Dod's $6.6M Contract for Nefarious Llama Bridge Action Awarded to Praxis Engineering Technologies LLC

Contract Overview

Contract Amount: $6,582,927 ($6.6M)

Contractor: Praxis Engineering Technologies LLC

Awarding Agency: Department of Defense

Start Date: 2024-08-16

End Date: 2025-10-15

Contract Duration: 425 days

Daily Burn Rate: $15.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: NEFARIOUS LLAMA BRIDGE ACTION

Place of Performance

Location: SAN ANTONIO, BEXAR County, TEXAS, 78227

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $6.6 million to PRAXIS ENGINEERING TECHNOLOGIES LLC for work described as: NEFARIOUS LLAMA BRIDGE ACTION Key points: 1. Value for money appears fair given the contract type and duration. 2. Full and open competition after exclusion of sources suggests a deliberate procurement strategy. 3. Risk indicators are moderate, with a Cost Plus Fixed Fee structure requiring close monitoring. 4. Performance context is a delivery order under a larger contract, implying prior vetting. 5. Sector positioning is within software publishing, a critical area for defense operations.

Value Assessment

Rating: fair

The contract's Cost Plus Fixed Fee (CPFF) structure necessitates careful oversight to ensure costs remain reasonable and aligned with the fixed fee. Benchmarking CPFF contracts in software publishing is challenging without more granular data on labor categories and overhead. However, the total award value of approximately $6.6 million over 17 months suggests a moderate investment for the services rendered. Further analysis would require comparing the labor rates and overhead applied by PRAXIS ENGINEERING TECHNOLOGIES LLC against industry standards for similar defense contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that while the competition was intended to be broad, specific sources may have been excluded for defined reasons. This procurement method suggests a potential need to ensure specific capabilities or past performance were met, which might limit the pool of eligible bidders. The number of bidders is not specified, but the 'exclusion of sources' phrasing implies a more controlled competition than a purely open solicitation.

Taxpayer Impact: This limited competition structure may result in less aggressive pricing compared to a truly open bid environment, potentially impacting taxpayer value if the excluded sources could have offered more competitive terms.

Public Impact

The primary beneficiaries are the Department of the Air Force and potentially other Department of Defense entities requiring the services under the NEFARIOUS LLAMA BRIDGE ACTION. The contract delivers critical software publishing services, likely supporting advanced technological capabilities or operational systems. The geographic impact is centered in Texas, where the contractor is located, but the services may support national defense operations. Workforce implications include employment opportunities within PRAXIS ENGINEERING TECHNOLOGIES LLC and potentially its subcontractors, contributing to the skilled labor market in the software and defense sectors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contracts can lead to cost overruns if not managed diligently.
The 'exclusion of sources' in the competition raises questions about the breadth of market engagement.
The specific nature of 'NEFARIOUS LLAMA BRIDGE ACTION' is unclear, potentially masking the true scope or criticality of the work.

Positive Signals

Award to an established entity like PRAXIS ENGINEERING TECHNOLOGIES LLC suggests a degree of confidence in their capabilities.
Delivery Order structure implies this is part of a potentially larger, pre-vetted framework agreement.
The contract duration of over a year indicates a sustained need for the services provided.

Sector Analysis

The software publishing sector is a vital component of the broader IT and defense industries, providing essential tools, platforms, and services. This contract falls within the North American Industry Classification System (NAICS) code 511210 (Software Publishers). Spending in this sector for government contracts is substantial, driven by the need for specialized software solutions for defense, intelligence, and civilian agencies. Comparable spending benchmarks would typically involve analyzing other CPFF contracts for software development and publishing services awarded by the DoD, looking at average award values and labor rates.

Small Business Impact

The data indicates that small business participation is not a primary focus for this specific contract, as the 'ss' (small business set-aside) and 'sb' (small business) flags are false. There is no explicit mention of subcontracting goals for small businesses. This suggests that the prime contractor, PRAXIS ENGINEERING TECHNOLOGIES LLC, is not obligated to meet specific small business subcontracting targets under this award, which could limit opportunities for the small business ecosystem in this particular procurement.

Oversight & Accountability

Oversight for this contract will likely be managed by the contracting officer and the relevant program office within the Department of the Air Force. The Cost Plus Fixed Fee structure necessitates robust financial oversight to monitor expenditures against the estimated cost and ensure the fixed fee is justified. Accountability measures would be tied to performance metrics and delivery schedules outlined in the contract. Transparency is generally facilitated through contract award databases, though specific details of the 'NEFARIOUS LLAMA BRIDGE ACTION' may be limited due to its nature.

