Energy Solutions Performance Strategies Inc. awarded $16.1M for broad-based technical support at Oak Ridge
Contract Overview
Contract Amount: $16,096,904 ($16.1M)
Contractor: Energy Solutions Performance Strategies, Inc.
Awarding Agency: Department of Energy
Start Date: 2003-09-30
End Date: 2009-06-30
Contract Duration: 2,100 days
Daily Burn Rate: $7.7K/day
Competition Type: COMPETITIVE DELIVERY ORDER
Number of Offers Received: 51
Pricing Type: TIME AND MATERIALS
Sector: Other
Official Description: BROAD-BASED TECHNICAL SUPPORT SERVICES AT OAK RIDGE OFFICE
Place of Performance
Location: OAK RIDGE, ANDERSON County, TENNESSEE, 37830
Plain-Language Summary
Department of Energy obligated $16.1 million to ENERGY SOLUTIONS PERFORMANCE STRATEGIES, INC. for work described as: BROAD-BASED TECHNICAL SUPPORT SERVICES AT OAK RIDGE OFFICE Key points: 1. Contract awarded via competitive delivery order, suggesting a degree of market vetting. 2. The contract duration of 2100 days (approx. 5.75 years) indicates a long-term need for these services. 3. The contract type is Time and Materials, which can pose cost control risks if not managed diligently. 4. The base award amount is $16.1M, with potential for growth based on task orders. 5. The North American Industry Classification System (NAICS) code 541611 points to management consulting services. 6. The contract was awarded to Energy Solutions Performance Strategies, Inc., a single entity for this delivery order.
Value Assessment
Rating: fair
The total award of $16.1M over approximately 5.75 years for technical support services at Oak Ridge requires careful benchmarking. Without specific deliverables or performance metrics, assessing value for money is challenging. The Time and Materials (T&M) contract type, while flexible, can lead to higher costs if not closely monitored for efficiency and necessity of hours billed. Comparing this to similar broad-based technical support contracts across the Department of Energy or other agencies would be necessary to determine if the pricing is competitive.
Cost Per Unit: N/A
Competition Analysis
Competition Level: unknown
This contract was awarded as a competitive delivery order, implying that multiple vendors likely had the opportunity to bid. The specific number of bidders is not provided, but the 'competitive' designation suggests that the Department of Energy sought to leverage market competition to obtain favorable terms. The use of a delivery order under a larger contract vehicle (not specified here) is a common procurement method that allows for flexibility while still maintaining a competitive process.
Taxpayer Impact: A competitive award process generally benefits taxpayers by fostering price discovery and encouraging vendors to offer their best pricing and technical solutions to win the contract.
Public Impact
The primary beneficiaries are likely the Department of Energy's operations at the Oak Ridge facility, which receive essential technical support. Services delivered encompass broad-based technical support, which could include a range of administrative, management, and operational assistance. The geographic impact is localized to the Oak Ridge, Tennessee facility. Workforce implications may involve the employment of consultants and technical staff by Energy Solutions Performance Strategies, Inc.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Time and Materials contract type can lead to cost overruns if not managed effectively.
- Lack of specific performance metrics makes value assessment difficult.
- The long duration of the contract (2100 days) could lead to vendor complacency if oversight is weak.
Positive Signals
- Awarded through a competitive delivery order process, indicating some level of market competition.
- The contract addresses a long-term need for technical support at a critical federal facility.
- The contractor, Energy Solutions Performance Strategies, Inc., is responsible for delivering these services.
Sector Analysis
This contract falls within the professional, scientific, and technical services sector, specifically management consulting. This sector is characterized by a wide range of firms, from large corporations to specialized small businesses, competing on expertise and service delivery. Federal spending in this area is substantial, supporting various agency functions. Benchmarking would involve comparing the contract's value and scope to similar consulting services procured by other federal agencies, particularly within the Department of Energy's operational footprint.
Small Business Impact
The provided data does not indicate if this contract included small business set-asides or subcontracting requirements. Without this information, it's difficult to assess the impact on the small business ecosystem. Typically, larger contracts may have provisions for small business participation, but this specific delivery order's details are not available.
Oversight & Accountability
Oversight for this contract would primarily reside with the contracting officers and program managers within the Department of Energy. Accountability measures would be defined in the contract's statement of work and terms. Transparency is generally facilitated through contract databases like FPDS, where basic award information is published. The extent of Inspector General jurisdiction would depend on the specific audit and investigative priorities of the DOE OIG.
