DoD's $19.8M contract for watchstanders awarded to TENICA AND ASSOCIATES LLC, with 9 bidders

Contract Overview

Contract Amount: $19,833,671 ($19.8M)

Contractor: Tenica and Associates LLC

Awarding Agency: Department of Defense

Start Date: 2022-02-16

End Date: 2026-02-15

Contract Duration: 1,460 days

Daily Burn Rate: $13.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 9

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: WATCHSTANDERS 2022

Place of Performance

Location: CHANTILLY, FAIRFAX County, VIRGINIA, 20151

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $19.8 million to TENICA AND ASSOCIATES LLC for work described as: WATCHSTANDERS 2022 Key points: 1. Value for money appears fair given the fixed-price nature and competitive award. 2. Competition dynamics were robust with 9 bidders, suggesting a healthy market. 3. Risk indicators are moderate, with performance to be monitored over the 4-year duration. 4. Performance context is for essential watchstanding services, critical for naval operations. 5. Sector positioning is within engineering services, supporting defense readiness.

Value Assessment

Rating: fair

The contract's firm fixed-price structure provides cost certainty for the government. Benchmarking against similar watchstander contracts is difficult without more specific service details, but the award to TENICA AND ASSOCIATES LLC after a full and open competition suggests a competitive price was achieved. The total value of $19.8 million over four years averages to approximately $4.95 million annually, which seems reasonable for specialized personnel supporting critical operations.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of 9 bidders suggests a competitive marketplace for these services, which typically leads to better price discovery and potentially lower costs for the government. The agency's decision to use full and open competition is a positive sign for maximizing value.

Taxpayer Impact: The robust competition ensures that taxpayer dollars are likely being used efficiently, as multiple companies vied to provide the required services at the best possible price.

Public Impact

Naval operations and readiness are directly supported by the watchstander services. Personnel in Virginia will likely be employed or contracted through this award. The Department of the Navy benefits from continuous monitoring and operational support. National security is enhanced through the reliable execution of watchstanding duties.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if watchstanding requirements are not clearly defined and managed.
Dependence on a single contractor for critical watchstanding functions could pose a risk if performance falters.

Positive Signals

Firm fixed-price contract provides cost predictability.
Awarded through full and open competition, indicating market validation.
Long-term contract (4 years) allows for stable service provision and potential for contractor expertise development.

Sector Analysis

The engineering services sector, particularly within defense, is characterized by specialized firms capable of providing critical operational support. This contract falls under NAICS code 541330 (Engineering Services). The market for defense support services is substantial, with significant government spending allocated annually to ensure operational readiness. This contract represents a portion of that broader spending, focusing on essential personnel for monitoring and command functions.

Small Business Impact

This contract was not set aside for small businesses, nor does it appear to have specific subcontracting requirements mentioned in the provided data. The award to TENICA AND ASSOCIATES LLC, a single entity, suggests it may be a mid-to-large-sized business. Further analysis would be needed to determine if small businesses are involved in the supply chain or as potential subcontractors.

Oversight & Accountability

The Department of the Navy, as the awarding agency, is responsible for oversight. Performance will be monitored against the contract terms and conditions. The firm fixed-price nature of the contract provides a degree of accountability for the contractor to deliver services within the agreed budget. Transparency is facilitated by the public award notice, but detailed performance metrics are not publicly available.

Related Government Programs

Naval Command and Control Systems
Defense Readiness Support Services
Military Personnel Support Contracts
Department of Defense Watch Operations

Risk Flags

Potential for performance issues impacting critical operations.
Dependence on contractor personnel for essential functions.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $19.8 million to TENICA AND ASSOCIATES LLC. WATCHSTANDERS 2022

Who is the contractor on this award?

The obligated recipient is TENICA AND ASSOCIATES LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $19.8 million.

What is the period of performance?

Start: 2022-02-16. End: 2026-02-15.

What is the track record of TENICA AND ASSOCIATES LLC with the Department of Defense, specifically regarding watchstander services?

A review of federal procurement data indicates that TENICA AND ASSOCIATES LLC has received multiple contracts from various government agencies, including the Department of Defense. While specific details on past watchstander performance are not readily available in this summary, their ability to win a competitive bid for this significant contract suggests a level of established capability and past performance that met the Navy's requirements. Further investigation into their contract history, including any past performance evaluations or awards/debarments, would provide a more comprehensive understanding of their reliability in fulfilling similar critical support roles.

How does the average annual cost of this contract compare to similar watchstander services procured by other branches of the military or federal agencies?

The average annual cost for this contract is approximately $4.95 million ($19.8M / 4 years). Benchmarking this against similar watchstander services across the federal government is challenging without precise definitions of 'watchstander' duties and required qualifications, as these can vary significantly. However, for specialized personnel providing continuous monitoring and operational support in a defense context, this annual figure appears within a reasonable range. A more granular comparison would require identifying contracts with highly comparable scopes of work, personnel requirements, and geographic locations to ensure an apples-to-apples assessment of value for money.

What are the primary risks associated with this contract, and what mitigation strategies are in place?

Key risks include potential contractor underperformance, leading to gaps in critical watchstanding coverage, and the possibility of cost overruns if the firm fixed-price contract doesn't adequately account for unforeseen operational demands. Another risk is the potential for key personnel turnover within TENICA AND ASSOCIATES LLC, impacting service continuity. Mitigation strategies likely involve robust performance monitoring by the Department of the Navy, clearly defined service level agreements (SLAs), and contingency planning for service disruptions. The competitive nature of the award also incentivizes the contractor to perform well to secure future opportunities.

How effective is the current contract in ensuring the Department of the Navy's operational readiness and command and control capabilities?

The effectiveness of this contract is directly tied to the reliable and continuous execution of watchstanding duties, which are fundamental to maintaining operational readiness and command and control (C2). By outsourcing these functions to TENICA AND ASSOCIATES LLC, the Navy aims to ensure consistent coverage, allowing its military personnel to focus on core warfighting missions. The success of this contract hinges on the contractor's ability to meet all performance standards and maintain the necessary personnel and infrastructure. Assuming successful performance, it contributes significantly to the Navy's ability to monitor threats, manage operations, and maintain situational awareness.

What has been the historical spending trend for watchstander services by the Department of the Navy over the past five years?

Detailed historical spending trends specifically for 'watchstander services' by the Department of the Navy are not directly available from the provided data. This contract represents a single award for a specific period. To analyze historical trends, one would need to aggregate spending data across multiple contracts categorized under similar service descriptions (e.g., operational support, command center services, monitoring personnel) over several fiscal years. This would involve querying extensive federal procurement databases to identify patterns, fluctuations, and the average contract values for such services.

Are there any specific performance metrics or key performance indicators (KPIs) associated with this contract that are publicly available?

The provided data does not include specific performance metrics or Key Performance Indicators (KPIs) for this contract. Publicly available contract award notices typically focus on the basic terms: contractor, value, duration, and competition level. Detailed performance expectations and measurement criteria are usually outlined in the contract's Statement of Work (SOW) and are not generally disclosed in public summaries due to their sensitive operational nature. Oversight by the Department of the Navy would involve tracking the contractor's adherence to these internal KPIs.

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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N0018921R3036

Offers Received: 9

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 4795 MEADOW WOOD LN STE 200W, CHANTILLY, VA, 20151

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Economically Disadvantaged Women Owned Small Business, Limited Liability Corporation, Minority Owned Business, Other Minority Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $27,608,605

Exercised Options: $19,997,053

Current Obligation: $19,833,671

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $1,088,952

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017819D8695

IDV Type: IDC

Timeline