DoD's $461.7M Translation Services Contract with Worldwide Language Resources Faces Scrutiny

Contract Overview

Contract Amount: $461,722,814 ($461.7M)

Contractor: Worldwide Language Resources, LLC

Awarding Agency: Department of Defense

Start Date: 2013-08-22

End Date: 2024-02-14

Contract Duration: 3,828 days

Daily Burn Rate: $120.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 7

Pricing Type: COST NO FEE

Sector: Other

Official Description: IGF:OT:IGF

Place of Performance

Location: FAYETTEVILLE, CUMBERLAND County, NORTH CAROLINA, 28301

State: North Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $461.7 million to WORLDWIDE LANGUAGE RESOURCES, LLC for work described as: IGF:OT:IGF Key points: 1. Significant contract value of over $461 million awarded. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. Potential risks associated with long-term contracts and service continuity. 4. Services fall under professional, scientific, and technical services sector.

Value Assessment

Rating: fair

The contract's total award value is substantial, making it difficult to benchmark without specific per-unit cost data. The 'COST NO FEE' pricing structure suggests that costs are reimbursed, which can sometimes lead to less stringent cost control compared to fixed-price contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes price discovery and competitive pricing, though the long duration and specific nature of translation services might influence the final negotiated prices.

Taxpayer Impact: Taxpayer funds are being utilized for essential translation and interpretation services, with the competitive award process aiming to ensure reasonable pricing.

Public Impact

Ensures critical communication capabilities for U.S. Special Operations Command. Supports military operations and intelligence gathering through language expertise. Potential for long-term reliance on a single contractor for specialized services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Long contract duration (over 10 years)
  • Potential for cost overruns with 'COST NO FEE' structure
  • Dependence on specialized linguistic skills

Positive Signals

  • Awarded through full and open competition
  • Provides essential support to national security operations

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically translation and interpretation. Spending in this area is crucial for government agencies operating internationally or requiring multilingual support, with benchmarks varying widely based on service complexity and volume.

Small Business Impact

The data indicates this contract was not awarded to small businesses (sb: false). This suggests that the scale or specialized nature of the services required may have favored larger, established companies.

Oversight & Accountability

The contract's long duration and significant value warrant ongoing oversight to ensure performance standards are met and costs remain justified. Regular performance reviews and audits would be essential for accountability.

Related Government Programs

  • Translation and Interpretation Services
  • Department of Defense Contracting
  • U.S. Special Operations Command Programs

Risk Flags

  • Long-term contract dependency
  • Potential for cost overruns
  • Lack of specific performance metrics in provided data
  • No small business participation noted

Tags

translation-and-interpretation-services, department-of-defense, nc, definitive-contract, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $461.7 million to WORLDWIDE LANGUAGE RESOURCES, LLC. IGF:OT:IGF

Who is the contractor on this award?

The obligated recipient is WORLDWIDE LANGUAGE RESOURCES, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (U.S. Special Operations Command).

What is the total obligated amount?

The obligated amount is $461.7 million.

What is the period of performance?

Start: 2013-08-22. End: 2024-02-14.

What is the average cost per hour or per word for translation services under this contract, and how does it compare to market rates?

Without specific line-item data, it's challenging to determine the precise per-unit cost. However, the 'COST NO FEE' structure implies that the government reimburses the contractor for actual costs incurred, plus a fee. A thorough analysis would require comparing the contractor's billed hours and rates against industry benchmarks for similar translation and interpretation services to assess value for money.

What are the key performance indicators (KPIs) for this contract, and how is the quality of translation and interpretation services being measured?

The contract details do not specify the KPIs or quality assurance measures. Effective oversight would necessitate clearly defined metrics for accuracy, timeliness, and cultural appropriateness of translations. Regular performance evaluations by the U.S. Special Operations Command are crucial to ensure the services meet operational requirements and maintain high quality standards.

Given the 'COST NO FEE' structure and long duration, what mechanisms are in place to prevent potential cost creep and ensure continued cost-effectiveness over the contract's lifespan?

The 'COST NO FEE' pricing model, while allowing for flexibility, carries a risk of cost escalation. Robust oversight, including detailed cost audits and regular reviews of contractor expenditures, is vital. The government should actively monitor market trends for translation services and periodically re-evaluate the contract's pricing structure to ensure it remains competitive and cost-effective.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesOther Professional, Scientific, and Technical ServicesTranslation and Interpretation Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: H9222212R0059

Offers Received: 7

Pricing Type: COST NO FEE (S)

Evaluated Preference: NONE

Contractor Details

Address: 201 HAY ST FL 401, FAYETTEVILLE, NC, 28301

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

Financial Breakdown

Contract Ceiling: $790,996,586

Exercised Options: $593,459,826

Current Obligation: $461,722,814

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2013-08-22

Current End Date: 2024-02-14

Potential End Date: 2024-02-14 00:00:00

Last Modified: 2024-02-16

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