Transportation's FAA awards $12.8M engineering services contract to Advanced Management Technology, Inc

Contract Overview

Contract Amount: $12,843,512 ($12.8M)

Contractor: Advanced Management Technology, Inc.

Awarding Agency: Department of Transportation

Start Date: 2017-09-11

End Date: 2026-05-21

Contract Duration: 3,174 days

Daily Burn Rate: $4.0K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: OBSTRUCTION EVALUATION GROUP TASK ORDER IGF::CT::IGF

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20591

State: District of Columbia Government Spending

Plain-Language Summary

Department of Transportation obligated $12.8 million to ADVANCED MANAGEMENT TECHNOLOGY, INC. for work described as: OBSTRUCTION EVALUATION GROUP TASK ORDER IGF::CT::IGF Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract type is Time and Materials, which can pose cost control risks if not managed closely. 3. The duration of the contract is substantial at 3,174 days, indicating a long-term need for these services. 4. The contract is a delivery order under a larger award, implying it's part of a broader framework agreement. 5. The North American Industry Classification System (NAICS) code 541330 points to engineering services, a critical support function. 6. The contract is geographically focused on Washington D.C.

Value Assessment

Rating: fair

Benchmarking the value of this specific delivery order is challenging without knowing the total ceiling of the parent award. However, the Time and Materials pricing structure warrants careful monitoring to ensure costs remain within reasonable bounds compared to industry standards for engineering services. The duration suggests a significant investment, and value will depend on the successful delivery of critical engineering support to the FAA.

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 a bid. This method generally promotes a wider range of proposals and potentially more competitive pricing. The number of bidders is not specified, but the chosen method suggests a robust competition was sought.

Taxpayer Impact: A full and open competition process is generally favorable for taxpayers as it increases the likelihood of obtaining services at competitive market rates.

Public Impact

The Federal Aviation Administration (FAA) benefits from specialized engineering services to support its mission. Services delivered likely include technical analysis, design review, and project support for aviation infrastructure and systems. The geographic impact is concentrated in Washington D.C., where the FAA's headquarters and key operational centers are located. The contract supports a workforce of engineers and technical specialists, contributing to employment in the engineering services sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials contract type can lead to cost overruns if not diligently managed and monitored for efficiency.
The long duration of the contract (over 8 years) increases the risk of scope creep or evolving requirements not being adequately addressed in the pricing.
Lack of specific performance metrics or outcome-based measures in the provided data makes it difficult to assess the contractor's performance trajectory.

Positive Signals

Awarded through full and open competition, which typically fosters competitive pricing and access to a broad range of qualified contractors.
The contract addresses a clear need for engineering services within the FAA, a critical government agency.
The contractor, Advanced Management Technology, Inc., is established, suggesting a level of experience and capability.

Sector Analysis

This contract falls within the Engineering Services sector, a segment of the professional, scientific, and technical services industry. This sector is vital for government operations, providing specialized expertise for complex projects. The market for engineering services is competitive, with numerous firms capable of supporting federal agencies. The FAA's spending on such services is consistent with its role in managing and regulating national airspace and aviation infrastructure.

Small Business Impact

The data indicates that this contract was not specifically set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses mandated by a set-aside. However, the prime contractor may still engage small businesses as subcontractors depending on their own procurement practices and the nature of the services required.

Oversight & Accountability

Oversight for this contract would typically be managed by the Federal Aviation Administration's contracting officers and program managers. Performance reviews, invoice audits, and adherence to contract terms are standard oversight mechanisms. Transparency is generally maintained through contract databases, though specific details of ongoing performance may be internal. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

FAA Air Traffic Control Modernization
FAA Airport Improvement Program
Department of Transportation Engineering Support Services
Federal Aviation Systems Engineering

Risk Flags

Time and Materials contract type requires close monitoring to prevent cost overruns.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $12.8 million to ADVANCED MANAGEMENT TECHNOLOGY, INC.. OBSTRUCTION EVALUATION GROUP TASK ORDER IGF::CT::IGF

Who is the contractor on this award?

The obligated recipient is ADVANCED MANAGEMENT TECHNOLOGY, INC..

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Aviation Administration).

What is the total obligated amount?

The obligated amount is $12.8 million.

What is the period of performance?

Start: 2017-09-11. End: 2026-05-21.

What is the historical spending pattern for Advanced Management Technology, Inc. with the Federal Aviation Administration?

Analyzing the historical spending patterns of Advanced Management Technology, Inc. (AMT) with the Federal Aviation Administration (FAA) is crucial for understanding their track record and the agency's reliance on their services. While this specific contract represents $12.8 million, a broader review would involve examining all contracts awarded to AMT by the FAA over several fiscal years. This would reveal trends in contract values, types (e.g., delivery orders, task orders), and the services provided. A significant increase in spending or a concentration of awards in specific service areas could indicate a growing partnership or a critical role AMT plays in FAA operations. Conversely, fluctuating or declining spending might suggest shifts in agency needs or increased competition. Without access to a comprehensive contract database, a precise historical analysis is not possible, but such an examination would inform assessments of contractor performance and agency procurement strategies.

How does the Time and Materials pricing structure compare to other contract types for similar engineering services?

Time and Materials (T&M) contracts, like the one awarded to Advanced Management Technology, Inc., are often used when the scope of work is not clearly defined or is expected to change. They reimburse the contractor for direct labor hours at specified hourly rates and for the cost of materials. Compared to Firm-Fixed-Price (FFP) contracts, T&M offers more flexibility but carries higher risk for the government regarding cost control, as the final price is not predetermined. Cost-plus contracts are another alternative where the government reimburses costs plus a fee, which can be fixed or a percentage of costs. For engineering services, FFP contracts are often preferred when requirements are well-defined, providing cost certainty. However, for research, development, or undefined technical support, T&M or cost-plus contracts may be more appropriate. The FAA's choice of T&M suggests a need for flexibility in engineering support, but it necessitates robust oversight to manage potential cost escalations.

What are the key performance indicators (KPIs) used to evaluate the success of this engineering services contract?

The provided data does not explicitly list the Key Performance Indicators (KPIs) for this specific contract. However, for engineering services contracts, particularly those supporting an agency like the FAA, typical KPIs would likely revolve around technical performance, schedule adherence, and cost management. Technical KPIs might include the accuracy and completeness of engineering analyses, the quality of designs or recommendations, and compliance with relevant aviation standards and regulations. Schedule adherence would be measured by the contractor's ability to meet project milestones and deadlines. Cost management KPIs would focus on staying within the estimated costs or managing the Time and Materials expenditure effectively, potentially including metrics on labor hour efficiency and material cost reasonableness. Without the specific contract details, these are general expectations for evaluating the success of such a service.

What is the potential impact of this contract on the broader aviation engineering services market?

This $12.8 million contract awarded to Advanced Management Technology, Inc. (AMT) by the FAA contributes to the overall demand within the aviation engineering services market. While significant for AMT, it represents a portion of the total federal spending in this sector. The award, made through full and open competition, signals that the FAA is actively engaging with the market to procure necessary engineering expertise. This can encourage other firms to compete for similar contracts, fostering innovation and potentially driving down costs through competition. The duration of the contract also suggests a stable, long-term need for these specialized services, which can provide a degree of predictability for firms operating in this niche. The success of AMT on this contract could also influence future procurement decisions by the FAA and other agencies seeking similar engineering support.

Are there any known risks associated with Advanced Management Technology, Inc. as a contractor for the FAA?

Based solely on the provided data, there are no explicit risk flags or negative performance indicators associated with Advanced Management Technology, Inc. (AMT) for this specific FAA contract. The contract was awarded through full and open competition, suggesting a standard procurement process. However, a comprehensive risk assessment would require a deeper dive into AMT's past performance on federal contracts, including any history of disputes, contract terminations, or quality issues. Additionally, the Time and Materials (T&M) nature of the contract itself introduces inherent risks related to cost control and potential overruns, which require diligent government oversight regardless of the contractor's specific history. Without access to contractor performance databases or past performance reviews, it is impossible to definitively state the level of risk associated with AMT.

Industry Classification

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

Product/Service Code: MODIFICATION OF EQUIPMENT › MODIFICATION OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Tetra Tech, Inc.

Address: 1515 WILSON BLVD STE 1100, 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: $13,216,404

Exercised Options: $12,843,512

Current Obligation: $12,843,512

Actual Outlays: $8,336,961

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DTFAWA17D00013

IDV Type: IDC

Timeline