DoD's $10.8M Contract for Communications Equipment: Engility LLC Awarded, Limited Competition

Contract Overview

Contract Amount: $10,780,846 ($10.8M)

Contractor: Engility LLC

Awarding Agency: Department of Defense

Start Date: 2005-11-18

End Date: 2008-03-31

Contract Duration: 864 days

Daily Burn Rate: $12.5K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: IT

Place of Performance

Location: RESTON, FAIRFAX County, VIRGINIA, 20190

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $10.8 million to ENGILITY LLC for work described as: Key points: 1. Significant spending on 'Other Communications Equipment Manufacturing' highlights a niche but critical area. 2. The contract was awarded to Engility LLC, indicating a specific vendor relationship. 3. A 'NOT COMPETED' award suggests potential limitations in market research or urgency. 4. The Time and Materials pricing structure warrants scrutiny for cost control and efficiency.

Value Assessment

Rating: fair

The contract's Time and Materials (T&M) pricing structure, while flexible, can lead to cost overruns if not closely managed. Benchmarking T&M contracts for similar 'Other Communications Equipment Manufacturing' is difficult without detailed scope, but the total award value of $10.8M over approximately 3 years suggests a moderate investment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was 'NOT COMPETED,' indicating a limited competition scenario. This could be due to specialized requirements, existing vendor relationships, or urgency. The lack of full competition may have limited price discovery and potentially resulted in a higher price than a fully competed contract.

Taxpayer Impact: The absence of full and open competition raises concerns about whether taxpayers received the best possible value for this $10.8M expenditure.

Public Impact

Taxpayers may have paid more due to the lack of competitive bidding. The specific nature of 'Other Communications Equipment Manufacturing' suggests specialized technology or services. The contract duration and value indicate a sustained need for these communications capabilities within the Air Force. Oversight is needed to ensure the T&M contract didn't lead to excessive costs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of competition
  • Time and Materials pricing
  • Potential for cost overruns

Positive Signals

  • Contract awarded to a known entity (Engility LLC)
  • Addresses a specific need within the Department of the Air Force

Sector Analysis

The 'Other Communications Equipment Manufacturing' sector is diverse, encompassing specialized hardware and software. Spending benchmarks vary widely based on technology complexity and volume. This $10.8M contract appears to be a moderate investment within this specialized domain.

Small Business Impact

The data indicates this contract was awarded to Engility LLC and does not specify any subcontracting to small businesses. Further investigation would be needed to determine if small business participation was sought or achieved.

Oversight & Accountability

The 'NOT COMPETED' status suggests that standard competitive oversight processes may have been bypassed. Robust oversight would be crucial to monitor the T&M spending and ensure adherence to contract terms and value.

Related Government Programs

  • Other Communications Equipment Manufacturing
  • Department of Defense Contracting
  • Department of the Air Force Programs

Risk Flags

  • Lack of full and open competition
  • Potential for cost overruns due to T&M pricing
  • Limited transparency on vendor selection rationale
  • No clear indication of small business participation

Tags

other-communications-equipment-manufactu, department-of-defense, va, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $10.8 million to ENGILITY LLC. See the official description on USAspending.

Who is the contractor on this award?

The obligated recipient is ENGILITY 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 $10.8 million.

What is the period of performance?

Start: 2005-11-18. End: 2008-03-31.

What specific factors necessitated a 'NOT COMPETED' award for this communications equipment, and were alternatives explored?

The 'NOT COMPETED' designation implies that either only one source was capable of meeting the requirement, or there was an urgent and compelling need that precluded full competition. The specific reasons would likely be documented in the contract file, potentially citing proprietary technology, unique capabilities of Engility LLC, or an unforeseen operational necessity. Exploring alternatives would depend on the nature of the justification.

How does the Time and Materials pricing compare to industry standards for similar communications equipment, and what controls were in place?

Time and Materials (T&M) contracts are inherently flexible but carry a higher risk of cost escalation. Without specific details on the equipment and labor categories, a direct comparison is difficult. Effective controls would typically involve strict labor hour tracking, pre-approved labor rates, material cost ceilings, and regular performance reviews to ensure efficiency and prevent scope creep.

What was the ultimate effectiveness of the 'Other Communications Equipment' procured under this contract in meeting the Department of the Air Force's mission requirements?

The provided data does not include information on the contract's performance outcomes or effectiveness. Assessing the ultimate value requires evaluating whether the procured equipment met the Air Force's operational needs, its reliability, and its contribution to mission success. This would typically be determined through post-award performance reviews and user feedback.

Industry Classification

NAICS: ManufacturingCommunications Equipment ManufacturingOther Communications Equipment Manufacturing

Product/Service Code: COMM/DETECT/COHERENT RADIATION

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Science Applications International Corporation

Address: 4803 STONECROFT BLVD, CHANTILLY, VA, 20151

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

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2005-11-18

Current End Date: 2008-03-31

Potential End Date: 2008-03-31 00:00:00

Last Modified: 2024-04-04

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