GSA awards $15.9M contract for heavy-duty trucks to Boyer Ford Trucks Inc

Contract Overview

Contract Amount: $15,947,113 ($15.9M)

Contractor: Boyer Ford Trucks Inc

Awarding Agency: General Services Administration

Start Date: 2010-03-31

End Date: 2010-09-27

Contract Duration: 180 days

Daily Burn Rate: $88.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 999

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT

Sector: Other

Official Description: DESCR N.A.

Place of Performance

Location: MINNEAPOLIS, HENNEPIN County, MINNESOTA, 55413

State: Minnesota Government Spending

Plain-Language Summary

General Services Administration obligated $15.9 million to BOYER FORD TRUCKS INC for work described as: DESCR N.A. Key points: 1. Contract awarded for heavy-duty trucks. 2. Boyer Ford Trucks Inc. is the contractor. 3. Full and open competition was used. 4. The contract value is $15.9 million. 5. Fixed price with economic price adjustment pricing.

Value Assessment

Rating: fair

The contract value of $15.9 million for heavy-duty trucks appears reasonable given the quantity of 999 units. However, without specific truck configurations and features, a precise benchmark is difficult. The economic price adjustment clause introduces potential for cost increases.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally promotes price discovery and can lead to better pricing for the government. The award to a single entity implies they offered the best value.

Taxpayer Impact: Taxpayers benefit from competitive bidding, which aims to secure the best possible price for government purchases. The economic price adjustment, however, could lead to higher costs than initially anticipated.

Public Impact

Ensures government agencies have access to necessary heavy-duty vehicles. Supports the automotive manufacturing and dealership sector. Potential for increased costs due to economic price adjustments. Contract duration of 180 days is relatively short for truck acquisition.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the manufacturing and procurement sector, specifically for heavy-duty vehicles. Spending benchmarks for such contracts vary widely based on vehicle type, quantity, and specific agency requirements. The $15.9M value is significant for a single award.

Small Business Impact

The contract was awarded to Boyer Ford Trucks Inc., a specific dealership. It is unclear if this award involved small business subcontractors or if Boyer Ford Trucks Inc. itself qualifies as a small business. Further analysis would be needed to determine small business participation.

Oversight & Accountability

The General Services Administration (GSA) is responsible for this contract. Oversight would involve ensuring delivery of specified trucks, adherence to contract terms, and proper management of the economic price adjustment. The award process itself is subject to federal procurement regulations.

Related Government Programs

Risk Flags

Tags

heavy-duty-truck-manufacturing, general-services-administration, mn, do, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $15.9 million to BOYER FORD TRUCKS INC. DESCR N.A.

Who is the contractor on this award?

The obligated recipient is BOYER FORD TRUCKS INC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $15.9 million.

What is the period of performance?

Start: 2010-03-31. End: 2010-09-27.

What specific types and configurations of heavy-duty trucks were procured under this contract, and how do their features compare to market standards?

The provided data does not specify the exact models or configurations of the heavy-duty trucks. To assess value accurately, details on engine specifications, payload capacity, cabin features, and any specialized equipment are necessary. Comparing these against industry benchmarks for similar vehicles would reveal if the pricing is competitive or if the government received premium features justifying the cost.

What is the potential risk associated with the 'economic price adjustment' clause in this contract, and how might it impact the final expenditure?

The economic price adjustment (EPA) clause allows for changes in the contract price based on fluctuations in economic factors, such as inflation or material costs. The primary risk is that these adjustments could significantly increase the final cost beyond the initial $15.9 million award amount. Without clear caps or indices for the EPA, the government faces uncertainty in its total expenditure.

How effective was the 'full and open competition' in achieving the best possible price and value for these heavy-duty trucks?

Full and open competition is designed to maximize price discovery and ensure the government receives the best value. The effectiveness here depends on the number and quality of bids received. While the award suggests Boyer Ford Trucks Inc. offered a competitive proposal, understanding the bidding landscape (e.g., number of bidders, price range) would provide a clearer picture of the competition's effectiveness in driving down costs.

Industry Classification

NAICS: ManufacturingMotor Vehicle ManufacturingHeavy Duty Truck Manufacturing

Product/Service Code: MOTOR VEHICLES, CYCLES, TRAILERS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 999

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT (K)

Evaluated Preference: NONE

Contractor Details

Parent Company: Equipoise Corporation (UEI: 038384822)

Address: 2601 BROADWAY ST NE, MINNEAPOLIS, MN, 90

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business

Financial Breakdown

Contract Ceiling: $15,947,113

Exercised Options: $15,947,113

Current Obligation: $15,947,113

Parent Contract

Parent Award PIID: GS30F0027U

IDV Type: FSS

Timeline

Start Date: 2010-03-31

Current End Date: 2010-09-27

Potential End Date: 2010-09-27 00:00:00

Last Modified: 2014-02-14

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