Commerce Department awards $2.1M contract for professional support services to Veteran Engineering & Technology LLC

Contract Overview

Contract Amount: $2,148,004 ($2.1M)

Contractor: Veteran Engineering & Technology LLC

Awarding Agency: Department of Commerce

Start Date: 2022-08-09

End Date: 2026-08-09

Contract Duration: 1,461 days

Daily Burn Rate: $1.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: SUPPORT- PROFESSIONAL: PROGRAM MANAGEMENT/SUPPORT

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20230

State: District of Columbia Government Spending

Plain-Language Summary

Department of Commerce obligated $2.1 million to VETERAN ENGINEERING & TECHNOLOGY LLC for work described as: SUPPORT- PROFESSIONAL: PROGRAM MANAGEMENT/SUPPORT Key points: 1. Contract provides essential program management and support services. 2. Veteran Engineering & Technology LLC, a service-disabled veteran-owned small business, is the awardee. 3. The contract is structured as a firm-fixed-price delivery order. 4. Duration of the contract is approximately four years. 5. The contract was awarded under full and open competition. 6. Services are categorized under Administrative Management and General Management Consulting Services.

Value Assessment

Rating: good

The contract value of $2.1 million over four years appears reasonable for professional program management support. Benchmarking against similar contracts for administrative and management consulting services is necessary for a definitive value assessment. The firm-fixed-price structure provides cost certainty for the government, but the specific pricing details and comparison to market rates for the services rendered would offer a more granular view of value for money.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'full and open competition after exclusion of sources,' indicating a competitive process was utilized. While the exact number of bidders is not specified, this procurement method generally aims to maximize competition and ensure fair pricing. The exclusion of sources clause might warrant further investigation to understand its specific implications on the competitive landscape.

Taxpayer Impact: Full and open competition generally leads to better price discovery and potentially lower costs for taxpayers by allowing all qualified vendors to bid.

Public Impact

The Department of Commerce benefits from enhanced program management and support. Services delivered include administrative management and general management consulting. The contract's geographic impact is focused on the District of Columbia. The contract supports the operational efficiency of the Office of the Secretary.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics makes it difficult to assess the effectiveness of the support services.
The 'exclusion of sources' clause in the competition type could potentially limit broader market participation if not fully justified.
Without detailed task orders, the precise nature and impact of the consulting services are not fully transparent.

Positive Signals

Award to a service-disabled veteran-owned small business aligns with federal small business goals.
Firm-fixed-price contract provides budget predictability.
Longer contract duration allows for sustained support and potential for relationship building.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically administrative and management consulting. This sector is a significant component of federal spending, supporting a wide range of government functions. The market for these services is competitive, with numerous firms offering expertise in program management and operational support. The value of this contract is modest within the broader context of federal IT and professional services spending.

Small Business Impact

While Veteran Engineering & Technology LLC is a small business, this contract was awarded under full and open competition, not specifically as a small business set-aside. The company's status as a service-disabled veteran-owned small business is a positive signal for supporting veteran entrepreneurship. Further analysis would be needed to determine if subcontracting opportunities are being leveraged to engage other small businesses.

Oversight & Accountability

The firm-fixed-price nature of the contract provides a degree of financial oversight. Oversight will likely be managed through the Department of Commerce's contracting officer and program managers. Transparency regarding specific deliverables and performance outcomes would enhance accountability. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Professional Services Schedule (PSS)
Management and Consulting Services
Administrative Support Contracts
Program Management Support

Risk Flags

Potential for limited competition due to 'exclusion of sources' clause.
Lack of detailed performance metrics makes outcome assessment difficult.
Contractor's specific experience with similar complex program management needs further verification.

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $2.1 million to VETERAN ENGINEERING & TECHNOLOGY LLC. SUPPORT- PROFESSIONAL: PROGRAM MANAGEMENT/SUPPORT

Who is the contractor on this award?

The obligated recipient is VETERAN ENGINEERING & TECHNOLOGY LLC.

Which agency awarded this contract?

Awarding agency: Department of Commerce (Office of the Secretary).

What is the total obligated amount?

The obligated amount is $2.1 million.

What is the period of performance?

Start: 2022-08-09. End: 2026-08-09.

What is the specific track record of Veteran Engineering & Technology LLC in delivering similar program management and consulting services to federal agencies?

Veteran Engineering & Technology LLC (VET) is a service-disabled veteran-owned small business (SDVOSB) that specializes in providing engineering, IT, and professional services. While specific details on past performance for this exact type of contract are not provided in the summary data, VET's profile suggests experience in supporting government programs. A deeper dive into their contract history, past performance evaluations (e.g., CPARS reports), and client testimonials would offer a clearer picture of their capabilities and reliability in delivering administrative management and general management consulting services. Their status as an SDVOSB indicates a commitment to serving federal needs, often with a focus on mission-critical support.

How does the awarded price compare to market rates for similar administrative management and general management consulting services?

The provided data does not include specific pricing details or labor rates, making a direct comparison to market rates challenging. The total contract value is $2.15 million over approximately 1461 days (about 4 years). To assess value for money, one would need to analyze the specific services rendered, the labor categories involved, and the corresponding hourly or daily rates against industry benchmarks for management consulting services in the Washington D.C. metropolitan area. The firm-fixed-price nature helps control costs, but the underlying rates are crucial for a thorough value assessment. Benchmarking against GSA Schedules or other competitively awarded contracts for similar services would be the next step.

What are the primary risks associated with this contract, and what mitigation strategies are in place?

Potential risks include performance shortfalls if VET does not deliver the expected quality or timeliness of services, cost overruns if the fixed-price structure doesn't adequately account for unforeseen complexities (though less likely with FFP), and potential disruptions if key personnel depart. A significant risk could also stem from the 'exclusion of sources' clause, which might indicate a less competitive environment than initially perceived, potentially impacting price or innovation. Mitigation strategies typically involve robust contract oversight, clear performance standards, regular communication, and contingency planning. The government's ability to monitor performance and enforce contract terms is key to mitigating these risks.

How effective is the current contract in achieving the Department of Commerce's program management and administrative support objectives?

The effectiveness of this contract in achieving objectives cannot be fully assessed with the provided data alone. The contract is relatively new (awarded August 2022, ending August 2026), and its performance is ongoing. Effectiveness would be measured by the successful execution of program management tasks, the quality of consulting advice provided, and the overall contribution to the efficiency and goals of the Office of the Secretary. Key performance indicators (KPIs) and regular performance reviews would be essential metrics to gauge success. The long-term impact on departmental operations and the achievement of specific program outcomes are critical indicators of effectiveness.

What are the historical spending patterns for administrative management and general management consulting services within the Department of Commerce?

Historical spending patterns for administrative management and general management consulting services within the Department of Commerce are not detailed in the provided data. However, federal agencies, including the Department of Commerce, routinely procure such services to augment internal capabilities, manage complex programs, and provide specialized expertise. Spending in this category can fluctuate based on agency priorities, budget allocations, and the initiation of new programs or initiatives. Analyzing past years' spending on similar NAICS codes (like 541611) would reveal trends, identify major contractors, and provide context for the current contract's value and duration relative to historical investments.

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

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5475 MARK DABLING BLVD, SUITE 300, COLORADO SPRINGS, CO, 80918

Business Categories: Category Business, Limited Liability Corporation, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $4,480,587

Exercised Options: $2,864,314

Current Obligation: $2,148,004

Actual Outlays: $9,911

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 1331L520D13ES0004

IDV Type: IDC

Timeline