DOT's FAA Awards $9.37M for EFAST Task Order to Cobec, Inc

Contract Overview

Contract Amount: $9,368,138 ($9.4M)

Contractor: Cobec, Inc.

Awarding Agency: Department of Transportation

Start Date: 2022-01-04

End Date: 2026-12-27

Contract Duration: 1,818 days

Daily Burn Rate: $5.2K/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 4

Pricing Type: TIME AND MATERIALS

Sector: Transportation

Official Description: INITIAL FUNDING FOR THE NEW EFAST TASK ORDER.

Place of Performance

Location: MANASSAS, PRINCE WILLIAM County, VIRGINIA, 20109

State: Virginia Government Spending

Plain-Language Summary

Department of Transportation obligated $9.4 million to COBEC, INC. for work described as: INITIAL FUNDING FOR THE NEW EFAST TASK ORDER. Key points: 1. The contract is for Administrative Management and General Management Consulting Services. 2. Awarded to Cobec, Inc., a company with a history of government contracts. 3. The contract duration is 1818 days, ending in December 2026. 4. Funding is initial, suggesting potential for future task orders or modifications. 5. The contract type is Time and Materials, which can pose cost control challenges.

Value Assessment

Rating: fair

The Time and Materials contract type, while flexible, offers less price certainty compared to fixed-price contracts. The initial funding of $9.37M over nearly 5 years requires careful monitoring to ensure costs remain within reasonable bounds for the services provided.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under SAP (Simplified Acquisition Procedures) and awarded via a BPA Call. While competed, SAP can limit the pool of potential offerors compared to full and open competition, potentially impacting price discovery.

Taxpayer Impact: The use of SAP and a Time and Materials contract type necessitates robust oversight to ensure taxpayer funds are used efficiently and effectively for the required services.

Public Impact

Ensures continued support for the EFAST system, crucial for aviation safety and efficiency. Supports a specific contractor, Cobec, Inc., contributing to their revenue and workforce. The Time and Materials nature of the contract means costs could fluctuate based on labor hours and material usage. Potential for follow-on work or contract modifications could increase the total value. Oversight is critical to manage costs and ensure performance aligns with expectations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials contract type
Limited competition under SAP
Potential for cost overruns

Positive Signals

Initial funding secured for critical EFAST task order
Contract awarded to an established government contractor
Clear end date provides planning horizon

Sector Analysis

The Federal Aviation Administration (FAA) operates within the broader transportation sector, often utilizing consulting services for administrative and management functions. Spending benchmarks for similar administrative management consulting services can vary widely based on scope and duration, but initial funding of $9.37M for a nearly 5-year task order warrants scrutiny.

Small Business Impact

The data does not indicate whether Cobec, Inc. is a small business. Further analysis would be needed to determine the impact on small business participation in this contract.

Oversight & Accountability

The contract's Time and Materials nature requires diligent oversight from the FAA to monitor labor hours, rates, and material costs. Regular performance reviews and cost analysis will be essential to ensure accountability and prevent potential overspending.

Related Government Programs

Administrative Management and General Management Consulting Services
Department of Transportation Contracting
Federal Aviation Administration Programs

Risk Flags

Time and Materials contract type increases cost risk.
Limited competition under SAP may reduce price competitiveness.
Potential for scope creep without clear deliverables.
Need for robust oversight to manage costs and performance.
Initial funding may not represent the total contract value.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $9.4 million to COBEC, INC.. INITIAL FUNDING FOR THE NEW EFAST TASK ORDER.

Who is the contractor on this award?

The obligated recipient is COBEC, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $9.4 million.

What is the period of performance?

Start: 2022-01-04. End: 2026-12-27.

What is the specific scope of work for the EFAST task order, and how does it align with the $9.37M budget?

The provided data indicates the task order is for 'Administrative Management and General Management Consulting Services' (NAICS 541611) under the EFAST program. A detailed scope of work document would be necessary to fully assess the alignment of the budget with the specific deliverables, personnel hours, and expertise required. Without this, it's difficult to definitively judge value for money.

What are the potential risks associated with a Time and Materials contract for this type of service, and how are they being mitigated?

Time and Materials (T&M) contracts carry inherent risks of cost escalation if not closely managed, as the final price is not fixed. Potential risks include inflated labor hours, unapproved overtime, and unnecessary material purchases. Mitigation strategies typically involve stringent monitoring of timesheets, detailed cost reporting, defined labor categories with capped rates, and regular performance reviews by the contracting officer.

How effective is the competition method (SAP) in ensuring the FAA receives the best value for these consulting services?

Simplified Acquisition Procedures (SAP) are designed for purchases below certain thresholds, aiming for efficiency. While it allows for competition, it may not attract as wide a range of bidders as full and open competition. The effectiveness in ensuring best value depends on the specific market for these services and how well the FAA structured the solicitation to encourage competitive pricing and technical proposals within the SAP framework.

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: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 4

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Cobec Inc.

Address: 7858 BLUE GRAY CIR, MANASSAS, VA, 20109

Business Categories: Category Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $14,992,199

Exercised Options: $9,368,138

Current Obligation: $9,368,138

Actual Outlays: $8,432,813

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DTFAWA10A00024

IDV Type: BPA

Timeline