GSA awards $47.7M logistics consulting contract to HII Mission Technologies Corp

Contract Overview

Contract Amount: $47,683,917 ($47.7M)

Contractor: HII Mission Technologies Corp

Awarding Agency: General Services Administration

Start Date: 2017-04-19

End Date: 2019-02-18

Contract Duration: 670 days

Daily Burn Rate: $71.2K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: IGF::OT::IGF AFRICA AOR TACTICAL INFORMATION AND LOGISTICS INTEGRATION

Plain-Language Summary

General Services Administration obligated $47.7 million to HII MISSION TECHNOLOGIES CORP for work described as: IGF::OT::IGF AFRICA AOR TACTICAL INFORMATION AND LOGISTICS INTEGRATION Key points: 1. Contract awarded on a sole-source basis, limiting price competition. 2. Logistics consulting services are crucial for optimizing federal supply chains. 3. Contract duration of 670 days suggests a significant project scope. 4. The award was a purchase order, a less formal contracting instrument. 5. No small business set-aside was applied to this procurement. 6. The North American Industry Classification System (NAICS) code is 541614.

Value Assessment

Rating: fair

Benchmarking the value of this specific logistics consulting contract is challenging without comparable sole-source awards. The fixed fee component suggests some cost control, but the lack of competition may have led to a higher price than a fully competed contract. Further analysis would require access to internal cost data and market research on similar consulting services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning only one vendor, HII Mission Technologies Corp., was solicited. This approach bypasses the standard competitive bidding process, which typically involves multiple vendors submitting proposals. The lack of competition means there was no direct price comparison or market pressure to drive down costs.

Taxpayer Impact: Sole-source awards can potentially result in higher costs for taxpayers as the government does not benefit from the price discovery mechanisms inherent in a competitive bidding environment.

Public Impact

HII Mission Technologies Corp. benefits through contract revenue. Federal agencies receive support in optimizing logistics and supply chain operations. The services aim to improve the efficiency of physical distribution and logistics processes. Workforce implications are likely within the consulting and logistics sectors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits transparency and potential cost savings.
Lack of competition may lead to suboptimal pricing.
Purchase order mechanism might indicate urgency or a less complex requirement than a full FAR-based contract.

Positive Signals

HII Mission Technologies Corp. is a known entity in the defense and government contracting space.
Logistics consulting is a critical service for government efficiency.
The contract has a defined period of performance.

Sector Analysis

The federal sector for logistics consulting services, classified under NAICS code 541614, involves a range of firms providing expertise in supply chain management, transportation, warehousing, and distribution. Spending in this area can fluctuate based on agency needs for operational efficiency and modernization. Comparable spending benchmarks are difficult to establish precisely due to the specialized nature of consulting and the varying scopes of individual contracts. However, agencies frequently engage consultants to address complex logistical challenges.

Small Business Impact

This contract was not set aside for small businesses, nor does it appear to have specific subcontracting requirements mentioned. The award to a large contractor like HII Mission Technologies Corp. suggests that small business participation may be limited unless they are part of HII's supply chain or subcontracting network, which is not explicitly detailed in the provided data.

Oversight & Accountability

Oversight for this contract would typically fall under the General Services Administration (GSA), specifically the Federal Acquisition Service. As a purchase order, oversight might be less formalized than for a large-scale, competitively awarded contract. Accountability measures would be tied to the terms of the purchase order and the performance of HII Mission Technologies Corp. Transparency is limited due to the sole-source nature of the award.

Related Government Programs

Logistics and Supply Chain Management Services
Management and Financial Consulting, Scientific and Technical Consulting Services
Federal Supply Chain Optimization Initiatives

Risk Flags

Sole-source award
Lack of competition
Purchase order award type

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $47.7 million to HII MISSION TECHNOLOGIES CORP. IGF::OT::IGF AFRICA AOR TACTICAL INFORMATION AND LOGISTICS INTEGRATION

Who is the contractor on this award?

The obligated recipient is HII MISSION TECHNOLOGIES CORP.

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $47.7 million.

What is the period of performance?

Start: 2017-04-19. End: 2019-02-18.

What is the track record of HII Mission Technologies Corp. in delivering similar logistics consulting services to the federal government?

HII Mission Technologies Corp., a subsidiary of Huntington Ingalls Industries, has a significant presence in the federal contracting landscape, particularly in defense and government services. While specific details on their logistics consulting track record for this particular type of service and agency are not fully elaborated in the provided data, the company generally engages in complex technical, engineering, and management support services. Their broader portfolio includes areas like fleet readiness, cyber, and enterprise IT, which often intersect with logistics and supply chain optimization. A deeper dive into their past performance reports and contract history with GSA and other agencies would be necessary to fully assess their specific expertise and success in delivering logistics consulting.

How does the value of this contract compare to other federal logistics consulting awards?

Comparing the $47.7 million value of this contract to other federal logistics consulting awards is challenging without more specific data points. The contract's value is influenced by its duration (670 days) and the specific scope of services. Sole-source awards, like this one, can sometimes be priced higher than competitively bid contracts due to the absence of market-driven price discovery. To establish a robust comparison, one would need to analyze the average contract values for similar NAICS codes (541614) over comparable periods, factoring in the complexity and deliverables. Without access to a broader dataset of federal logistics consulting contracts, particularly those awarded competitively, a precise benchmark is difficult to ascertain.

What are the primary risks associated with a sole-source award for logistics consulting services?

The primary risks associated with a sole-source award for logistics consulting services include potential overpricing, reduced innovation, and a lack of transparency. Without competition, the government may not secure the most cost-effective solution, as there is no direct incentive for the contractor to offer the lowest possible price. Furthermore, the absence of multiple bidders can limit the exploration of diverse approaches and innovative solutions that might arise from a competitive environment. Transparency is also reduced, making it harder for oversight bodies and the public to verify that the contract represents fair value for taxpayer money. The government also foregoes the opportunity to build relationships with a broader base of qualified contractors.

How effective are logistics consulting services in improving federal agency operations?

Logistics consulting services can be highly effective in improving federal agency operations by identifying inefficiencies, optimizing supply chains, reducing costs, and enhancing service delivery. Consultants bring specialized expertise and objective perspectives to analyze complex logistical challenges, such as inventory management, transportation networks, and warehousing. By implementing recommended strategies, agencies can achieve significant improvements in areas like delivery times, resource allocation, and overall operational performance. The effectiveness, however, is contingent on the quality of the consulting firm, the clarity of the agency's objectives, and the agency's commitment to implementing the recommended changes. Successful engagements often lead to measurable cost savings and improved mission readiness.

What has been the historical spending trend for logistics consulting services by the General Services Administration?

Historical spending trends for logistics consulting services by the General Services Administration (GSA) would require a detailed analysis of GSA's procurement data over several fiscal years. GSA, as a major procurement and service provider, engages in various consulting services to optimize its own operations and support other federal agencies. Spending in this category can be influenced by factors such as government-wide initiatives for efficiency, modernization efforts within GSA, and specific project needs. Without direct access to GSA's historical contract databases filtered for logistics consulting (NAICS 541614), it is difficult to provide precise spending figures or trends. However, it is generally understood that agencies like GSA utilize consulting services to address evolving logistical demands.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Process, Physical Distribution, and Logistics Consulting Services

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

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: ID01170007

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Alion Science and Technology Corporation

Address: 1000 BURR RIDGE PKWY STE 202, BURR RIDGE, IL, 60527

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

Financial Breakdown

Contract Ceiling: $47,683,917

Exercised Options: $47,683,917

Current Obligation: $47,683,917

Actual Outlays: $183,945

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Timeline