DoD's $24.6M contract for TV broadcasting services awarded to Taft Broadcasting Company, L.L.C

Contract Overview

Contract Amount: $24,600,126 ($24.6M)

Contractor: Taft Broadcasting Company, L.L.C.

Awarding Agency: Department of Defense

Start Date: 2021-04-01

End Date: 2026-03-31

Contract Duration: 1,825 days

Daily Burn Rate: $13.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: TRAVEL - DMA HQ TREASURY CODE: 97 0100 000

Place of Performance

Location: HOUSTON, HARRIS County, TEXAS, 77008

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $24.6 million to TAFT BROADCASTING COMPANY, L.L.C. for work described as: TRAVEL - DMA HQ TREASURY CODE: 97 0100 000 Key points: 1. The contract value of $24.6 million over five years suggests a significant investment in media production and distribution. 2. The firm fixed-price contract type indicates that costs are predictable, but may limit flexibility for unforeseen changes. 3. Awarded under full and open competition, this suggests a robust bidding process aimed at achieving competitive pricing. 4. The duration of 1825 days (5 years) allows for long-term planning and consistent service delivery. 5. The North American Industry Classification System (NAICS) code 515120 points to a specialized market for television broadcasting. 6. The contract's focus on television broadcasting implies a need for strategic communication and public affairs support for the Department of Defense.

Value Assessment

Rating: good

The contract value of $24.6 million over five years, averaging approximately $4.92 million annually, appears reasonable for specialized television broadcasting services supporting a major federal agency like the Department of Defense. Benchmarking against similar large-scale media production and distribution contracts within the federal government would provide further context on value for money. The firm fixed-price structure, while offering cost certainty, means that the contractor bears the risk of cost overruns, which can sometimes lead to higher initial bids to account for potential contingencies.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of multiple bidders in such a competitive environment typically drives down prices and encourages innovation as contractors vie for the award. The specific number of bidders is not provided, but the designation suggests a healthy level of market interest and a good opportunity for price discovery.

Taxpayer Impact: Taxpayers benefit from full and open competition as it generally leads to more competitive pricing and a wider selection of qualified contractors, ensuring that the government receives the best value for its investment.

Public Impact

The primary beneficiaries are the Department of Defense and its various branches, receiving essential television broadcasting services for communication and public affairs. Services delivered likely include content creation, production, distribution, and potentially media strategy for internal and external audiences. The geographic impact is likely nationwide and potentially global, given the DoD's operational scope, supporting communication efforts across various commands and installations. Workforce implications may include specialized roles in media production, broadcasting technology, and strategic communications within the contractor's organization.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if the definition of 'television broadcasting' is not tightly managed.
Reliance on a single contractor for a significant duration could pose risks if performance degrades or if the contractor faces financial instability.
Ensuring the content produced aligns with DoD messaging and security protocols requires robust oversight.

Positive Signals

Awarded through full and open competition, suggesting a competitive process that likely secured favorable terms.
Firm fixed-price contract provides cost certainty for the government.
Long contract duration (5 years) allows for stable service provision and relationship building.

Sector Analysis

The television broadcasting sector is a mature industry characterized by technological advancements and evolving media consumption habits. Federal spending in this area often supports public affairs, internal communications, training, and recruitment efforts. The market size for federal broadcasting contracts can be substantial, with agencies requiring specialized services for content creation, distribution, and platform management. This contract fits within the broader media and communications services category, where agencies seek to leverage various platforms to reach diverse audiences.

Small Business Impact

The data indicates that small business participation was not a specific set-aside for this contract (ss: false, sb: false). Therefore, the primary impact on small businesses would be through potential subcontracting opportunities if Taft Broadcasting Company, L.L.C. chooses to engage them. Without specific subcontracting plans or goals mandated in the contract, the direct benefit to the small business ecosystem is uncertain and depends on the prime contractor's procurement practices.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the Defense Media Activity (DMA) within the Department of Defense. Accountability measures are inherent in the firm fixed-price contract structure, requiring the contractor to deliver specified services within the agreed budget. Transparency is generally maintained through contract award databases and reporting requirements, though specific performance metrics and oversight activities may not be publicly detailed.

Related Government Programs

Department of Defense Public Affairs Contracts
Federal Media Production Services
Government Broadcasting and Telecommunications
Defense Information Systems Agency (DISA) Services
Broadcasting and Content Creation Contracts

Risk Flags

Potential for cost overruns if contractor underestimates expenses under FFP.
Risk of service quality degradation if contractor prioritizes profit over performance.
Dependence on a single vendor for a critical communication function.
Need for robust oversight to ensure adherence to DoD messaging and standards.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $24.6 million to TAFT BROADCASTING COMPANY, L.L.C.. TRAVEL - DMA HQ TREASURY CODE: 97 0100 000

Who is the contractor on this award?

