Bowhead Total Enterprise Solutions awarded $23.6M for professional services support to DoD

Contract Overview

Contract Amount: $23,597,191 ($23.6M)

Contractor: Bowhead Total Enterprise Solutions, LLC

Awarding Agency: Department of Defense

Start Date: 2017-09-28

End Date: 2023-03-27

Contract Duration: 2,006 days

Daily Burn Rate: $11.8K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: IGF::OT::IGF PFPA PROFESSIONAL SERVICES SUPPORT

Place of Performance

Location: ALEXANDRIA, ALEXANDRIA CITY County, VIRGINIA, 22311

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $23.6 million to BOWHEAD TOTAL ENTERPRISE SOLUTIONS, LLC for work described as: IGF::OT::IGF PFPA PROFESSIONAL SERVICES SUPPORT Key points: 1. Contract awarded to a single entity, raising questions about competition. 2. Long duration of the contract (nearly 6 years) suggests a sustained need for services. 3. The firm fixed-price contract type aims to control costs, but requires careful monitoring. 4. Services provided are engineering-related, falling under a broad NAICS code. 5. The contract's value is moderate within the context of large federal procurements. 6. No indication of small business set-aside, potentially limiting opportunities for smaller firms.

Value Assessment

Rating: fair

The contract's value of $23.6 million over nearly six years averages to approximately $4 million annually. Benchmarking this against similar professional services contracts within the Department of Defense is challenging without more specific service details. However, the firm fixed-price structure suggests an expectation of predictable costs. The absence of a competitive bidding process makes a direct value-for-money assessment difficult, as the pricing was not tested against market alternatives.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not competed among multiple vendors. The data indicates it was 'NOT AVAILABLE FOR COMPETITION'. This approach is typically used when only one vendor possesses the necessary qualifications, security clearances, or unique capabilities required for the service. Without a competitive process, it is difficult to ascertain if the pricing reflects the best possible market value.

Taxpayer Impact: Sole-source awards can lead to higher costs for taxpayers as the government does not benefit from the price reductions typically driven by competitive bidding. This limits the government's ability to explore alternative solutions or achieve economies of scale through broader market engagement.

Public Impact

The primary beneficiary is the Department of Defense, receiving professional services support. Services likely include engineering, technical, and management support critical to DoD operations. The geographic impact is centered around Washington Headquarters Services, indicating a focus on administrative and operational support. The contract supports a specific contractor's workforce, contributing to employment in the engineering and professional services sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may result in suboptimal pricing.
Long contract duration could lead to vendor lock-in and reduced flexibility.
Scope creep is a potential risk in long-term sole-source contracts if not managed tightly.
Dependence on a single contractor for critical services poses a risk if performance falters.

Positive Signals

Firm fixed-price contract type helps to establish cost certainty.
The contractor, Bowhead Total Enterprise Solutions, LLC, has a history of performing federal contracts.
The contract duration suggests a stable and ongoing requirement, indicating the services are valued.
The award is to an established entity, potentially reducing onboarding and transition risks.

Sector Analysis

This contract falls within the Engineering Services sector (NAICS 541330), a significant segment of the federal contracting market. This sector encompasses a wide range of services, from civil and mechanical engineering to specialized technical consulting. Federal spending in engineering services is driven by the needs of agencies like the Department of Defense for design, analysis, and technical support across various platforms and infrastructure projects. The market is characterized by both large, established firms and smaller, specialized companies. This contract's value is moderate compared to large-scale defense engineering programs but represents a substantial award for professional services.

Small Business Impact

The contract data indicates that this award was not set aside for small businesses (ss: false, sb: false). This means that the competition, though limited to a sole-source award, was not specifically structured to provide opportunities for small businesses. Consequently, there are no direct subcontracting requirements mandated by a small business set-aside. The impact on the small business ecosystem is neutral in terms of direct set-aside benefits, but the sole-source nature means small businesses were not considered as primary awardees.

Oversight & Accountability

Oversight for this contract would primarily fall under the purview of the contracting agency, the Department of Defense, specifically Washington Headquarters Services. Accountability measures are embedded within the contract terms, including performance standards and payment schedules tied to deliverables. Transparency is limited due to the sole-source nature and the lack of a competitive bidding process. Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse arise during the contract's performance.

