DOI Spends $24.2M on Acquisition Support Services via Time and Materials Contract
Contract Overview
Contract Amount: $24,224,102 ($24.2M)
Contractor: Martek-Cri JV
Awarding Agency: Department of the Interior
Start Date: 2017-09-20
End Date: 2022-09-19
Contract Duration: 1,825 days
Daily Burn Rate: $13.3K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Pricing Type: TIME AND MATERIALS
Sector: Other
Official Description: IGF::CT::IGF DOI-IBC-AQD SUPPORT - ACQUISITION SUPPORT
Place of Performance
Location: HERNDON, FAIRFAX County, VIRGINIA, 20170
State: Virginia Government Spending
Plain-Language Summary
Department of the Interior obligated $24.2 million to MARTEK-CRI JV for work described as: IGF::CT::IGF DOI-IBC-AQD SUPPORT - ACQUISITION SUPPORT Key points: 1. Contract awarded to MARTEK-CRI JV for administrative management and general management consulting. 2. Significant spending over a 5-year period (2017-2022). 3. Contract type is Time and Materials, which can pose cost control risks. 4. The sector is professional services, specifically acquisition support.
Value Assessment
Rating: fair
The contract's Time and Materials pricing structure, without a ceiling, raises concerns about cost control and potential overspending compared to fixed-price contracts for similar services. The total award amount of $24.2M over five years suggests a substantial investment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition after exclusion of sources, indicating a competitive process. However, the Time and Materials pricing model may limit price discovery and incentivize increased effort rather than efficiency.
Taxpayer Impact: Taxpayer funds are being utilized for acquisition support services. The Time and Materials pricing structure warrants close monitoring to ensure cost-effectiveness and prevent potential overruns.
Public Impact
Ensures continuity of essential acquisition support functions within the Department of the Interior. Supports agency operations by providing expertise in managing procurement processes. Potential for cost overruns due to the Time and Materials contract type.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Time and Materials pricing
- Lack of cost ceiling
- Long contract duration
Positive Signals
- Full and open competition
- Essential service provision
Sector Analysis
This contract falls within the professional services sector, specifically administrative management and general management consulting. Spending benchmarks for similar acquisition support services can vary widely based on scope and duration, but $24.2M over five years represents a significant investment.
Small Business Impact
The contract was awarded to MARTEK-CRI JV. Further analysis would be needed to determine the extent of small business participation within this joint venture.
Oversight & Accountability
The Department of the Interior awarded this contract. Oversight would focus on monitoring expenditures under the Time and Materials contract to ensure adherence to scope and prevent cost creep.
Related Government Programs
- Administrative Management and General Management Consulting Services
- Department of the Interior Contracting
- Departmental Offices Programs
Risk Flags
- Potential for cost overruns due to Time and Materials pricing.
- Lack of a defined cost ceiling.
- Long contract duration (5 years) increases exposure to cost escalation.
- Need for robust oversight to manage contractor effort.
Tags
administrative-management-and-general-ma, department-of-the-interior, va, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of the Interior awarded $24.2 million to MARTEK-CRI JV. IGF::CT::IGF DOI-IBC-AQD SUPPORT - ACQUISITION SUPPORT
Who is the contractor on this award?
The obligated recipient is MARTEK-CRI JV.
Which agency awarded this contract?
Awarding agency: Department of the Interior (Departmental Offices).
What is the total obligated amount?
The obligated amount is $24.2 million.
What is the period of performance?
Start: 2017-09-20. End: 2022-09-19.
What was the specific scope of work for acquisition support services, and how did it justify the Time and Materials pricing model?
The specific scope of work likely involved a broad range of acquisition support, including policy development, process improvement, training, and strategic planning. A Time and Materials model might have been chosen due to the unpredictable nature of the support required, where the exact hours and resources needed couldn't be precisely estimated upfront. This allows for flexibility but necessitates robust oversight to manage costs effectively.
What mechanisms were in place to control costs and ensure value for money given the Time and Materials contract type?
Mechanisms to control costs could include defined labor categories with pre-negotiated hourly rates, strict oversight of hours billed, regular performance reviews, and clear deliverables. The agency likely established internal controls and reporting requirements to monitor contractor performance and expenditures closely, ensuring that the services provided were necessary and delivered efficiently within the agreed-upon rate structure.
How did the 'full and open competition after exclusion of sources' process ensure a competitive price for these services?
This procurement method suggests that while the competition was open, certain sources were excluded based on specific criteria, possibly related to capability or past performance. The 'full and open' aspect implies that all responsible sources were permitted to submit offers. The competitive pricing would then be a result of the proposals received and the evaluation process, aiming to select the best value offer, even with a Time and Materials structure.
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: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Address: 506 ENTERPRISE DR STE 200, LOWELL, AR, 72745
Business Categories: Category Business, Minority Owned Business, Other Minority Owned Business, Partnership or Limited Liability Partnership, SBA Certified 8 a Joint Venture, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $31,876,784
Exercised Options: $26,327,235
Current Obligation: $24,224,102
Actual Outlays: $15,906,662
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: IND17PC00394
IDV Type: IDC
Timeline
Start Date: 2017-09-20
Current End Date: 2022-09-19
Potential End Date: 2022-09-19 00:00:00
Last Modified: 2023-12-08
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