The obligated recipient is TAFT BROADCASTING COMPANY, L.L.C..

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Media Activity).

What is the total obligated amount?

The obligated amount is $24.6 million.

What is the period of performance?

Start: 2021-04-01. End: 2026-03-31.

What is the track record of Taft Broadcasting Company, L.L.C. with federal contracts, particularly with the Department of Defense?

Information regarding Taft Broadcasting Company, L.L.C.'s specific track record with federal contracts, especially with the Department of Defense, is not detailed in the provided data. A comprehensive analysis would require accessing federal procurement databases (like SAM.gov or FPDS) to review past awards, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any history of disputes or contract modifications. Understanding their past performance, especially in similar broadcasting or media services, is crucial for assessing their capability and reliability in fulfilling this $24.6 million contract.

How does the annual cost of this contract compare to similar federal broadcasting or media production contracts?

The annual cost of this contract averages approximately $4.92 million ($24.6 million / 5 years). To benchmark this value, one would need to compare it against contracts for similar services (e.g., television production, broadcasting, media distribution) awarded by other federal agencies or even within different branches of the DoD. Factors such as the scope of services, geographic reach, required technical capabilities, and the level of competition for those comparable contracts would need to be considered. Without specific comparable data, it is difficult to definitively state whether this represents excellent, good, or fair value.

What are the key performance indicators (KPIs) used to measure the success of this television broadcasting contract?

The provided data does not specify the Key Performance Indicators (KPIs) for this contract. Typically, for a television broadcasting contract supporting the Department of Defense, KPIs might include metrics related to content quality, audience reach (e.g., viewership numbers for public-facing content), timeliness of production and distribution, adherence to messaging guidelines, technical quality of broadcasts, and overall client satisfaction from the Defense Media Activity. Robust oversight would involve regular reviews of these KPIs to ensure the contractor is meeting or exceeding expectations.

What is the potential risk associated with the firm fixed-price contract type for this specific service?

The firm fixed-price (FFP) contract type shifts the majority of the cost risk to the contractor, Taft Broadcasting Company, L.L.C. For television broadcasting, potential risks under an FFP structure could include underestimating the complexity or cost of production, unforeseen technical challenges, or increased operational expenses over the five-year period. If the contractor miscalculates these factors, they might incur losses, potentially impacting their long-term viability or leading them to cut corners on quality to maintain profitability. Conversely, the government benefits from cost certainty, but might pay a premium upfront to compensate the contractor for taking on this risk.

How has spending in federal television broadcasting services evolved over the past five years, and where does this contract fit?

Analyzing historical spending trends in federal television broadcasting services would require accessing aggregated federal procurement data. Generally, federal spending in this area can fluctuate based on agency priorities, budget allocations, and the evolving media landscape (e.g., shift towards digital platforms). This $24.6 million contract represents a significant, multi-year commitment by the Department of Defense for these services. Its placement within the broader spending context would depend on whether overall federal spending on traditional broadcasting is increasing, decreasing, or remaining stable, and how DoD's specific allocation compares to other agencies.

What are the implications of this contract being awarded to a single entity for five years on market competition and innovation?

Awarding a significant contract like this to a single entity for five years can have mixed implications for market competition and innovation. On one hand, it provides stability and allows the contractor to invest in specialized resources and personnel. On the other hand, it removes the opportunity for other qualified vendors to compete for this business during the contract period, potentially stifling broader market competition. Innovation might be encouraged if the contract incentivizes the awardee to develop new capabilities, but it could also be limited if the contractor focuses solely on meeting the existing contract requirements without exploring more advanced or cost-effective solutions that might be offered by competitors.

Industry Classification

NAICS: Information › Radio and Television Broadcasting › Television Broadcasting

Product/Service Code: PHOTO, MAP, PRINT, PUBLICATION › PHOTOGR, MAPPING, PRINTING, PUBLISH

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: HQ051621R0007

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1118 HEIGHTS BLVD, HOUSTON, TX, 77008

Business Categories: Category Business, Limited Liability Corporation, Partnership or Limited Liability Partnership, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $29,837,388

Exercised Options: $29,837,388

Current Obligation: $24,600,126

Actual Outlays: $4,831,919

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline