DoD awards $44M consulting contract to R & K Enterprise Solutions Inc. for administrative management services

Contract Overview

Contract Amount: $43,991,239 ($44.0M)

Contractor: R & K Enterprise Solutions Inc

Awarding Agency: Department of Defense

Start Date: 2016-05-01

End Date: 2020-04-30

Contract Duration: 1,460 days

Daily Burn Rate: $30.1K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 6

Pricing Type: FIXED PRICE LEVEL OF EFFORT

Sector: Other

Official Description: IGF::CL,CT::IGF CONTRACT AWARD

Place of Performance

Location: HAMPTON, HAMPTON CITY County, VIRGINIA, 23665

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $44.0 million to R & K ENTERPRISE SOLUTIONS INC for work described as: IGF::CL,CT::IGF CONTRACT AWARD Key points: 1. Contract awarded for administrative management and general management consulting services. 2. Significant value of $43.99 million over a 4-year period. 3. Competition method was 'Full and Open Competition After Exclusion of Sources', suggesting a potentially limited but justified approach. 4. The sector is professional services, a common area for government contracting.

Value Assessment

Rating: fair

The contract value of $43.99 million for 4 years suggests a substantial investment in consulting services. Benchmarking against similar contracts for administrative management consulting would be necessary to fully assess pricing, but the duration and scope indicate a significant engagement.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The competition method 'Full and Open Competition After Exclusion of Sources' indicates that while the competition was intended to be open, specific sources were excluded. This could impact price discovery if the excluded sources were significant competitors.

Taxpayer Impact: Taxpayers are funding a significant contract for management consulting services, the value of which depends on the effectiveness and efficiency of the services provided.

Public Impact

Citizens expect efficient use of taxpayer funds for essential government functions. Transparency in contracting processes is crucial for public trust. The effectiveness of consulting services directly impacts agency performance and service delivery.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition method raises questions about optimal price discovery.
Lack of specific performance metrics makes value assessment difficult.
Contract duration is long, potentially leading to scope creep or outdated services.

Positive Signals

Contract awarded by the Department of the Air Force, indicating a specific need.
Fixed Price Level of Effort contract type provides some cost certainty.
The contract is for administrative management, a core government function.

Sector Analysis

This contract falls within the professional services sector, specifically administrative management and general management consulting. Spending in this sector is common across government agencies to improve efficiency and effectiveness. Benchmarks would typically compare rates and total contract values for similar consulting engagements.

Small Business Impact

The data indicates that this contract was not awarded to a small business (sb: false). Therefore, there is no direct benefit to small businesses from this specific award.

Oversight & Accountability

Oversight would involve monitoring the contractor's performance against the contract requirements and ensuring that the services provided are necessary and deliver value. Accountability rests with the contracting officer and the agency to manage the contract effectively.

Related Government Programs

Administrative Management and General Management Consulting Services
Department of Defense Contracting
Department of the Air Force Programs

Risk Flags

Limited competition raises concerns about price optimization.
Lack of detailed service descriptions hinders value assessment.
Long contract duration may not reflect current needs or technological advancements.
No indication of small business participation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $44.0 million to R & K ENTERPRISE SOLUTIONS INC. IGF::CL,CT::IGF CONTRACT AWARD

Who is the contractor on this award?

The obligated recipient is R & K ENTERPRISE SOLUTIONS INC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $44.0 million.

What is the period of performance?

Start: 2016-05-01. End: 2020-04-30.

What specific administrative management and general management consulting services were provided under this contract, and how did they contribute to the Air Force's mission objectives?

The contract focused on administrative management and general management consulting. While the specific services are not detailed, they likely encompassed areas such as organizational efficiency, process improvement, strategic planning support, and administrative process optimization. The contribution to mission objectives would be measured by the extent to which these consulting efforts enhanced the Air Force's operational capabilities, resource management, or overall effectiveness in executing its duties.

Given the 'Full and Open Competition After Exclusion of Sources' method, what was the justification for excluding specific sources, and did this exclusion potentially limit competitive pricing?

The justification for excluding sources would typically relate to specific capabilities, past performance, or unique requirements that only certain vendors could meet. While intended to be open, excluding sources inherently limits the competitive pool. If the excluded sources were capable and competitive, this could have led to a less competitive pricing environment than a truly unrestricted full and open competition.

How was the effectiveness of the consulting services measured, and what was the ultimate return on investment for the $44 million expenditure?

Effectiveness is typically measured through defined performance metrics, deliverables, and stakeholder feedback outlined in the contract. Without access to performance reports, it's difficult to quantify the ROI. A positive ROI would be demonstrated if the consulting services led to measurable improvements in efficiency, cost savings, or enhanced mission accomplishment that exceeded the contract's cost.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: FA489010R0001

Offers Received: 6

Pricing Type: FIXED PRICE LEVEL OF EFFORT (B)

Evaluated Preference: NONE

Contractor Details

Address: 111 WELLINGTON DR, WILLIAMSBURG, VA, 23185

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $71,518,809

Exercised Options: $55,314,704

Current Obligation: $43,991,239

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA489012D0018

IDV Type: IDC

Timeline