identifying potential areas for cost savings in future acquisitions.

How does the awarded price compare to commercial market rates for a similar vehicle?

To compare the awarded price of $71,088 to commercial market rates, one would need to identify the specific General Motors model and trim level that meets the contract's specifications (4x4, full size, 4-door, 8-passenger, min 7000 lbs GVWR). Then, research current MSRPs, dealer invoice prices, and common transaction prices for that configuration in the commercial market, factoring in any applicable fleet discounts. Government contracts often secure favorable pricing due to volume and negotiation, but a significant deviation from commercial rates could indicate either exceptional government value or potential overpricing. Without the exact model, a precise comparison is difficult, but the specified features suggest a high-end, heavy-duty vehicle that could easily exceed $70,000 commercially.

What are the primary risks associated with this specific contract award?

Primary risks include potential misalignment between the vehicle's specifications and the actual operational needs of the end-user agency, leading to underutilization or inefficiency. Another risk is the possibility of unforeseen maintenance or repair costs beyond the initial purchase price, especially if warranty terms are not comprehensive. Given the award to a single manufacturer, there's also a risk related to supply chain disruptions or future availability issues for this specific model. Furthermore, if the 'full and open competition' process did not yield truly competitive bids due to limited market participants for such specialized vehicles, the government might not have achieved the lowest possible price.

What is the track record of General Motors LLC in fulfilling federal vehicle contracts?

General Motors LLC has a long-standing and extensive track record of fulfilling federal vehicle contracts across various agencies and vehicle types. As one of the major domestic automakers, GM vehicles are frequently procured by the government for diverse applications, ranging from law enforcement cruisers to general fleet sedans and heavy-duty trucks. Their participation in numerous large-scale federal supply schedule contracts and individual delivery orders demonstrates a capacity to meet government procurement requirements regarding specifications, delivery timelines, and volume. Historical performance data, often available through federal procurement databases, can provide insights into GM's reliability, on-time delivery rates, and compliance with contract terms for past federal awards.

How does the number of bidders (10) impact the perceived value for taxpayers?

A total of 10 bidders for this contract suggests a reasonably competitive marketplace for this specific type of vehicle requirement. When multiple companies vie for a contract, it generally drives down prices as each bidder attempts to offer the most attractive terms and cost. For taxpayers, this increased competition translates into better value for money, as the government is more likely to secure a favorable price and terms. A higher number of bidders typically indicates that the contract opportunity was accessible and appealing to a wider range of potential suppliers, reducing the risk of a non-competitive outcome and ensuring that public funds are used efficiently.

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