DOT Awards $2M for FAA Financial Management Support to A3 Technology Inc

Contract Overview

Contract Amount: $2,047,425 ($2.0M)

Contractor: A3 Technology Inc

Awarding Agency: Department of Transportation

Start Date: 2024-06-10

End Date: 2026-06-12

Contract Duration: 732 days

Daily Burn Rate: $2.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: INITIAL FUNDING TO SETIS TORP# 2404, RESOURCE ENTERPRISE DIRECTORATE (AJG-R) FINANCIAL MANAGEMENT SUPPORT FOR AJG-R38

Place of Performance

Location: EGG HARBOR CITY, ATLANTIC County, NEW JERSEY, 08215

State: New Jersey Government Spending

Plain-Language Summary

Department of Transportation obligated $2.0 million to A3 TECHNOLOGY INC for work described as: INITIAL FUNDING TO SETIS TORP# 2404, RESOURCE ENTERPRISE DIRECTORATE (AJG-R) FINANCIAL MANAGEMENT SUPPORT FOR AJG-R38 Key points: 1. Contract awarded to A3 Technology Inc. for engineering services. 2. The contract is for financial management support for the FAA's Resource Enterprise Directorate. 3. This is a Time and Materials contract with a duration of 732 days. 4. The award value is approximately $2.05 million.

Value Assessment

Rating: good

The contract value of $2.05 million for engineering services appears reasonable given the scope of financial management support for a directorate within the FAA. Benchmarking against similar contracts for specialized financial and management support services would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating a limited competition. This method might impact price discovery compared to a fully open solicitation, potentially leading to less competitive pricing.

Taxpayer Impact: Taxpayers are funding specialized engineering and financial management support for the FAA, ensuring efficient resource allocation and program oversight.

Public Impact

Ensures continued financial management and operational support for critical FAA functions. Supports the Resource Enterprise Directorate's ability to manage its budget and resources effectively. Aims to improve efficiency and accountability in federal spending within the FAA.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may impact cost-effectiveness.
Time and Materials contract type can pose cost control risks if not closely monitored.

Positive Signals

Supports a key agency function (FAA financial management).
Awarded to a specific company for specialized services.

Sector Analysis

This contract falls under engineering services (NAICS 541330), a sector crucial for government operations. Spending in this area supports technical expertise and program management, with benchmarks varying widely based on specialization and agency needs.

Small Business Impact

The data indicates this contract was not awarded to a small business. Further analysis would be needed to determine if small business participation was considered or if opportunities were missed.

Oversight & Accountability

Oversight will be crucial to ensure the effective delivery of financial management support and to manage the Time and Materials contract to prevent cost overruns. The FAA's internal controls and contracting officers will be responsible for monitoring performance and expenditures.

Related Government Programs

Engineering Services
Department of Transportation Contracting
Federal Aviation Administration Programs

Risk Flags

Limited competition.
Time and Materials contract type.
No small business award noted.
Potential for cost overruns with T&M.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $2.0 million to A3 TECHNOLOGY INC. INITIAL FUNDING TO SETIS TORP# 2404, RESOURCE ENTERPRISE DIRECTORATE (AJG-R) FINANCIAL MANAGEMENT SUPPORT FOR AJG-R38

Who is the contractor on this award?

The obligated recipient is A3 TECHNOLOGY INC.

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Aviation Administration).

What is the total obligated amount?

The obligated amount is $2.0 million.

What is the period of performance?

Start: 2024-06-10. End: 2026-06-12.

What is the specific scope of 'financial management support' required by AJG-R38?

The scope likely includes budgeting, financial analysis, accounting support, resource planning, and potentially audit preparation or compliance activities. Detailed requirements would be outlined in the Statement of Work (SOW) for this delivery order, specifying the exact tasks and deliverables expected from A3 Technology Inc. to support the FAA's Resource Enterprise Directorate.

What are the risks associated with a 'Time and Materials' contract for these services?

Time and Materials (T&M) contracts carry inherent risks of cost escalation if not managed diligently. The government pays for the actual time and materials used, which can lead to higher costs than fixed-price contracts if the effort or material needs are underestimated or if there is scope creep. Robust oversight and clear task definitions are essential to mitigate these risks.

How does this contract contribute to the overall effectiveness of the FAA's Resource Enterprise Directorate?

This contract is intended to enhance the effectiveness of the FAA's Resource Enterprise Directorate by providing specialized expertise in financial management. This support is crucial for ensuring accurate budgeting, efficient resource allocation, and compliance with financial regulations, ultimately enabling the directorate to better achieve its operational and strategic objectives.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 327 W WHITE HORSE PKE, EGG HARBOR CITY, NJ, 08215

Business Categories: Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $6,451,841

Exercised Options: $2,047,425

Current Obligation: $2,047,425

Actual Outlays: $1,567,543

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 693KA822D00026

IDV Type: IDC

Timeline