DoD's $36.2M Transportation Systems Contract Awarded to IGNITE FUELING INNOVATION, INC

Contract Overview

Contract Amount: $36,220,973 ($36.2M)

Contractor: Ignite Fueling Innovation, Inc

Awarding Agency: Department of Defense

Start Date: 2019-05-29

End Date: 2024-11-28

Contract Duration: 2,010 days

Daily Burn Rate: $18.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 10

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: TRANSPORTATION FAMILY OF SYSTEMS (TRANS FOS)

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35806

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $36.2 million to IGNITE FUELING INNOVATION, INC for work described as: TRANSPORTATION FAMILY OF SYSTEMS (TRANS FOS) Key points: 1. The contract is for Computer Systems Design Services, a critical area for modern defense operations. 2. IGNITE FUELING INNOVATION, INC. secured this award, indicating potential market concentration or specialized capabilities. 3. The award value of $36.2M over approximately 5 years presents a significant financial commitment. 4. The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' suggests a complex procurement process. 5. The contract's duration and scope warrant close monitoring for performance and cost-effectiveness.

Value Assessment

Rating: fair

The contract value of $36.2M over 5 years averages $7.24M annually. Benchmarking against similar large-scale IT service contracts for defense systems is necessary to assess if this pricing is competitive.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The procurement method 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' implies that while competition was sought, certain sources were excluded, potentially limiting the breadth of price discovery and innovation.

Taxpayer Impact: Taxpayer funds are being utilized for a significant IT services contract, necessitating robust oversight to ensure value for money and prevent cost overruns.

Public Impact

Ensures continued operation and modernization of critical transportation systems for the Air Force. Supports technological advancements within the Department of Defense's logistics and operational capabilities. Potential impact on the broader IT services market for defense contractors. Job creation and economic activity in Alabama, where the contractor is located.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may lead to higher costs.
Contract duration could outpace technological advancements.
Dependence on a single contractor for critical systems.
Lack of small business participation noted.

Positive Signals

Award supports modernization of essential defense infrastructure.
Fixed-price contract can offer cost certainty if well-defined.
Long-term contract provides stability for system development.

Sector Analysis

This contract falls within the IT services sector, specifically computer systems design. Spending in this area for defense is substantial, driven by the need for advanced C4ISR and logistics systems. Benchmarks vary widely based on complexity and scope.

Small Business Impact

The data indicates that this contract was not awarded to small businesses (sb: false). Further analysis would be needed to determine if small business set-asides were considered or if opportunities were missed.

Oversight & Accountability

The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' suggests a potentially complex procurement process requiring careful justification. Oversight should focus on ensuring the exclusion of sources was valid and that the final price reflects fair market value.

Related Government Programs

Computer Systems Design Services
Department of Defense Contracting
Department of the Air Force Programs

Risk Flags

Potential for limited competition driving up costs.
Risk of technology obsolescence over the contract duration.
Dependency on a single vendor for critical systems.
Lack of small business participation.
Complexity of 'exclusion of sources' procurement.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $36.2 million to IGNITE FUELING INNOVATION, INC. TRANSPORTATION FAMILY OF SYSTEMS (TRANS FOS)

Who is the contractor on this award?

The obligated recipient is IGNITE FUELING INNOVATION, 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 $36.2 million.

What is the period of performance?

Start: 2019-05-29. End: 2024-11-28.

What specific systems or capabilities does the 'TRANSPORTATION FAMILY OF SYSTEMS' encompass, and how critical are they to Air Force operations?

The 'TRANSPORTATION FAMILY OF SYSTEMS' likely refers to a suite of integrated IT solutions managing logistics, movement, and tracking of personnel and equipment. Their criticality lies in enabling efficient deployment, supply chain management, and operational readiness for the Air Force, directly impacting mission success and resource allocation.

What were the primary reasons for excluding certain sources in this 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' procurement?

Exclusion of sources typically occurs due to specific technical requirements, unique capabilities possessed by only a few vendors, or prior performance issues. Understanding the rationale is crucial to assess if the exclusion was justified and did not unduly restrict competition, potentially impacting the final price and innovation.

How does the annual spending of approximately $7.24M compare to industry benchmarks for similar computer systems design services for large-scale transportation logistics?

Benchmarking requires detailed comparison against contracts with similar scope, complexity, and service level agreements. Without specific details on the services provided (e.g., software development, integration, maintenance), a precise comparison is difficult. However, $7.24M annually for specialized defense IT services could be within range, but requires validation against detailed cost breakdowns and market rates.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 10

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Ignite Fueling Innovation, Inc.

Address: 310 THE BRIDGE ST, HUNTSVILLE, AL, 35806

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

Financial Breakdown

Contract Ceiling: $40,686,926

Exercised Options: $36,312,038

Current Obligation: $36,220,973

Actual Outlays: $1,339,338

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47QTCH18D0024

IDV Type: GWAC

Timeline