DoD's $35M consulting contract with X Corp Solutions Inc. awarded for technical services

Contract Overview

Contract Amount: $35,178,770 ($35.2M)

Contractor: X Corp Solutions Inc.

Awarding Agency: Department of Defense

Start Date: 2016-03-01

End Date: 2022-02-28

Contract Duration: 2,190 days

Daily Burn Rate: $16.1K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: IGF::CL::IGF

Place of Performance

Location: FORT BELVOIR, FAIRFAX County, VIRGINIA, 22060

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $35.2 million to X CORP SOLUTIONS INC. for work described as: IGF::CL::IGF Key points: 1. Contract value appears reasonable given the duration and scope of services. 2. Competition was limited, raising questions about potential price discovery. 3. Performance risk seems moderate, with a fixed-price contract type. 4. This contract supports critical defense technical consulting needs. 5. The contractor has a history of performing similar government services. 6. Spending on this category of services has been consistent over time.

Value Assessment

Rating: good

The contract's total value of approximately $35.2 million over six years suggests a moderate annual spend. Benchmarking against similar consulting services contracts is challenging without more specific service details. However, the firm-fixed-price structure indicates that the contractor bears the risk of cost overruns, which can be a positive indicator of value if performance is met. The contract's duration and the nature of technical consulting services generally align with industry standards for such engagements.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating that while a competitive process occurred, certain sources were excluded. This suggests a limited competition scenario rather than a truly open market approach. The specific reasons for excluding other sources would be critical to understanding the full competitive landscape. A limited competition can sometimes lead to less aggressive pricing compared to full and open competition.

Taxpayer Impact: Taxpayers may have paid a premium due to the restricted number of bidders. The exclusion of potential competitors limits the government's ability to secure the lowest possible price through broad market engagement.

Public Impact

Benefits the Department of Defense by providing essential technical consulting. Services delivered likely include specialized analysis and support for defense initiatives. Geographic impact is primarily within the contractor's operational areas, supporting federal agencies. Workforce implications involve skilled technical consultants contributing to national security objectives.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may have reduced price competitiveness.
Exclusion of sources needs further justification to ensure fairness.
Contract duration is long, potentially locking in costs.

Positive Signals

Firm-fixed-price contract type mitigates cost overrun risk for the government.
Contractor has experience in similar government service areas.
Services support critical defense agency needs.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically consulting. This sector is a significant component of federal spending, supporting a wide array of government functions. The market for technical consulting services is competitive, with numerous firms offering specialized expertise. The value of this contract is moderate within the broader context of federal IT and defense-related consulting spending.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications or specific impacts on the small business ecosystem stemming from a set-aside provision. Large businesses are likely the primary performers or subcontractors on this contract.

Oversight & Accountability

Oversight would typically be managed by the Defense Threat Reduction Agency (DTRA) contracting officer and program managers. Accountability measures are embedded in the contract's performance work statement and delivery schedules. Transparency is facilitated through federal procurement databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Defense Threat Reduction Agency Contracts
Department of Defense Consulting Services
Scientific and Technical Consulting Services
Federal Professional Services Contracts

Risk Flags

Limited competition identified.
Reasons for source exclusion not detailed.
Contract duration is lengthy.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $35.2 million to X CORP SOLUTIONS INC.. IGF::CL::IGF

Who is the contractor on this award?

The obligated recipient is X CORP SOLUTIONS INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Threat Reduction Agency).

What is the total obligated amount?

The obligated amount is $35.2 million.

What is the period of performance?

Start: 2016-03-01. End: 2022-02-28.

What specific technical consulting services were provided under this contract?

The contract data indicates the North American Industry Classification System (NAICS) code is 541690, which covers 'Other Scientific and Technical Consulting Services.' While the specific deliverables are not detailed in the provided data, these services typically encompass areas such as scientific research and development support, engineering consulting, environmental consulting, and other specialized technical advisory roles. For the Defense Threat Reduction Agency (DTRA), these services could relate to areas like weapons of mass destruction (WMD) threat assessment, non-proliferation, consequence management, or related scientific and technical analysis crucial for national security.

How does the $35.2 million contract value compare to similar consulting contracts awarded by the DoD?

Comparing the $35.2 million value requires context on the contract's duration (six years) and the specific nature of the 'Other Scientific and Technical Consulting Services.' For long-term, specialized consulting engagements within the Department of Defense, this value is within a moderate range. However, without knowing the exact scope, deliverables, and the number of personnel or hours involved, a precise benchmark is difficult. Contracts for broader IT services or large-scale engineering projects can easily exceed this amount, while smaller, niche advisory roles would be significantly less. The firm-fixed-price nature suggests a defined scope, which aids in value assessment.

What are the potential risks associated with a 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' award?

The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' (FOUA) designation implies that while the initial solicitation was intended to be open, certain potential offerors were subsequently excluded from the competition. This exclusion, if not well-justified and documented, can raise concerns about fairness and potentially limit the pool of qualified bidders. Risks include reduced price competition, potentially leading to higher costs for the government, and the possibility that the government did not receive proposals from the most innovative or cost-effective sources available in the market. Transparency regarding the reasons for exclusion is crucial for assessing the integrity of the procurement process.

What is the track record of X CORP SOLUTIONS INC. with federal contracts?

While the provided data snippet identifies 'X CORP SOLUTIONS INC.' as the contractor, it does not include detailed historical performance information or a comprehensive list of past federal contracts. To assess their track record, one would need to consult federal procurement databases (like FPDS or SAM.gov) to review their award history, contract values, performance ratings (if available), and any past performance issues or disputes. A positive track record with similar agencies and contract types would generally indicate lower performance risk.

How has spending on 'Other Scientific and Technical Consulting Services' (NAICS 541690) trended within the Department of Defense over the past five years?

Analyzing spending trends for NAICS code 541690 within the DoD requires accessing historical federal procurement data. Generally, spending on scientific and technical consulting services within defense agencies tends to fluctuate based on evolving threat landscapes, technological advancements, and specific program requirements. Periods of increased geopolitical tension or rapid technological change often correlate with higher demand for specialized consulting. Without specific historical data for this NAICS code and agency, it's difficult to provide a precise trend, but it's reasonable to assume consistent, albeit variable, demand for such expertise within the DoD.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Other Scientific and Technical Consulting Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: HDTRA115R0022

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 925 CORPORATE DRIVE, STAFFORD, VA, 22554

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Hispanic American Owned Business, HUBZone Firm, Minority Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $37,806,463

Exercised Options: $37,216,701

Current Obligation: $35,178,770

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HDTRA116D0002

IDV Type: IDC

Timeline