DOE awards $13.87M for Engineering Services to AOC Petroleum Support Services LLC
Contract Overview
Contract Amount: $13,869,504 ($13.9M)
Contractor: AOC Petroleum Support Services LLC
Awarding Agency: Department of Energy
Start Date: 2003-05-15
End Date: 2009-03-11
Contract Duration: 2,127 days
Daily Burn Rate: $6.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: COST PLUS AWARD FEE
Sector: Other
Place of Performance
Location: DULLES, LOUDOUN County, VIRGINIA, 20101
State: Virginia Government Spending
Plain-Language Summary
Department of Energy obligated $13.9 million to AOC PETROLEUM SUPPORT SERVICES LLC for work described as: Key points: 1. Contract awarded to AOC Petroleum Support Services LLC for $13.87M. 2. Engineering Services sector, NAICS 541330. 3. Full and open competition was utilized. 4. Contract duration was 2127 days. 5. No small business participation noted.
Value Assessment
Rating: fair
The contract type is Cost Plus Award Fee, which can lead to higher costs if not managed carefully. The award amount of $13.87M over 2127 days suggests a moderate daily spend.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
Full and open competition was used, which is generally good for price discovery. However, the long duration and cost-plus fee structure may have limited the ultimate cost savings.
Taxpayer Impact: Taxpayer funds were used for engineering services. The effectiveness of competition in driving down costs over the long term is a key consideration.
Public Impact
Provides essential engineering services to the Department of Energy. Long contract duration indicates a sustained need for these services. Potential for cost overruns due to Cost Plus Award Fee structure.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Award Fee contract type
- Long contract duration (2127 days)
- No small business participation
Positive Signals
- Full and open competition utilized
- Awarded by Department of Energy
Sector Analysis
This contract falls under Engineering Services, a critical sector for government operations. Benchmarks for similar long-term engineering service contracts would be needed for a precise comparison.
Small Business Impact
The contract data indicates that small businesses were not involved in this award, which is a missed opportunity for economic development and potentially competitive pricing.
Oversight & Accountability
Oversight would be crucial to ensure the Cost Plus Award Fee structure is managed effectively and that the contractor meets performance expectations within budget.
Related Government Programs
- Engineering Services
- Department of Energy Contracting
- Department of Energy Programs
Risk Flags
- Cost Plus Award Fee contract type
- Long contract duration
- No small business participation
- Potential for cost overruns
Tags
engineering-services, department-of-energy, va, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Energy awarded $13.9 million to AOC PETROLEUM SUPPORT SERVICES LLC. See the official description on USAspending.
Who is the contractor on this award?
The obligated recipient is AOC PETROLEUM SUPPORT SERVICES LLC.
Which agency awarded this contract?
Awarding agency: Department of Energy (Department of Energy).
What is the total obligated amount?
The obligated amount is $13.9 million.
What is the period of performance?
Start: 2003-05-15. End: 2009-03-11.
What was the final cost compared to the initial estimate, and how did the award fee structure influence contractor performance?
The provided data does not include the final cost or details on how the award fee structure impacted performance. Further investigation into contract performance reports and final expenditure would be necessary to assess value for money and the effectiveness of the incentive mechanism.
Given the long duration and cost-plus nature, what were the primary risks to the government, and how were they mitigated?
The primary risks included potential cost overruns due to the Cost Plus Award Fee structure and the contractor not meeting performance standards over the extended period. Mitigation would typically involve robust oversight, clear performance metrics, and defined award fee criteria.
How effective was the full and open competition in securing competitive pricing for these engineering services over the contract's lifespan?
While full and open competition is a positive indicator, the long duration and cost-plus award fee structure might have limited the long-term price competitiveness. The actual effectiveness would depend on the specific market conditions and the clarity of the statement of work.
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
Offers Received: 2
Pricing Type: COST PLUS AWARD FEE (R)
Contractor Details
Address: 14030 THUNDERBOLT PL, CHANTILLY, VA, 90
Business Categories: Category Business, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $13,496,325
Exercised Options: $13,066,325
Current Obligation: $13,869,504
Timeline
Start Date: 2003-05-15
Current End Date: 2009-03-11
Potential End Date: 2009-03-11 00:00:00
Last Modified: 2011-01-10
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