Department of Transportation awards $33.7M contract for mixed-mode transit systems to Washington Metropolitan Area Transit Authority

Contract Overview

Contract Amount: $33,720,000 ($33.7M)

Contractor: Washington Metropolitan Area Transit Authority

Awarding Agency: Department of Transportation

Start Date: 2010-03-04

End Date: 2012-09-30

Contract Duration: 941 days

Daily Burn Rate: $35.8K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Transportation

Official Description: NEW DO REQUEST FOR WASHINGTON METROPOLITAN AREA TRANSIT AUTHORITY DTOS59-09-D-00455 WMATA. PROJECTED ORDER DATE 03/5/2010

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20590

State: District of Columbia Government Spending

Plain-Language Summary

Department of Transportation obligated $33.7 million to WASHINGTON METROPOLITAN AREA TRANSIT AUTHORITY for work described as: NEW DO REQUEST FOR WASHINGTON METROPOLITAN AREA TRANSIT AUTHORITY DTOS59-09-D-00455 WMATA. PROJECTED ORDER DATE 03/5/2010 Key points: 1. Contract awarded to a single entity, raising questions about competitive pricing. 2. The contract duration of 941 days suggests a significant, long-term service requirement. 3. Fixed-price contract type aims to control costs, but initial pricing needs benchmarking. 4. The award to WMATA indicates a focus on established transit infrastructure providers. 5. Geographic concentration in the District of Columbia suggests localized service delivery. 6. Lack of competition may limit opportunities for innovative solutions from other vendors.

Value Assessment

Rating: fair

The contract value of $33.7 million over approximately 2.5 years needs further benchmarking against similar transit system contracts. Without competitive bids, it is difficult to definitively assess if this represents excellent value for money. The firm fixed-price structure provides some cost certainty, but the absence of competition means there's less pressure to achieve the lowest possible price. Further analysis would require comparing the scope of services and deliverables to other transit system contracts of similar scale and complexity.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. The specific reasons for this determination are not provided in the data. Sole-source awards can sometimes be justified for specialized services or when only one vendor can meet the requirement. However, the lack of competition means there were no other bidders to compare against, potentially leading to higher costs for taxpayers than if the contract had been open to multiple vendors.

Taxpayer Impact: The absence of competition means taxpayers may not have benefited from the cost savings that typically arise from a competitive bidding process. This could result in a higher overall expenditure for the services rendered.

Public Impact

Transit users in the Washington Metropolitan Area are the primary beneficiaries, receiving improved or maintained transit services. The contract supports the operation and maintenance of mixed-mode transit systems, likely encompassing bus, rail, or other integrated transportation methods. Services are geographically focused within the District of Columbia and surrounding WMATA service areas. The contract likely sustains jobs within WMATA and its associated operational and maintenance workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may lead to inflated pricing.
Sole-source nature limits opportunities for new or innovative providers.
Performance metrics and oversight details are not provided, raising accountability concerns.

Positive Signals

Award to an established transit authority (WMATA) suggests operational continuity.
Firm fixed-price contract offers cost predictability.
Long contract duration indicates a stable, ongoing need for these services.

Sector Analysis

The transportation sector, particularly public transit, relies heavily on government contracts for operations, maintenance, and infrastructure development. This contract falls within the 'Mixed Mode Transit Systems' category, which can include a combination of bus, rail, ferry, and other transit modes. Spending in this area is crucial for urban mobility and economic activity. Benchmarking would involve comparing this contract's value and scope to other large-scale transit system procurements by federal, state, or local agencies.

Small Business Impact

There is no indication that this contract involved small business set-asides or subcontracting opportunities. As a sole-source award to a large transit authority, it is unlikely to have directly benefited the small business ecosystem. Further investigation would be needed to determine if WMATA has its own small business subcontracting program that might indirectly involve smaller firms.

Oversight & Accountability

Oversight mechanisms for this contract are not detailed in the provided data. As a Department of Transportation contract, it would likely fall under the purview of the DOT's Office of Inspector General for audits and investigations. However, the effectiveness of oversight depends on the specific reporting requirements, performance metrics, and audit schedules established within the contract, which are not available here.

Related Government Programs

Federal Transit Administration Grants
Metropolitan Planning Organizations
National Highway System
Public Transportation Infrastructure Investment

Risk Flags

Lack of Competition
Potential for Overpricing
Limited Transparency on Scope and Performance Metrics

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $33.7 million to WASHINGTON METROPOLITAN AREA TRANSIT AUTHORITY. NEW DO REQUEST FOR WASHINGTON METROPOLITAN AREA TRANSIT AUTHORITY DTOS59-09-D-00455 WMATA. PROJECTED ORDER DATE 03/5/2010

Who is the contractor on this award?

The obligated recipient is WASHINGTON METROPOLITAN AREA TRANSIT AUTHORITY.

Which agency awarded this contract?

Awarding agency: Department of Transportation (Immediate Office of the Secretary of Transportation).

What is the total obligated amount?

The obligated amount is $33.7 million.

What is the period of performance?

Start: 2010-03-04. End: 2012-09-30.

What is the specific scope of services covered under 'Mixed Mode Transit Systems' for this contract?

The term 'Mixed Mode Transit Systems' typically refers to the integration and operation of multiple forms of public transportation within a single network. For this Department of Transportation contract with WMATA, it likely encompasses the management, maintenance, and potentially the expansion or upgrade of services that combine different transit types such as buses, heavy rail (like Metrorail), light rail, or even ferry services within the Washington Metropolitan Area. The specific services could include fleet maintenance, operational scheduling, passenger information systems, fare collection, and ensuring the seamless transfer between different modes of transport to provide a cohesive transit experience for commuters and travelers in the region.

How does the $33.7 million contract value compare to similar transit system contracts awarded by the Department of Transportation?

Benchmarking the $33.7 million contract value requires comparing it against similar 'Mixed Mode Transit Systems' contracts awarded by the Department of Transportation or other federal agencies to entities of comparable size and scope. Without access to a database of comparable contracts, a precise comparison is difficult. However, for a contract spanning approximately 2.5 years (941 days), $33.7 million suggests a substantial investment in transit operations or infrastructure. If this contract covers the full operational budget for a significant portion of WMATA's services, it might be considered reasonable. Conversely, if it represents only a fraction of the total operational costs, or if similar systems are managed at a lower cost per year, it could indicate potential overspending, especially given the lack of competition.

What are the potential risks associated with a sole-source award for a critical transit system contract?

Sole-source awards for critical infrastructure like transit systems carry several potential risks. Firstly, the absence of competition can lead to higher prices than might be achieved through a competitive bidding process, as the awarded contractor faces less pressure to offer the most cost-effective solution. Secondly, it limits the government's ability to explore innovative solutions or technologies that might be offered by other potential vendors. Thirdly, there's a risk of complacency from the awarded contractor, potentially impacting service quality or efficiency over the contract's duration. Finally, without a competitive baseline, it can be more challenging for the government to objectively assess whether it is receiving fair value for its investment, increasing the risk of financial mismanagement or inefficiency.

What is the track record of the Washington Metropolitan Area Transit Authority (WMATA) in managing large federal contracts?

The Washington Metropolitan Area Transit Authority (WMATA) is a major public transit agency responsible for providing transportation services in the Washington, D.C. metropolitan area. As such, it has extensive experience in managing large-scale operations, maintenance, and capital projects related to transit systems. While this specific contract is awarded *to* WMATA, indicating they are the service provider, their track record in managing federal funds and contracts is generally extensive, though not without scrutiny. Agencies like WMATA often receive federal grants and awards for infrastructure improvements and operational support. Their history includes managing complex projects, but like many large public entities, they have also faced challenges related to budget management, safety, and service reliability, which are often subject to oversight from federal agencies and their own Inspector General.

How does this contract's duration and value align with historical spending patterns for mixed-mode transit systems by the Department of Transportation?

The contract's duration of 941 days (approximately 2.5 years) and value of $33.7 million represent a significant, medium-term commitment. Historical spending patterns for mixed-mode transit systems by the Department of Transportation (DOT) often involve multi-year contracts for operations, maintenance, and capital investments. DOT agencies, such as the Federal Transit Administration (FTA), regularly allocate substantial funds to support public transit. A $33.7 million award over 2.5 years averages roughly $13.5 million per year. This figure needs to be contextualized against the overall budget of WMATA and the scale of transit operations in the D.C. region. Without specific historical data points for comparable WMATA contracts or similar agencies, it's difficult to definitively state alignment, but the magnitude suggests it's a substantial contract supporting core transit functions.

Industry Classification

NAICS: Transportation and Warehousing › Urban Transit Systems › Mixed Mode Transit Systems

Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › OTHER TRANSPORT, TRAVEL, RELOCAT SV

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 600 5TH ST NW ROOM 6 B15, WASHINGTON, DC, 20001

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $33,720,000

Exercised Options: $33,720,000

Current Obligation: $33,720,000

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: DTOS5909D00455

IDV Type: IDC

Timeline