DoD's $17.6M Polygone EW Facility Contract with Walsingham Group Inc. Faces Scrutiny

Contract Overview

Contract Amount: $17,618,407 ($17.6M)

Contractor: Walsingham Group Inc

Awarding Agency: Department of Defense

Start Date: 2015-10-01

End Date: 2021-03-31

Contract Duration: 2,008 days

Daily Burn Rate: $8.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: IGF::OT::IGF OPERATIONS, MAINTENANCE&SUPPORT (OM&S) OF THE USAFE PORTION OF THE MULTINATIONAL AIRCREW ELECTRONIC WARFARE (EW) TACTICS FACILITY (POLYGONE).

Plain-Language Summary

Department of Defense obligated $17.6 million to WALSINGHAM GROUP INC for work described as: IGF::OT::IGF OPERATIONS, MAINTENANCE&SUPPORT (OM&S) OF THE USAFE PORTION OF THE MULTINATIONAL AIRCREW ELECTRONIC WARFARE (EW) TACTICS FACILITY (POLYGONE). Key points: 1. Contract awarded to Walsingham Group Inc. for EW facility OM&S. 2. Full and open competition was used, but specific pricing benchmarks are unclear. 3. Potential risks include long contract duration and lack of small business participation. 4. Spending falls within the IT/Defense sector, with a focus on flight training.

Value Assessment

Rating: fair

The contract value of $17.6M over nearly six years suggests a moderate annual spend. Without specific per-unit cost data or comparison to similar EW facility contracts, a precise value assessment is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a broad search for qualified bidders. However, the lack of detailed pricing information makes it hard to assess if the price discovery mechanism was fully optimized.

Taxpayer Impact: Taxpayer funds are being used for essential military training infrastructure. The effectiveness of competition in securing the best value for this significant expenditure requires further examination.

Public Impact

Supports critical aircrew electronic warfare training for the USAFE. Ensures operational readiness of a multinational facility. Long-term contract may impact flexibility in adopting new technologies. Lack of small business involvement limits broader economic participation.

Waste & Efficiency Indicators

Waste Risk Score: 100 / 10

Warning Flags

Long contract duration (2008-2021)
No small business participation reported
Limited transparency on pricing benchmarks

Positive Signals

Full and open competition utilized
Supports critical military training infrastructure

Sector Analysis

This contract falls within the Defense sector, specifically supporting specialized training facilities. Benchmarks for OM&S of such unique electronic warfare facilities are not readily available, making direct cost comparisons challenging.

Small Business Impact

The contract did not report any small business participation. This suggests that opportunities for small businesses in supporting specialized defense infrastructure may be limited or were not actively pursued in this procurement.

Oversight & Accountability

The contract's long duration and firm fixed-price nature warrant oversight to ensure continued value and performance. Accountability for operational effectiveness and cost control over the extended period is crucial.

Related Government Programs

Flight Training
Department of Defense Contracting
Department of the Air Force Programs

Risk Flags

Long contract duration potentially leading to obsolescence
Lack of small business participation
Limited transparency on cost breakdown and benchmarks
Potential for contractor lock-in due to specialized nature

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $17.6 million to WALSINGHAM GROUP INC. IGF::OT::IGF OPERATIONS, MAINTENANCE&SUPPORT (OM&S) OF THE USAFE PORTION OF THE MULTINATIONAL AIRCREW ELECTRONIC WARFARE (EW) TACTICS FACILITY (POLYGONE).

Who is the contractor on this award?

The obligated recipient is WALSINGHAM GROUP INC.

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 $17.6 million.

What is the period of performance?

Start: 2015-10-01. End: 2021-03-31.

What is the specific breakdown of OM&S costs for the EW facility, and how does it compare to industry standards for similar specialized training infrastructure?

The provided data does not include a detailed cost breakdown for the OM&S of the EW facility. To assess value, a comparison with industry benchmarks for similar specialized training infrastructure, considering factors like technology complexity and operational tempo, would be necessary. Without this granular data, it's difficult to definitively determine if the $17.6M expenditure represents optimal value.

Given the 2008 start date and 2021 end date, what mechanisms were in place to mitigate risks associated with technological obsolescence and evolving EW tactics?

The long contract duration, spanning over a decade, raises concerns about technological obsolescence. While a firm fixed-price contract provides cost certainty, it may limit the contractor's incentive to proactively upgrade systems. Oversight mechanisms should have included regular reviews and potential contract modifications to incorporate evolving EW tactics and technologies, ensuring the facility remained relevant.

How effectively did the full and open competition process ensure competitive pricing and identify the most capable provider for this specialized EW facility support?

The use of full and open competition is a positive indicator for encouraging a competitive bidding environment. However, without access to the bid proposals and the evaluation criteria used, it's challenging to definitively assess the effectiveness of the price discovery. The ultimate measure of effectiveness would be whether the chosen contractor delivered high-quality services at a reasonable cost over the contract's lifespan.

Industry Classification

NAICS: Educational Services › Technical and Trade Schools › Flight Training

Product/Service Code: EDUCATION AND TRAINING › EDUCATION AND TRAINING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: FA564115R0001

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1000 CENTRE GREEN WAY STE 200, CARY, NC, 27513

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Service Disabled Veteran Owned Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $17,956,480

Exercised Options: $17,956,480

Current Obligation: $17,618,407

Actual Outlays: $312,229

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline