DoD's $17.1M Contract for Functional Support Labor Awarded to Binary Group, Inc

Contract Overview

Contract Amount: $17,139,067 ($17.1M)

Contractor: Binary Group, Inc

Awarding Agency: Department of Defense

Start Date: 2009-04-01

End Date: 2010-05-31

Contract Duration: 425 days

Daily Burn Rate: $40.3K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: FUNCTIONAL SUPPORT LABOR-OPTION-4A

Place of Performance

Location: ALEXANDRIA, FAIRFAX County, VIRGINIA, 22315

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $17.1 million to BINARY GROUP, INC for work described as: FUNCTIONAL SUPPORT LABOR-OPTION-4A Key points: 1. Contract awarded to Binary Group, Inc. for $17.1M. 2. Services are for functional support labor. 3. Contract duration is 425 days. 4. Awarded by the Department of the Army. 5. The contract type is Time and Materials.

Value Assessment

Rating: fair

The contract was awarded on a Time and Materials basis, which can lead to cost overruns if not managed carefully. Without a fixed price or more detailed cost breakdown, assessing value for money is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not competed, indicating a limited competition approach. This may have restricted price discovery and potentially led to a higher price than if multiple vendors had bid.

Taxpayer Impact: The lack of full and open competition raises concerns about whether taxpayers received the best possible value for the $17.1M spent.

Public Impact

Taxpayers may have paid more due to limited competition. The effectiveness of functional support services is crucial for agency operations. Transparency in contract pricing and performance is important for public trust.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition
Time and Materials contract type
Lack of detailed cost breakdown

Positive Signals

Specific functional support services provided
Contract awarded to a single vendor

Sector Analysis

This contract falls under Office Administrative Services, a broad category supporting various government functions. Benchmarks for such services can vary widely depending on the specific tasks and required expertise.

Small Business Impact

There is no indication that small businesses were involved in this contract, either as prime contractors or subcontractors.

Oversight & Accountability

Oversight is needed to ensure the Time and Materials contract is managed effectively and that the services provided are necessary and deliver value.

Related Government Programs

Office Administrative Services
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Potential for cost overruns due to Time and Materials pricing.
Lack of competitive bidding may have inflated costs.
Limited transparency on specific services rendered.
No indication of small business participation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $17.1 million to BINARY GROUP, INC. FUNCTIONAL SUPPORT LABOR-OPTION-4A

Who is the contractor on this award?

The obligated recipient is BINARY GROUP, 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 $17.1 million.

What is the period of performance?

Start: 2009-04-01. End: 2010-05-31.

What specific functional support tasks were performed under this contract, and how did they align with the agency's needs?

The contract was for 'FUNCTIONAL SUPPORT LABOR.' While the specific tasks are not detailed, this generally refers to administrative, clerical, or operational support functions essential for the agency's day-to-day operations. The alignment with agency needs would depend on the defined scope of work and performance metrics, which are not fully detailed in the provided data.

What was the justification for not competing this contract, and what risks were associated with this decision?

The data indicates the contract was 'NOT COMPETED,' suggesting a limited or sole-source justification. Risks include potentially higher costs due to lack of price competition, reduced innovation, and the appearance of favoritism. The specific justification would need to be documented by the agency to assess the validity of these risks.

How was the 'Time and Materials' pricing structure managed to ensure cost-effectiveness and prevent overspending?

Time and Materials contracts require diligent oversight to control costs. This typically involves setting labor rate ceilings, closely monitoring hours worked, and ensuring the work performed is necessary and efficient. Without detailed reporting on these oversight mechanisms, it's difficult to assess the cost-effectiveness achieved under this specific contract.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Office Administrative Services › Office Administrative Services

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

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: W91QUZ05Q0003

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 4405 EAST WEST HWY STE 109, BETHESDA, MD, 08

Business Categories: Category Business, Small Business

Financial Breakdown

Contract Ceiling: $17,139,067

Exercised Options: $17,139,067

Current Obligation: $17,139,067

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W91QUZ05A0015

IDV Type: IDC

Timeline