DoD's $1.2B contract for administrative, business, and financial support services awarded to WWC GLOBAL LLC

Contract Overview

Contract Amount: $11,980,634 ($12.0M)

Contractor: WWC Global LLC

Awarding Agency: Department of Defense

Start Date: 2020-12-01

End Date: 2026-02-28

Contract Duration: 1,915 days

Daily Burn Rate: $6.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 21

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: THE CONTRACTOR SHALL PROVIDE ADMINISTRATIVE, BUSINESS, AND FINANCIAL SUPPORT SERVICES FOR ONR IN ACCORDANCE WITH TASKS/REQUIREMENTS BELOW TO THE WARFIGHTER PERFORMANCE DEPARTMENT WITHIN ONR HEADQUARTERS.

Place of Performance

Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22203

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $12.0 million to WWC GLOBAL LLC for work described as: THE CONTRACTOR SHALL PROVIDE ADMINISTRATIVE, BUSINESS, AND FINANCIAL SUPPORT SERVICES FOR ONR IN ACCORDANCE WITH TASKS/REQUIREMENTS BELOW TO THE WARFIGHTER PERFORMANCE DEPARTMENT WITHIN ONR HEADQUARTERS. Key points: 1. Contract provides essential support services to the Warfighter Performance Department within ONR Headquarters. 2. The contract's duration spans over 6 years, indicating a long-term need for these services. 3. Awarded under full and open competition, suggesting a robust market for these support services. 4. The contract type is Cost Plus Fixed Fee, which can incentivize cost control but requires careful oversight. 5. The contractor, WWC GLOBAL LLC, has secured a significant portion of the total contract value. 6. The contract is categorized under Engineering Services, though the description focuses on administrative and financial support. 7. The contract is managed by the Department of the Navy, a major component of the DoD. 8. The contract is located in Virginia, a hub for defense contracting.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific performance metrics or detailed cost breakdowns. The Cost Plus Fixed Fee (CPFF) structure means the government reimburses the contractor for allowable costs plus a fixed fee, which can lead to cost overruns if not managed tightly. Comparing this to similar administrative and financial support contracts within the DoD would provide better context on whether the $1.2 billion ceiling represents a fair price for the services rendered over its multi-year duration. The absence of detailed performance data makes a definitive value assessment difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple qualified vendors had the opportunity to bid. The fact that there were 21 proposals received suggests a healthy level of competition for this type of support service. A higher number of bidders generally leads to better price discovery and potentially more favorable terms for the government, as contractors compete to offer the most attractive proposal.

Taxpayer Impact: The full and open competition process is beneficial for taxpayers as it encourages competitive pricing and ensures that the government is likely receiving services at a reasonable cost, maximizing the value of taxpayer dollars.

Public Impact

The primary beneficiaries are the Warfighter Performance Department within ONR Headquarters, receiving crucial administrative, business, and financial support. The services delivered are essential for the smooth operation and effectiveness of the ONR's mission. The geographic impact is concentrated in Virginia, where the contract is managed and likely performed. The contract supports a workforce involved in providing these specialized administrative and financial services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The CPFF contract type requires diligent oversight to prevent cost creep and ensure the fixed fee remains appropriate.
The broad scope of 'administrative, business, and financial support services' could lead to scope creep if not clearly defined and managed.
The categorization under 'Engineering Services' (NAICS 541330) appears misaligned with the described services, potentially indicating an administrative error or a very broad interpretation of engineering support.
The contract duration of over 6 years necessitates ongoing performance monitoring to ensure continued value and relevance.

Positive Signals

Awarded through full and open competition, indicating a competitive marketplace and potential for good value.
The receipt of 21 proposals suggests strong contractor interest and a robust bidding process.
The contract supports a critical function within the Department of the Navy, contributing to national defense objectives.
The long-term nature of the contract provides stability for essential support services.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically related to administrative and business support. The engineering services NAICS code (541330) is typically associated with firms that provide engineering consulting and design services. However, the description emphasizes administrative, business, and financial support. This suggests either a broad interpretation of engineering services or a potential misclassification. The total contract ceiling of $1.2 billion over approximately six years indicates a significant investment in support functions, reflecting the complexity and scale of operations within the Department of the Navy.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses stemming from a set-aside requirement. However, the prime contractor, WWC GLOBAL LLC, may choose to subcontract portions of this work to small businesses as part of their overall business strategy, which could provide opportunities within the small business ecosystem.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of the Navy contracting officers and program managers. The Cost Plus Fixed Fee (CPFF) structure necessitates robust financial oversight to ensure that costs are allowable, reasonable, and allocable, and that the fixed fee is earned. Transparency would be enhanced through regular reporting requirements and potential audits. While specific Inspector General (IG) jurisdiction isn't detailed, the DoD IG typically has oversight over all DoD contracts to investigate fraud, waste, and abuse.

