DoD's $14.4M Administrative Management Contract Awarded to AECOM/PARSONS JV

Contract Overview

Contract Amount: $14,435,467 ($14.4M)

Contractor: Aecom/Parsons, a Joint Venture

Awarding Agency: Department of Defense

Start Date: 2007-01-01

End Date: 2007-12-31

Contract Duration: 364 days

Daily Burn Rate: $39.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: PTCM

Place of Performance

Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22202

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $14.4 million to AECOM/PARSONS, A JOINT VENTURE for work described as: PTCM Key points: 1. Contract value of $14.4M for administrative management services. 2. Awarded to AECOM/PARSONS, A JOINT VENTURE. 3. Competition method was Full and Open. 4. Services fall under Administrative Management and General Management Consulting.

Value Assessment

Rating: fair

The contract is a Cost Plus Fixed Fee type, which can lead to higher costs if not managed carefully. Benchmarking against similar contracts is difficult without more detailed cost breakdowns.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

Full and open competition was utilized, suggesting a robust price discovery process. However, the specific pricing structure (Cost Plus Fixed Fee) warrants scrutiny to ensure efficiency.

Taxpayer Impact: Taxpayer funds are utilized for administrative management consulting services, with the ultimate impact depending on the efficiency and effectiveness of the services provided.

Public Impact

Supports administrative functions within the Department of Defense. AECOM/PARSONS JV brings expertise in management consulting. Contract duration of one year with potential for follow-on work.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Fixed Fee contract type can incentivize higher spending.
  • Lack of detailed cost breakdown makes direct comparison difficult.

Positive Signals

  • Full and open competition ensures a broad range of potential bidders.
  • Award to a joint venture may indicate specialized capabilities.

Sector Analysis

This contract falls within the professional services sector, specifically management consulting. Spending in this area can vary significantly based on agency needs and project scope. Benchmarks are often tied to specific service categories and contract types.

Small Business Impact

The award was made to a joint venture, AECOM/PARSONS. There is no explicit indication of small business participation in this specific delivery order, which is common for large prime contracts.

Oversight & Accountability

Oversight would typically be managed by the contracting officer's representative (COR) within the Department of Defense to ensure performance and cost control, especially given the Cost Plus Fixed Fee structure.

Related Government Programs

  • Administrative Management and General Management Consulting Services
  • Department of Defense Contracting
  • Washington Headquarters Services Programs

Risk Flags

  • Cost Plus Fixed Fee structure can lead to cost overruns.
  • Potential for scope creep without strict oversight.
  • Limited transparency on specific cost components.
  • Dependence on contractor performance for value realization.

Tags

administrative-management-and-general-ma, department-of-defense, va, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $14.4 million to AECOM/PARSONS, A JOINT VENTURE. PTCM

Who is the contractor on this award?

The obligated recipient is AECOM/PARSONS, A JOINT VENTURE.

Which agency awarded this contract?

Awarding agency: Department of Defense (Washington Headquarters Services).

What is the total obligated amount?

The obligated amount is $14.4 million.

What is the period of performance?

Start: 2007-01-01. End: 2007-12-31.

What specific administrative management functions are being performed under this contract?

The contract is for Administrative Management and General Management Consulting Services (NAICS 541611). This typically includes services such as executive policy and procedure development, strategic planning, organizational analysis, and general administrative support to facilitate the efficient operation of government agencies.

How is the 'fixed fee' component of the Cost Plus Fixed Fee contract determined and controlled?

The fixed fee is negotiated at the outset and represents the contractor's profit. It should be a reasonable amount based on the complexity and risk of the work. Controls involve ensuring the fee remains fixed regardless of cost overruns and is tied to performance metrics.

What mechanisms are in place to ensure the value derived from these consulting services aligns with the $14.4M expenditure?

Value is typically ensured through clearly defined performance work statements, measurable objectives, and regular performance reviews by the government. The COR monitors progress and deliverables, ensuring the services contribute to the agency's mission and operational efficiency.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesManagement, Scientific, and Technical Consulting ServicesAdministrative Management and General Management Consulting Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 3

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 3101 WILSON BLVD, ARLINGTON, VA, 22201

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $14,435,467

Exercised Options: $14,435,467

Current Obligation: $14,435,467

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: MDA94701D0001

IDV Type: IDC

Timeline

Start Date: 2007-01-01

Current End Date: 2007-12-31

Potential End Date: 2007-12-31 00:00:00

Last Modified: 2016-09-21

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