DoD's $27.4M engineering services contract with Valiant Global Defense Services Inc. awarded via full and open competition

Contract Overview

Contract Amount: $27,392,635 ($27.4M)

Contractor: Valiant Global Defense Services Inc.

Awarding Agency: Department of Defense

Start Date: 2018-06-20

End Date: 2022-03-31

Contract Duration: 1,380 days

Daily Burn Rate: $19.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST NO FEE

Sector: Defense

Official Description: JBLM - LABOR

Place of Performance

Location: TACOMA, PIERCE County, WASHINGTON, 98433

State: Washington Government Spending

Plain-Language Summary

Department of Defense obligated $27.4 million to VALIANT GLOBAL DEFENSE SERVICES INC. for work described as: JBLM - LABOR Key points: 1. The contract's value appears reasonable given the 4-year duration and the nature of engineering services. 2. Full and open competition suggests a competitive bidding process, potentially leading to better pricing. 3. The absence of specific performance metrics makes it difficult to fully assess value for money. 4. This contract falls within the broader category of engineering services for defense infrastructure. 5. The contractor, Valiant Global Defense Services Inc., has a track record with government contracts. 6. The contract's duration of over 3 years indicates a significant, ongoing need for these services.

Value Assessment

Rating: good

The contract value of approximately $27.4 million over 1380 days (roughly 4 years) for engineering services is within a reasonable range for similar government contracts. Without specific details on the scope of work, a precise benchmark is challenging. However, the pricing structure (Cost No Fee) suggests that the government is covering allowable costs, and the contractor's profit is fixed, which can provide cost control. Further analysis would require comparing the specific deliverables and labor rates to industry standards and other comparable DoD contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'full and open competition,' indicating that all responsible sources were permitted to submit bids. This typically involves a robust solicitation process, including public announcements and evaluation criteria. The presence of 3 bids suggests a moderate level of competition for this specific contract, which is generally positive for price discovery and ensuring the government receives competitive offers.

Taxpayer Impact: A full and open competition process generally benefits taxpayers by fostering a competitive environment that can drive down costs and encourage innovation from multiple vendors.

Public Impact

The primary beneficiaries are the Department of the Army and potentially other Department of Defense entities requiring specialized engineering support. The services delivered likely include design, analysis, planning, and technical consultation related to military infrastructure or systems. The geographic impact is centered in Washington (ST: WA), where the contractor is based and services are likely performed. Workforce implications include employment opportunities for engineers, technicians, and support staff within Valiant Global Defense Services Inc. and potentially its subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of detailed performance metrics makes it hard to gauge effectiveness and true value.
The 'Cost No Fee' contract type requires diligent oversight to ensure costs are reasonable and allowable.
Limited public information on the specific engineering tasks performed hinders a comprehensive risk assessment.

Positive Signals

Awarded through full and open competition, suggesting a fair and accessible process.
The contractor has experience with government contracts, implying familiarity with compliance and execution.
The contract duration suggests a stable, long-term need being met by this award.

Sector Analysis

This contract falls within the Engineering Services sector (NAICS code 541330), a critical component of the defense industrial base. The market for defense engineering services is substantial, driven by the need for specialized technical expertise in areas such as infrastructure development, weapons systems design, and operational support. Comparable spending benchmarks would involve analyzing other large-scale engineering contracts awarded by the Department of Defense and other federal agencies for similar types of support.

Small Business Impact

The data indicates that small business participation was not a specific set-aside for this contract (SB: false, SS: false). While the primary award was to a large business, there may be opportunities for small businesses to participate as subcontractors. Further investigation into the subcontracting plan, if one exists, would be necessary to assess the impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would primarily reside with the contracting officer and administrative contracting officer within the Department of the Army. Accountability measures are typically embedded in the contract terms, including reporting requirements and performance standards. Transparency is facilitated through contract award databases like FPDS, though detailed performance data may be limited. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Department of Defense Engineering Services Contracts
Army Corps of Engineers Support Contracts
Military Construction and Facilities Engineering
Defense Infrastructure Modernization Programs

Risk Flags

Potential for cost overruns due to 'Cost No Fee' structure requires diligent oversight.
Lack of specific performance metrics makes objective assessment of value difficult.
Limited public detail on the exact scope of engineering services.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $27.4 million to VALIANT GLOBAL DEFENSE SERVICES INC.. JBLM - LABOR

Who is the contractor on this award?

The obligated recipient is VALIANT GLOBAL DEFENSE SERVICES 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 $27.4 million.

What is the period of performance?

Start: 2018-06-20. End: 2022-03-31.

What specific engineering services were provided under this contract?

The contract falls under NAICS code 541330, 'Engineering Services.' While the specific details are not fully elaborated in the provided data, this category typically encompasses a wide range of services including architectural, mechanical, electrical, structural, and civil engineering. For the Department of the Army, these services could relate to the design, planning, construction oversight, maintenance, and modernization of military bases, facilities, and infrastructure. Examples might include site surveys, environmental impact assessments, structural analysis of buildings, development of blueprints for new construction, or technical consulting on complex military systems. The 'Cost No Fee' (PT: COST NO FEE) award type suggests the government reimburses allowable costs plus a fixed fee for the contractor's services, implying a focus on the execution of defined engineering tasks rather than the sale of a product.

How does the contractor's past performance compare to this contract's requirements?

Valiant Global Defense Services Inc. has a history of receiving government contracts, indicating some level of established capability and familiarity with federal procurement processes. To fully assess past performance relative to this specific $27.4 million engineering services contract, a deeper dive into their contract history would be necessary. This would involve reviewing performance evaluations (e.g., CPARS reports) on previous relevant contracts, looking for indicators of on-time delivery, quality of work, cost control, and overall customer satisfaction. Without access to these specific performance records, it's presumed that the award decision considered their track record sufficient for the Army's needs in engineering services.

What is the risk associated with the 'Cost No Fee' contract type?

The 'Cost No Fee' (PT: COST NO FEE) contract type, while offering flexibility by reimbursing the contractor for allowable costs, carries inherent risks related to cost control and oversight. The primary risk is that costs could escalate beyond initial expectations if not managed diligently by the government. The contractor is incentivized to incur costs to cover their operational expenses, but their profit is fixed, meaning they do not gain financially from increased spending. Effective risk mitigation requires robust government oversight, including detailed auditing of incurred costs, clear definitions of allowable expenses, and regular reviews of project progress against budget. The government must ensure that all costs claimed are reasonable, allocable, and necessary for the contract's performance.

How does this contract's value compare to similar engineering services contracts within the DoD?

The contract value of $27.4 million over approximately four years for engineering services is a significant but not extraordinary sum within the Department of Defense. The DoD procures a vast array of engineering support, ranging from small, specialized consulting tasks to large-scale program management and design contracts. To benchmark this specific contract, one would need to compare it against other contracts for similar services (e.g., infrastructure design, technical support) awarded by the Department of the Army or other branches, considering factors like contract duration, scope of work complexity, geographic location, and the specific engineering disciplines involved. Given the 'full and open competition' and the presence of multiple bidders, the pricing is likely competitive within its specific niche, but a precise comparison requires more granular data on the services rendered.

What are the historical spending patterns for engineering services by the Department of the Army?

The Department of the Army consistently spends billions of dollars annually on engineering services, reflecting its extensive infrastructure, global operations, and ongoing modernization efforts. Historical spending patterns show a significant and sustained demand for these services, covering areas such as base operations support, facility design and construction, environmental engineering, and specialized technical consulting for various military systems. Spending can fluctuate based on geopolitical events, budget allocations, and specific modernization initiatives. Contracts like this one, awarded through competitive processes, represent a portion of that overall expenditure, contributing to the Army's ability to maintain and enhance its operational capabilities and physical assets.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: W900KK17R0001

Offers Received: 3

Pricing Type: COST NO FEE (S)

Evaluated Preference: NONE

Contractor Details

Address: 2355 DULLES CORNER BLVD STE 200, HERNDON, VA, 20171

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

Financial Breakdown

Contract Ceiling: $28,201,451

Exercised Options: $27,525,938

Current Obligation: $27,392,635

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W900KK18D0003

IDV Type: IDC

Timeline