DoD's $22.7M Navy Site Support Contract Awarded to Englobal Government Services Inc

Contract Overview

Contract Amount: $22,668,915 ($22.7M)

Contractor: Englobal Government Services Inc

Awarding Agency: Department of Defense

Start Date: 2016-03-31

End Date: 2019-12-12

Contract Duration: 1,351 days

Daily Burn Rate: $16.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: Engineering Services

Official Description: IGF::OT::IGF AFHE SITE SUPPORT

Place of Performance

Location: NORTH CHARLESTON, CHARLESTON County, SOUTH CAROLINA, 29406

State: South Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $22.7 million to ENGLOBAL GOVERNMENT SERVICES INC for work described as: IGF::OT::IGF AFHE SITE SUPPORT Key points: 1. Contract value of $22.7M for engineering services. 2. Awarded under full and open competition. 3. Potential risk associated with cost-plus-fixed-fee contract type. 4. Services fall under the engineering sector.

Value Assessment

Rating: fair

The contract's cost-plus-fixed-fee structure can lead to cost overruns if not managed carefully. Benchmarking against similar engineering services contracts is difficult without detailed scope and performance data.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, suggesting a competitive bidding process. However, the cost-plus-fixed-fee pricing arrangement may limit price discovery and incentivize cost escalation.

Taxpayer Impact: Taxpayer funds are utilized for engineering services. The cost-plus-fixed-fee structure necessitates robust oversight to ensure cost-effectiveness and prevent unnecessary expenditures.

Public Impact

Supports critical Department of the Navy operations through engineering services. Competition ensures a baseline level of market responsiveness. Long duration (over 3 years) indicates a sustained need for these services. Potential for cost overruns due to contract type.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost-plus-fixed-fee pricing
Lack of specific performance metrics for benchmarking

Positive Signals

Full and open competition
Clear agency and service type

Sector Analysis

This contract falls within the engineering services sector, which is crucial for supporting complex government infrastructure and projects. Spending benchmarks for this sector vary widely based on project scope and complexity.

Small Business Impact

The contract was awarded under full and open competition, and there is no indication that small businesses were specifically targeted or subcontracted. Further analysis would be needed to determine small business participation.

Oversight & Accountability

The Department of the Navy is responsible for oversight. The cost-plus-fixed-fee structure requires diligent monitoring of costs and performance to ensure accountability and prevent waste.

Related Government Programs

Engineering Services
Department of Defense Contracting
Department of the Navy Programs

Risk Flags

Cost-plus-fixed-fee pricing structure
Potential for cost overruns
Limited transparency on specific deliverables
Long contract duration without clear performance benchmarks

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $22.7 million to ENGLOBAL GOVERNMENT SERVICES INC. IGF::OT::IGF AFHE SITE SUPPORT

Who is the contractor on this award?

The obligated recipient is ENGLOBAL GOVERNMENT SERVICES 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 $22.7 million.

What is the period of performance?

Start: 2016-03-31. End: 2019-12-12.

What specific engineering services were provided under this contract, and how did they contribute to the Navy's mission?

The contract, "IGF::OT::IGF AFHE SITE SUPPORT," likely encompassed a range of engineering services related to facility support, maintenance, or infrastructure development for a specific Navy site. These services are crucial for ensuring operational readiness, safety, and efficiency of naval installations, directly contributing to the Navy's overall mission effectiveness by maintaining the physical environment required for its operations.

What are the primary risks associated with the cost-plus-fixed-fee contract type in this context?

The primary risk of a cost-plus-fixed-fee (CPFF) contract is that the contractor may have less incentive to control costs, as the government agrees to cover all allowable costs plus a fixed fee. This can lead to cost overruns if not rigorously monitored. For the Navy, this means potential budget challenges and the need for strong oversight to ensure the fixed fee remains appropriate for the work performed.

How effective was the full and open competition in achieving a fair and reasonable price for these engineering services?

Full and open competition generally promotes a fair and reasonable price by allowing multiple bidders to compete. However, the effectiveness is tempered by the CPFF structure. While competition likely drove initial bids, the pricing mechanism itself can inflate final costs. Assessing true price effectiveness would require comparing the final cost against independent government estimates or similar market contracts, which is not provided here.

Industry Classification

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

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Englobal Corporation (UEI: 147167704)

Address: 2448 EAST 81ST STREET, SUITE 3300, TULSA, OK, 74137

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $22,774,386

Exercised Options: $22,668,915

Current Obligation: $22,668,915

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N6523612D4825

IDV Type: IDC

Timeline