DoD's $21.6M Engineering Services Contract with Booz Allen Hamilton: A 5-Year Award
Contract Overview
Contract Amount: $21,638,662 ($21.6M)
Contractor: Booz Allen Hamilton Inc
Awarding Agency: Department of Defense
Start Date: 2003-10-01
End Date: 2008-09-30
Contract Duration: 1,826 days
Daily Burn Rate: $11.8K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: COST PLUS FIXED FEE
Sector: Defense
Place of Performance
Location: MCLEAN, FAIRFAX County, VIRGINIA, 22102
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $21.6 million to BOOZ ALLEN HAMILTON INC for work described as: Key points: 1. Contract awarded to Booz Allen Hamilton for engineering services. 2. Full and open competition was utilized. 3. The contract duration was 5 years. 4. The award value was $21.6 million. 5. The contract type was Cost Plus Fixed Fee.
Value Assessment
Rating: fair
The contract value of $21.6M over 5 years averages $4.3M annually. Without specific benchmarks for similar engineering services contracts, it's difficult to definitively assess pricing. However, the Cost Plus Fixed Fee structure can sometimes lead to higher costs if not managed tightly.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The use of full and open competition suggests a robust price discovery process. This method allows multiple vendors to bid, theoretically driving down costs and ensuring the government receives competitive pricing for the engineering services.
Taxpayer Impact: The competitive nature of the award aims to ensure taxpayer funds are used efficiently, although the Cost Plus Fixed Fee structure warrants careful monitoring to prevent cost overruns.
Public Impact
Ensures continued engineering support for Department of Defense operations. Supports a major defense contractor, potentially impacting jobs in the sector. The long-term nature of the contract provides stability for both the agency and the contractor.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee structure can incentivize higher costs.
- Lack of specific performance metrics makes value assessment difficult.
- Limited information on the specific engineering services provided.
Positive Signals
- Full and open competition utilized.
- Long contract duration provides stability.
- Awarded to a well-established contractor.
Sector Analysis
Engineering services are critical for the Department of Defense, encompassing a wide range of technical support, design, and analysis. Spending in this sector can vary significantly based on defense priorities and technological advancements. Benchmarking requires detailed service scope comparison.
Small Business Impact
This contract was awarded to Booz Allen Hamilton, a large business. There is no indication that small businesses were involved as subcontractors or prime contractors in this specific award, which is common for large, complex defense contracts.
Oversight & Accountability
The contract was awarded by the Department of Defense, with oversight likely provided by the Defense Contract Management Agency. The Cost Plus Fixed Fee structure necessitates diligent oversight to manage costs and ensure contractor performance aligns with contract requirements.
Related Government Programs
- Engineering Services
- Department of Defense Contracting
- Defense Contract Management Agency Programs
Risk Flags
- Cost Plus Fixed Fee structure can lead to higher costs.
- Lack of detailed performance metrics.
- Limited transparency on specific services rendered.
- Potential for cost overruns if not closely managed.
Tags
engineering-services, department-of-defense, va, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $21.6 million to BOOZ ALLEN HAMILTON INC. See the official description on USAspending.
Who is the contractor on this award?
The obligated recipient is BOOZ ALLEN HAMILTON INC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Contract Management Agency).
What is the total obligated amount?
The obligated amount is $21.6 million.
What is the period of performance?
Start: 2003-10-01. End: 2008-09-30.
What was the specific scope of engineering services provided under this contract, and how did it align with the agency's needs?
The provided data does not detail the specific scope of engineering services. To assess alignment, one would need to review the original contract statement of work (SOW). This would outline the precise tasks, deliverables, and technical requirements expected from Booz Allen Hamilton, allowing for an evaluation of how effectively these services met the Department of Defense's operational and strategic objectives.
How did the final cost compare to the initial estimates, given the Cost Plus Fixed Fee structure?
The Cost Plus Fixed Fee (CPFF) structure means the final cost is the actual allowable cost plus a negotiated fixed fee. To assess cost performance, a comparison of the final incurred costs against the initial cost estimates and the fixed fee would be necessary. Without this detailed financial data, it's impossible to determine if the contract was cost-effective or if there were significant cost overruns beyond the fixed fee.
What were the key performance indicators (KPIs) for this contract, and how did Booz Allen Hamilton perform against them?
The available data does not specify the key performance indicators (KPIs) established for this contract. Effective oversight would involve tracking metrics related to technical performance, schedule adherence, and quality of deliverables. Understanding these KPIs and Booz Allen Hamilton's performance against them is crucial for evaluating the overall effectiveness and value derived from the $21.6 million investment.
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: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 3
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Booz Allen Hamilton Holding Corporation (UEI: 964725688)
Address: BOOZ ALLEN HAMILTON INC, MC LEAN, VA, 22102
Business Categories: Category Business, Not Designated a Small Business
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2003-10-01
Current End Date: 2008-09-30
Potential End Date: 2008-09-30 00:00:00
Last Modified: 2017-05-04
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