Related Government Programs

DoD Professional Services Contracts
Engineering and Technical Support Services
Washington Headquarters Services Contracts
Sole-Source Defense Procurements
Firm Fixed-Price Contracts

Risk Flags

Sole-source award lacks competitive pricing.
Long contract duration may increase risk of cost escalation or vendor lock-in.
Limited transparency due to non-competitive nature.
Potential for scope creep over the contract's extended period.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $23.6 million to BOWHEAD TOTAL ENTERPRISE SOLUTIONS, LLC. IGF::OT::IGF PFPA PROFESSIONAL SERVICES SUPPORT

Who is the contractor on this award?

The obligated recipient is BOWHEAD TOTAL ENTERPRISE SOLUTIONS, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Washington Headquarters Services).

What is the total obligated amount?

The obligated amount is $23.6 million.

What is the period of performance?

Start: 2017-09-28. End: 2023-03-27.

What is the specific nature of the 'professional services support' provided under this contract?

The provided data indicates the NAICS code is 541330, which corresponds to Engineering Services. Therefore, the 'professional services support' likely encompasses a range of engineering disciplines, including but not limited to design, analysis, testing, systems integration, and technical consulting. Given the award to Washington Headquarters Services within the Department of Defense, these services could be related to administrative functions, facility management, IT infrastructure, or specialized defense program support. Without further details on the Statement of Work (SOW), the precise nature remains broad but is firmly rooted in engineering and technical expertise.

How does the $23.6 million contract value compare to similar sole-source engineering services contracts awarded by the DoD?

Comparing this $23.6 million contract value to similar sole-source engineering services contracts requires access to a broader dataset of federal procurements. However, within the context of the DoD, which manages vast budgets, this award is considered moderate. Sole-source awards are often justified for highly specialized or critical services where only one contractor can meet the requirements. The value suggests a significant, ongoing need for the services provided by Bowhead Total Enterprise Solutions, LLC over its nearly six-year duration. Without specific benchmarks for comparable sole-source engineering contracts, it's difficult to definitively state if the price is high or low, but the lack of competition inherently limits direct price comparison.

What are the potential risks associated with a nearly six-year sole-source contract for professional services?

A nearly six-year sole-source contract presents several potential risks. Firstly, the lack of competition can lead to complacency and potentially higher costs over time, as the contractor faces no market pressure to innovate or reduce prices. Secondly, there's a risk of vendor lock-in, where the government becomes heavily reliant on a single provider, making it difficult and costly to switch vendors even if performance declines or better alternatives emerge. Thirdly, the long duration increases the possibility of scope creep, where the services provided expand beyond the original intent without adequate price adjustments or oversight. Finally, if the contractor experiences financial instability or significant performance issues, the government has limited immediate recourse without potentially disrupting critical operations.

What is the track record of Bowhead Total Enterprise Solutions, LLC in performing federal contracts, particularly with the DoD?

Bowhead Total Enterprise Solutions, LLC has a history of performing federal contracts, including those with the Department of Defense. While the provided data does not detail their entire contract history, the fact that they were awarded this nearly $24 million sole-source contract suggests a level of trust and capability recognized by the agency. Federal contractors are typically vetted for past performance, financial stability, and technical expertise. Receiving such an award, especially on a sole-source basis, implies that the agency likely had positive past experiences or strong confidence in Bowhead's ability to meet their specific requirements. Further investigation into their contract performance ratings and other awards would provide a more comprehensive view.

How does the firm fixed-price (FFP) contract type mitigate or exacerbate risks in this sole-source scenario?

The Firm Fixed-Price (FFP) contract type is generally favored by the government for its cost control benefits. In this sole-source scenario, FFP shifts the risk of cost overruns from the government to the contractor, Bowhead Total Enterprise Solutions, LLC. This means the contractor is obligated to complete the work for the agreed-upon price, regardless of their actual costs. This can incentivize efficiency and careful management on the contractor's part. However, in a sole-source context, the 'fixed price' is determined without competitive pressure, potentially making it higher than it might be in a competed environment. The risk for the government is that the FFP might be set at a premium due to the lack of competition, and if the contractor underperforms, the government is still obligated to pay the fixed price for the delivered (even if subpar) services.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

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

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: HQ003417R0144

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: UIC Government Services LLC

Address: 4900 SEMINARY RD STE 1200, ALEXANDRIA, VA, 22311

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $23,597,191

Exercised Options: $23,597,191

Current Obligation: $23,597,191

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline