CFTC Spends $30M on Express Delivery Services with Federal Express for HQ and Regional Offices

Contract Overview

Contract Amount: $30,000 ($30.0K)

Contractor: Federal Express Corporation

Awarding Agency: Commodity Futures Trading Commission

Start Date: 2026-04-01

End Date: 2027-03-31

Contract Duration: 364 days

Daily Burn Rate: $82/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: EXPRESS SERVICES TO SUPPORT THE AGENCY'S MAIL AND SHIPPING REQUIREMENTS IN HQ AND REGIONAL OFFICES

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20581

State: District of Columbia Government Spending

Plain-Language Summary

Commodity Futures Trading Commission obligated $30,000 to FEDERAL EXPRESS CORPORATION for work described as: EXPRESS SERVICES TO SUPPORT THE AGENCY'S MAIL AND SHIPPING REQUIREMENTS IN HQ AND REGIONAL OFFICES Key points: 1. The contract leverages a Time and Materials pricing model. 2. Federal Express Corporation is the sole awardee. 3. The contract duration is 364 days. 4. The NAICS code indicates a focus on Couriers and Express Delivery Services.

Value Assessment

Rating: fair

The Time and Materials pricing structure can lead to cost overruns if not closely monitored. Benchmarking against similar express delivery contracts is difficult without specific volume and service level data.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' suggesting a competitive process but with specific source exclusions. This method aims for fair pricing but the exclusion criteria warrant scrutiny.

Taxpayer Impact: Taxpayer funds are used for essential mail and shipping, with the final cost dependent on the efficiency of the competitive process and vendor performance.

Public Impact

Ensures timely delivery of critical documents for the CFTC. Supports operational continuity for agency functions. Provides a necessary service for inter-office and external communications.

Waste & Efficiency Indicators

Waste Risk Score: 82 / 10

Warning Flags

Potential for cost escalation with Time and Materials pricing.
Limited transparency on specific service levels and performance metrics.

Positive Signals

Supports essential agency operations.
Awarded through a competitive process.

Sector Analysis

The contract falls within the administrative and logistics support sector, specifically focusing on courier and express delivery services. Spending benchmarks for such services vary widely based on agency size and geographic distribution.

Small Business Impact

The data does not indicate any specific provisions or set-asides for small businesses in this contract. Federal Express Corporation is a large business.

Oversight & Accountability

Oversight will be crucial to manage the Time and Materials aspect of the contract, ensuring that costs remain within reasonable bounds and that service level agreements are met.

Related Government Programs

Couriers and Express Delivery Services
Commodity Futures Trading Commission Contracting
Commodity Futures Trading Commission Programs

Risk Flags

Time and Materials pricing risk
Potential for limited competition due to source exclusion
Lack of detailed performance metrics in summary data
Dependency on a single large vendor

Frequently Asked Questions

What is this federal contract paying for?

Commodity Futures Trading Commission awarded $30,000 to FEDERAL EXPRESS CORPORATION. EXPRESS SERVICES TO SUPPORT THE AGENCY'S MAIL AND SHIPPING REQUIREMENTS IN HQ AND REGIONAL OFFICES

Who is the contractor on this award?

The obligated recipient is FEDERAL EXPRESS CORPORATION.

Which agency awarded this contract?

Awarding agency: Commodity Futures Trading Commission (Commodity Futures Trading Commission).

What is the total obligated amount?

The obligated amount is $30,000.

What is the period of performance?

Start: 2026-04-01. End: 2027-03-31.

What specific metrics define the 'express' service level and how are they monitored to ensure value for money?

The contract details should specify metrics such as delivery timeframes, package tracking accuracy, and damage rates. Monitoring these requires robust reporting from Federal Express and diligent review by the CFTC contracting officer's representative to ensure performance aligns with expectations and justifies the expenditure.

How does the 'exclusion of sources' in the full and open competition impact the potential for cost savings?

Excluding certain sources, even if justified, can limit the competitive pool. If the excluded sources could have offered more competitive pricing or superior service, the agency might not achieve the best possible value. A clear justification for the exclusion is necessary to ensure it did not unduly restrict competition.

What is the projected volume of shipments and how does this influence the overall cost-effectiveness of the contract?

Without projected shipment volumes, it's difficult to assess the cost-effectiveness. A high volume of shipments could make the per-unit cost critical, while a low volume might make fixed costs or service guarantees more important. Understanding the anticipated usage is key to evaluating the $30M award.

Industry Classification

NAICS: Transportation and Warehousing › Couriers and Express Delivery Services › Couriers and Express Delivery Services

Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › TRANSPORTATION OF THINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Fedex Corp

Address: 2003 CORPORATE PLZ, MEMPHIS, TN, 38132

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $60,000

Exercised Options: $60,000

Current Obligation: $30,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HTC71123DC023

IDV Type: IDC

Timeline