DoD's Navy awards $36.9M engineering services contract to SPA, Inc. without competition

Contract Overview

Contract Amount: $36,933,779 ($36.9M)

Contractor: Systems Planning and Analysis, Inc.

Awarding Agency: Department of Defense

Start Date: 2011-09-07

End Date: 2014-03-04

Contract Duration: 909 days

Daily Burn Rate: $40.6K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIXED PRICE LEVEL OF EFFORT

Sector: Defense

Official Description: PROGRAM AND TECHNICAL SUPPORT SERVICES FOR THE STRATEGIC SYSTEMS PRGORAMS (SSP)

Place of Performance

Location: WASHINGTON NAVY YARD, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20374

State: District of Columbia Government Spending

Plain-Language Summary

Department of Defense obligated $36.9 million to SYSTEMS PLANNING AND ANALYSIS, INC. for work described as: PROGRAM AND TECHNICAL SUPPORT SERVICES FOR THE STRATEGIC SYSTEMS PRGORAMS (SSP) Key points: 1. Contract awarded to a single vendor, raising questions about competition. 2. Fixed-price contract type may limit cost savings for taxpayers. 3. Services are critical for Strategic Systems Programs, indicating high importance. 4. No small business participation noted in this award.

Value Assessment

Rating: questionable

The contract value of $36.9M for engineering services appears high given the lack of competition. Benchmarking against similar definitive contracts for specialized engineering support is difficult without more data, but the absence of competitive bidding suggests potential overpricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This method limits price discovery and may result in higher costs for the government compared to a competitive process.

Taxpayer Impact: The lack of competition for a $36.9M contract means taxpayers may not have received the best possible price for these critical engineering services.

Public Impact

Taxpayers may have overpaid due to the absence of competitive bidding. Critical defense systems rely on the services provided under this contract. The long duration (909 days) of the contract warrants scrutiny for efficiency.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of competition
  • Potential for overpricing
  • No small business participation

Positive Signals

  • Awarded to a known entity (SPA, Inc.)
  • Fixed-price contract type

Sector Analysis

This contract falls under engineering services, a sector often characterized by specialized expertise. Benchmarks for similar sole-source engineering contracts are difficult to establish, but competitive awards typically yield better value.

Small Business Impact

This contract did not include any provisions for small business participation. Given the significant value, exploring opportunities for small businesses in future procurements could be beneficial.

Oversight & Accountability

The sole-source nature of this award necessitates robust oversight to ensure the government receives fair value and that the services are delivered effectively and efficiently.

Related Government Programs

  • Engineering Services
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Sole-source award
  • Potential for cost overruns
  • Lack of transparency in pricing
  • No small business inclusion

Tags

engineering-services, department-of-defense, dc, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $36.9 million to SYSTEMS PLANNING AND ANALYSIS, INC.. PROGRAM AND TECHNICAL SUPPORT SERVICES FOR THE STRATEGIC SYSTEMS PRGORAMS (SSP)

Who is the contractor on this award?

The obligated recipient is SYSTEMS PLANNING AND ANALYSIS, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $36.9 million.

What is the period of performance?

Start: 2011-09-07. End: 2014-03-04.

What was the justification for not competing this $36.9M contract for critical strategic systems programs?

The justification for not competing this contract is not provided in the data. Typically, sole-source awards require a documented justification, such as a critical need, unique capability, or lack of available sources. Without this information, it's impossible to assess the validity of the non-competitive decision.

How does the $36.9M contract value compare to similar engineering support services for strategic systems, and what is the risk of overpayment?

Without specific benchmark data for comparable sole-source contracts for Strategic Systems Programs engineering support, it's challenging to definitively assess the $36.9M value. However, the absence of competition inherently increases the risk of overpayment, as market forces driving down prices are absent. Further analysis would require access to historical pricing data for similar services.

What is the effectiveness of Systems Planning and Analysis, Inc. in delivering these specialized engineering services, and how is it measured?

The provided data does not include information on the effectiveness of Systems Planning and Analysis, Inc. or the metrics used to measure their performance. Effectiveness would typically be assessed through contract performance reviews, delivery timelines, quality of work, and adherence to technical specifications. These details are usually found in contract performance reports.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering Services

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

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIXED PRICE LEVEL OF EFFORT (B)

Evaluated Preference: NONE

Contractor Details

Address: 2001 N BEAUREGARD ST., SUITE 100, ALEXANDRIA, VA, 22311

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $38,424,222

Exercised Options: $37,801,512

Current Obligation: $36,933,779

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2011-09-07

Current End Date: 2014-03-04

Potential End Date: 2014-03-04 00:00:00

Last Modified: 2021-02-23

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