DoD Awards $152.6M for Engineering Technical Services to Engility LLC
Contract Overview
Contract Amount: $152,637,493 ($152.6M)
Contractor: Engility LLC
Awarding Agency: Department of Defense
Start Date: 2004-04-26
End Date: 2010-04-29
Contract Duration: 2,194 days
Daily Burn Rate: $69.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 4
Pricing Type: TIME AND MATERIALS
Sector: IT
Official Description: 200407!004947!2100!W15P7T!USA COMMUNICATIONS-ELECTRONICS !DAAB0702DP001 !A!N! !Y!0041 ! !20040426!20061031!808357131!008898884!008898843!N!L-3 COMMUNICATIONS ILEX SYSTEM!1413 CANTILLION BLVD, SUIT!MAYS LANDING !NJ!08330!24480!025!34!FORT MONMOUTH !MONMOUTH !NEW JERSEY!+000000180000!N!N!000000000000!R425!ENGINEERING TECHNICAL SERVICES !A7 !ELECTRONICS AND COMMUNICATION EQUIP !000 !* !541330!E! !5!B!M! !A! !99990909!B! ! !A! !A!N!Y!2!004!B! !C!N!Z! ! !N!C!N! ! ! !D!D!A!A!000!A!C!N! ! ! ! ! ! !0001! !
Place of Performance
Location: MOUNT LAUREL, BURLINGTON County, NEW JERSEY, 08054, UNITED STATES OF AMERICA
Plain-Language Summary
Department of Defense obligated $152.6 million to ENGILITY LLC for work described as: 200407!004947!2100!W15P7T!USA COMMUNICATIONS-ELECTRONICS !DAAB0702DP001 !A!N! !Y!0041 ! !20040426!20061031!808357131!008898884!008898843!N!L-3 COMMUNICATIONS ILEX SYSTEM!1413 CANTILLION BLVD, SUIT!MAYS LANDING !NJ!08330!24480!025!34!FORT MONMOUTH !MONM… Key points: 1. Contract awarded for engineering and technical services, primarily in electronics and communication equipment. 2. The contract was awarded under full and open competition, suggesting a competitive bidding process. 3. Potential risk associated with the Time and Materials pricing structure, which can lead to cost overruns. 4. The sector is dominated by IT and Defense, with this contract falling under engineering services.
Value Assessment
Rating: fair
The contract value of $152.6 million over approximately 6 years appears reasonable for specialized engineering services. However, the Time and Materials pricing structure warrants close monitoring for cost efficiency.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, indicating a robust price discovery process. This method generally leads to more competitive pricing.
Taxpayer Impact: While competition likely optimized pricing, the Time and Materials contract type poses a risk of exceeding initial estimates, potentially impacting taxpayer funds.
Public Impact
Specialized engineering and technical services are crucial for national defense infrastructure. The duration of the contract suggests a long-term need for these services. The award to Engility LLC highlights the role of large contractors in supporting government technical requirements.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Time and Materials pricing structure
- Long contract duration
- Potential for cost overruns
Positive Signals
- Full and open competition
- Award to established contractor
Sector Analysis
This contract falls within the Engineering Services sector, which is closely related to IT and Defense spending. Benchmarks for similar long-term engineering support contracts vary widely based on scope and complexity.
Small Business Impact
The data does not indicate any specific set-asides for small businesses. The award to Engility LLC, a larger entity, suggests that small businesses may not have been primary awardees on this specific contract.
Oversight & Accountability
The contract was awarded by the Department of Defense, which has established oversight mechanisms. However, the Time and Materials pricing requires diligent monitoring to ensure accountability and prevent waste.
Related Government Programs
- Engineering Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Time and Materials pricing structure
- Long contract duration (over 6 years)
- Potential for cost overruns
- Lack of specific small business participation noted
Tags
engineering-services, department-of-defense, nj, do, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $152.6 million to ENGILITY LLC. 200407!004947!2100!W15P7T!USA COMMUNICATIONS-ELECTRONICS !DAAB0702DP001 !A!N! !Y!0041 ! !20040426!20061031!808357131!008898884!008898843!N!L-3 COMMUNICATIONS ILEX SYSTEM!1413 CANTILLION BLVD, SUIT!MAYS LANDING !NJ!08330!24480!025!34!FORT MONMOUTH !MONMOUTH !NEW JERSEY!+000000180000!N!N!000000000000!R425!ENGINEERING TECHNICAL SERVICES !A7 !ELECTRONICS AND COMMUNICATION EQUIP !000 !* !541330!E! !5!B!M! !A! !999
Who is the contractor on this award?
The obligated recipient is ENGILITY LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $152.6 million.
What is the period of performance?
Start: 2004-04-26. End: 2010-04-29.
What specific engineering technical services are included in this contract, and how do they align with current defense needs?
The contract specifies 'ENGINEERING TECHNICAL SERVICES' and 'ELECTRONICS AND COMMUNICATION EQUIP'. These services likely encompass design, development, testing, and maintenance of communication systems and related electronic equipment vital for military operations. Their alignment with current defense needs would depend on the specific technological advancements and operational requirements prioritized by the Department of the Army at the time of award.
What are the primary risks associated with the Time and Materials (T&M) contract type for this $152.6 million award?
The primary risk of a T&M contract is the potential for cost escalation, as the government pays for actual labor hours and material costs incurred by the contractor. Without strong oversight and defined ceilings, this can lead to the contract exceeding its estimated value. For a large, long-term contract like this, managing scope creep and ensuring efficient resource utilization are critical to mitigate financial risks.
How effective was the full and open competition in ensuring the best value for taxpayers on this contract?
Full and open competition is generally designed to achieve the best value by fostering a competitive environment that drives down prices. While it likely resulted in a more favorable price than a sole-source award, the effectiveness in ensuring the 'best' value is also dependent on the clarity of the requirements, the evaluation criteria, and the contractor's ability to deliver within the T&M framework. Ongoing performance monitoring is key to confirming long-term value.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 4
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Parent Company: Engility Corporation (UEI: 783837672)
Address: 3750 CENTERVIEW DR, CHANTILLY, VA, 20151
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business
Contract Characteristics
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: DAAB0702DP001
IDV Type: IDC
Timeline
Start Date: 2004-04-26
Current End Date: 2010-04-29
Potential End Date: 2010-04-29 00:00:00
Last Modified: 2015-09-14
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