DOT Awards $37M for Bus Evacuation Services, Sole-Source Contract

Contract Overview

Contract Amount: $36,961,990 ($37.0M)

Contractor: Cusa, GCT, LLC

Awarding Agency: Department of Transportation

Start Date: 2006-07-14

End Date: 2007-07-14

Contract Duration: 365 days

Daily Burn Rate: $101.3K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COMBINATION (TWO OR MORE)

Sector: Transportation

Official Description: BUS EVACUATION SERVICES.

Place of Performance

Location: HOUSTON, HARRIS County, TEXAS, 77029

State: Texas Government Spending

Plain-Language Summary

Department of Transportation obligated $37.0 million to CUSA, GCT, LLC for work described as: BUS EVACUATION SERVICES. Key points: 1. Significant contract value of $36.96 million. 2. Sole-source award raises questions about competition and potential cost savings. 3. Contract duration of 365 days suggests a need for ongoing services. 4. Focus on transportation equipment highlights a critical infrastructure need.

Value Assessment

Rating: questionable

The contract value of $36,961,990 for bus evacuation services is substantial. Without competitive bidding, it's difficult to assess if this price represents fair market value compared to similar services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was not competed, indicating a sole-source award. This limits price discovery and may prevent the government from securing the best possible price through competitive offers.

Taxpayer Impact: The lack of competition could lead to higher costs for taxpayers than if the service had been bid out.

Public Impact

Ensures operational continuity for bus services during emergencies. Supports public safety by facilitating timely evacuations. Impacts transit agencies relying on these specialized services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition
Potential for overpricing
Limited transparency in award process

Positive Signals

Addresses critical safety need
Ensures service continuity

Sector Analysis

The Federal Transit Administration's spending in transportation equipment and supplies, particularly for specialized services like bus evacuation, is crucial for maintaining public transit safety and operational readiness. Benchmarks for such niche services are hard to establish without competitive data.

Small Business Impact

There is no indication that small businesses were involved in this sole-source contract, potentially missing opportunities for small business participation.

Oversight & Accountability

The sole-source nature of this award warrants scrutiny to ensure the justification for bypassing competition was robust and that the pricing is reasonable.

Related Government Programs

Transportation Equipment and Supplies (except Motor Vehicle) Merchant Wholesalers
Department of Transportation Contracting
Federal Transit Administration Programs

Risk Flags

Sole-source award
Lack of transparency
Potential for inflated costs
Limited small business participation

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $37.0 million to CUSA, GCT, LLC. BUS EVACUATION SERVICES.

Who is the contractor on this award?

The obligated recipient is CUSA, GCT, LLC.

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Transit Administration).

What is the total obligated amount?

The obligated amount is $37.0 million.

What is the period of performance?

Start: 2006-07-14. End: 2007-07-14.

What was the specific justification for awarding this contract on a sole-source basis?

The justification for a sole-source award typically involves circumstances where only one responsible source is available or capable of meeting the government's needs. This could be due to unique capabilities, proprietary technology, or urgent requirements that preclude a competitive process. A thorough review of the contract file would be necessary to ascertain the precise rationale.

How does the cost of this sole-source contract compare to potential costs if it had been competitively bid?

Without a competitive bidding process, it is impossible to definitively state how the cost compares. However, sole-source contracts often carry a risk of being higher than competitively bid contracts because the incentive for the contractor to offer the lowest possible price is reduced. Market research and benchmarking against similar, albeit potentially less specialized, services would be needed for an estimate.

What measures are in place to ensure the effectiveness and quality of bus evacuation services provided under this contract?

Effectiveness and quality are typically ensured through detailed performance work statements (PWS) within the contract, clear deliverables, and performance metrics. The contracting officer's representative (COR) is responsible for monitoring contractor performance against these requirements. Post-award reviews and user feedback from the Federal Transit Administration would also contribute to assessing service quality.

Industry Classification

NAICS: Wholesale Trade › Machinery, Equipment, and Supplies Merchant Wholesalers › Transportation Equipment and Supplies (except Motor Vehicle) Merchant Wholesalers

Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › TRAVEL, LODGING, RECRUITMENT SVCS

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: COMBINATION (TWO OR MORE) (2)

Evaluated Preference: NONE

Contractor Details

Parent Company: Coach America Group, Inc. (UEI: 139211275)

Address: 950 MCCARTY ST, HOUSTON, TX, 90

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

Financial Breakdown

Contract Ceiling: $36,961,990

Exercised Options: $36,961,990

Current Obligation: $36,961,990

Timeline