NOAA Awards $4.46M for Vessel Monitoring Systems to TWODAY DANMARK A/S

Contract Overview

Contract Amount: $4,461,270 ($4.5M)

Contractor: Twoday Danmark A/S

Awarding Agency: Department of Commerce

Start Date: 2021-09-17

End Date: 2024-07-31

Contract Duration: 1,048 days

Daily Burn Rate: $4.3K/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 4

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: VESSEL MONITORING SYSTEM AND SERVICES FOR NOAA FISHERIES OFFICE OF LAW ENFORCEMENT

Plain-Language Summary

Department of Commerce obligated $4.5 million to TWODAY DANMARK A/S for work described as: VESSEL MONITORING SYSTEM AND SERVICES FOR NOAA FISHERIES OFFICE OF LAW ENFORCEMENT Key points: 1. The contract is for vessel monitoring systems and services, a critical component for fisheries enforcement. 2. Competition under SAP suggests a streamlined process, but the specific level of competition is unclear. 3. The primary risk lies in the reliance on a single vendor for essential monitoring services. 4. The sector is satellite telecommunications, supporting maritime surveillance and regulatory compliance.

Value Assessment

Rating: fair

The contract is a Time and Materials type, which can lead to cost overruns if not managed closely. Benchmarking against similar satellite telecommunication service contracts is difficult without more detailed cost breakdowns.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under SAP (System for Award Management), indicating a limited competition approach. While this can expedite procurement, it may not always yield the best price discovery compared to full and open competition.

Taxpayer Impact: Taxpayer funds are being used for essential fisheries enforcement technology. The effectiveness of the competition method in securing optimal pricing is a key consideration for taxpayer impact.

Public Impact

Ensures compliance with fishing regulations, protecting marine resources. Supports NOAA's mission to conserve and manage fisheries. Provides critical data for law enforcement and scientific research. Potential for increased surveillance capabilities in maritime zones.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost creep with Time and Materials contract type.
  • Limited competition may not guarantee best value.
  • Vendor lock-in risk for essential services.

Positive Signals

  • Supports critical NOAA law enforcement mission.
  • Procurement utilized a competitive process (SAP).
  • Long-term contract provides service continuity.

Sector Analysis

The satellite telecommunications sector is vital for modern surveillance and data transmission. NOAA's spending aligns with industry trends in utilizing technology for regulatory enforcement and resource management.

Small Business Impact

There is no indication that small businesses were involved in this contract, either as prime contractors or subcontractors. Further analysis would be needed to determine if opportunities were missed.

Oversight & Accountability

The contract is managed by the National Oceanic and Atmospheric Administration (NOAA) under the Department of Commerce. Oversight would focus on performance metrics, service delivery, and adherence to contract terms, particularly the Time and Materials pricing structure.

Related Government Programs

  • Satellite Telecommunications
  • Department of Commerce Contracting
  • National Oceanic and Atmospheric Administration Programs

Risk Flags

  • Potential for cost overruns due to Time and Materials pricing.
  • Limited competition may result in suboptimal pricing.
  • Dependence on a single vendor for critical monitoring services.
  • Lack of transparency regarding specific performance metrics and oversight.

Tags

satellite-telecommunications, department-of-commerce, definitive-contract, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $4.5 million to TWODAY DANMARK A/S. VESSEL MONITORING SYSTEM AND SERVICES FOR NOAA FISHERIES OFFICE OF LAW ENFORCEMENT

Who is the contractor on this award?

The obligated recipient is TWODAY DANMARK A/S.

Which agency awarded this contract?

Awarding agency: Department of Commerce (National Oceanic and Atmospheric Administration).

What is the total obligated amount?

The obligated amount is $4.5 million.

What is the period of performance?

Start: 2021-09-17. End: 2024-07-31.

What specific performance metrics are in place to ensure the effectiveness of the vessel monitoring system and services?

The contract likely includes performance work statements (PWS) detailing expected service levels, uptime requirements for the monitoring system, data accuracy standards, and reporting frequencies. Regular reviews by NOAA would assess TWODAY DANMARK A/S's adherence to these metrics to ensure the system effectively supports law enforcement objectives and data integrity.

How does the limited competition under SAP impact the government's ability to secure competitive pricing for these critical services?

While SAP allows for expedited procurement, it typically involves fewer vendors than full and open competition. This can limit price discovery and potentially lead to higher costs if only a few vendors are aware of or capable of responding. NOAA would need to ensure fair and reasonable pricing was established through negotiation and market research.

What is the long-term strategy for ensuring the continued availability and technological relevance of the vessel monitoring system beyond this contract's duration?

NOAA's long-term strategy should involve proactive market research to identify emerging technologies and potential new vendors. Planning for future contract renewals or replacements should consider options for ensuring technological advancement, maintaining competitive sourcing, and potentially transitioning to more cost-effective service models as technology evolves.

Industry Classification

NAICS: InformationSatellite TelecommunicationsSatellite Telecommunications

Product/Service Code: IT AND TELECOM - APLLICATIONS

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 1305M221QNFFK0097

Offers Received: 4

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: GAERTORVET 1, KOBENHAVN V

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $4,795,783

Exercised Options: $4,554,787

Current Obligation: $4,461,270

Actual Outlays: $1,263,172

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline

Start Date: 2021-09-17

Current End Date: 2024-07-31

Potential End Date: 2024-07-31 00:00:00

Last Modified: 2026-01-28

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