DoD's $91.6M Facilities Support Contract for Camp Lemonnier Awarded to PAE Government Services

Contract Overview

Contract Amount: $91,634,158 ($91.6M)

Contractor: PAE Government Services, Inc.

Awarding Agency: Department of Defense

Start Date: 2012-06-01

End Date: 2013-09-30

Contract Duration: 486 days

Daily Burn Rate: $188.5K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COST PLUS AWARD FEE

Sector: Other

Official Description: RECURRING WORK FOR CAMP LEMONNIER, DJ

Plain-Language Summary

Department of Defense obligated $91.6 million to PAE GOVERNMENT SERVICES, INC. for work described as: RECURRING WORK FOR CAMP LEMONNIER, DJ Key points: 1. The contract, valued at $91.6M, covers recurring facilities support services. 2. Awarded by the Department of the Navy, it falls under the Facilities Support Services NAICS code. 3. The contract was not competed, raising questions about potential price discovery. 4. PAE Government Services, Inc. is the sole awardee for this delivery order. 5. The contract duration is 486 days.

Value Assessment

Rating: questionable

The contract type is Cost Plus Award Fee (CPAF), which can lead to higher costs if not managed carefully. Without competitive bidding, it's difficult to assess if the pricing is optimal compared to similar contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This limits price discovery and potentially leads to higher costs for taxpayers as there was no market pressure to offer the best price.

Taxpayer Impact: The lack of competition for this significant contract value may result in suboptimal pricing, impacting taxpayer funds.

Public Impact

Taxpayers may be paying a premium due to the absence of competitive bidding. The long-term reliance on a single provider for essential base support could impact service quality and cost-efficiency. Lack of transparency in the procurement process limits public understanding of the value received for the funds expended.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source award limits competition
  • Cost Plus Award Fee contract type can inflate costs
  • Lack of transparency in procurement

Positive Signals

  • Provides essential base support services
  • Awardee has experience in government contracting

Sector Analysis

This contract falls under Facilities Support Services, a broad category crucial for maintaining government installations. Spending in this sector is consistently high, and competitive bidding is generally expected to ensure value for money.

Small Business Impact

The data does not indicate any specific provisions or set-asides for small businesses in this contract. The awardee, PAE Government Services, Inc., is a large corporation.

Oversight & Accountability

The sole-source nature of this award warrants scrutiny to ensure fair pricing and effective service delivery. Oversight should focus on performance metrics and cost controls within the CPAF structure.

Related Government Programs

  • Facilities Support Services
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Lack of competition
  • Potential for inflated costs due to CPAF structure
  • Limited transparency in procurement justification
  • No indication of small business participation

Tags

facilities-support-services, department-of-defense, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $91.6 million to PAE GOVERNMENT SERVICES, INC.. RECURRING WORK FOR CAMP LEMONNIER, DJ

Who is the contractor on this award?

The obligated recipient is PAE GOVERNMENT SERVICES, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $91.6 million.

What is the period of performance?

Start: 2012-06-01. End: 2013-09-30.

What was the justification for not competing this significant facilities support contract?

The justification for not competing this contract is not provided in the data. Typically, sole-source awards require a documented justification, such as a critical need, lack of available sources, or national security concerns. Without this justification, it's difficult to assess the necessity of bypassing the competitive process.

How does the Cost Plus Award Fee structure impact the risk of cost overruns for this contract?

The Cost Plus Award Fee (CPAF) structure allows the contractor to recover allowable costs plus a fee that is earned based on performance. While it incentivizes performance, it also carries a risk of cost overruns if performance targets are set too low or if costs are not rigorously monitored. The award fee component requires clear metrics to ensure it drives desired outcomes without simply inflating the total cost.

What is the potential impact on service quality and cost-effectiveness of awarding recurring base support services on a sole-source basis?

Awarding recurring base support services on a sole-source basis can reduce pressure on the contractor to innovate or optimize costs, potentially leading to diminished service quality or higher expenses over time. Without competition, there's less incentive for the contractor to proactively seek efficiencies or offer better value. This can result in a less cost-effective arrangement for the government and taxpayers in the long run.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesFacilities Support ServicesFacilities Support Services

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTYMAINT, ALTER, REPAIR BUILDINGS

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: N3319112R0407

Offers Received: 1

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Parent Company: PAE Holding Corporation

Address: 1525 WILSON BLVD STE 900, ARLINGTON, VA, 22209

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $93,144,525

Exercised Options: $93,144,525

Current Obligation: $91,634,158

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: N3319112D0407

IDV Type: IDC

Timeline

Start Date: 2012-06-01

Current End Date: 2013-09-30

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

Last Modified: 2022-09-02

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