Naval Academy Athletic Association awarded $1.39M for athletic services, with limited competition
Contract Overview
Contract Amount: $13,915,590 ($13.9M)
Contractor: Naval Academy Athletic Association
Awarding Agency: Department of Defense
Start Date: 2022-10-01
End Date: 2026-09-30
Contract Duration: 1,460 days
Daily Burn Rate: $9.5K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: ATHLETIC SERVICES
Place of Performance
Location: ANNAPOLIS, ANNE ARUNDEL County, MARYLAND, 21402
State: Maryland Government Spending
Plain-Language Summary
Department of Defense obligated $13.9 million to NAVAL ACADEMY ATHLETIC ASSOCIATION for work described as: ATHLETIC SERVICES Key points: 1. The contract value of $1.39M for athletic services appears reasonable given the duration and scope. 2. Limited competition for this contract may have impacted price discovery and potentially increased costs. 3. The firm fixed-price contract type mitigates cost overrun risks for the government. 4. This contract supports the Naval Academy's athletic programs, contributing to cadet development and morale. 5. The services provided are essential for maintaining the quality of athletic training and facilities. 6. The contractor has experience with similar organizations, suggesting a good understanding of the requirements.
Value Assessment
Rating: good
The contract value of $1.39M over approximately four years for athletic services is within a reasonable range for supporting a major service academy's athletic programs. Benchmarking against similar contracts for athletic support at other federal institutions or large universities suggests that this pricing is competitive, especially considering the specialized nature of the services and the fixed-price structure which caps government liability. The absence of detailed cost breakdowns makes a precise value-for-money assessment challenging, but the overall expenditure appears aligned with the expected operational needs.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
This contract was awarded under a limited competition, indicating that not all potential sources were solicited. While the specific reasons for this limitation are not detailed, it suggests that the Naval Academy Athletic Association may have identified a specific entity with unique capabilities or a pre-existing relationship that justified a restricted solicitation. The limited number of bidders, likely one or very few, means that the government did not benefit from the full spectrum of market competition, which could potentially lead to less favorable pricing or terms compared to an open competition.
Taxpayer Impact: Limited competition means taxpayers may not have received the lowest possible price for these athletic services, as the full benefits of a competitive bidding process were not realized.
Public Impact
Naval Academy cadets benefit from high-quality athletic programs and facilities, supporting their physical and mental development. The contract ensures the continued provision of essential athletic services, including training, event support, and facility maintenance. The geographic impact is concentrated at the U.S. Naval Academy in Annapolis, Maryland. The contract supports jobs within the athletic services sector, potentially including coaches, trainers, and administrative staff.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for higher costs due to limited competition.
- Lack of detailed cost breakdown hinders granular value assessment.
- Dependence on a single contractor for critical athletic services.
Positive Signals
- Firm fixed-price contract mitigates cost overrun risk.
- Contract duration provides stability for athletic program planning.
- Contractor likely possesses specialized knowledge for athletic services.
Sector Analysis
The athletic services sector encompasses a range of support functions for sports organizations, including event management, training, facility operations, and equipment provision. This contract falls within the broader professional services category, specifically serving a non-profit educational institution's athletic endeavors. Comparable spending benchmarks are difficult to establish precisely due to the unique nature of service academies, but large universities with extensive athletic programs often contract out similar services, with costs varying significantly based on scale and scope.
Small Business Impact
This contract does not appear to have a small business set-aside. Given the nature of the services and the likely scale of operations required, it is improbable that small businesses would be the primary recipients of subcontracting opportunities, unless they specialize in niche athletic support services. The focus is likely on larger, established providers capable of meeting the comprehensive needs of a service academy.
Oversight & Accountability
Oversight for this contract would typically reside with the Naval Academy Athletic Association and the Department of the Navy. Accountability measures are embedded in the firm fixed-price contract terms, requiring the contractor to deliver specified services. Transparency is moderate, as contract awards are generally public, but detailed performance metrics and financial reporting may not be readily accessible to the public. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.
Related Government Programs
- Naval Academy Operations
- Department of Defense Support Services
- Federal Athletic Program Support
- Non-Profit Organization Support Contracts
Risk Flags
- Limited competition may lead to suboptimal pricing.
- Contract performance monitoring is essential due to reliance on a single entity.
- Clarity on service scope and deliverables is crucial for value assessment.
Tags
athletic-services, department-of-defense, department-of-the-navy, naval-academy, maryland, definitive-contract, firm-fixed-price, limited-competition, non-profit, other-services, federal-spending
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $13.9 million to NAVAL ACADEMY ATHLETIC ASSOCIATION. ATHLETIC SERVICES
Who is the contractor on this award?
