DoD Awards $37.1M Engineering Services Contract to Banner Quality Management Inc. for NSWC-CR Operations

Contract Overview

Contract Amount: $37,157,188 ($37.2M)

Contractor: Banner Quality Management Inc

Awarding Agency: Department of Defense

Start Date: 2022-11-07

End Date: 2027-11-06

Contract Duration: 1,825 days

Daily Burn Rate: $20.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 7

Pricing Type: COST NO FEE

Sector: Other

Official Description: THE REQUIREMENT IS FOR NON-PERSONAL PROFESSIONAL BUSINESS SERVICES FOR THE CORPORATE OPERATIONS DEPARTMENT, COMPTROLLER DEPARTMENT, AND ITS CUSTOMERS AT NSWC-CR.

Place of Performance

Location: CRANE, MARTIN County, INDIANA, 47522

State: Indiana Government Spending

Plain-Language Summary

Department of Defense obligated $37.2 million to BANNER QUALITY MANAGEMENT INC for work described as: THE REQUIREMENT IS FOR NON-PERSONAL PROFESSIONAL BUSINESS SERVICES FOR THE CORPORATE OPERATIONS DEPARTMENT, COMPTROLLER DEPARTMENT, AND ITS CUSTOMERS AT NSWC-CR. Key points: 1. Contract awarded to Banner Quality Management Inc. for essential business services. 2. The contract is for Engineering Services (NAICS 541330). 3. Full and open competition was utilized. 4. The contract duration is 5 years, ending November 2027. 5. The award type is a Delivery Order.

Value Assessment

Rating: fair

The total contract value is $37.1 million over five years. Without specific per-unit cost data or benchmarks for similar services, a precise value assessment is difficult. However, the duration suggests a significant, ongoing need.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a broad solicitation for qualified offerors. This method generally promotes competitive pricing and allows the government to select the best value.

Taxpayer Impact: The use of full and open competition aims to ensure taxpayer funds are used efficiently by fostering a competitive environment for service providers.

Public Impact

Ensures continued operational support for key corporate and comptroller departments at NSWC-CR. Supports critical business functions within the Department of the Navy. Provides professional business services essential for departmental efficiency.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of detailed cost breakdown for assessment.
No specific performance metrics provided.
Limited insight into specific services rendered.

Positive Signals

Awarded under full and open competition.
Long-term contract provides stability.
Supports critical government functions.

Sector Analysis

This contract falls under professional, scientific, and technical services, specifically engineering services. Spending in this sector is substantial across the DoD, supporting a wide range of technical and operational requirements.

Small Business Impact

The data indicates this contract was not set aside for small businesses and the awardee is not explicitly identified as a small business. Therefore, the direct impact on small business participation is not evident from this award alone.

Oversight & Accountability

The contract is managed by the Department of the Navy, a component of the Department of Defense. Standard oversight mechanisms for DoD contracts would apply, including performance monitoring and financial accountability.

Related Government Programs

Engineering Services
Department of Defense Contracting
Department of the Navy Programs

Risk Flags

Lack of detailed service scope.
No performance metrics provided.
Cost-reimbursement structure requires strong oversight.
Limited information on contractor's past performance.
Potential for cost overruns without clear fee structure.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $37.2 million to BANNER QUALITY MANAGEMENT INC. THE REQUIREMENT IS FOR NON-PERSONAL PROFESSIONAL BUSINESS SERVICES FOR THE CORPORATE OPERATIONS DEPARTMENT, COMPTROLLER DEPARTMENT, AND ITS CUSTOMERS AT NSWC-CR.

Who is the contractor on this award?

The obligated recipient is BANNER QUALITY MANAGEMENT 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 $37.2 million.

What is the period of performance?

Start: 2022-11-07. End: 2027-11-06.

What specific engineering services are included in this contract, and how do they align with NSWC-CR's mission objectives?

The provided data categorizes the requirement as 'Engineering Services' (NAICS 541330) for corporate and comptroller departments. To fully assess alignment, a detailed breakdown of the specific tasks, deliverables, and their direct contribution to NSWC-CR's research, development, testing, and evaluation mission would be necessary. Understanding the scope beyond general business services is key.

How does the awarded price compare to market rates for similar engineering support services in the region or for comparable government agencies?

A comprehensive market analysis or benchmark study would be required to compare the awarded price of $37.1 million over five years against industry standards. Factors such as the specific skill sets required, the complexity of the tasks, and the geographic location of NSWC-CR would influence this comparison. Without such data, assessing price reasonableness is challenging.

What mechanisms are in place to ensure the quality and effectiveness of the professional business services provided by Banner Quality Management Inc. throughout the contract's duration?

While the contract type is 'Cost No Fee' (PT), which implies the contractor is reimbursed for allowable costs regardless of performance, effective oversight is crucial. The government likely has quality assurance surveillance plans (QASPs) or similar mechanisms to monitor performance, ensure deliverables meet requirements, and hold the contractor accountable for service quality.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N0016422R3008

Offers Received: 7

Pricing Type: COST NO FEE (S)

Evaluated Preference: NONE

Contractor Details

Address: 820 S FRIENDSWOOD DR, FRIENDSWOOD, TX, 77546

Business Categories: 8(a) Program Participant, Asian Pacific American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $61,096,604

Exercised Options: $61,096,604

Current Obligation: $37,157,188

Actual Outlays: $29,548

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $27,158,817

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017821D8966

IDV Type: IDC

Timeline