Related Government Programs

Department of Defense Administrative Support Contracts
Naval Sea Systems Command (NAVSEA) Support Services
Office of Naval Research (ONR) Operations
Professional, Scientific, and Technical Services Contracts
Cost Plus Fixed Fee Contracts
Warfighter Support Services

Risk Flags

Potential for cost overruns due to CPFF structure.
Risk of scope creep if requirements are not tightly managed.
Misalignment between NAICS code (Engineering Services) and described services.
Need for robust oversight of contractor performance and financial reporting.
Long contract duration requires sustained monitoring for continued value.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $12.0 million to WWC GLOBAL LLC. THE CONTRACTOR SHALL PROVIDE ADMINISTRATIVE, BUSINESS, AND FINANCIAL SUPPORT SERVICES FOR ONR IN ACCORDANCE WITH TASKS/REQUIREMENTS BELOW TO THE WARFIGHTER PERFORMANCE DEPARTMENT WITHIN ONR HEADQUARTERS.

Who is the contractor on this award?

The obligated recipient is WWC GLOBAL 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 $12.0 million.

What is the period of performance?

Start: 2020-12-01. End: 2026-02-28.

What is the track record of WWC GLOBAL LLC in performing similar administrative, business, and financial support services for the Department of Defense?

Assessing WWC GLOBAL LLC's track record requires a review of their past performance on similar contracts. This would involve examining contract databases for previous awards, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any documented issues or successes. Given the significant value and duration of this new contract, the Department of the Navy would have likely conducted a thorough review of WWC GLOBAL's past performance. Without access to specific performance data, it's difficult to definitively state their track record. However, securing a $1.2 billion contract suggests they have demonstrated capability and reliability in previous engagements, likely involving complex support services for government agencies.

How does the estimated cost per year for this contract compare to similar administrative support contracts within the DoD?

The total ceiling value of $1,198,063,400 over an estimated period of 1915 days (approximately 5.25 years, from Dec 2020 to Feb 2026) suggests an average annual ceiling of roughly $228 million. Comparing this figure requires identifying comparable contracts that provide similar scope and scale of administrative, business, and financial support services within the Department of Defense. Factors such as the specific functions performed, the level of personnel involved, geographic location, and the competitive environment influence pricing. Without a detailed breakdown of services and labor categories, a precise benchmark is difficult. However, this annual figure represents a substantial investment, and its value would be assessed against the criticality of the support provided to the ONR's mission.

What are the primary risks associated with a Cost Plus Fixed Fee (CPFF) contract of this magnitude?

The primary risks associated with a CPFF contract of this magnitude include potential cost overruns and contractor inefficiency. While the fixed fee provides the contractor with an incentive to control costs, the government bears the risk of reimbursing all allowable costs. If costs escalate beyond initial projections, the total expenditure could significantly exceed the anticipated amount, even if the fixed fee remains constant. Effective risk mitigation requires stringent oversight of allowable costs, regular audits, and clear performance metrics. Scope creep is another significant risk; if the requirements are not precisely defined and managed, the contractor may incur additional costs that are then passed on to the government. Ensuring the fixed fee accurately reflects the effort and risk involved is also crucial.

What is the strategic importance of these administrative and financial support services to the Office of Naval Research (ONR)?

These administrative, business, and financial support services are strategically important to the Office of Naval Research (ONR) as they enable the Warfighter Performance Department to focus on its core mission of advancing naval science and technology. By outsourcing essential but non-core functions, ONR can ensure efficient operations, maintain financial integrity, and allocate its specialized personnel to research, development, and innovation. The effective functioning of these support services directly impacts ONR's ability to manage its programs, execute its budget, and ultimately deliver technological advantages to the warfighter. The long-term nature of the contract underscores the sustained need for this foundational support.

How has spending on administrative and business support services by the Department of the Navy evolved over the past five years?

Analyzing the evolution of spending on administrative and business support services by the Department of the Navy over the past five years would require accessing historical contract data. This would involve querying federal procurement databases (like FPDS-NG or USASpending.gov) for contracts categorized under relevant NAICS codes (e.g., 541611 Administrative Management and General Management Consulting Services, 541612 Human Resources Consulting Services, 541613 Marketing Consulting Services, 541614 Process, Physical Distribution, and Logistics Consulting Services, 541615 Management Consulting Services, 541690 Other Scientific and Technical Consulting Services, or potentially broader administrative categories). Trends might indicate an increase or decrease in reliance on external contractors for these services, potentially driven by budget fluctuations, strategic shifts, or efficiency initiatives within the Navy. This specific contract represents a significant portion of such spending for ONR.

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: N0001420R3003

Offers Received: 21

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 2 MATT'S PATH, MASHANTUCKET, CT, 06338

Business Categories: American Indian Owned Business, Category Business, Government, Native American Tribal Government, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Not Designated a Small Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, Tribally Owned Firm, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $12,387,414

Exercised Options: $12,387,414

Current Obligation: $11,980,634

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $4,099,645

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017819D8844

IDV Type: IDC

Timeline