DoD's JWD Awards $9.9M Contract for Joint Warfighting Expertise, Facing Moderate Price Concerns

Contract Overview

Contract Amount: $9,914,131 ($9.9M)

Contractor: Command Post Technologies, Inc.

Awarding Agency: Department of Defense

Start Date: 2023-01-11

End Date: 2027-01-10

Contract Duration: 1,460 days

Daily Burn Rate: $6.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Engineering Services

Official Description: JOINT WARFIGHTING DIRECTORATE (JWD), FUTURES AND CONCEPTS DIVISION (FCD) JOINT CONCEPT SUBJECT MATTER EXPERTISE

Place of Performance

Location: SUFFOLK, SUFFOLK CITY County, VIRGINIA, 23435

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $9.9 million to COMMAND POST TECHNOLOGIES, INC. for work described as: JOINT WARFIGHTING DIRECTORATE (JWD), FUTURES AND CONCEPTS DIVISION (FCD) JOINT CONCEPT SUBJECT MATTER EXPERTISE Key points: 1. Contract awarded to Command Post Technologies, Inc. for specialized subject matter expertise. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. The contract duration is 4 years, ending in January 2027. 4. The primary sector is Engineering Services, with a specific NAICS code of 541330. 5. A significant portion of the award value is allocated to Virginia.

Value Assessment

Rating: fair

The award value of $9.9M over 4 years appears reasonable for specialized subject matter expertise. However, the benchmark of $6,791 (likely per year or a smaller unit) suggests potential for higher per-unit costs compared to similar, less complex engineering services.

Cost Per Unit: $6,791

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which generally promotes competitive pricing. The existence of a benchmark value suggests some level of price discovery occurred, but the final price relative to the benchmark warrants scrutiny.

Taxpayer Impact: Taxpayer funds are being used for specialized defense expertise. While competition aims for efficiency, the benchmark suggests potential overspending if per-unit costs are high.

Public Impact

Enhances the Department of Defense's strategic planning and future concepts development. Supports the Joint Warfighting Directorate in advancing military capabilities. Potential for improved national security through enhanced warfighting doctrines. Focuses on specialized engineering and conceptualization services.

Waste & Efficiency Indicators

Waste Risk Score: 67 / 10

Warning Flags

Potential for high per-unit cost relative to benchmark.
Long contract duration could lead to scope creep or evolving needs.
Limited information on specific deliverables and performance metrics.

Positive Signals

Awarded through full and open competition.
Supports critical defense strategy and future planning.
Firm Fixed Price contract type limits cost uncertainty.

Sector Analysis

This contract falls under Engineering Services (NAICS 541330), a sector crucial for defense modernization and strategic development. Spending benchmarks in this area vary widely based on specialization, but consistent competition is key to cost control.

Small Business Impact

The data indicates the contract was not set aside for small businesses and the awardee, Command Post Technologies, Inc., is not explicitly identified as a small business in this context. Therefore, the direct impact on small business participation appears minimal for this specific award.

Oversight & Accountability

The Department of the Navy, acting for the DoD, managed this award. Oversight would involve monitoring contract performance, adherence to the firm fixed price, and ensuring the expertise provided aligns with JWD's strategic objectives.

Related Government Programs

Engineering Services
Department of Defense Contracting
Department of the Navy Programs

Risk Flags

Potential for high per-unit cost.
Benchmark value significantly lower than implied annual contract value.
Limited detail on specific deliverables and performance metrics.
Long contract duration increases risk of misalignment with evolving needs.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $9.9 million to COMMAND POST TECHNOLOGIES, INC.. JOINT WARFIGHTING DIRECTORATE (JWD), FUTURES AND CONCEPTS DIVISION (FCD) JOINT CONCEPT SUBJECT MATTER EXPERTISE

Who is the contractor on this award?

The obligated recipient is COMMAND POST TECHNOLOGIES, 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 $9.9 million.

What is the period of performance?

Start: 2023-01-11. End: 2027-01-10.

What specific expertise does Command Post Technologies, Inc. offer that justifies the contract value and potential per-unit cost?

The contract specifies 'Joint Concept Subject Matter Expertise' for the Joint Warfighting Directorate. This likely involves highly specialized knowledge in military strategy, operational planning, future warfare concepts, and inter-service integration. The value is tied to the unique skills and experience required to advise senior defense leaders on complex, forward-looking issues, rather than standard engineering tasks.

How does the $6,791 benchmark relate to the overall contract value and the nature of the services provided?

The $6,791 benchmark is significantly lower than the implied annual value of the $9.9M contract ($2.475M/year). This suggests the benchmark may represent a different unit of measure (e.g., per hour, per deliverable, or for a less complex service). It highlights a potential discrepancy that requires further investigation into the specific services benchmarked versus those contracted.

What are the key performance indicators (KPIs) for this contract to ensure effective delivery of subject matter expertise?

Effective delivery would likely be measured by the quality and timeliness of strategic advice, the development of actionable concepts, contributions to wargaming and simulations, and positive feedback from JWD leadership. Specific KPIs might include the number of concept papers produced, participation in key planning events, and the perceived impact of the expertise on strategic decision-making.

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: N0018922R3072

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Command Post Technologies Inc.

Address: 1039 CHAMPIONS WAY STE 100, SUFFOLK, VA, 23435

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $12,581,688

Exercised Options: $9,914,131

Current Obligation: $9,914,131

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017819D7378

IDV Type: IDC

Timeline