WMATA Transit System Contract Awarded for $48.6M, Lacking Competition

Contract Overview

Contract Amount: $48,563,578 ($48.6M)

Contractor: Washington Metropolitan Area Transit Authority

Awarding Agency: Department of Transportation

Start Date: 2010-08-31

End Date: 2012-09-30

Contract Duration: 761 days

Daily Burn Rate: $63.8K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Transportation

Official Description: WASHINGTON METRO AREA TRASNIT AUTHORITY WMATA DTOS59-09-D-00455 PROJECTED ORDER DATE: 10/01/10

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 $48.6 million to WASHINGTON METROPOLITAN AREA TRANSIT AUTHORITY for work described as: WASHINGTON METRO AREA TRASNIT AUTHORITY WMATA DTOS59-09-D-00455 PROJECTED ORDER DATE: 10/01/10 Key points: 1. Contract awarded to Washington Metropolitan Area Transit Authority (WMATA). 2. Significant value of $48.6 million. 3. No competition was cited for this award. 4. Focus on mixed-mode transit systems. 5. Contract duration is over two years.

Value Assessment

Rating: questionable

The contract value of $48.6 million for a mixed-mode transit system is substantial. Without competitive bidding, it's difficult to assess if this price represents fair market value compared to similar transit system contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This lack of competition limits price discovery and may result in a higher cost to taxpayers than if multiple vendors had vied for the contract.

Taxpayer Impact: The absence of competition raises concerns about the optimal use of taxpayer funds, potentially leading to overpayment for the services rendered.

Public Impact

Public transportation services in the Washington D.C. metro area will be impacted. Taxpayers may be paying a premium due to the lack of competitive bidding. The contract supports the operational needs of a major transit authority.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition
Potential for overpayment
Sole-source award

Positive Signals

Supports critical transit infrastructure
Firm fixed price contract

Sector Analysis

This contract falls within the transportation sector, specifically focusing on transit systems. Benchmarks for similar mixed-mode transit system contracts are difficult to establish without competitive data, but the $48.6 million value is significant for a two-year period.

Small Business Impact

There is no indication in the provided data that small businesses were involved in this contract, either as prime contractors or subcontractors.

Oversight & Accountability

The lack of competition suggests potential weaknesses in oversight processes that allowed for a sole-source award without exploring competitive options. Further review would be needed to assess accountability.

Related Government Programs

Mixed Mode Transit Systems
Department of Transportation Contracting
Immediate Office of the Secretary of Transportation Programs

Risk Flags

Lack of competition
Potential for inflated pricing
Limited transparency in award justification
No small business participation indicated

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $48.6 million to WASHINGTON METROPOLITAN AREA TRANSIT AUTHORITY. WASHINGTON METRO AREA TRASNIT AUTHORITY WMATA DTOS59-09-D-00455 PROJECTED ORDER DATE: 10/01/10

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 $48.6 million.

What is the period of performance?

Start: 2010-08-31. End: 2012-09-30.

What was the justification for not competing this contract, and were alternative solutions explored?

The provided data states the contract was 'NOT COMPETED'. Without further documentation, the specific justification remains unclear. Typically, sole-source awards require a strong rationale, such as a unique capability or urgent need. The absence of competition raises questions about whether alternative solutions or vendors were adequately considered, potentially impacting the government's ability to secure the best value.

How does the $48.6 million price compare to industry benchmarks for similar mixed-mode transit system projects?

Directly comparing the $48.6 million price is challenging without competitive bidding data. Industry benchmarks for mixed-mode transit systems vary widely based on scope, technology, and duration. The lack of competition makes it difficult to ascertain if this price reflects fair market value or if it's inflated due to the absence of competing proposals.

What are the potential long-term implications of awarding transit system contracts without competition?

Consistently awarding contracts without competition can stifle innovation and lead to higher costs for taxpayers over time. It may also reduce the incentive for contractors to offer competitive pricing and improve services. For critical infrastructure like public transit, this approach could hinder the adoption of more efficient or cost-effective solutions in the future.

Industry Classification

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

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

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: $48,563,578

Exercised Options: $48,563,578

Current Obligation: $48,563,578

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: DTOS5909D00455

IDV Type: IDC

Timeline