DoD awards $41.6M for machinery repair, KBR Wyle Services secures contract

Contract Overview

Contract Amount: $41,578,492 ($41.6M)

Contractor: KBR Wyle Services, LLC

Awarding Agency: Department of Defense

Start Date: 2011-09-30

End Date: 2012-09-30

Contract Duration: 366 days

Daily Burn Rate: $113.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: COST PLUS AWARD FEE

Sector: Other

Official Description: SAME AS CLIN 3001

Place of Performance

Location: JACKSONVILLE, DUVAL County, FLORIDA, 32226

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $41.6 million to KBR WYLE SERVICES, LLC for work described as: SAME AS CLIN 3001 Key points: 1. Contract value of $41.6M for machinery repair services. 2. KBR Wyle Services, LLC is the contractor. 3. Department of the Navy awarded the contract. 4. Full and open competition was utilized. 5. Contract duration is 366 days.

Value Assessment

Rating: fair

The contract type is Cost Plus Award Fee, which can lead to higher costs if not managed effectively. Benchmarking against similar contracts for machinery repair is difficult without more specific service details.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the Cost Plus Award Fee structure may not always yield the lowest price.

Taxpayer Impact: Taxpayer funds are used for machinery repair services, with the ultimate cost influenced by the contractor's performance and award fee structure.

Public Impact

Ensures operational readiness of critical machinery for the Department of the Navy. Supports maintenance and repair services, potentially impacting fleet availability. Contract awarded to KBR Wyle Services, LLC, a significant defense contractor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Award Fee structure can incentivize cost overruns.
  • Lack of specific service details makes detailed value assessment challenging.

Positive Signals

  • Full and open competition utilized.
  • Contract supports essential military operations.

Sector Analysis

This contract falls under Commercial and Industrial Machinery and Equipment Repair and Maintenance. Spending in this sector is crucial for maintaining government assets and operational capabilities across various agencies.

Small Business Impact

The data indicates that small business participation was not a factor in this specific award (ss: false, sb: false). Further analysis would be needed to determine the overall impact on small businesses in this sector.

Oversight & Accountability

Oversight is critical for Cost Plus Award Fee contracts to ensure fair pricing and prevent contractor overcharging. The Department of the Navy is responsible for monitoring performance and award fee determination.

Related Government Programs

  • Commercial and Industrial Machinery and Equipment (except Automotive and Electronic) Repair and Maintenance
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Potential for cost overruns due to CPAF structure.
  • Lack of detailed service scope hinders precise value assessment.
  • No indication of small business participation.
  • Limited insight into specific machinery repaired and its criticality.

Tags

commercial-and-industrial-machinery-and-, department-of-defense, fl, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $41.6 million to KBR WYLE SERVICES, LLC. SAME AS CLIN 3001

Who is the contractor on this award?

The obligated recipient is KBR WYLE SERVICES, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $41.6 million.

What is the period of performance?

Start: 2011-09-30. End: 2012-09-30.

What specific types of machinery were repaired under this contract, and what was the impact on operational readiness?

The provided data does not specify the exact types of machinery repaired. This information is crucial for assessing the contract's direct impact on the Department of the Navy's operational readiness and the value derived from the $41.6 million expenditure. Understanding the machinery's criticality would allow for a more precise evaluation of the service's effectiveness.

How did the Cost Plus Award Fee structure influence the final cost compared to a fixed-price contract?

The Cost Plus Award Fee (CPAF) structure allows the contractor to recover costs plus a fee that is adjusted based on performance. While intended to incentivize good performance, CPAF contracts can sometimes lead to higher final costs than fixed-price contracts if cost controls are not rigorously enforced by the government. Without knowing the target cost and the awarded fee, a direct comparison is not possible.

What is the benchmark cost for similar machinery repair services in the commercial sector?

Benchmarking this contract's cost is challenging without detailed specifications of the machinery and the scope of repair services. Commercial sector costs vary widely based on equipment type, complexity of repair, and labor rates. A precise benchmark would require a detailed comparison with similar government or commercial contracts for comparable machinery and service levels.

Industry Classification

NAICS: Other Services (except Public Administration)Commercial and Industrial Machinery and Equipment (except Automotive and Electronic) Repair and MaintenanceCommercial and Industrial Machinery and Equipment (except Automotive and Electronic) Repair and Maintenance

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 5

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Parent Company: KBR, Inc.

Address: 7000 COLUMBIA GATEWAY DR STE 100, COLUMBIA, MD, 21046

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

Financial Breakdown

Contract Ceiling: $41,578,492

Exercised Options: $41,578,492

Current Obligation: $41,578,492

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: M6700409D0020

IDV Type: IDC

Timeline

Start Date: 2011-09-30

Current End Date: 2012-09-30

Potential End Date: 2012-09-30 00:00:00

Last Modified: 2025-08-29

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