DoD Awards $27.4M SETA Support Services Contract to Schafer Government Services

Contract Overview

Contract Amount: $27,431,139 ($27.4M)

Contractor: Schafer Government Services, LLC

Awarding Agency: Department of Defense

Start Date: 2021-04-05

End Date: 2026-04-04

Contract Duration: 1,825 days

Daily Burn Rate: $15.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: TTO FRONT OFFICE SETA SUPPORT SERVICES

Place of Performance

Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22203

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $27.4 million to SCHAFER GOVERNMENT SERVICES, LLC for work described as: TTO FRONT OFFICE SETA SUPPORT SERVICES Key points: 1. Contract value of $27.4 million over 5 years. 2. Awarded under full and open competition. 3. Services fall under 'All Other Professional, Scientific, and Technical Services' NAICS code. 4. Potential for cost overruns due to Cost Plus Fixed Fee contract type.

Value Assessment

Rating: fair

The Cost Plus Fixed Fee (CPFF) contract type allows for cost reimbursement plus a fixed fee. This can lead to higher costs if not managed tightly, especially for services where scope can be fluid. Benchmarking CPFF contracts in this sector is challenging due to variability.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, suggesting a robust price discovery process. However, the CPFF structure introduces potential for cost escalation beyond initial estimates, impacting the final price.

Taxpayer Impact: Taxpayer funds are utilized for these support services. While competition aims for value, the CPFF structure necessitates careful oversight to ensure costs remain reasonable and do not exceed the fixed fee significantly.

Public Impact

Ensures continued operational support for the Defense Advanced Research Projects Agency (DARPA). Supports critical research and development initiatives by providing essential technical services. Potential impact on future DARPA projects if service quality or cost-effectiveness is compromised.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Fixed Fee contract type can lead to cost overruns.
  • No small business participation noted.
  • Long contract duration (5 years) increases risk exposure.

Positive Signals

  • Awarded via full and open competition.
  • Supports critical R&D agency.
  • Experienced contractor likely involved.

Sector Analysis

This contract falls under professional, scientific, and technical services, a broad category often supporting government agencies' core functions. Spending benchmarks for SETA support services vary widely based on agency needs and contract scope.

Small Business Impact

The data indicates that small businesses were not directly involved in this contract award, as the 'sb' field is false. This suggests that larger prime contractors or those not specifically categorized as small businesses were the focus of this procurement.

Oversight & Accountability

Oversight will be crucial to monitor the Cost Plus Fixed Fee structure, ensuring that costs remain within reasonable bounds and that the fixed fee adequately compensates the contractor for the services rendered. The Defense Advanced Research Projects Agency (DARPA) will need robust contract management to ensure accountability.

Related Government Programs

  • All Other Professional, Scientific, and Technical Services
  • Department of Defense Contracting
  • Defense Advanced Research Projects Agency Programs

Risk Flags

  • Cost Plus Fixed Fee contract type.
  • No small business participation.
  • Long contract duration.
  • Potential for scope creep in technical services.
  • Reliance on a single contractor for critical support.

Tags

all-other-professional-scientific-and-te, department-of-defense, va, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $27.4 million to SCHAFER GOVERNMENT SERVICES, LLC. TTO FRONT OFFICE SETA SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is SCHAFER GOVERNMENT SERVICES, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Advanced Research Projects Agency).

What is the total obligated amount?

The obligated amount is $27.4 million.

What is the period of performance?

Start: 2021-04-05. End: 2026-04-04.

What is the estimated total cost per year, and how does it compare to similar support contracts at other R&D agencies?

The total contract value is $27.4 million over 1825 days (5 years), averaging approximately $5.48 million per year. Direct comparison is difficult without knowing the specific scope of services and overhead rates, but this figure should be benchmarked against similar SETA support contracts at agencies like the National Science Foundation or Department of Energy to assess cost-effectiveness.

What are the specific risks associated with the Cost Plus Fixed Fee (CPFF) structure for this particular SETA support contract?

The primary risk of a CPFF contract is the potential for cost overruns, as the government reimburses allowable costs plus a fixed fee. If the contractor's actual costs exceed estimates, the government pays more. This necessitates stringent oversight to ensure costs are reasonable, allocable, and allowable, and that the contractor exercises cost control.

How effectively will this contract support DARPA's mission, given the nature of SETA services and the chosen contract type?

SETA (Systems Engineering and Technical Assistance) services are crucial for agencies like DARPA, providing specialized expertise. The CPFF structure, while potentially leading to higher costs, allows flexibility for evolving R&D needs. Effectiveness hinges on the contractor's ability to deliver high-quality technical support and the government's oversight in managing costs and performance.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesOther Professional, Scientific, and Technical ServicesAll Other Professional, Scientific, and Technical Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: HR001118R0001

Offers Received: 3

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 3811 N FAIRFAX DR STE 400, ARLINGTON, VA, 22203

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $30,384,156

Exercised Options: $30,384,156

Current Obligation: $27,431,139

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HR001118D0006

IDV Type: IDC

Timeline

Start Date: 2021-04-05

Current End Date: 2026-04-04

Potential End Date: 2026-04-04 00:00:00

Last Modified: 2025-12-05

More Contracts from Schafer Government Services, LLC

View all Schafer Government Services, LLC federal contracts →

Other Department of Defense Contracts

View all Department of Defense contracts →

Explore Related Government Spending