DoD Awards $849.6M Contract for Engineering Technical Services to Engility LLC

Contract Overview

Contract Amount: $325,153,547 ($325.2M)

Contractor: Engility LLC

Awarding Agency: Department of Defense

Start Date: 2006-09-23

End Date: 2010-02-22

Contract Duration: 1,248 days

Daily Burn Rate: $260.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: 200612!008781!2100!W15P7T!USA COMMUNICATIONS-ELECTRONICS !DAAB0702DP001 !A!N! !Y!0107 ! !20060923!20061031!849594288!849594288!849594288!N!L-3 COMMUNICATIONS ILEX SYSTEM!1413 CANTILLON BLVD !MAYS LANDING !NJ!08330!24480!025!34!FORT MONMOUTH !MONMOUTH !NEW JERSEY!+000005082039!N!N!000000000000!R425!ENGINEERING TECHNICAL SERVICES !A7 !ELECTRONICS AND COMMUNICATION EQUIP !000 !NOT DISCERNABLE !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

State: New Jersey Government Spending

Plain-Language Summary

Department of Defense obligated $325.2 million to ENGILITY LLC for work described as: 200612!008781!2100!W15P7T!USA COMMUNICATIONS-ELECTRONICS !DAAB0702DP001 !A!N! !Y!0107 ! !20060923!20061031!849594288!849594288!849594288!N!L-3 COMMUNICATIONS ILEX SYSTEM!1413 CANTILLON BLVD !MAYS LANDING !NJ!08330!24480!025!34!FORT MONMOUTH !MONM… Key points: 1. Contract awarded to Engility LLC for engineering technical services. 2. Significant value of $849.6 million over a period of approximately 4 years. 3. Full and open competition was utilized, suggesting a competitive bidding process. 4. Services fall under Engineering Services (NAICS 541330), related to electronics and communication equipment.

Value Assessment

Rating: good

The contract value of $849.6 million over roughly 4 years appears substantial. Benchmarking against similar large-scale engineering services contracts would be necessary for a precise assessment, but the duration and scope suggest a significant investment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives the best value.

Taxpayer Impact: The competitive nature of the award suggests that taxpayer funds are being utilized efficiently through a process designed to secure favorable pricing for essential engineering services.

Public Impact

Supports critical Department of Defense operations through specialized engineering and technical services. Potential impact on the defense electronics and communication equipment sector. Job creation and economic activity in New Jersey where the contractor is located.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Contract duration is relatively long (approx. 4 years), increasing exposure to potential scope creep or changing requirements.
Reliance on a single awardee for a large sum could pose a risk if performance issues arise.

Positive Signals

Awarded through full and open competition, indicating a robust selection process.
Services are critical to national defense infrastructure.
Contractor is a known entity in the defense sector.

Sector Analysis

This contract falls within the Engineering Services sector, specifically related to electronics and communication equipment. Spending in this area is crucial for maintaining and advancing defense capabilities, with benchmarks varying widely based on the complexity and scale of services required.

Small Business Impact

The data does not indicate any specific set-aside for small businesses. The primary awardee, Engility LLC, is a large corporation, suggesting limited direct opportunities for small businesses as prime contractors on this specific award.

Oversight & Accountability

The contract was awarded by the Department of Defense, which has established oversight mechanisms. However, the long duration and substantial value necessitate ongoing monitoring to ensure performance, cost control, and adherence to contract terms.

Related Government Programs

Engineering Services
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Long contract duration increases risk of obsolescence or changing needs.
Potential for cost overruns if not managed tightly.
Performance dependency on a single large contractor.
Lack of specific performance metrics in the provided data.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $325.2 million to ENGILITY LLC. 200612!008781!2100!W15P7T!USA COMMUNICATIONS-ELECTRONICS !DAAB0702DP001 !A!N! !Y!0107 ! !20060923!20061031!849594288!849594288!849594288!N!L-3 COMMUNICATIONS ILEX SYSTEM!1413 CANTILLON BLVD !MAYS LANDING !NJ!08330!24480!025!34!FORT MONMOUTH !MONMOUTH !NEW JERSEY!+000005082039!N!N!000000000000!R425!ENGINEERING TECHNICAL SERVICES !A7 !ELECTRONICS AND COMMUNICATION EQUIP !000 !NOT DISCERNABLE !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 $325.2 million.

What is the period of performance?

Start: 2006-09-23. End: 2010-02-22.

What specific engineering technical services are included in this contract, and how do they align with current DoD technological needs?

The contract specifies 'ENGINEERING TECHNICAL SERVICES' and falls under 'ELECTRONICS AND COMMUNICATION EQUIP'. While the exact deliverables are not detailed, these services likely encompass design, development, testing, and maintenance of communication systems and electronic warfare capabilities. Given the award date of 2006, these services would have been aligned with the technological needs of the DoD at that time, potentially including upgrades to existing systems and integration of new technologies.

What are the key performance indicators (KPIs) for this contract, and how is Engility LLC's performance being measured?

The provided data does not explicitly list the Key Performance Indicators (KPIs) or the specific metrics used to measure Engility LLC's performance. Typically, for engineering technical services contracts, KPIs would focus on factors like on-time delivery of milestones, quality of technical documentation, system performance metrics, and adherence to budget. The Department of Defense would have a formal process for performance reviews and quality assurance.

What is the potential for contract modifications or extensions, and how might these impact the total cost to taxpayers?

Contracts of this nature, especially those involving complex technical services over several years, often include provisions for modifications or extensions. These could be driven by evolving technological requirements, unforeseen challenges, or changes in strategic priorities. While modifications can ensure the contract remains relevant, they also carry the risk of increasing the total cost to taxpayers if not carefully managed and justified.

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: 2

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