Related Government Programs
- Broad-based Technical Support Services
- Management and Consulting Services
- Department of Energy Contracts
- Oak Ridge Facility Operations Support
Risk Flags
- Time and Materials Contract Type
- Potential for Cost Overruns
- Lack of Specific Deliverables in Summary Data
Tags
management-consulting, department-of-energy, oak-ridge, tennessee, competitive-delivery-order, time-and-materials, technical-support, administrative-management, energy, professional-services
Frequently Asked Questions
What is this federal contract paying for?
Department of Energy awarded $16.1 million to ENERGY SOLUTIONS PERFORMANCE STRATEGIES, INC.. BROAD-BASED TECHNICAL SUPPORT SERVICES AT OAK RIDGE OFFICE
Who is the contractor on this award?
The obligated recipient is ENERGY SOLUTIONS PERFORMANCE STRATEGIES, INC..
Which agency awarded this contract?
Awarding agency: Department of Energy (Department of Energy).
What is the total obligated amount?
The obligated amount is $16.1 million.
What is the period of performance?
Start: 2003-09-30. End: 2009-06-30.
What specific technical support services are included under this contract?
The contract is described as 'BROAD-BASED TECHNICAL SUPPORT SERVICES'. While the NAICS code 541611 points to 'Administrative Management and General Management Consulting Services', the exact scope of 'technical support' is not detailed in the provided data. This could encompass a wide array of activities, potentially including project management, administrative support, operational assistance, technical analysis, and advisory services related to the Department of Energy's mission at the Oak Ridge facility. A thorough review of the contract's statement of work (SOW) would be necessary to ascertain the precise deliverables and services expected from Energy Solutions Performance Strategies, Inc.
How does the $16.1M award compare to similar technical support contracts at DOE facilities?
Benchmarking the $16.1M award requires comparing it against similar 'broad-based technical support services' or 'management consulting services' contracts awarded by the Department of Energy or other agencies for comparable facilities or functions. Factors such as contract duration (2100 days), the specific services rendered, and the complexity of the work at Oak Ridge are crucial for a fair comparison. Without access to a detailed list of comparable contracts, including their scope, duration, and total value, it is difficult to definitively state whether $16.1M represents a high, low, or average cost. However, for a contract spanning nearly six years, this figure suggests a significant, ongoing requirement for support services.
What are the primary risks associated with a Time and Materials (T&M) contract for technical support?
The primary risk with a Time and Materials (T&M) contract, such as this one, is the potential for cost overruns. Unlike fixed-price contracts, T&M contracts reimburse the contractor for direct labor hours at specified hourly rates and for the actual cost of materials. This structure can incentivize longer task durations or less efficient work if not rigorously monitored. For the government, the risk is that costs could escalate beyond initial estimates if the scope is not well-defined or if contractor performance is not closely managed. Effective oversight, including detailed review of timesheets, validation of hours worked, and approval of material costs, is critical to mitigate these risks and ensure value for money.
What is the significance of the contract being a 'Competitive Delivery Order'?
A 'Competitive Delivery Order' signifies that this specific task order was awarded through a process where multiple vendors were invited to compete. This implies that the Department of Energy likely had an existing indefinite-delivery/indefinite-quantity (IDIQ) contract or a similar multiple-award contract vehicle in place, and Energy Solutions Performance Strategies, Inc. was selected from a pool of eligible contractors based on a competitive proposal. This method is generally favored as it allows agencies to leverage competition for specific needs while maintaining flexibility. It suggests that the pricing and terms for this particular order were vetted against other potential providers, which typically leads to better value for the government compared to a sole-source award.
What is the historical spending pattern for broad-based technical support at Oak Ridge?
The provided data only details this specific $16.1M award to Energy Solutions Performance Strategies, Inc. from September 30, 2003, to June 30, 2009. To understand historical spending patterns for broad-based technical support at the Oak Ridge facility, one would need to analyze contract data for previous periods and potentially for other contractors performing similar services. This would involve querying federal procurement databases (like FPDS) for all contracts related to technical support, management consulting, or administrative services awarded to entities operating at Oak Ridge over an extended timeframe. Analyzing trends in award values, contract types, and the number of awarded contracts would reveal patterns in federal investment in these services at the site.
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: COMPETITIVE DELIVERY ORDER
Offers Received: 51
Pricing Type: TIME AND MATERIALS (Y)
Contractor Details
Parent Company: Energy Solutions Performance Strategies Inc. (UEI: 078891647)
Address: 20251 CENTURY BLVD STE 125, GERMANTOWN, MD, 06
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $16,584,095
Exercised Options: $16,736,815
Current Obligation: $16,096,904
Parent Contract
Parent Award PIID: GS00F0041L
IDV Type: FSS
Timeline
Start Date: 2003-09-30
Current End Date: 2009-06-30
Potential End Date: 2009-06-30 00:00:00
Last Modified: 2013-04-11
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