DoD's $292.6M Engineering Services Contract Awarded to Parsons LLC in 2000, Ending in 2008

Contract Overview

Contract Amount: $292,569,252 ($292.6M)

Contractor: Computer Sciences Parsons LLC

Awarding Agency: Department of Defense

Start Date: 2000-06-01

End Date: 2008-09-30

Contract Duration: 3,043 days

Daily Burn Rate: $96.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: Other

Place of Performance

Location: TINKER AFB, OKLAHOMA County, OKLAHOMA, 73145

State: Oklahoma Government Spending

Plain-Language Summary

Department of Defense obligated $292.6 million to COMPUTER SCIENCES PARSONS LLC for work described as: Key points: 1. Contract awarded under full and open competition, suggesting a broad market search. 2. The contract duration of over 8 years indicates a long-term need for engineering services. 3. The firm-fixed-price structure likely aimed to control costs and transfer risk to the contractor. 4. Awarded to a single contractor, Computer Sciences Parsons LLC, for a significant duration. 5. The North American Industry Classification System (NAICS) code 541330 points to engineering services. 6. The contract was administered by the Department of the Air Force, a major DoD component.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific deliverables and performance metrics. However, the total award of approximately $292.6 million over more than 8 years suggests an average annual value of around $36.5 million. This figure needs to be compared against the scope and complexity of the engineering services provided. Given the long duration and the nature of engineering services, the pricing would likely be influenced by labor rates, overhead, and profit margins. Without detailed task orders or performance reports, a definitive value-for-money assessment is difficult, but the scale of the award indicates a substantial investment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'full and open competition,' indicating that all responsible sources were permitted to submit offers. This suggests a deliberate effort by the Department of the Air Force to solicit a wide range of potential contractors. The fact that it resulted in an award to a single entity, Computer Sciences Parsons LLC, after this broad solicitation implies that Parsons was deemed the most advantageous offeror based on the evaluation criteria at the time. The number of bids received is not specified, but the competition type generally promotes price discovery and potentially better pricing for the government.

Taxpayer Impact: A full and open competition process is generally favorable for taxpayers as it maximizes the pool of potential offerors, increasing the likelihood of competitive pricing and innovative solutions, which can lead to better value for public funds.

Public Impact

The Department of Defense, specifically the Air Force, benefits from specialized engineering expertise. Services likely supported various Air Force programs, infrastructure, or operational needs. The geographic impact is likely concentrated around Air Force installations or project sites. The contract supported a workforce of engineers and technical specialists employed by the contractor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long contract duration could lead to potential for cost overruns if not managed tightly.
Reliance on a single contractor for an extended period might reduce future competitive pressure.
Scope creep could be a risk over the multi-year term if not carefully controlled.

Positive Signals

Firm-fixed-price contract structure helps in budget predictability and cost control.
Full and open competition suggests a robust initial selection process.
The contractor, Computer Sciences Parsons LLC, likely possesses specialized engineering capabilities.

Sector Analysis

This contract falls within the Engineering Services sector, a critical component of the broader professional, scientific, and technical services industry. This sector is characterized by specialized expertise in design, analysis, and project management across various domains, including defense. The market size for engineering services supporting the federal government is substantial, driven by complex infrastructure, defense systems, and research and development needs. This specific contract likely represents a significant portion of spending for specialized engineering support within the Department of Defense during its performance period.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). Therefore, it did not directly involve small business set-aside provisions. The prime contractor, Computer Sciences Parsons LLC, is likely a large business. There is no explicit information on subcontracting plans or performance, but large, long-term contracts often include provisions for small business participation. The absence of a small business set-aside means opportunities for small businesses would primarily be through subcontracting, if pursued by the prime.

Oversight & Accountability

Oversight for this contract would have been managed by the Department of the Air Force contracting and program management offices. The firm-fixed-price nature of the contract implies a focus on delivery according to specifications. Accountability measures would be tied to contract performance clauses and milestones. Transparency would be facilitated through contract award databases and potentially through reporting requirements. Inspector General jurisdiction would apply for investigations into fraud, waste, or abuse.

