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

State: New Jersey Government Spending

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 ServicesArchitectural, Engineering, and Related ServicesEngineering 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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