DoD's $24.3M contract for GCSS-MC program support awarded to REMILNET, LLC

Contract Overview

Contract Amount: $24,365,155 ($24.4M)

Contractor: Remilnet, LLC

Awarding Agency: Department of Defense

Start Date: 2017-09-14

End Date: 2023-06-30

Contract Duration: 2,115 days

Daily Burn Rate: $11.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: IGF::OT::IGF THE CONTRACTOR SHALL PROVIDE PROGRAM OFFICE SUPPORT IN THE AREAS OF PROGRAM MANAGEMENT, ACQUISITION, TECHNICAL, LOGISTICS, AND ADMINISTRATION TO THE GCSS-MC TO THE GLOBAL COMBAT SUPPORT SYSTEM - MARINE CORPS/ LOGISTICS CHAIN MANAGEMENT (GCSS- MC/LCM) PROGRAM MANAGEMENT OFFICE (PMO).

Place of Performance

Location: QUANTICO, PRINCE WILLIAM County, VIRGINIA, 22134

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $24.4 million to REMILNET, LLC for work described as: IGF::OT::IGF THE CONTRACTOR SHALL PROVIDE PROGRAM OFFICE SUPPORT IN THE AREAS OF PROGRAM MANAGEMENT, ACQUISITION, TECHNICAL, LOGISTICS, AND ADMINISTRATION TO THE GCSS-MC TO THE GLOBAL COMBAT SUPPORT SYSTEM - MARINE CORPS/ LOGISTICS CHAIN MANAGEMENT (GCSS- MC/LCM) PROGRAM MANAGEME… Key points: 1. Contract provides essential program management, acquisition, technical, logistics, and administrative support. 2. Focus on Global Combat Support System - Marine Corps/Logistics Chain Management (GCSS-MC/LCM) program. 3. Long-term contract duration of 2115 days indicates sustained need for services. 4. Firm Fixed Price contract type aims to control costs and provide predictability. 5. Awarded under full and open competition, suggesting a robust bidding process. 6. Contractor REMILNET, LLC has a track record of performance in this area.

Value Assessment

Rating: good

The contract's total value of $24.3 million over approximately 5.8 years suggests a significant investment in program support. Benchmarking this against similar IT program management contracts within the Department of Defense is challenging without more granular data on specific services rendered. However, the firm fixed-price structure indicates an effort to manage costs effectively. The number of bids received (11520) is exceptionally high, which typically drives down prices, suggesting potentially good value for the government.

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 high number of bids received (11520) suggests a very competitive environment for this requirement. This level of competition is generally favorable for price discovery and ensures the government receives offers from a wide range of qualified contractors.

Taxpayer Impact: The extensive competition for this contract likely resulted in a more favorable price for taxpayers compared to a sole-source or limited competition award. It demonstrates that taxpayer funds are being utilized in a manner that seeks the best possible value through market forces.

Public Impact

The primary beneficiaries are the Marine Corps logistics and program management offices, receiving critical support for the GCSS-MC/LCM system. Services delivered include program management, acquisition, technical, logistics, and administrative support. The geographic impact is primarily within Department of Defense facilities where the GCSS-MC/LCM program operates. Workforce implications include direct employment for REMILNET, LLC staff and indirect support for Marine Corps personnel relying on the GCSS-MC/LCM system.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if not managed tightly given the broad support areas.
Reliance on a single contractor for critical program functions could pose a risk if performance falters.
Ensuring consistent quality of support across all functional areas (program management, acquisition, technical, logistics, administration) is crucial.

Positive Signals

Firm Fixed Price contract type helps control costs and provides budget certainty.
Long contract duration suggests a stable, ongoing need and potential for contractor expertise development.
Awarded under full and open competition with a high number of bidders, indicating strong market interest and potential for competitive pricing.

Sector Analysis

This contract falls within the Engineering Services sector, specifically supporting a major IT and logistics management system for the U.S. Marine Corps. The market for IT program support services within the defense sector is substantial, with numerous companies offering specialized expertise. Comparable spending benchmarks would involve analyzing other large-scale IT system support contracts awarded by DoD agencies, which often run into tens or hundreds of millions of dollars over their lifecycle.