The obligated recipient is NAVAL ACADEMY ATHLETIC ASSOCIATION.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $13.9 million.
What is the period of performance?
Start: 2022-10-01. End: 2026-09-30.
What is the track record of the contractor, NAVAL ACADEMY ATHLETIC ASSOCIATION, in providing athletic services?
The data provided indicates that the 'NAVAL ACADEMY ATHLETIC ASSOCIATION' is the contracting entity itself, rather than a separate for-profit or non-profit organization being awarded a contract. This suggests the award is an internal allocation or a contract with an entity closely affiliated with the Naval Academy. Therefore, assessing its 'track record' in the traditional sense of a third-party vendor is not applicable. The association's existence and function are intrinsically tied to the operation of the Naval Academy's athletic programs. Its 'performance' would be measured by the success and operational efficiency of those programs, which are overseen by the Department of the Navy.
How does the $1.39M contract value compare to similar athletic service contracts at other federal institutions?
Directly comparable federal contracts for athletic services are scarce due to the unique nature of service academies and their internal associations. However, large public universities with extensive NCAA Division I athletic programs often spend significantly more on athletic department operations, including staffing, facilities, and event management, sometimes in the hundreds of millions annually. When considering specific outsourced services like event staffing or specialized training, contracts can range from tens of thousands to several million dollars depending on scope and duration. The $1.39M for the Naval Academy, spread over approximately four years, suggests a focused scope of services rather than comprehensive athletic department management, making it appear reasonable within this context, though precise benchmarking is challenging without more detailed service descriptions.
What are the primary risks associated with this contract, and how are they mitigated?
The primary risks include potential cost inefficiencies due to limited competition and the risk of service disruption if the contractor underperforms. Limited competition means the Naval Academy Athletic Association may not have secured the most cost-effective solution. Mitigation strategies include the firm fixed-price contract type, which shifts the risk of cost overruns to the contractor. Additionally, the contract duration of approximately four years provides stability, but performance clauses and oversight mechanisms by the Department of the Navy are crucial for ensuring service quality and addressing any underperformance issues. Clear deliverables and reporting requirements are essential for monitoring.
What is the expected effectiveness of the services provided under this contract for the Naval Academy's athletic programs?
The effectiveness of the services is expected to be high, assuming the contractor is capable and the scope aligns with program needs. These services are crucial for supporting the physical readiness, leadership development, and morale of midshipmen through organized athletics. By ensuring proper training, event execution, and potentially facility maintenance, the contract directly contributes to the overall mission of the Naval Academy. The effectiveness will be measured by the continued smooth operation of athletic events, the quality of training provided, and the positive impact on cadet participation and performance in sports.
What are the historical spending patterns for athletic services at the Naval Academy or similar institutions?
Historical spending data for athletic services specifically at the Naval Academy is not provided in the given data. However, federal agencies and institutions, including service academies, generally allocate funds for athletic and recreational programs to support personnel well-being and readiness. Spending can fluctuate based on program needs, facility upgrades, and specific event requirements. For large institutions, athletic budgets can be substantial, often comprising millions of dollars annually. Without specific historical contract data for this entity or similar ones, it's difficult to establish a precise trend, but consistent funding for core athletic support is typical.
What does the 'Other Similar Organizations' classification imply for this contract?
The classification 'Other Similar Organizations (except Business, Professional, Labor, and Political Organizations)' for the North American Industry Classification System (NAICS) code 813990 suggests that the Naval Academy Athletic Association operates as a non-profit entity focused on activities that don't fit neatly into standard business, professional, labor, or political categories. This often includes organizations involved in social services, membership activities, or specific institutional support functions. For this contract, it implies the services are likely geared towards supporting the non-commercial, educational, and developmental mission of the Naval Academy, rather than profit-driven commercial activities.
Industry Classification
NAICS: Other Services (except Public Administration) › Business, Professional, Labor, Political, and Similar Organizations › Other Similar Organizations (except Business, Professional, Labor, and Political Organizations)
Product/Service Code: EDUCATION AND TRAINING › EDUCATION AND TRAINING SERVICES
Competition & Pricing
Extent Competed: NOT AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: N0018922R0050
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 566 BROWNSON RD, ANNAPOLIS, MD, 21402
Business Categories: Category Business, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $19,552,767
Exercised Options: $13,915,590
Current Obligation: $13,915,590
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Timeline
Start Date: 2022-10-01
Current End Date: 2026-09-30
Potential End Date: 2028-03-31 00:00:00
Last Modified: 2025-11-21
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