DoD Awards $39.4M Engineering Services Task Order to Engility LLC Under Full and Open Competition
Contract Overview
Contract Amount: $39,438,289 ($39.4M)
Contractor: Engility LLC
Awarding Agency: Department of Defense
Start Date: 2008-09-26
End Date: 2010-09-24
Contract Duration: 728 days
Daily Burn Rate: $54.2K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: TIME AND MATERIALS
Sector: Other
Official Description: NEW TASK ORDER.
Place of Performance
Location: MOUNT LAUREL, BURLINGTON County, NEW JERSEY, 08054, UNITED STATES OF AMERICA
Plain-Language Summary
Department of Defense obligated $39.4 million to ENGILITY LLC for work described as: NEW TASK ORDER. Key points: 1. Significant contract value of $39.4 million for engineering services. 2. Awarded under full and open competition, indicating a competitive bidding process. 3. Potential risk associated with time and materials contract type, which can lead to cost overruns. 4. Services fall under the Engineering Services sector, crucial for defense infrastructure.
Value Assessment
Rating: fair
The contract is a Time and Materials (T&M) type, which generally offers less price certainty than fixed-price contracts. Without a strong ceiling or detailed labor rates, assessing value against similar contracts is challenging.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a robust process for soliciting bids. However, the T&M pricing structure may limit the effectiveness of price discovery compared to fixed-price arrangements.
Taxpayer Impact: Taxpayer funds are being used for engineering services. The T&M nature of the contract warrants close monitoring to ensure costs remain reasonable and within expected parameters.
Public Impact
Supports Department of the Army's engineering needs. Engility LLC, a significant government contractor, will perform the work. The contract duration of 728 days suggests a substantial, ongoing requirement for services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Time and Materials contract type
- Potential for cost overruns
- Lack of detailed pricing structure visibility
Positive Signals
- Full and open competition
- Established contractor performing work
- Clear service category (Engineering Services)
Sector Analysis
Engineering services are critical for government infrastructure projects, including defense. The benchmark for such contracts varies widely based on scope and complexity, but $39.4 million represents a substantial award.
Small Business Impact
The data indicates this award went to Engility LLC, a large business. There is no direct indication of small business participation in this specific task order.
Oversight & Accountability
The award was made under full and open competition, which generally implies a degree of oversight in the solicitation process. However, the T&M contract type necessitates vigilant oversight to manage costs effectively.
Related Government Programs
- Engineering Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Time and Materials contract type
- Potential for cost overruns
- Lack of detailed scope of work
- Limited visibility into labor rates and indirect costs
Tags
engineering-services, department-of-defense, nj, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $39.4 million to ENGILITY LLC. NEW TASK ORDER.
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 $39.4 million.
What is the period of performance?
Start: 2008-09-26. End: 2010-09-24.
What is the estimated total cost ceiling for this Time and Materials contract, and how does it compare to similar engineering services contracts awarded by the Army?
The provided data does not specify a total cost ceiling for this Time and Materials (T&M) contract. T&M contracts can be prone to cost overruns if not managed carefully. Benchmarking against similar contracts would require access to detailed pricing structures and ceilings, which are not available here. Further analysis would involve comparing the labor rates and indirect cost percentages to industry standards and historical government data for engineering services.
What specific engineering services are being procured under this task order, and what is the risk associated with the contractor's performance given the contract type?
The North American Industry Classification System (NAICS) code 541330 indicates 'Engineering Services.' The specific services are not detailed in the provided data. The primary risk associated with the T&M contract type is the potential for increased costs due to undefined scope or inefficiencies, as the contractor is reimbursed for direct labor and materials plus a fee. This necessitates robust oversight to ensure efficient performance and prevent scope creep.
How does the 'full and open competition' method ensure effective price discovery and value for taxpayers on this $39.4 million award?
Full and open competition aims to ensure price discovery by allowing all responsible sources to submit bids, fostering a competitive environment that theoretically drives down prices. However, the effectiveness of price discovery for this Time and Materials contract is somewhat limited by its nature. While competition ensures multiple offers, the T&M structure means the final price is not fixed upfront, making direct price comparisons less straightforward than with fixed-price contracts. Taxpayer value is maximized when the competitive process leads to reasonable labor rates and efficient service delivery.
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: 1
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
Financial Breakdown
Contract Ceiling: $39,438,289
Exercised Options: $39,438,289
Current Obligation: $39,438,289
Contract Characteristics
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: DAAB0702DP001
IDV Type: IDC
Timeline
Start Date: 2008-09-26
Current End Date: 2010-09-24
Potential End Date: 2010-09-24 00:00:00
Last Modified: 2015-09-18
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