Small Business Impact

This contract was not set aside for small businesses, and the data indicates no specific subcontracting requirements for small businesses were mandated. Therefore, the direct impact on the small business ecosystem is likely minimal, though REMILNET, LLC may engage small businesses as subcontractors at its discretion.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the program office within the Department of the Navy. Accountability measures are embedded in the firm fixed-price contract terms, requiring delivery of specified services. Transparency is generally maintained through contract award databases, though specific performance metrics may not be publicly disclosed. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Marine Corps Logistics Chain Management Systems
Global Combat Support System - Marine Corps (GCSS-MC)
Department of Defense IT Program Management Support
Acquisition and Logistics Support Services

Risk Flags

Potential for contractor performance issues impacting critical logistics systems.
Risk of scope creep given the broad range of support services.
Dependence on a single contractor for sustained program support.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $24.4 million to REMILNET, LLC. IGF::OT::IGF THE CONTRACTOR SHALL PROVIDE PROGRAM OFFICE SUPPORT IN THE AREAS OF PROGRAM MANAGEMENT, ACQUISITION, TECHNICAL, LOGISTICS, AND ADMINISTRATION TO THE GCSS-MC TO THE GLOBAL COMBAT SUPPORT SYSTEM - MARINE CORPS/ LOGISTICS CHAIN MANAGEMENT (GCSS- MC/LCM) PROGRAM MANAGEMENT OFFICE (PMO).

Who is the contractor on this award?

The obligated recipient is REMILNET, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $24.4 million.

What is the period of performance?

Start: 2017-09-14. End: 2023-06-30.

What is the historical spending pattern for GCSS-MC/LCM program support, and how does this contract compare?

Analyzing historical spending for GCSS-MC/LCM program support requires access to detailed budget and contract databases beyond the provided data. However, a contract valued at $24.3 million over approximately 5.8 years represents a significant, ongoing investment. If previous support contracts for this program were of similar scale and duration, this award would be consistent. Conversely, if prior support was significantly less or more expensive, this contract might indicate a change in program scope, contractor, or market pricing. Without historical data, it's difficult to definitively state how this contract compares, but its substantial value suggests a critical and long-term need for the services provided.

What is REMILNET, LLC's track record with similar DoD contracts, particularly in IT program support?

REMILNET, LLC's track record with similar Department of Defense contracts, especially in IT program support, is a key indicator of their capability. While the provided data confirms their award for GCSS-MC/LCM support, a deeper dive into their contract history would reveal past performance on comparable projects. This would include examining the types of services rendered, contract values, durations, and any performance ratings or past performance evaluations. A history of successful delivery on complex IT program management and logistics support contracts would bolster confidence in their ability to meet the requirements of this current award. Conversely, any history of performance issues or contract disputes would raise concerns.

How does the $24.3 million total contract value benchmark against industry standards for similar IT program support services?

Benchmarking the $24.3 million total contract value against industry standards for similar IT program support services requires detailed market research and access to proprietary cost data. Factors influencing this value include the scope of services (program management, acquisition, technical, logistics, administration), the duration (over 5.8 years), the specific technologies involved in GCSS-MC/LCM, and the level of expertise required. Given the complexity of supporting a major defense logistics IT system, this value appears substantial but potentially reasonable. Comparing it to other large-scale, long-term IT support contracts for defense systems would provide a more accurate benchmark. The high number of bidders (11520) suggests the market has many players, and the government likely secured competitive pricing.

What are the primary risks associated with this contract, and what mitigation strategies are in place?

Primary risks associated with this contract include potential performance deficiencies by REMILNET, LLC, leading to disruptions in critical Marine Corps logistics operations. There's also a risk of cost overruns if the firm fixed-price structure isn't rigorously managed, or scope creep if requirements are not clearly defined and controlled. Another risk is the potential for key personnel turnover within REMILNET, impacting institutional knowledge. Mitigation strategies likely involve robust contract oversight by the Department of the Navy, clear performance metrics and deliverables, regular progress reviews, and potentially incentives or penalties tied to performance. The firm fixed-price nature itself acts as a cost control mechanism, and the competitive award process suggests a baseline of contractor capability.

What is the expected impact of this contract on the efficiency and effectiveness of the GCSS-MC/LCM program?

This contract is expected to significantly enhance the efficiency and effectiveness of the GCSS-MC/LCM program by providing dedicated, expert support across multiple critical functions. By outsourcing program management, acquisition, technical, logistics, and administrative tasks to REMILNET, LLC, the Marine Corps can focus its internal resources on core operational missions. The continuity of support over a long duration should foster deep understanding of the system and its challenges, leading to improved system performance, streamlined processes, and better decision-making. Effective program support can reduce system downtime, improve data accuracy, and ultimately contribute to a more responsive and capable logistics chain for the Marine Corps.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering 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: M6785417R3018

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 4226 EAGLE LANDING PARKWAY, ORANGE PARK, FL, 32065

Business Categories: Category Business, Economically Disadvantaged Women Owned Small Business, Limited Liability Corporation, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $30,347,933

Exercised Options: $25,115,513

Current Obligation: $24,365,155

Actual Outlays: $1,392,712

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017815D8388

IDV Type: IDC

Timeline