Related Government Programs

Software Development Services
IT Services for Defense
Cloud Computing Solutions
Cybersecurity Software
Data Analytics Platforms

Risk Flags

Cost Plus Fixed Fee contract type requires diligent oversight to prevent cost overruns.
Limited competition due to 'exclusion of sources' may impact price competitiveness.
Lack of clarity on the specific nature of 'NEFARIOUS LLAMA BRIDGE ACTION' hinders full risk assessment.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $6.6 million to PRAXIS ENGINEERING TECHNOLOGIES LLC. NEFARIOUS LLAMA BRIDGE ACTION

Who is the contractor on this award?

The obligated recipient is PRAXIS ENGINEERING TECHNOLOGIES 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 $6.6 million.

What is the period of performance?

Start: 2024-08-16. End: 2025-10-15.

What is the track record of PRAXIS ENGINEERING TECHNOLOGIES LLC with the Department of Defense, particularly on Cost Plus Fixed Fee contracts?

A detailed analysis of PRAXIS ENGINEERING TECHNOLOGIES LLC's track record with the Department of Defense would require accessing historical contract databases. Specifically, examining past CPFF contracts would reveal their performance in managing costs, meeting deadlines, and delivering quality services. It would be important to identify if they have a history of cost overruns or performance issues on similar contract types. Furthermore, assessing their past performance ratings, if available, would provide insights into their reliability and effectiveness in fulfilling defense-related software publishing requirements. Without specific historical data, it's difficult to definitively assess their suitability beyond the current award.

How does the estimated cost per period compare to similar software publishing contracts awarded by the Air Force?

To compare the estimated cost per period, we would need to analyze the contract's duration (425 days) and the total award amount ($6,582,927.19). This yields an approximate monthly cost of $154,891.95. Benchmarking this against similar software publishing contracts awarded by the Air Force would involve identifying contracts with comparable scopes of work, contract types (CPFF), and award values. Key comparison points would include the labor rates, overhead structures, and profit margins. If comparable contracts show significantly lower monthly costs for similar services, it could indicate that this contract's pricing is on the higher side, warranting further investigation into the specific requirements and market conditions.

What are the primary risks associated with the 'NEFARIOUS LLAMA BRIDGE ACTION' contract, and how are they being mitigated?

The primary risks associated with this contract likely stem from the Cost Plus Fixed Fee (CPFF) structure, which carries inherent risks of cost escalation if not managed properly. The 'exclusion of sources' in the competition could also pose a risk if it limits the availability of specialized expertise or leads to less competitive pricing. The specific nature of the 'NEFARIOUS LLAMA BRIDGE ACTION' itself is a potential risk if its objectives are not clearly defined or if it involves novel or unproven technologies. Mitigation strategies would typically involve rigorous oversight of expenditures, detailed performance monitoring, clear communication channels with the contractor, and potentially contingency planning for unforeseen technical challenges or scope changes.

What is the expected program effectiveness or outcome of the 'NEFARIOUS LLAMA BRIDGE ACTION'?

The expected program effectiveness or outcome of the 'NEFARIOUS LLAMA BRIDGE ACTION' is not explicitly detailed in the provided data. However, given its award by the Department of the Air Force within the software publishing sector, it is likely intended to enhance operational capabilities, improve data management, support intelligence functions, or provide critical software infrastructure. The effectiveness will ultimately be measured by the contractor's ability to deliver the specified software products or services within the agreed-upon timeline and budget, and how well these deliverables meet the performance requirements and contribute to the Air Force's strategic objectives. Post-award performance reviews and user feedback would be crucial in assessing its true effectiveness.

How does the total spending on software publishing contracts by the Air Force in Texas compare to this award?

To assess this, one would need to aggregate all software publishing contracts awarded by the Air Force specifically within Texas over a defined period (e.g., the last fiscal year). This would involve querying federal procurement databases for contracts under NAICS code 511210, filtering by agency (Air Force) and state (Texas). The total spending figure would then be compared to the $6.6 million awarded to PRAXIS ENGINEERING TECHNOLOGIES LLC. If this single contract represents a significant portion of the total spending, it might indicate a concentration of investment in this area or a particularly large-scale project. Conversely, if it's a small fraction, it suggests a more diversified spending pattern within the sector in Texas.

Industry Classification

NAICS: Information › Software Publishers › Software Publishers

Product/Service Code: RESEARCH AND DEVELOPMENT › C – National Defense R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: FA830724RB029

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Wico Limited

Address: 135 NATIONAL BUSINESS PKWY STE 310, ANNAPOLIS JUNCTION, MD, 20701

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

Financial Breakdown

Contract Ceiling: $44,710,330

Exercised Options: $21,278,738

Current Obligation: $6,582,927

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NOT OBTAINED - WAIVED

Parent Contract

Parent Award PIID: FA830720D0011

IDV Type: IDC

Timeline