DHS awarded $20.4M for uniforms, with VF ImageWear Inc. securing the contract

Contract Overview

Contract Amount: $20,410,904 ($20.4M)

Contractor: VF Imagewear, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2006-04-01

End Date: 2007-06-30

Contract Duration: 455 days

Daily Burn Rate: $44.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: UNIFORMS

Place of Performance

Location: NASHVILLE, DAVIDSON County, TENNESSEE, 37214

State: Tennessee Government Spending

Plain-Language Summary

Department of Homeland Security obligated $20.4 million to VF IMAGEWEAR, INC. for work described as: UNIFORMS Key points: 1. The contract value represents a significant investment in uniform procurement for the Transportation Security Administration. 2. VF ImageWear, Inc. has a substantial presence in the apparel and uniform manufacturing sector. 3. The contract duration of 455 days suggests a need for consistent and reliable uniform supply. 4. The firm fixed-price contract type indicates that the price was set at the outset, transferring some risk to the contractor. 5. The award was made under the 'Other' category for the Product Service Code, suggesting a specialized or unique requirement. 6. The contract was awarded to a single entity, VF Image Wear, Inc., highlighting their capability to meet the specific requirements.

Value Assessment

Rating: good

The contract value of $20.4 million for uniforms over approximately 15 months appears reasonable given the scale of the Transportation Security Administration's needs. Benchmarking against similar large-scale uniform procurements for federal agencies suggests that the pricing is competitive, especially considering the specialized nature of security personnel uniforms. The firm fixed-price structure also implies that the government secured a predictable cost for these essential items, avoiding potential overruns associated with cost-plus contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded through full and open competition, indicating that all responsible sources were permitted to submit bids. The fact that it was competed suggests that multiple vendors likely vied for the opportunity, leading to a more robust price discovery process. The agency's decision to use full and open competition generally aims to maximize value and ensure the best possible outcome for the government.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it encourages a competitive bidding environment, which typically drives down prices and leads to better quality goods and services.

Public Impact

Federal law enforcement and security personnel within the Department of Homeland Security, specifically the Transportation Security Administration, will be equipped with necessary uniforms. The contract ensures the provision of uniforms, a critical component for the operational readiness and professional appearance of TSA agents. The geographic impact is national, as TSA personnel operate at airports and other transportation hubs across the United States. The contract supports jobs within the textile and apparel manufacturing industry, particularly at VF Image Wear, Inc. and its supply chain.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for over-reliance on a single supplier for a critical need.
The firm fixed-price contract might limit flexibility if unforeseen material or labor cost increases occur.
The specific Product Service Code '812332' for Industrial Launderers could indicate a need for specialized cleaning or maintenance services beyond simple garment provision.

Positive Signals

Awarded through full and open competition, suggesting a competitive process that likely yielded favorable pricing.
The contract duration of 455 days indicates a stable, long-term relationship, potentially leading to efficiencies in production and delivery.
VF Image Wear, Inc. is a known entity in the apparel industry, suggesting established manufacturing capabilities and quality control.

Sector Analysis

The apparel and textile manufacturing sector is a significant industry, with government contracts forming a notable segment. Uniform procurement is a recurring need for various federal agencies, including law enforcement, military, and transportation security. This contract for the TSA fits within the broader landscape of government spending on essential operational equipment, where competition is often encouraged to ensure cost-effectiveness and quality.

Small Business Impact

The data indicates that this contract was not specifically set aside for small businesses, nor does it explicitly mention subcontracting goals for small businesses. This suggests that the primary award went to a large business, VF Image Wear, Inc. While large contracts can sometimes include subcontracting opportunities for small businesses, the absence of specific set-aside language implies that small businesses may not have been a primary focus for this particular award. Further analysis would be needed to determine if any subcontracting plans were implemented.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of Homeland Security's contracting officer and program managers. The Transportation Security Administration, as the end-user, would also have oversight responsibilities to ensure the uniforms meet specifications and are delivered on time. Transparency is generally maintained through contract award databases and public reporting, though specific performance metrics and oversight activities are often internal.

Related Government Programs

Department of Defense Uniform Procurement
Federal Bureau of Prisons Uniform Contracts
U.S. Postal Service Uniform Programs
Customs and Border Protection Uniforms

Risk Flags

Contract awarded to a single entity.
Firm Fixed Price contract type.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $20.4 million to VF IMAGEWEAR, INC.. UNIFORMS

Who is the contractor on this award?

The obligated recipient is VF IMAGEWEAR, INC..

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (Transportation Security Administration).

What is the total obligated amount?

The obligated amount is $20.4 million.

What is the period of performance?

Start: 2006-04-01. End: 2007-06-30.

What is VF Image Wear, Inc.'s track record with federal government contracts, particularly for uniform supply?

VF Image Wear, Inc. has a significant history of supplying apparel and uniforms to various government entities. Their experience includes contracts with the Department of Defense, correctional facilities, and other law enforcement agencies. This extensive background suggests a proven capability in meeting stringent government specifications, managing large-scale production, and adhering to delivery schedules. Their established presence in the market indicates a familiarity with the procurement processes and requirements of federal agencies, making them a likely candidate for such awards.

How does the $20.4 million contract value compare to similar federal uniform procurements?

The $20.4 million contract value for uniforms over approximately 15 months appears to be within a reasonable range for a federal agency of the TSA's size and scope. Large-scale uniform procurements for federal law enforcement and security personnel can easily reach tens of millions of dollars, depending on the number of personnel, the complexity of uniform requirements, and the duration of the contract. For instance, similar contracts for the Department of Defense or the Federal Bureau of Prisons often involve comparable or higher dollar amounts. The firm fixed-price nature of this contract also suggests that the price was determined through competitive bidding, aiming for cost-effectiveness.

What are the primary risks associated with this firm fixed-price contract for uniform supply?

The primary risk with a firm fixed-price contract for uniform supply lies in potential cost overruns for the contractor if material costs, labor, or unforeseen production challenges arise unexpectedly. While this structure benefits the government by fixing the price, it places the burden of managing these costs on VF Image Wear, Inc. If the contractor miscalculates production expenses or faces supply chain disruptions, their profit margins could be squeezed, potentially impacting their ability or willingness to fulfill future contracts. For the government, the risk is less about price escalation and more about ensuring the contractor's sustained ability to deliver quality uniforms as specified.

How effective is full and open competition in ensuring value for taxpayer money in uniform procurement?

Full and open competition is generally considered a highly effective mechanism for ensuring value for taxpayer money in uniform procurement. By allowing all responsible sources to bid, the government fosters a competitive environment that incentivizes vendors to offer their best pricing and quality. This process helps to prevent monopolies, encourages innovation, and ensures that the contract is awarded to the vendor offering the most advantageous combination of price, performance, and delivery. The TSA's use of this method for the $20.4 million uniform contract suggests a commitment to leveraging market forces to achieve cost savings and secure high-quality products.

What are the historical spending patterns for uniforms within the Transportation Security Administration?

Historical spending patterns for uniforms within the Transportation Security Administration (TSA) would likely show consistent, significant investment due to the agency's operational needs. As a large federal agency responsible for transportation security nationwide, the TSA requires a substantial and regularly replenished supply of uniforms for its officers and personnel. Annual spending can fluctuate based on contract cycles, changes in uniform requirements, and the number of personnel. Analyzing past contracts, such as this $20.4 million award, provides insight into the typical scale and frequency of these procurements, indicating a sustained demand for uniform services.

What are the implications of the contract duration (455 days) on supply chain management and potential obsolescence?

A contract duration of 455 days (approximately 15 months) for uniform supply strikes a balance between providing sufficient lead time for production and delivery while mitigating the risk of material obsolescence or rapid technological changes in uniform design or materials. This timeframe allows the contractor, VF Image Wear, Inc., to establish a steady production flow and manage its supply chain effectively. For the TSA, it ensures a consistent supply without committing to an overly long period that might lock them into outdated specifications or pricing. It's a common duration for such procurements, allowing for periodic re-evaluation and competitive rebidding.

Industry Classification

NAICS: Other Services (except Public Administration) › Drycleaning and Laundry Services › Industrial Launderers

Product/Service Code: CLOTHING, INDIVIDUAL EQUIPMENT, INSIGNA, AND JEWELRY

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: V.F. Corporation (UEI: 002344208)

Address: 545 MARRIOTT DR STE 200, NASHVILLE, TN, 90

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $124,997,904

Exercised Options: $76,272,002

Current Obligation: $20,410,904

Parent Contract

Parent Award PIID: HSTS0104DAOP028

IDV Type: IDC

Timeline