DoD's $100M MRE Contract Awarded to AmeriQual Group LLC Amidst Full and Open Competition
Contract Overview
Contract Amount: $100,182,698 ($100.2M)
Contractor: Ameriqual Group LLC
Awarding Agency: Department of Defense
Start Date: 2017-10-20
End Date: 2018-07-31
Contract Duration: 284 days
Daily Burn Rate: $352.8K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: 8504863331!MEAL, READY-TO-EAT, IND,
Place of Performance
Location: EVANSVILLE, VANDERBURGH County, INDIANA, 47710
State: Indiana Government Spending
Plain-Language Summary
Department of Defense obligated $100.2 million to AMERIQUAL GROUP LLC for work described as: 8504863331!MEAL, READY-TO-EAT, IND, Key points: 1. The Department of Defense awarded a significant contract valued at over $100 million for MREs. 2. AmeriQual Group LLC secured the contract through a full and open competition. 3. The contract duration was 284 days, indicating a focused delivery period. 4. The award falls under the Defense Logistics Agency's purview, highlighting its role in supplying essential goods.
Value Assessment
Rating: good
The contract's value of $100M for MREs appears reasonable given the quantity and nature of the goods. Benchmarking against similar large-scale food supply contracts would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' suggesting a competitive process was initiated, though specific details on source exclusion are not provided. This method generally promotes price discovery and value for the government.
Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for essential supplies.
Public Impact
Ensures readiness of military personnel by providing essential sustenance. Supports the Defense Logistics Agency's mission to provide logistical support to the armed forces. The contract's value indicates a substantial investment in military food supply chains.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific details on 'exclusion of sources' in the competition.
- Limited information on performance metrics and quality assurance for the MREs.
Positive Signals
- Awarded through full and open competition.
- Significant value indicates a critical need being met.
Sector Analysis
This contract falls within the food manufacturing and supply sector, specifically catering to government and military needs. Spending benchmarks for similar large-scale food procurement contracts would be relevant for a deeper analysis.
Small Business Impact
The data does not indicate whether small businesses were involved as subcontractors or prime contractors in this award. Further analysis would be needed to assess small business participation.
Oversight & Accountability
The award was managed by the Defense Logistics Agency, which has established oversight mechanisms for contract performance and delivery. The 'IN' status suggests the contract is in effect, implying ongoing monitoring.
Related Government Programs
- Fruit and Vegetable Canning
- Department of Defense Contracting
- Defense Logistics Agency Programs
Risk Flags
- Potential for limited competition due to source exclusion.
- Lack of transparency on specific performance metrics.
- Unit cost analysis is not possible with current data.
- Dependence on a single vendor for a critical supply.
Tags
fruit-and-vegetable-canning, department-of-defense, in, delivery-order, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $100.2 million to AMERIQUAL GROUP LLC. 8504863331!MEAL, READY-TO-EAT, IND,
Who is the contractor on this award?
The obligated recipient is AMERIQUAL GROUP LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Logistics Agency).
What is the total obligated amount?
The obligated amount is $100.2 million.
What is the period of performance?
Start: 2017-10-20. End: 2018-07-31.
What was the specific rationale for excluding certain sources prior to the full and open competition, and how did this impact the final price?
The provided data lacks the specific rationale for excluding sources before the full and open competition. Understanding this exclusion is crucial as it could potentially limit the competitive landscape and influence the final price achieved. Further investigation into the solicitation documents would be necessary to clarify the reasons and assess their impact on price discovery and overall value for the government.
How does the unit cost of these MREs compare to industry benchmarks or previous DoD procurements of similar items?
Without specific unit cost data or detailed product specifications, a direct comparison to industry benchmarks or previous DoD procurements is not feasible. The overall contract value of $100M for 284 days of delivery suggests a substantial quantity, but the per-unit cost remains unknown. Benchmarking would require detailed cost breakdowns and product comparisons to assess value effectively.
What are the key performance indicators (KPIs) and quality assurance measures in place to ensure the effectiveness and safety of the MREs delivered under this contract?
The provided data does not detail the specific Key Performance Indicators (KPIs) or quality assurance measures for this contract. While the Defense Logistics Agency typically has robust protocols, understanding these specific measures is vital for ensuring the effectiveness, safety, and nutritional value of the MREs. Further review of the contract's statement of work and quality assurance surveillance plans is recommended.
Industry Classification
NAICS: Manufacturing › Fruit and Vegetable Preserving and Specialty Food Manufacturing › Fruit and Vegetable Canning
Product/Service Code: SUBSISTENCE
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Ameriqual Group Holdings LLC (UEI: 080315108)
Address: 225 W MORGAN AVE STE C, EVANSVILLE, IN, 47710
Business Categories: Category Business, Limited Liability Corporation, Manufacturer of Goods, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $100,182,698
Exercised Options: $100,182,698
Current Obligation: $100,182,698
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: SPE3S117DZ113
IDV Type: IDC
Timeline
Start Date: 2017-10-20
Current End Date: 2018-07-31
Potential End Date: 2018-07-31 00:00:00
Last Modified: 2018-07-31
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