DoD's $38M Contract for Financial Management Support Services Awarded to Western Door Federal, LLC

Contract Overview

Contract Amount: $38,057,145 ($38.1M)

Contractor: Western Door Federal, LLC

Awarding Agency: Department of Defense

Start Date: 2021-09-30

End Date: 2026-09-29

Contract Duration: 1,825 days

Daily Burn Rate: $20.9K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: THE CONTRACTOR WILL PROVIDE PROGRAMMING, BUDGET DEVELOPMENT AND EXECUTION, ACCOUNTING, ADMINISTRATIVE, AND TRAINING SUPPORT SERVICES TO DIRECT CARE FINANCIAL MANAGEMENT DIVISION.

Place of Performance

Location: JBSA FT SAM HOUSTON, BEXAR County, TEXAS, 78234

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $38.1 million to WESTERN DOOR FEDERAL, LLC for work described as: THE CONTRACTOR WILL PROVIDE PROGRAMMING, BUDGET DEVELOPMENT AND EXECUTION, ACCOUNTING, ADMINISTRATIVE, AND TRAINING SUPPORT SERVICES TO DIRECT CARE FINANCIAL MANAGEMENT DIVISION. Key points: 1. Contract focuses on critical financial management and administrative support for the Defense Health Agency. 2. Western Door Federal, LLC, a single awardee, highlights potential for limited competition. 3. Risk of cost overruns or performance issues exists due to the long duration and fixed-price nature. 4. The sector is administrative management and general management consulting, a common area for federal support services.

Value Assessment

Rating: fair

The contract is a firm-fixed-price award, which typically offers good value if well-defined. However, without a competitive bidding process, it's difficult to benchmark pricing against similar contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract is noted as 'NOT AVAILABLE FOR COMPETITION,' indicating a limited or sole-source award. This limits price discovery and potentially leads to higher costs than a fully competitive process.

Taxpayer Impact: The lack of competition may result in taxpayers paying more than necessary for these essential financial management services.

Public Impact

Ensures continuity of critical financial operations within the Defense Health Agency. Supports the management of funds allocated for direct patient care services. Potential for increased costs due to non-competitive award impacts taxpayer dollars.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition
Potential for cost creep despite fixed price
Long contract duration

Positive Signals

Firm-fixed-price contract structure
Supports critical defense health functions

Sector Analysis

This contract falls under administrative management and general management consulting services, a broad category often used for professional support. Benchmarks for this sector vary widely based on scope and complexity.

Small Business Impact

The data indicates the awardee is Western Door Federal, LLC. It is not specified if this is a small business, and the contract was not set aside for small businesses.

Oversight & Accountability

The firm-fixed-price nature provides some cost control, but the limited competition necessitates close monitoring by the Defense Health Agency to ensure performance and prevent potential overspending.

Related Government Programs

Administrative Management and General Management Consulting Services
Department of Defense Contracting
Defense Health Agency Programs

Risk Flags

Lack of competition may lead to inflated costs.
Potential for contractor performance issues over the long contract term.
Absence of specific performance metrics makes oversight challenging.
Contract duration of five years increases exposure to market changes.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $38.1 million to WESTERN DOOR FEDERAL, LLC. THE CONTRACTOR WILL PROVIDE PROGRAMMING, BUDGET DEVELOPMENT AND EXECUTION, ACCOUNTING, ADMINISTRATIVE, AND TRAINING SUPPORT SERVICES TO DIRECT CARE FINANCIAL MANAGEMENT DIVISION.

Who is the contractor on this award?

The obligated recipient is WESTERN DOOR FEDERAL, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Health Agency).

What is the total obligated amount?

The obligated amount is $38.1 million.

What is the period of performance?

Start: 2021-09-30. End: 2026-09-29.

What is the justification for the limited competition award, and how does it ensure fair pricing?

The justification for limited competition is not provided in the data. Typically, such justifications include reasons like urgent need, unique capabilities, or lack of available sources. Without this information, it's difficult to assess if fair pricing was achieved, as competitive pressure is absent.

What are the key performance indicators (KPIs) for this contract, and how will they be monitored?

The provided data does not specify the key performance indicators (KPIs) for this contract. Effective oversight would require clearly defined KPIs related to programming, budget execution, accounting, and training support, along with a robust monitoring mechanism to ensure Western Door Federal, LLC meets its contractual obligations.

How does the firm-fixed-price structure mitigate risks associated with the long contract duration?

A firm-fixed-price contract shifts most of the cost risk to the contractor, which can be beneficial for the government, especially over a long duration. However, if the initial price was not accurately estimated due to the lack of competition, the government might still overpay. Contractor performance must be diligently monitored to ensure value.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services

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

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: HT001121R0057

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1420 CENTRAL PARK BLVD STE 204, FREDERICKSBURG, VA, 22401

Business Categories: 8(a) Program Participant, American Indian Owned Business, Category Business, Government, HUBZone Firm, Native American Tribal Government, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Sole Proprietorship, Special Designations, Tribally Owned Firm, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $38,057,145

Exercised Options: $38,057,145

Current Obligation: $38,057,145

Actual Outlays: $144,120

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline