DoD's $15.99M contract for ADP Data Entry Services awarded to Raydar, Inc. shows strong competition

Contract Overview

Contract Amount: $11,655,359 ($11.7M)

Contractor: Raydar, Inc.

Awarding Agency: Department of Defense

Start Date: 2005-02-18

End Date: 2010-04-04

Contract Duration: 1,871 days

Daily Burn Rate: $6.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 21

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: 200505!047529!1700!N00164!CRANE DIVISION NAVAL SURFACE !N0017804D4111 !A!N! !Y!0002 ! !20050218!20070217!159879220!159879220!159879220!N!RAYDAR & ASSOCIATES, INC !CTR-4 !CRANE !IN!47522!15706!101!18!CRANE NAVWSC !MARTIN !INDIANA !+000000621232!N!N!000000000000!D303!ADP DATA ENTRY SERVICES !S1 !SERVICES !000 !* !541330!E! !5!B!M! !A!D!20090331!B!E!N!A! !A!N!U!2!021!B! !Z!N!Z! ! !N!B!N!N! !B!A! !A!A!000!A!B!N! ! ! ! !1700!N00178!0001! !

Place of Performance

Location: CRANE, MARTIN County, INDIANA, 47522

State: Indiana Government Spending

Plain-Language Summary

Department of Defense obligated $11.7 million to RAYDAR, INC. for work described as: 200505!047529!1700!N00164!CRANE DIVISION NAVAL SURFACE !N0017804D4111 !A!N! !Y!0002 ! !20050218!20070217!159879220!159879220!159879220!N!RAYDAR & ASSOCIATES, INC !CTR-4 !CRANE !IN!47522!15706!101!18!CRANE NAVWSC !MART… Key points: 1. Contract value of $15.99M over its lifetime. 2. Awarded under full and open competition. 3. Multiple bids received, indicating a competitive market. 4. Contract type is Cost Plus Fixed Fee, which can shift risk to the government. 5. Performance period spans over 1800 days. 6. Services provided are ADP Data Entry and Engineering Services.

Value Assessment

Rating: fair

The total contract value of $15.99M for ADP Data Entry Services appears to be within a reasonable range for a multi-year government contract of this nature. However, without specific benchmarks for ADP data entry services or comparable engineering support contracts, a precise value-for-money assessment is challenging. The Cost Plus Fixed Fee (CPFF) pricing structure means the government bears the risk of cost overruns, which could increase the final expenditure beyond initial estimates. Further analysis would require comparing unit costs or labor rates to industry standards.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, with 21 bids received. This high level of competition suggests a robust market for the services required. The significant number of bidders likely contributed to competitive pricing and allowed the Department of the Navy to select a contractor based on a combination of technical merit and cost. The open competition process ensures that a wide range of potential providers had the opportunity to bid.

Taxpayer Impact: The extensive competition for this contract is beneficial for taxpayers as it likely drove down prices and ensured the government received competitive offers. It also provides assurance that the selected contractor, Raydar, Inc., was chosen from a pool of qualified and cost-effective providers.

Public Impact

The Department of Defense, specifically the Department of the Navy, benefits from these data entry and engineering services. Services include ADP data entry and engineering support, crucial for managing and processing information. The contract is geographically focused in Indiana, supporting local economic activity and employment. The contract supports the workforce involved in data processing and engineering services within the specified region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee (CPFF) contract type can lead to cost overruns if not managed carefully.
The specific nature of 'ADP Data Entry Services' could be subject to evolving technological standards and efficiency improvements.
Long performance duration (over 1800 days) may require adjustments for changing requirements or market conditions.

Positive Signals

Awarded under full and open competition with 21 bids, indicating strong market interest and potential for competitive pricing.
The contract is for essential support services (ADP Data Entry, Engineering) for the Department of the Navy.
The contractor, Raydar, Inc., has secured a significant contract, suggesting a level of established capability.

Sector Analysis

This contract falls within the Engineering Services sector (NAICS code 541330), which encompasses firms providing engineering, research, and development services. The market for government engineering services is substantial, with agencies like the Department of Defense being major clients. Contracts in this space often involve complex technical requirements and long-term support. Benchmarking would involve comparing the contract's value and scope to similar engineering support or data processing contracts awarded by other federal agencies or within the private sector.

Small Business Impact

This contract was not set aside for small businesses, and there is no indication of subcontracting requirements for small businesses. Therefore, the direct impact on the small business ecosystem appears minimal for this specific award. Future analysis could explore whether Raydar, Inc. has a history of subcontracting with small businesses on other contracts.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the relevant program office within the Department of the Navy. The Cost Plus Fixed Fee structure necessitates close monitoring of costs and performance to ensure value for money and prevent overruns. Transparency is generally provided through contract award databases, but detailed performance reports and audits are usually internal unless specific Inspector General investigations are initiated.

Related Government Programs

Department of Defense IT Services Contracts
Naval Surface Warfare Center Contracts
Engineering and Technical Services Contracts
Data Processing and Data Entry Services

Risk Flags

Cost Plus Fixed Fee (CPFF) pricing structure.
Potential for cost overruns inherent in CPFF contracts.
Need for robust oversight to manage CPFF risks.
Data accuracy and security are critical for ADP services.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $11.7 million to RAYDAR, INC.. 200505!047529!1700!N00164!CRANE DIVISION NAVAL SURFACE !N0017804D4111 !A!N! !Y!0002 ! !20050218!20070217!159879220!159879220!159879220!N!RAYDAR & ASSOCIATES, INC !CTR-4 !CRANE !IN!47522!15706!101!18!CRANE NAVWSC !MARTIN !INDIANA !+000000621232!N!N!000000000000!D303!ADP DATA ENTRY SERVICES !S1 !SERVICES !000 !* !541330!E! !5!B!M! !A!D!200

Who is the contractor on this award?

The obligated recipient is RAYDAR, 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 $11.7 million.

What is the period of performance?

Start: 2005-02-18. End: 2010-04-04.

What is the historical spending pattern for ADP Data Entry Services by the Department of the Navy?

Analyzing historical spending for ADP Data Entry Services by the Department of the Navy requires accessing and aggregating data from various contract vehicles over multiple fiscal years. While this specific contract with Raydar, Inc. totals approximately $15.99 million, understanding the broader trend involves looking at the total obligated amounts and the number of contracts awarded for similar services. Factors such as technological advancements, shifts in data management strategies, and budget allocations influence these patterns. Without access to a comprehensive historical database filtered for this specific service category and agency, a detailed trend analysis is not feasible. However, it's common for large organizations like the Navy to have consistent, albeit fluctuating, spending on data management and entry services due to the sheer volume of information they handle.

How does the Cost Plus Fixed Fee (CPFF) structure impact the risk for the government on this contract?

The Cost Plus Fixed Fee (CPFF) contract structure places a significant portion of the financial risk on the government. In a CPFF contract, the contractor is reimbursed for all allowable costs incurred, plus a predetermined fixed fee representing profit. If the contractor's costs exceed the initial estimates, the government is obligated to cover these additional costs. This contrasts with fixed-price contracts, where the contractor bears the risk of cost overruns. For the government, the primary risk with CPFF is potential cost escalation beyond what might have been achieved under a fixed-price arrangement, especially if cost controls are not rigorously enforced. Effective oversight and detailed cost tracking are crucial to mitigate this risk and ensure the fixed fee remains a fair profit for the work performed.

What is Raydar, Inc.'s track record with government contracts, particularly with the Department of Defense?

Raydar, Inc. was awarded this $15.99 million contract for ADP Data Entry Services by the Department of the Navy. To assess their track record, one would need to examine their complete contract history, including past performance evaluations, any contract modifications, and their history with other federal agencies, especially the Department of Defense. A review of publicly available contract databases can reveal the types of services they have provided, the value of those contracts, and their performance ratings. A positive performance history with the DoD suggests reliability and capability in delivering contracted services. Conversely, any history of disputes, contract terminations, or poor performance ratings would be a significant concern.

Can the value of this contract be benchmarked against similar engineering services contracts?

Benchmarking this $15.99 million contract against similar engineering services contracts requires identifying comparable awards based on scope, complexity, duration, and agency. The NAICS code 541330 (Engineering Services) is broad, encompassing various specializations. To perform a meaningful comparison, one would need to look at contracts for similar services (e.g., data management engineering support, IT infrastructure engineering) awarded around the same period, ideally to similar types of contractors (large vs. small business) and under similar competition levels. Without access to a detailed database of comparable contracts with specific service descriptions and pricing breakdowns, a precise benchmark is difficult. However, the fact that 21 bids were received suggests a competitive market, which generally helps in achieving reasonable pricing.

What are the potential risks associated with the 'ADP Data Entry Services' component of this contract?

The primary risks associated with 'ADP Data Entry Services' often revolve around data accuracy, security, and efficiency. Inaccurate data entry can lead to flawed analysis, poor decision-making, and operational inefficiencies. Data security is paramount, as sensitive government information could be compromised if not handled with stringent protocols. Furthermore, the 'ADP' (Automated Data Processing) aspect implies reliance on specific systems and processes, which may become outdated or inefficient over time. The risk of technological obsolescence or the need for continuous process improvement to maintain cost-effectiveness is also present. Ensuring the contractor employs robust quality control measures and adheres to strict data security standards is critical.

Industry Classification

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

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 21

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: CTR-4, CRANE, IN, 47522

Business Categories: Category Business, Small Business

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: N0017804D4111

IDV Type: IDC

Timeline