DoD Awards $30.8M Contract for Wall-to-Wall Inventory Support Services to Nakupuna Services LLC

Contract Overview

Contract Amount: $30,878,430 ($30.9M)

Contractor: Nakupuna Services LLC

Awarding Agency: Department of Defense

Start Date: 2023-11-03

End Date: 2026-11-14

Contract Duration: 1,107 days

Daily Burn Rate: $27.9K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: WALL-TO-WALL INVENTORY SUPPORT SERVICES

Place of Performance

Location: NORFOLK, NORFOLK CITY County, VIRGINIA, 23511

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $30.9 million to NAKUPUNA SERVICES LLC for work described as: WALL-TO-WALL INVENTORY SUPPORT SERVICES Key points: 1. Contract awarded to Nakupuna Services LLC for $30.8M. 2. Services are for wall-to-wall inventory support. 3. The contract was not available for competition. 4. The sector is Facilities Support Services.

Value Assessment

Rating: questionable

The contract value is $30.8M over 1107 days. Without comparable contract data or pricing details, it is difficult to assess if this represents excellent value. The firm fixed price structure provides cost certainty but may not reflect market rates.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded sole-source, meaning there was no competition. This limits price discovery and may result in higher costs for taxpayers compared to a competitive procurement.

Taxpayer Impact: The sole-source nature of this award raises concerns about potential overpayment and inefficient use of taxpayer funds due to the lack of competitive pressure.

Public Impact

Taxpayers may be paying more than necessary due to the absence of competition. The Department of the Navy is receiving essential inventory support services. The contract duration of nearly three years provides stability for service delivery.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source award limits competition and price discovery.
  • Lack of detailed pricing information hinders value assessment.
  • Potential for inflated costs due to non-competitive nature.

Positive Signals

  • Firm fixed price provides cost certainty.
  • Contract ensures continuity of inventory support services.

Sector Analysis

This contract falls under Facilities Support Services, a broad category encompassing various operational and maintenance functions for government facilities. Benchmarks for this specific niche are not readily available, but large service contracts often require robust oversight to ensure value.

Small Business Impact

The contract was awarded to Nakupuna Services LLC, which is not identified as a small business in the provided data. There is no indication of subcontracting opportunities for small businesses within this award.

Oversight & Accountability

The sole-source nature of this contract warrants close oversight to ensure the contractor is delivering services at a fair and reasonable price. Transparency in performance metrics and cost reporting would be beneficial for accountability.

Related Government Programs

  • Facilities Support Services
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Lack of competition may lead to higher costs.
  • Limited transparency on pricing and service details.
  • Potential for inefficient use of taxpayer funds.
  • No indication of small business participation.

Tags

facilities-support-services, department-of-defense, va, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $30.9 million to NAKUPUNA SERVICES LLC. WALL-TO-WALL INVENTORY SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is NAKUPUNA SERVICES 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 $30.9 million.

What is the period of performance?

Start: 2023-11-03. End: 2026-11-14.

What justification was provided for the sole-source award, and how does it align with federal procurement regulations for limiting competition?

The justification for the sole-source award is crucial for understanding why competition was bypassed. Federal regulations typically require a compelling reason, such as unique capabilities or urgent needs, to justify a sole-source procurement. Without this information, it's difficult to assess if the government received the best possible value or if taxpayer funds were used efficiently.

What specific inventory support services are included in this contract, and how are performance metrics measured to ensure effectiveness?

Understanding the scope of 'wall-to-wall inventory support services' is key to evaluating the contract's effectiveness. Detailed service descriptions and clearly defined performance metrics are essential for the Department of the Navy to monitor progress and ensure the contractor is meeting objectives. This information is vital for assessing the overall value and impact of the $30.8M investment.

Are there any mechanisms in place to periodically review the pricing and ensure it remains competitive throughout the contract's duration, despite the initial sole-source award?

Given the sole-source nature, proactive pricing reviews are important. Mechanisms like economic price adjustments or periodic re-evaluations of the firm fixed price against market data could help mitigate the risk of overpayment. Without such reviews, the government might be locked into a potentially suboptimal price for the entire contract term.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesFacilities Support ServicesFacilities Support Services

Product/Service Code: OPERATION OF GOVT OWNED FACILITYOPERATE GOVT OWNED BUILDINGS

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: N0018923R0048

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 251 18TH ST S, ARLINGTON, VA, 22202

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

Financial Breakdown

Contract Ceiling: $56,858,661

Exercised Options: $30,878,430

Current Obligation: $30,878,430

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline

Start Date: 2023-11-03

Current End Date: 2026-11-14

Potential End Date: 2029-05-14 00:00:00

Last Modified: 2025-11-13

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