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
- High contract value for a one-year term.
- Lack of detailed pricing breakdown for assessment.
Positive Signals
- Awarded through full and open competition.
- Supports critical VA operations.
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
- Internet Service Providers
- Department of Veterans Affairs Contracting
- Department of Veterans Affairs Programs
Risk Flags
- High contract value for a one-year duration.
- Potential for cost overruns if not closely managed.
- Limited visibility into specific service deliverables and pricing breakdown.
- Lack of small business participation noted.
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: Information › Internet Service Providers and Web Search Portals › Internet 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
More Contracts from Tri-Starr Management Services, Inc.
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- Mail Manifesting — $36.6M (Department of Veterans Affairs)
- Mail Manifesting — $36.3M (Department of Veterans Affairs)
- Mail Management — $36.0M (Department of Veterans Affairs)
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