DoD's $6.4M Contract for Commissary Support Services Awarded to CW Resources, Inc
Contract Overview
Contract Amount: $6,389,883 ($6.4M)
Contractor: CW Resources, Inc.
Awarding Agency: Department of Defense
Start Date: 2021-05-01
End Date: 2026-04-30
Contract Duration: 1,825 days
Daily Burn Rate: $3.5K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: SHELF STOCKING OPERATIONS, RECEIVING/STORAGE/HANDLING AREA OPERATIONS,CUSTODIAL OPERATIONS
Place of Performance
Location: HILL AFB, DAVIS County, UTAH, 84056
State: Utah Government Spending
Plain-Language Summary
Department of Defense obligated $6.4 million to CW RESOURCES, INC. for work described as: SHELF STOCKING OPERATIONS, RECEIVING/STORAGE/HANDLING AREA OPERATIONS,CUSTODIAL OPERATIONS Key points: 1. Contract value of $6.4M over 5 years for essential commissary operations. 2. CW Resources, Inc. holds this contract, with no prior competition noted. 3. Risk of limited competition and potential price inefficiencies due to sole-source award. 4. Services fall under 'All Other Support Services' within the Defense sector.
Value Assessment
Rating: fair
The contract value of $6.4M over five years averages $1.28M annually. Benchmarking is difficult without specific service details and comparable contracts, but this appears to be a moderate value for comprehensive support services.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was awarded on a sole-source basis, indicating a lack of competition. This method limits price discovery and may result in higher costs for taxpayers compared to a competitive procurement.
Taxpayer Impact: The sole-source nature of this award raises concerns about potential overspending and reduced value for taxpayer funds.
Public Impact
Ensures continued operation of commissary facilities, providing essential goods and services to military personnel and their families. Supports jobs through CW Resources, Inc., a company specializing in support services. Potential for service disruptions or quality issues if competition is not explored in future procurements.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award limits competition.
- Lack of transparency in pricing due to no-bid.
- Potential for complacency in service delivery without competitive pressure.
Positive Signals
- Ensures continuity of essential commissary operations.
- Supports a known entity with established service delivery.
Sector Analysis
This contract falls under 'All Other Support Services' for the Department of Defense's Defense Commissary Agency. Spending in this broad category can vary significantly, but consistent, reliable support services are crucial for military readiness and morale.
Small Business Impact
The data indicates this contract was not awarded to small businesses. Future opportunities should consider set-asides to encourage small business participation in commissary support services.
Oversight & Accountability
The sole-source nature of this award warrants scrutiny from oversight bodies to ensure the government received fair value and that competition was appropriately waived. Future contract actions should prioritize competitive bidding.
Related Government Programs
- All Other Support Services
- Department of Defense Contracting
- Defense Commissary Agency Programs
Risk Flags
- Sole-source award limits competition.
- Potential for inflated pricing due to lack of competitive bidding.
- Lack of transparency regarding the justification for sole-source procurement.
- No indication of small business participation.
- Difficulty in benchmarking performance and cost without comparable contracts.
Tags
all-other-support-services, department-of-defense, ut, definitive-contract, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $6.4 million to CW RESOURCES, INC.. SHELF STOCKING OPERATIONS, RECEIVING/STORAGE/HANDLING AREA OPERATIONS,CUSTODIAL OPERATIONS
Who is the contractor on this award?
The obligated recipient is CW RESOURCES, INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Commissary Agency).
What is the total obligated amount?
The obligated amount is $6.4 million.
What is the period of performance?
Start: 2021-05-01. End: 2026-04-30.
What specific services are included in 'shelf stocking operations, receiving/storage/handling area operations, custodial operations' and how were these costs determined for a sole-source contract?
The specific tasks encompass managing inventory, receiving and storing goods, handling items within the commissary, and maintaining cleanliness. Without competition, the cost determination relies heavily on the contractor's proposal and historical data, making independent verification of reasonableness challenging. A detailed breakdown of labor, overhead, and profit is essential for assessing value.
What is the justification for awarding this contract on a sole-source basis, and what steps were taken to ensure fair and reasonable pricing?
The justification for a sole-source award is not provided in the data. Typically, such awards require a documented justification, such as unique capabilities or urgent needs. To ensure fair and reasonable pricing, the agency should have conducted a price analysis using historical data, market research, or cost proposals, though the absence of competition inherently limits the rigor of this analysis.
How does the performance of CW Resources, Inc. on this contract compare to industry benchmarks for similar support services, and what mechanisms are in place to ensure effective service delivery?
Performance comparison to industry benchmarks is difficult without specific metrics and service level agreements detailed in the contract. The agency likely relies on contract surveillance and performance reports to monitor effectiveness. Mechanisms such as quality assurance surveillance plans (QASPs) and regular performance reviews are crucial for ensuring CW Resources, Inc. meets the required standards.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Other Support Services › All Other Support Services
Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES
Competition & Pricing
Extent Competed: NOT AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 200 MYRTLE ST, NEW BRITAIN, CT, 06053
Business Categories: AbilityOne Program Participant, Category Business, Corporate Entity Tax Exempt, Manufacturer of Goods, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $6,906,265
Exercised Options: $6,906,265
Current Obligation: $6,389,883
Actual Outlays: $105,149
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2021-05-01
Current End Date: 2026-04-30
Potential End Date: 2026-04-30 00:00:00
Last Modified: 2025-12-11
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