VA awards $33.9M contract for parcel management to TRI-STARR MANAGEMENT SERVICES, INC

Contract Overview

Contract Amount: $33,893,690 ($33.9M)

Contractor: Tri-Starr Management Services, Inc.

Awarding Agency: Department of Veterans Affairs

Start Date: 2012-10-01

End Date: 2013-09-30

Contract Duration: 364 days

Daily Burn Rate: $93.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: IGF::OT::IGF PARCEL MANAGEMENT

Place of Performance

Location: HINES, COOK County, ILLINOIS, 60141, UNITED STATES OF AMERICA

State: Illinois Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $33.9 million to TRI-STARR MANAGEMENT SERVICES, INC. for work described as: IGF::OT::IGF PARCEL MANAGEMENT Key points: 1. Contract value of $33.9M for parcel management services. 2. Awarded to TRI-STARR MANAGEMENT SERVICES, INC. by the Department of Veterans Affairs. 3. Full and open competition was utilized. 4. The contract duration is one year.

Value Assessment

Rating: fair

The contract value of $33.9M for a one-year parcel management service appears high when compared to industry benchmarks for similar services. Further analysis is needed to determine if the scope of services justifies this cost.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which generally promotes competitive pricing. However, the specific pricing structure and the number of bids received are not detailed, making it difficult to fully assess price discovery.

Taxpayer Impact: The $33.9M expenditure represents taxpayer funds allocated for essential parcel management services within the VA. Ensuring cost-effectiveness is crucial for responsible use of these funds.

Public Impact

Ensures efficient handling of mail and packages for VA facilities. Supports the operational needs of the Department of Veterans Affairs. Potential impact on mail delivery services for veterans if not managed effectively.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The IT sector, specifically related to service providers like internet and parcel management, can vary significantly in cost based on the scope and complexity of services. Benchmarks for parcel management are not readily available, but the value appears substantial for a single year.

Small Business Impact

There is no indication that small businesses were involved in this contract, either as prime contractors or subcontractors. Further investigation could explore opportunities for small business participation in future procurements.

Oversight & Accountability

Oversight of this contract would typically fall under the Department of Veterans Affairs' contracting officers and program managers. Regular performance reviews and financial audits are essential to ensure accountability and proper use of funds.

Related Government Programs

Risk Flags

Tags

internet-service-providers, department-of-veterans-affairs, il, do, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $33.9 million to TRI-STARR MANAGEMENT SERVICES, INC.. IGF::OT::IGF PARCEL MANAGEMENT

Who is the contractor on this award?

The obligated recipient is TRI-STARR MANAGEMENT SERVICES, INC..

Which agency awarded this contract?

Awarding agency: Department of Veterans Affairs (Department of Veterans Affairs).

What is the total obligated amount?

The obligated amount is $33.9 million.

What is the period of performance?

Start: 2012-10-01. End: 2013-09-30.

What specific parcel management services are included in this $33.9M contract to justify the cost?

The contract likely encompasses a broad range of services including receiving, sorting, tracking, internal distribution, and potentially secure disposal of mail and packages across multiple VA facilities. The exact scope, volume of mail handled, and any specialized requirements like hazardous material handling or temperature-controlled logistics would significantly influence the overall cost.

What was the competitive landscape like for this full and open competition, and did multiple bids lead to a competitive price?

While awarded under full and open competition, the number of bids received and the pricing of those bids are critical to assessing price discovery. If only a few bids were submitted, or if the winning bid was significantly higher than anticipated, it could indicate a less competitive market or specific service demands driving up costs.

How does the performance of TRI-STARR MANAGEMENT SERVICES, INC. on this contract align with VA's operational effectiveness and taxpayer value?

Assessing the effectiveness requires monitoring key performance indicators such as delivery timeliness, accuracy, cost per package handled, and overall satisfaction from VA facilities. Positive performance would indicate good value for taxpayer money, while deficiencies could suggest a need for contract modification or re-competition.

Industry Classification

NAICS: InformationInternet Service Providers and Web Search PortalsInternet Service Providers

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)ADMINISTRATIVE SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1941 CITRONA DR, FERNANDINA BEACH, FL, 32034

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $33,893,690

Exercised Options: $33,893,690

Current Obligation: $33,893,690

Parent Contract

Parent Award PIID: GS25F0037S

IDV Type: FSS

Timeline

Start Date: 2012-10-01

Current End Date: 2013-09-30

Potential End Date: 2013-09-30 00:00:00

Last Modified: 2015-03-14

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