DHS awarded Boeing $23.1M for professional services, with a significant portion allocated to the Northern Border Project
Contract Overview
Contract Amount: $23,141,765 ($23.1M)
Contractor: THE Boeing Company
Awarding Agency: Department of Homeland Security
Start Date: 2009-03-31
End Date: 2011-10-24
Contract Duration: 937 days
Daily Burn Rate: $24.7K/day
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: PROFESSIONAL SERVICES FOR NORTHERN BORDER PROJECT-BUFFALO, NY & DETROIT, MI
Place of Performance
Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22202
State: Virginia Government Spending
Plain-Language Summary
Department of Homeland Security obligated $23.1 million to THE BOEING COMPANY for work described as: PROFESSIONAL SERVICES FOR NORTHERN BORDER PROJECT-BUFFALO, NY & DETROIT, MI Key points: 1. The contract value of $23.1 million for professional services indicates a substantial investment in specialized support. 2. Boeing's involvement suggests a reliance on established contractors with demonstrated capabilities in complex projects. 3. The duration of the contract (937 days) points to a long-term need for the services rendered. 4. Fixed-price contract terms aim to control costs, but require careful monitoring for scope creep. 5. The services provided likely support critical infrastructure or operational needs for U.S. Customs and Border Protection. 6. Geographic focus on Northern Border regions highlights a specific operational priority for the agency.
Value Assessment
Rating: fair
Benchmarking this contract's value is challenging without specific service details. However, $23.1 million for professional services over nearly three years suggests a moderate to high cost, depending on the complexity and deliverables. Comparing it to similar large-scale support contracts for border security or infrastructure projects would provide better context. The fixed-price nature implies an expectation of cost control, but the total expenditure warrants scrutiny to ensure value for money was achieved.
Cost Per Unit: N/A
Competition Analysis
Competition Level: unknown
The competition level for this contract is not specified in the provided data. If it was competed, the number of bidders would indicate the degree of market interest and potential for competitive pricing. A limited or sole-source award might suggest unique capabilities required or a specific strategic partnership, but could also lead to higher costs for taxpayers if not adequately justified.
Taxpayer Impact: The level of competition directly impacts taxpayer value. Robust competition typically drives down prices and encourages innovation, leading to better use of public funds. Limited competition may result in higher costs or less optimal solutions.
Public Impact
The primary beneficiaries are U.S. Customs and Border Protection, receiving essential professional services to support border security operations. The services delivered likely contribute to the operational effectiveness and infrastructure management along the Northern Border. The geographic impact is concentrated in key Northern Border regions, including Buffalo, NY, and Detroit, MI. While not directly creating public sector jobs, the contract supports the private sector workforce employed by The Boeing Company and its potential subcontractors.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of transparency regarding the specific services procured makes it difficult to assess the true value for money.
- The absence of competition data raises concerns about potential overpayment or suboptimal service delivery.
- The significant contract value necessitates robust oversight to prevent cost overruns or scope creep.
Positive Signals
- Award to a large, established contractor like Boeing suggests a level of reliability and experience.
- The fixed-price contract type indicates an effort to manage and control costs upfront.
- The focus on the Northern Border project aligns with national security priorities.
Sector Analysis
This contract falls within the 'All Other Professional, Scientific, and Technical Services' NAICS code, a broad category encompassing a wide range of specialized expertise. The professional services market is vast, with significant government spending across various agencies. Contracts of this magnitude often involve complex project management, engineering, or specialized consulting, supporting critical national functions. Benchmarking requires comparing to similar large-scale professional services contracts within the homeland security or defense sectors.
Small Business Impact
The provided data does not indicate any small business set-aside provisions for this contract. Therefore, it is unlikely that small businesses were specifically targeted for this award. Subcontracting opportunities for small businesses may exist if The Boeing Company chooses to engage them, but this is not guaranteed by the contract terms.
Oversight & Accountability
Oversight mechanisms for this contract would typically be managed by the U.S. Customs and Border Protection contracting officers and program managers. Accountability measures would be tied to the performance metrics outlined in the contract. Transparency is often limited for specific contract details, but the overall spending is subject to federal reporting requirements. The Inspector General for the Department of Homeland Security would have jurisdiction to investigate any potential fraud, waste, or abuse.
Related Government Programs
- Northern Border Security Initiatives
- Department of Homeland Security Professional Services
- Customs and Border Protection Operations Support
- Federal Infrastructure Support Contracts
Risk Flags
- Lack of detailed service description
- Unspecified competition level
- Potential for cost overruns in fixed-price contracts for complex services
Tags
professional-services, homeland-security, u.s.-customs-and-border-protection, northern-border, delivery-order, firm-fixed-price, large-contract, the-boeing-company, all-other-professional-scientific-and-technical-services, buffalo-ny, detroit-mi
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $23.1 million to THE BOEING COMPANY. PROFESSIONAL SERVICES FOR NORTHERN BORDER PROJECT-BUFFALO, NY & DETROIT, MI
Who is the contractor on this award?
The obligated recipient is THE BOEING COMPANY.
Which agency awarded this contract?
Awarding agency: Department of Homeland Security (U.S. Customs and Border Protection).
What is the total obligated amount?
The obligated amount is $23.1 million.
What is the period of performance?
Start: 2009-03-31. End: 2011-10-24.
What specific professional services were procured under this contract?
The provided data identifies the contract as 'PROFESSIONAL SERVICES FOR NORTHERN BORDER PROJECT-BUFFALO, NY & DETROIT, MI' and categorizes it under NAICS code 541990 (All Other Professional, Scientific, and Technical Services). However, the exact nature of the services—whether they involve engineering, consulting, technical support, project management, or other specialized expertise—is not detailed. Understanding the specific deliverables and scope of work is crucial for a comprehensive value assessment and for comparing this contract to others within the professional services domain.
How does the $23.1 million contract value compare to similar professional services contracts for border security?
Without specific details on the services rendered, a direct comparison of the $23.1 million value is difficult. However, for large-scale professional services supporting critical infrastructure or operational needs, this amount is substantial, reflecting a significant investment. To benchmark effectively, one would need to identify comparable contracts awarded by DHS or other agencies for border security projects, infrastructure management, or complex technical support over similar timeframes (approximately three years). The average cost per year ($7.7 million) can serve as a preliminary point of comparison, but the complexity and criticality of the services are key factors.
What are the key performance indicators (KPIs) or deliverables expected under this contract?
The provided data does not specify the key performance indicators (KPIs) or detailed deliverables for this contract. In a fixed-price contract of this nature, performance is typically measured against a defined scope of work, milestones, and quality standards. For professional services supporting a border project, KPIs might include project completion timelines, adherence to technical specifications, successful implementation of solutions, or timely delivery of reports and analyses. Without this information, assessing the contractor's performance and the overall success of the project is challenging.
What is The Boeing Company's track record with Department of Homeland Security contracts, particularly in professional services?
The Boeing Company is a major defense and aerospace contractor with extensive experience across various government agencies, including the Department of Homeland Security (DHS). While known for large-scale manufacturing and systems integration, Boeing also provides a range of professional services. Its track record with DHS would likely involve complex projects requiring advanced technical expertise and program management. A deeper dive into Boeing's past performance on similar DHS contracts, including any past performance evaluations or disputes, would be necessary to fully assess its suitability and reliability for this specific award.
What is the historical spending trend for 'All Other Professional, Scientific, and Technical Services' by U.S. Customs and Border Protection?
Analyzing historical spending trends for NAICS code 541990 by U.S. Customs and Border Protection (CBP) would provide context for the $23.1 million awarded to Boeing. This would involve examining CBP's contracting data over several fiscal years to identify the typical volume and value of contracts within this broad service category. Understanding whether this award represents an increase, decrease, or average level of spending for such services would help assess its significance and potential implications for future budgeting and resource allocation within CBP.
What are the potential risks associated with a fixed-price contract for complex professional services?
Fixed-price contracts aim to provide cost certainty, but they carry risks, especially for complex professional services. For the government, the primary risk is that the contractor may cut corners on quality or scope to maintain profitability if costs exceed estimates. Conversely, if the contractor significantly underestimates costs, they may seek change orders or additional funding, potentially negating the fixed-price benefit. For the contractor, the risk lies in accurately estimating all costs and potential challenges over the contract's duration. Effective oversight is crucial to mitigate these risks and ensure the government receives the intended value.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical Services
Product/Service Code: ARCHITECT/ENGINEER SERVICES › ARCH-ENG SVCS - CONSTRUCTION
Contractor Details
Address: 5301 BOLSA AVE, HUNTINGTON BEACH, CA, 92647
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $23,496,663
Exercised Options: $23,496,663
Current Obligation: $23,141,765
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Parent Contract
Parent Award PIID: HSBP1006D01353
IDV Type: IDC
Timeline
Start Date: 2009-03-31
Current End Date: 2011-10-24
Potential End Date: 2011-10-24 00:00:00
Last Modified: 2021-05-11
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