DoD Awards $13.4M for Communications Equipment to Serco Inc. Under Full and Open Competition
Contract Overview
Contract Amount: $13,391,794 ($13.4M)
Contractor: Serco Inc
Awarding Agency: Department of Defense
Start Date: 2022-12-12
End Date: 2024-04-04
Contract Duration: 479 days
Daily Burn Rate: $28.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: AFLOAT NETWORKS
Place of Performance
Location: SAN DIEGO, SAN DIEGO County, CALIFORNIA, 92123
Plain-Language Summary
Department of Defense obligated $13.4 million to SERCO INC for work described as: AFLOAT NETWORKS Key points: 1. Contract awarded to Serco Inc. for $13.4 million. 2. Competition type: Full and Open Competition. 3. Sector: Other Communications Equipment Manufacturing. 4. Risk: Moderate, given the contract value and duration. 5. Value: Appears reasonable based on initial data, pending further analysis.
Value Assessment
Rating: good
The award amount of $13.4 million for a delivery order over approximately 16 months suggests a moderate per-unit cost. Benchmarking against similar contracts for 'Other Communications Equipment Manufacturing' would be necessary for a definitive assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating a competitive bidding process. This method generally promotes price discovery and can lead to more favorable pricing for the government.
Taxpayer Impact: The competitive nature of this award is expected to yield fair market value, ensuring taxpayer funds are used efficiently.
Public Impact
Supports Department of the Navy operations with essential communications equipment. Potential impact on the broader communications equipment manufacturing sector. Ensures availability of critical technology for defense purposes.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns if scope expands.
- Dependence on a single contractor for delivery.
- Market volatility in communications equipment pricing.
Positive Signals
- Awarded through full and open competition.
- Clear delivery order with defined end date.
- Firm fixed price contract type limits cost risk.
Sector Analysis
This contract falls within the 'Other Communications Equipment Manufacturing' sector, which is crucial for national defense. Spending benchmarks in this area can vary significantly based on technological advancements and specific equipment needs.
Small Business Impact
The data does not indicate if small businesses were involved as subcontractors. Further investigation would be needed to determine the extent of small business participation in this contract.
Oversight & Accountability
The contract is managed by the Department of the Navy, a component of the Department of Defense, which has established oversight mechanisms for procurement and contract execution. The firm fixed price structure provides a degree of accountability.
Related Government Programs
- Other Communications Equipment Manufacturing
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Contract value is substantial.
- Duration of the contract is significant.
- Potential for scope creep.
- Reliance on a single awardee.
- Lack of specific equipment details for cost validation.
Tags
other-communications-equipment-manufactu, department-of-defense, ca, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $13.4 million to SERCO INC. AFLOAT NETWORKS
Who is the contractor on this award?
The obligated recipient is SERCO 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 $13.4 million.
What is the period of performance?
Start: 2022-12-12. End: 2024-04-04.
What is the specific type of communications equipment being procured, and how does its cost compare to industry standards?
The specific type of communications equipment is not detailed in the provided data, falling under NAICS code 334290 (Other Communications Equipment Manufacturing). A thorough cost comparison would require detailed specifications of the equipment, quantities, and current market prices for similar items. Without this, it's difficult to definitively assess if the $13.4 million award represents a fair market value.
What are the potential risks associated with relying on Serco Inc. for this critical equipment, especially concerning delivery timelines and quality?
Potential risks include delivery delays if Serco faces supply chain issues or production challenges, and quality control failures that could impact the effectiveness of the communications systems. While the firm fixed price contract incentivizes timely delivery, the government must maintain robust oversight to ensure adherence to specifications and quality standards throughout the contract period.
How effectively does this contract contribute to the Department of the Navy's overall mission readiness and technological advantage?
This contract directly supports the Department of the Navy's mission by providing necessary communications equipment. Its effectiveness hinges on the reliability and performance of the delivered equipment in operational environments. Successful execution ensures seamless communication, which is vital for command and control, intelligence gathering, and overall operational readiness.
Industry Classification
NAICS: Manufacturing › Communications Equipment Manufacturing › Other Communications Equipment Manufacturing
Product/Service Code: IT AND TELECOM - NETWORK
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: N0003913R0013
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 12930 WORLDGATE DR STE 600, HERNDON, VA, 20170
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $13,391,794
Exercised Options: $13,391,794
Current Obligation: $13,391,794
Subaward Activity
Number of Subawards: 21
Total Subaward Amount: $14,695,817
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N0003914D0125
IDV Type: IDC
Timeline
Start Date: 2022-12-12
Current End Date: 2024-04-04
Potential End Date: 2024-04-04 00:00:00
Last Modified: 2025-12-11
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