DoD awards $33.8M for FR SILKWEIGHT UNDERSHIRTS to Peckham Vocational Industries, Inc

Contract Overview

Contract Amount: $33,793,032 ($33.8M)

Contractor: Peckham Vocational Industries, Inc.

Awarding Agency: Department of Defense

Start Date: 2009-08-10

End Date: 2012-02-29

Contract Duration: 933 days

Daily Burn Rate: $36.2K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: FR SILKWEIGHT UNDERSHIRT- MEDIUM

Place of Performance

Location: LANSING, INGHAM County, MICHIGAN, 48901

State: Michigan Government Spending

Plain-Language Summary

Department of Defense obligated $33.8 million to PECKHAM VOCATIONAL INDUSTRIES, INC. for work described as: FR SILKWEIGHT UNDERSHIRT- MEDIUM Key points: 1. Significant contract value for apparel manufacturing. 2. Sole-source award raises questions about competition. 3. Potential for higher costs due to limited competition. 4. Focus on vocational industries may have social impact.

Value Assessment

Rating: questionable

The contract value of $33.8M for undershirts is substantial. Without comparable contract data, it's difficult to assess if this pricing is competitive. The 'NOT AVAILABLE FOR COMPETITION' status suggests a lack of market research for pricing benchmarks.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was awarded on a sole-source basis, indicating no other vendors were considered. This significantly limits price discovery and potentially leads to a higher price than if competition were allowed.

Taxpayer Impact: Taxpayer funds are being spent without exploring potentially more cost-effective options through competitive bidding.

Public Impact

Supports a vocational industry, potentially creating jobs for individuals with barriers to employment. Ensures supply of essential apparel for military personnel. Lack of competition may mean higher costs for taxpayers.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the apparel manufacturing sector, specifically for military-grade undergarments. Spending benchmarks in this area can vary widely based on material, quantity, and manufacturing complexity.

Small Business Impact

The awardee, Peckham Vocational Industries, Inc., is a non-profit organization that provides vocational training and employment to individuals with disabilities and other barriers to employment. This contract likely supports their mission.

Oversight & Accountability

The sole-source nature of this award warrants scrutiny to ensure the government obtained fair value. Further review of the justification for sole-source procurement is recommended.

Related Government Programs

Risk Flags

Tags

all-other-cut-and-sew-apparel-manufactur, department-of-defense, mi, dca, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $33.8 million to PECKHAM VOCATIONAL INDUSTRIES, INC.. FR SILKWEIGHT UNDERSHIRT- MEDIUM

Who is the contractor on this award?

The obligated recipient is PECKHAM VOCATIONAL INDUSTRIES, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $33.8 million.

What is the period of performance?

Start: 2009-08-10. End: 2012-02-29.

What was the justification for awarding this contract on a sole-source basis?

The justification for a sole-source award typically involves unique capabilities, urgent needs, or a lack of available competition. Without access to the specific contract file, the exact reason remains unknown. However, the 'NOT AVAILABLE FOR COMPETITION' status suggests a pre-determined reason for excluding other vendors.

How does the per-unit cost compare to similar military apparel contracts?

A direct comparison of the per-unit cost is not possible with the provided data. The contract value is $33.8M for an unspecified quantity of undershirts. Without knowing the number of units, a per-unit cost cannot be calculated, and thus no benchmark can be established against other contracts.

What is the long-term effectiveness of awarding contracts to vocational industries for standard apparel?

Awarding contracts to vocational industries can be effective in achieving social objectives, such as job creation and skills development for specific populations. However, the effectiveness in terms of cost and efficiency for standard items like undershirts needs to be balanced against potential market-based pricing and competition.

Industry Classification

NAICS: ManufacturingCut and Sew Apparel ManufacturingAll Other Cut and Sew Apparel Manufacturing

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

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: 3510 CAPITAL CITY BLVD, LANSING, MI, 07

Business Categories: AbilityOne Program Participant, Category Business, Corporate Entity Tax Exempt, Educational Institution, Higher Education, Nonprofit Organization, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $33,793,032

Exercised Options: $33,793,032

Current Obligation: $33,793,032

Contract Characteristics

Cost or Pricing Data: NO

Timeline

Start Date: 2009-08-10

Current End Date: 2012-02-29

Potential End Date: 2012-02-29 00:00:00

Last Modified: 2010-04-30

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