Related Government Programs

Defense Engineering Services
Air Force Professional Services
Long-Term Government Contracts
Federal IT and Engineering Support

Risk Flags

Long-term contract duration
Single award after full and open competition
Lack of specific performance metrics in summary data

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $292.6 million to COMPUTER SCIENCES PARSONS LLC. See the official description on USAspending.

Who is the contractor on this award?

The obligated recipient is COMPUTER SCIENCES PARSONS LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $292.6 million.

What is the period of performance?

Start: 2000-06-01. End: 2008-09-30.

What specific types of engineering services were provided under this contract?

The provided data identifies the contract under NAICS code 541330, which corresponds to 'Engineering Services.' This broad category can encompass a wide range of activities, including but not limited to architectural and engineering design, systems engineering, technical consulting, project management, and specialized analysis related to defense systems, infrastructure, or operational requirements. Without access to the contract's statement of work (SOW) or task orders, the precise nature of the services remains unspecified. However, given the awarding agency (Department of the Air Force), it is probable that the services supported military aviation, aerospace programs, base infrastructure development, or related defense technologies.

How does the $292.6 million award compare to similar engineering services contracts awarded by the DoD around the year 2000?

Comparing the $292.6 million award to similar contracts from the year 2000 requires access to historical contract databases and market analysis for engineering services. However, as a total value over an 8-year period (approximately $36.5 million annually), it represents a significant but not necessarily outlier sum for major defense engineering support. Large-scale engineering contracts for defense projects, especially those involving complex systems or infrastructure, often reach into the hundreds of millions of dollars. The 'full and open competition' aspect suggests the DoD sought broad market participation, implying the potential scale and importance of the services required. Further analysis would involve benchmarking against contracts with similar NAICS codes and durations awarded by different branches of the DoD or other federal agencies during that timeframe.

What were the key performance indicators (KPIs) or metrics used to evaluate the contractor's performance?

The provided summary data does not include specific Key Performance Indicators (KPIs) or metrics used to evaluate Computer Sciences Parsons LLC's performance under this contract. Typically, for engineering services contracts, performance is assessed based on factors such as adherence to technical specifications, quality of deliverables, timeliness of project completion, cost control (especially relevant for fixed-price contracts where deviations are penalized), and overall customer satisfaction. For a firm-fixed-price contract, the primary metric is successful delivery of the defined scope of work within the agreed-upon price and schedule. The 'st': 'OK' and 'sn': 'OKLAHOMA' fields might relate to contract status or administrative details rather than performance metrics.

What is the historical spending trend for engineering services by the Department of the Air Force in the years surrounding this contract?

Analyzing the historical spending trend for engineering services by the Department of the Air Force around the 2000-2008 period would require detailed budget and contract award data. This specific $292.6 million contract represents a substantial single award within that timeframe. Generally, defense spending on engineering services fluctuates based on geopolitical events, modernization programs, and infrastructure needs. The early 2000s saw significant military operations and technological advancements, likely driving demand for engineering support. To establish a trend, one would need to aggregate spending across numerous contracts within the 541330 NAICS code and similar categories, looking at annual totals to identify patterns of increase or decrease in investment in engineering capabilities.

Were there any significant challenges or disputes encountered during the performance of this contract?

The provided data does not contain information regarding specific challenges or disputes encountered during the performance of this contract. Contract performance issues, such as scope changes, delays, technical difficulties, or disagreements over contract terms, are common in long-term, complex agreements. Resolution of such issues can involve contract modifications, negotiations, or formal dispute resolution processes. The status indicators 'st': 'OK' and 'sn': 'OKLAHOMA' do not provide insight into performance challenges. A thorough review of contract modification history, correspondence, or any associated litigation would be necessary to identify any significant disputes.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 6

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Computer Sciences Corporation (UEI: 009581091)

Address: 7615 5TH ST, TINKER AFB, OK, 04

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Cost or Pricing Data: NO

Timeline