DoD's $43.8M Contract for Testing Services Awarded to Schafer Government Services, LLC
Contract Overview
Contract Amount: $43,841,351 ($43.8M)
Contractor: Schafer Government Services, LLC
Awarding Agency: Department of Defense
Start Date: 2005-10-01
End Date: 2011-03-31
Contract Duration: 2,007 days
Daily Burn Rate: $21.8K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: Defense
Official Description: 200608!000588!5700!FA2521!45CONS/PK !FA252105C8009 !A!N! !Y! !P00003!20060502!20070412!069341303!069341303!069341303!N!SCHAFER CORPORATION !321 BILLERICA RD !CHELMSFORD !MA!01824!77042!001!06!SUNOL !ALAMEDA !CALIFORNIA!+000001284344!N!N!000000000000!R499!OTHER PROFESSIONAL SERVICES !S1 !SERVICES !000 !NOT DISCERNABLE !541380!E! !3! ! !B! ! !99990909!B!F!N!N!Z!D!N!U!1!001!N!1G!Z!Y!Z! ! !N!C!N! ! ! !A!A!A!A!000!A!B!N! ! ! !Y! !FA2521!0001! !
Place of Performance
Location: SUNOL, ALAMEDA County, CALIFORNIA, 94586
Plain-Language Summary
Department of Defense obligated $43.8 million to SCHAFER GOVERNMENT SERVICES, LLC for work described as: 200608!000588!5700!FA2521!45CONS/PK !FA252105C8009 !A!N! !Y! !P00003!20060502!20070412!069341303!069341303!069341303!N!SCHAFER CORPORATION !321 BILLERICA RD !CHELMSFORD !MA!01824!77042!001!06!SUNOL !ALAM… Key points: 1. The contract, valued at $43.8 million, is for testing laboratories and services. 2. Awarded to Schafer Government Services, LLC, indicating a specific vendor relationship. 3. The contract was not competed, raising questions about potential price discovery. 4. The sector is Defense, with a significant portion allocated to testing and evaluation.
Value Assessment
Rating: fair
The contract value of $43.8 million for testing services appears substantial. Benchmarking against similar contracts for 'Testing Laboratories and Services' (NAICS 541380) would be necessary to assess if this price is competitive.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
The contract was not competed, indicating a sole-source award. This method limits price discovery and may result in higher costs for the government compared to a competitive process.
Taxpayer Impact: The lack of competition could lead to taxpayers paying a premium for these testing services.
Public Impact
Defense spending on specialized testing services. Potential for increased costs due to non-competitive award. Impact on small businesses in the testing and evaluation sector. Government's reliance on specific contractors for critical services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Cost-plus contract type
- Long contract duration
Positive Signals
- Specific service requirement met
- Established vendor relationship
Sector Analysis
This contract falls within the Defense sector, specifically for testing laboratories and services. Spending in this area is critical for ensuring the quality and reliability of defense equipment and systems. Benchmarks for similar services can vary widely based on complexity and scope.
Small Business Impact
The data indicates this contract was not awarded to small businesses. Further analysis would be needed to determine if opportunities for small business subcontracting were explored or mandated.
Oversight & Accountability
The 'NOT COMPETED' designation suggests a potential lack of robust oversight in the initial procurement phase. Ensuring fair pricing and performance through post-award oversight is crucial for sole-source contracts.
Related Government Programs
- Testing Laboratories and Services
- Department of Defense Contracting
- Defense Contract Management Agency Programs
Risk Flags
- Sole-source award limits competition and potentially increases costs.
- Cost-plus contract type shifts cost overrun risk to the government.
- Long contract duration (2005-2011) may not reflect current market conditions.
- Lack of small business participation noted.
Tags
testing-laboratories-and-services, department-of-defense, ca, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $43.8 million to SCHAFER GOVERNMENT SERVICES, LLC. 200608!000588!5700!FA2521!45CONS/PK !FA252105C8009 !A!N! !Y! !P00003!20060502!20070412!069341303!069341303!069341303!N!SCHAFER CORPORATION !321 BILLERICA RD !CHELMSFORD !MA!01824!77042!001!06!SUNOL !ALAMEDA !CALIFORNIA!+000001284344!N!N!000000000000!R499!OTHER PROFESSIONAL SERVICES !S1 !SERVICES !000 !NOT DISCERNABLE !541380!E! !3! ! !B! ! !999
Who is the contractor on this award?
The obligated recipient is SCHAFER GOVERNMENT SERVICES, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Contract Management Agency).
What is the total obligated amount?
The obligated amount is $43.8 million.
What is the period of performance?
Start: 2005-10-01. End: 2011-03-31.
What was the justification for awarding this contract on a sole-source basis?
The justification for a sole-source award typically involves unique capabilities, urgent needs, or a lack of other qualified sources. Without specific documentation, it's difficult to ascertain the precise reason. However, such awards warrant scrutiny to ensure they are truly necessary and not a result of inadequate market research or planning.
How does the cost-plus fixed fee structure impact overall cost control for this contract?
Cost-plus fixed fee (CPFF) contracts allow the contractor to recover all allowable costs plus a predetermined fixed fee. While the fee provides an incentive for efficiency, the government bears the risk of cost overruns. This structure can lead to higher overall costs if not managed diligently through strong oversight and cost monitoring.
What is the long-term strategic value of this sole-source testing contract for the Department of Defense?
The long-term strategic value depends on the criticality and uniqueness of the testing services provided. If Schafer Government Services possesses specialized expertise or equipment essential for DoD missions that cannot be easily replicated, the contract could be strategically valuable. However, reliance on a single source for extended periods can also pose risks.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Testing Laboratories and Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Gryphon Technologies, Inc. (UEI: 081041651)
Address: 101 BILLERICA AVE BLDG 5 STE 201, NORTH BILLERICA, MA, 01862
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $44,167,136
Exercised Options: $44,167,136
Current Obligation: $43,841,351
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: YES
Timeline
Start Date: 2005-10-01
Current End Date: 2011-03-31
Potential End Date: 2011-03-31 00:00:00
Last Modified: 2020-07-27
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