Air Force awards $37M for PMEL services, with 3 bidders competing after source exclusion

Contract Overview

Contract Amount: $37,038,877 ($37.0M)

Contractor: Science and Management Resources, Inc.

Awarding Agency: Department of Defense

Start Date: 2010-08-17

End Date: 2017-07-31

Contract Duration: 2,540 days

Daily Burn Rate: $14.6K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: PMEL SERVICES

Place of Performance

Location: WARNER ROBINS, HOUSTON County, GEORGIA, 31098

State: Georgia Government Spending

Plain-Language Summary

Department of Defense obligated $37.0 million to SCIENCE AND MANAGEMENT RESOURCES, INC. for work described as: PMEL SERVICES Key points: 1. Value for money appears fair given the 5-year duration and fixed-price contract type. 2. Competition dynamics involved an initial exclusion of sources, followed by full and open competition. 3. Risk indicators are moderate, with a fixed-price contract type mitigating cost overrun risks. 4. Performance context is for PMEL services, crucial for maintaining precision measurement equipment. 5. Sector positioning is within defense logistics and maintenance, a critical support function.

Value Assessment

Rating: fair

The contract value of approximately $37 million over five years suggests a moderate annual spend. Benchmarking against similar PMEL contracts is challenging without more specific service details. However, the fixed-price nature of the award indicates a defined cost ceiling, which is generally favorable for the government. The number of bidders (3) suggests some level of market interest, but the initial exclusion of sources warrants further investigation into potential impacts on price discovery.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES.' This indicates that initially, certain sources may have been excluded, but subsequently, the competition was opened to all eligible sources. Three bidders participated in the final competition. While three bidders represent a degree of competition, the initial exclusion could have potentially limited the pool of qualified offerors and influenced the final pricing.

Taxpayer Impact: The exclusion of sources prior to full and open competition may have limited the potential for the most competitive pricing. However, with three bidders ultimately participating, taxpayers likely benefited from some level of price negotiation and comparison.

Public Impact

The Department of the Air Force is the primary beneficiary, receiving essential PMEL services. Services delivered include the calibration, maintenance, and repair of precision measurement equipment. The geographic impact is likely concentrated at Air Force installations where PMEL is required. Workforce implications may involve specialized technicians for calibration and repair services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for limited competition due to initial exclusion of sources.
Lack of detailed performance metrics makes assessing effectiveness difficult.
The specific nature of PMEL services can be highly technical, requiring specialized expertise.

Positive Signals

Fixed-price contract type helps control costs.
Multiple bidders (3) indicate market interest and some competitive pressure.
Long-term contract (5 years) provides stability for essential services.

Sector Analysis

Precision Measurement Equipment Laboratories (PMEL) services are critical for maintaining the accuracy and reliability of measurement and diagnostic equipment used across various military operations. This contract falls within the broader defense logistics and maintenance sector. Comparable spending benchmarks for PMEL services can vary significantly based on the scope of equipment supported and the specific technical requirements of the services provided.

Small Business Impact

The data indicates that small business participation was not a primary focus for this contract, as the 'ss' (small business set-aside) field is false and the 'sb' (small business) field is also false. There is no explicit mention of subcontracting requirements for small businesses. This suggests that the prime contractor is likely a large business, and opportunities for small businesses may be limited unless they are direct suppliers or subcontractors not explicitly tracked in this award data.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of the Air Force's contracting and program management offices. Accountability measures are inherent in the firm fixed-price contract type, which obligates the contractor to deliver specified services at an agreed-upon price. Transparency is generally facilitated through contract award databases, although detailed performance reports and specific oversight activities may not be publicly available.

Related Government Programs

Defense Logistics Agency (DLA) Maintenance, Calibration, and Repair Contracts
Air Force Test and Evaluation Support Services
DoD Metrology and Calibration Program

Risk Flags

Potential for reduced competition due to initial source exclusion.
Limited public data on specific performance metrics and outcomes.
Contract value is substantial, requiring diligent oversight.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $37.0 million to SCIENCE AND MANAGEMENT RESOURCES, INC.. PMEL SERVICES

Who is the contractor on this award?

The obligated recipient is SCIENCE AND MANAGEMENT RESOURCES, 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 $37.0 million.

What is the period of performance?

Start: 2010-08-17. End: 2017-07-31.

What is the historical spending trend for PMEL services by the Department of the Air Force?

Analyzing historical spending trends for PMEL services by the Department of the Air Force requires accessing and aggregating data from previous contract awards. Without specific historical data points for this exact service category, a precise trend cannot be determined from the provided information alone. However, generally, spending on essential maintenance and calibration services like PMEL tends to be relatively stable, fluctuating with operational tempo, equipment modernization cycles, and budget allocations. Significant increases or decreases might correlate with major shifts in military readiness requirements or the introduction of new technologies that necessitate different calibration standards or equipment.

How does the per-unit cost of PMEL services in this contract compare to industry benchmarks?

Determining the per-unit cost for PMEL services within this $37 million contract is challenging without a detailed breakdown of the services provided and the units of measure (e.g., number of calibrations, types of equipment serviced). The contract value represents the total award over approximately five years. Industry benchmarks for PMEL services can vary widely based on the complexity of the equipment being calibrated, the required accuracy standards (e.g., military vs. commercial), and the geographic location of the service provider. A comprehensive comparison would necessitate access to specific service line items and their associated costs, as well as benchmark data from similar government or commercial contracts.

What specific risks are associated with the 'exclusion of sources' clause in this contract's competition?

The 'exclusion of sources' clause, followed by 'full and open competition,' suggests that certain potential bidders were initially disqualified or not considered before the broader competition commenced. This carries risks such as potentially limiting the diversity of technical approaches or innovative solutions that could have been offered by the excluded entities. It might also reduce the overall competitive pressure, potentially leading to less favorable pricing for the government if the excluded sources were strong competitors. Transparency in the justification for exclusion is crucial to ensure fairness and maximize competition.

What is the track record of Science and Management Resources, Inc. (SMR) in performing similar government contracts?

Information regarding the specific track record of Science and Management Resources, Inc. (SMR) in performing similar government contracts, particularly for PMEL services, is not detailed in the provided data. A thorough assessment would require reviewing SMR's past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), their history with the Department of Defense or other federal agencies, and the successful completion of prior contracts of similar scope and complexity. Their ability to manage fixed-price contracts and meet technical requirements would be key factors in evaluating their suitability and past performance.

How effective are PMEL services in ensuring the operational readiness of Air Force equipment?

Precision Measurement Equipment Laboratory (PMEL) services are fundamentally critical to ensuring the operational readiness of Air Force equipment. PMEL ensures that all measurement and diagnostic equipment used by the Air Force is accurate, reliable, and calibrated to the required standards. Without proper calibration, instruments could provide incorrect readings, leading to faulty maintenance, improper targeting, navigation errors, or system malfunctions. Therefore, effective PMEL services directly contribute to the safety, efficacy, and reliability of a vast array of Air Force assets, from aircraft systems to communication devices.

Industry Classification

NAICS: Other Services (except Public Administration) › Electronic and Precision Equipment Repair and Maintenance › Other Electronic and Precision Equipment Repair and Maintenance

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: FA850108R0030

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2801 E OLIVE RD, PENSACOLA, FL, 32514

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

Financial Breakdown

Contract Ceiling: $37,038,877

Exercised Options: $37,038,877

Current Obligation: $37,038,877

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $875,898

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline