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 aims to provide cost certainty for the government. 3. Delivery order issued against an existing contract, indicating potential for streamlined procurement. 4. The vehicle specification points to a need for robust, high-capacity utility vehicles. 5. The short duration of the order (90 days) suggests immediate or short-term fleet requirements. 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 within a reasonable range for a full-size, heavy-duty vehicle. Benchmarking against similar government or commercial fleet purchases of comparable specifications (e.g., minimum 7000 lbs GVWR, 8-passenger capacity) would provide a more precise value assessment. However, the firm-fixed-price structure suggests the government has secured a defined cost, mitigating potential 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. A competitive bidding 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 the best price and terms for the government's needs.

Public Impact

Federal agencies requiring robust, multi-passenger utility vehicles for operational needs will benefit from this acquisition. The contract facilitates the procurement of essential transportation assets for government personnel. The geographic impact is primarily within Michigan, where the delivery order is to be fulfilled. This acquisition supports the automotive manufacturing sector, specifically General Motors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for higher-than-market prices if competition was not sufficiently robust despite multiple bidders.
Risk of vehicle suitability issues if specifications do not perfectly align with end-user operational demands.
Dependence on a single manufacturer (General Motors) for this specific delivery order.

Positive Signals

Awarded through full and open competition, indicating a fair and accessible bidding process.
Firm-fixed-price contract provides cost certainty and protects against unexpected price increases.
Delivery order issued against an existing contract may streamline acquisition and reduce administrative burden.
Multiple bids received suggest a competitive environment that likely drove favorable pricing.

Sector Analysis

The automotive manufacturing sector is a significant part of the U.S. economy. Federal agencies are major purchasers of vehicles, contributing to demand for both commercial and specialized fleet vehicles. This contract falls within the broader category of federal fleet management and acquisition, where agencies like GSA play a crucial role in procuring vehicles efficiently and cost-effectively. Spending in this area is influenced by agency operational needs, fleet modernization initiatives, and budget allocations.

Small Business Impact

This contract does not appear to have a small business set-aside (ss=false, sb=false). As a delivery order against a larger contract, the initial competition may have included provisions for small business subcontracting. However, without further details on the parent contract or specific subcontracting plans, the direct impact on the small business ecosystem is unclear. It is possible that General Motors may utilize small business suppliers in its manufacturing or delivery process.

Oversight & Accountability

The General Services Administration (GSA) oversees federal vehicle procurement, implementing acquisition policies and ensuring compliance. This delivery order is likely subject to GSA's internal oversight and reporting mechanisms. Transparency is generally maintained through public contract databases like FPDS. Accountability rests with GSA for proper execution and with General Motors for fulfilling the contract terms. Inspector General oversight may apply depending on the nature of any potential issues or investigations.

Related Government Programs

Federal Fleet Management
GSA Vehicle Acquisition
Automotive Manufacturing Contracts
General Services Administration Contracts
Full and Open Competition Awards

Risk Flags

Potential for supply chain disruptions impacting delivery.
Vehicle specifications may not perfectly match end-user operational needs.
Reliance on a single manufacturer for this specific order.

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

General Motors LLC has a long history of supplying vehicles to the federal government. As a major automotive manufacturer, they frequently participate in federal solicitations for a wide range of vehicles, from sedans and SUVs to trucks and specialized equipment. Their track record typically involves fulfilling numerous delivery orders and contracts annually across various agencies. While specific performance metrics for past contracts are not detailed here, their consistent presence in federal procurement suggests a capacity to meet government requirements. However, like any large contractor, past performance reviews and contract close-out data would be necessary for a comprehensive assessment of their reliability and quality in specific instances.

How does the awarded price compare to market rates for similar vehicles?

The awarded price of $71,088 for a 4x4, full-size, 8-passenger SUV with a minimum 7000 lbs GVWR is a key data point. To benchmark this against market rates, one would typically compare it to Manufacturer Suggested Retail Prices (MSRP) for comparable models, fleet purchase prices negotiated by large commercial entities, and prices seen on other government contracts for similar vehicles. Given the specifications (heavy-duty, high passenger capacity), the price appears to be within a plausible range, especially considering potential government-specific modifications or requirements. A detailed comparison would involve identifying specific GM models that meet these criteria and checking their current commercial pricing and any available fleet discount data.

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

The primary risks associated with this contract include potential delivery delays if General Motors faces production or supply chain issues, although the short 90-day duration mitigates this somewhat. Another risk is that the vehicle's specifications, while detailed, might not perfectly align with the end-users' nuanced operational needs, leading to suboptimal utility or requiring additional modifications. Furthermore, while awarded under full and open competition, the reliance on a single manufacturer for this specific order means the government has limited recourse if unforeseen issues arise with this particular batch of vehicles, beyond standard warranty claims or contract remedies.

How effective is the General Services Administration (GSA) in managing federal vehicle procurements?

The GSA is generally considered effective in managing federal vehicle procurements, leveraging its significant purchasing power to negotiate favorable terms and prices. Through programs like the Multiple Award Schedule (MAS) and strategic sourcing initiatives, GSA aims to streamline the acquisition process and ensure compliance with federal regulations. Their role includes establishing vehicle requirements, managing contract vehicles, and providing guidance to agencies. While challenges can arise, such as adapting to rapidly changing vehicle technologies or ensuring optimal fleet utilization, GSA's established processes and expertise contribute to overall effectiveness in meeting the government's diverse transportation needs.

What are the historical spending patterns for similar 4x4 SUVs by the federal government?

Historical spending patterns for similar 4x4 SUVs by the federal government show consistent demand, particularly for agencies requiring robust vehicles for field operations, law enforcement, or transportation in varied terrains. Spending fluctuates based on fleet replacement cycles, agency budget allocations, and specific mission requirements. Agencies like the Department of the Interior, Department of Justice (including law enforcement arms), and the Department of Defense are significant purchasers. The average price paid can vary widely depending on the exact specifications (e.g., trim level, engine, specific modifications), the number of vehicles procured in a single contract, and the level of competition. GSA's role often centralizes a significant portion of this spending.

What is the significance of the 'Automobile Manufacturing' NAICS code (336111) in relation to this contract?

The North American Industry Classification System (NAICS) code 336111, 'Automobile Manufacturing,' is highly relevant as it directly identifies the primary industry of the contractor, General Motors LLC, for this specific transaction. This code signifies that the contract is for the production of automobiles. For federal procurement analysis, this code helps categorize spending, track industry performance, and understand which sectors are receiving government contracts. It allows for benchmarking against other contracts within the same industry and assessing the government's role as a customer for the automotive manufacturing sector.

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