DoD awards $6.7M for security administration support, with limited competition and a 3-year duration

Contract Overview

Contract Amount: $6,705,580 ($6.7M)

Contractor: Asrc Federal Facilities Logistics LLC

Awarding Agency: Department of Defense

Start Date: 2023-03-31

End Date: 2026-04-07

Contract Duration: 1,103 days

Daily Burn Rate: $6.1K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: SECURITY ADMINISTRATION SUPPORT SERVICES

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20318

State: District of Columbia Government Spending

Plain-Language Summary

Department of Defense obligated $6.7 million to ASRC FEDERAL FACILITIES LOGISTICS LLC for work described as: SECURITY ADMINISTRATION SUPPORT SERVICES Key points: 1. The contract value of $6.7 million over approximately three years suggests a moderate annual spend. 2. Limited competition may indicate potential for higher pricing than a fully open market. 3. The firm fixed-price contract type shifts performance risk to the contractor. 4. The contract is for 'Other Scientific and Technical Consulting Services', a broad category. 5. The duration of 1103 days (approx. 3 years) provides a stable period for service delivery. 6. The contract is not set aside for small businesses, suggesting larger prime contractors are involved.

Value Assessment

Rating: fair

Benchmarking the value of this $6.7 million contract is challenging without specific service details or comparable contract data. The annual spend is approximately $2.2 million, which is moderate for specialized support services. The firm fixed-price structure implies that the contractor bears the risk of cost overruns, which can be a positive indicator of value if the price is competitive. However, the limited competition raises concerns about whether the government secured the best possible price.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This contract was awarded under 'NOT AVAILABLE FOR COMPETITION', which typically signifies a sole-source or limited competition scenario. The data indicates only one offer was received. This lack of robust competition limits the government's ability to leverage market forces to drive down costs and ensure the most innovative solutions are considered. It suggests that either only one entity possessed the required capabilities or the justification for limited competition was based on specific circumstances.

Taxpayer Impact: Limited competition can lead to higher costs for taxpayers as the government may not benefit from the price reductions typically seen in a more competitive bidding environment.

Public Impact

The primary beneficiaries are likely the Department of Defense and its personnel, who will receive enhanced security administration support. The services delivered are categorized as 'Other Scientific and Technical Consulting Services', implying a range of analytical or advisory functions related to security. The geographic impact is focused on the District of Columbia, where the contract is being performed. Workforce implications may include the creation or sustainment of jobs for individuals with expertise in security administration and consulting services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition raises concerns about potential overpayment and lack of innovative solutions.
The broad categorization of services ('Other Scientific and Technical Consulting Services') makes it difficult to assess specific performance metrics and value.
Lack of small business set-aside may limit opportunities for smaller, specialized firms in this sector.

Positive Signals

Firm fixed-price contract shifts cost risk to the contractor, potentially leading to better cost control.
A defined contract duration (approx. 3 years) provides stability for service delivery and planning.
The contract is awarded to ASRC FEDERAL FACILITIES LOGISTICS LLC, a known entity in federal contracting.

Sector Analysis

The 'Other Scientific and Technical Consulting Services' category (NAICS 541690) is broad and encompasses a wide array of specialized advisory and analytical services. This contract likely fits within the broader professional services market supporting government operations. Comparable spending benchmarks are difficult to establish without more specific service details, but federal spending on consulting and technical services is substantial across various agencies.

Small Business Impact

This contract was not set aside for small businesses, and the data indicates no small business participation (ss: false, sb: false). This suggests that the prime contractor, ASRC FEDERAL FACILITIES LOGISTICS LLC, is likely a large business, and subcontracting opportunities for small businesses are not guaranteed or mandated by this specific award. The absence of a small business set-aside means that the primary focus was not on directing this work to smaller enterprises.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of the Navy's contracting and program management offices. As a firm fixed-price contract, performance monitoring is crucial to ensure the contractor meets the defined scope of work and service level agreements. Transparency is dependent on the agency's reporting practices and the public availability of contract details beyond what is provided here. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Department of Defense Security Services
Federal Consulting Services
Logistics and Facilities Support Contracts
Scientific and Technical Services

Risk Flags

Limited competition
Lack of detailed service description
No small business participation

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $6.7 million to ASRC FEDERAL FACILITIES LOGISTICS LLC. SECURITY ADMINISTRATION SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is ASRC FEDERAL FACILITIES LOGISTICS 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 $6.7 million.

What is the period of performance?

Start: 2023-03-31. End: 2026-04-07.

What specific security administration tasks are included under this contract?

The provided data categorizes this contract under 'Other Scientific and Technical Consulting Services' (NAICS 541690) and specifies the awardee is ASRC FEDERAL FACILITIES LOGISTICS LLC for the Department of Defense. However, the exact nature of the 'security administration support services' is not detailed. Typically, such services could encompass a range of activities including policy development, risk assessments, personnel security clearances management, physical security oversight, cybersecurity consulting, emergency preparedness planning, and compliance monitoring. Without a detailed statement of work (SOW) or contract line item numbers (CLINs), it is impossible to ascertain the precise scope of duties, deliverables, and performance standards.

How does the $6.7 million contract value compare to similar security support services contracts within the DoD?

Direct comparison of the $6.7 million contract value to similar security support services contracts within the DoD is challenging without more specific details about the services rendered and the contract duration. The contract spans approximately three years (1103 days), equating to an annual value of roughly $2.2 million. This figure is moderate for specialized support services. However, the 'Other Scientific and Technical Consulting Services' category is very broad. To provide a meaningful comparison, one would need to identify contracts with similar NAICS codes, service scopes (e.g., physical security, cybersecurity, administrative support), and agency components. The limited competition also suggests this might be a niche requirement, making direct benchmarking difficult.

What are the potential risks associated with awarding this contract with limited competition?

Awarding contracts with limited competition, especially when only one offer is received as indicated here ('NOT AVAILABLE FOR COMPETITION', 1 offer), presents several potential risks. Firstly, it can lead to higher costs for the government. Without the pressure of multiple bidders vying for the contract, the selected contractor may not feel compelled to offer the most competitive pricing. Secondly, it limits the government's access to a wider range of innovative solutions or alternative approaches that other potential bidders might have proposed. Thirdly, it raises concerns about whether the government truly explored all viable options and justifications for limiting competition. This can undermine public trust and potentially lead to suboptimal resource allocation if the chosen vendor is not the best fit or most cost-effective.

What is the track record of ASRC FEDERAL FACILITIES LOGISTICS LLC in performing similar government contracts?

ASRC FEDERAL FACILITIES LOGISTICS LLC is a known entity within the federal contracting space, often performing services related to logistics, facilities management, and base operations support for various government agencies, including the Department of Defense. While specific performance details for this particular $6.7 million security administration support contract are not publicly available, the company generally has a history of receiving and executing large federal contracts. A comprehensive assessment of their track record would involve reviewing past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), any past disputes or contract terminations, and the breadth of their experience in security-related consulting services. Their presence suggests a capacity to handle significant government requirements.

How does the firm fixed-price contract type impact the government's financial exposure?

The firm fixed-price (FFP) contract type is generally favorable for the government in terms of financial exposure, especially for services with well-defined scopes. Under an FFP contract, the contractor agrees to a set price for the work, regardless of the actual costs incurred. This means the contractor assumes the primary risk of cost overruns. If the contractor's costs exceed the agreed-upon price, their profit margin decreases, or they may incur a loss. Conversely, if their costs are lower than anticipated, their profit increases. This structure incentivizes the contractor to manage costs efficiently and perform the work within budget. The government's financial obligation is fixed, providing predictability in budgeting and reducing the risk of unexpected cost increases, provided the scope of work is clearly defined and managed.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Other Scientific and Technical Consulting Services

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

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: N0018923RZ037

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Arctic Slope Regional Corporation

Address: 7000 MUIRKIRK MEADOWS DR, BELTSVILLE, MD, 20705

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $11,946,729

Exercised Options: $6,960,553

Current Obligation: $6,705,580

Actual Outlays: $572,017

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline