DoD awards $13.8M contract for FMS Admin services to Precise Systems, Inc. under full and open competition

Contract Overview

Contract Amount: $13,842,784 ($13.8M)

Contractor: Precise Systems, Inc.

Awarding Agency: Department of Defense

Start Date: 2023-04-01

End Date: 2027-03-31

Contract Duration: 1,460 days

Daily Burn Rate: $9.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: COST PLUS FIXED FEE

Sector: Engineering Services

Official Description: BASE PERIOD LABOR - FMS ADMIN

Place of Performance

Location: PATUXENT RIVER, SAINT MARYS County, MARYLAND, 20670

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $13.8 million to PRECISE SYSTEMS, INC. for work described as: BASE PERIOD LABOR - FMS ADMIN Key points: 1. Contract value of $13.8M for base period labor. 2. Precise Systems, Inc. is the awardee. 3. Competition method: Full and Open Competition after Exclusion of Sources. 4. Sector: Engineering Services (NAICS 541330).

Value Assessment

Rating: good

The contract is a Cost Plus Fixed Fee type, which allows for flexibility but requires careful oversight to manage costs. The award value is substantial for the base period.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition after Exclusion of Sources,' indicating a competitive process was used, but specific sources were initially excluded. This method aims for best value while ensuring a competitive landscape.

Taxpayer Impact: The competitive award process is intended to secure fair pricing and good value for taxpayer funds.

Public Impact

Ensures continued administrative support for Foreign Military Sales (FMS). Supports Department of the Navy operations. Provides employment opportunities within the engineering services sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost overruns due to Cost Plus Fixed Fee structure.
  • Complexity of FMS administration requires specialized expertise.

Positive Signals

  • Competitive award process should drive value.
  • Long-term contract provides stability for services.

Sector Analysis

This contract falls within the Engineering Services sector, which is crucial for supporting complex government operations like Foreign Military Sales. Benchmarks for similar contracts would depend on the specific scope of administrative and engineering support required.

Small Business Impact

The awardee, Precise Systems, Inc., is not explicitly identified as a small business in the provided data. Further analysis would be needed to determine the impact on small business participation.

Oversight & Accountability

The Cost Plus Fixed Fee structure necessitates robust oversight from the Department of the Navy to ensure costs are reasonable and fixed fees are justified. Monitoring performance against contract requirements is key.

Related Government Programs

  • Engineering Services
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Cost Plus Fixed Fee structure can lead to cost overruns.
  • Complexity of FMS administration.
  • Potential for limited competition due to source exclusion.
  • Lack of total contract value information.

Tags

engineering-services, department-of-defense, md, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $13.8 million to PRECISE SYSTEMS, INC.. BASE PERIOD LABOR - FMS ADMIN

Who is the contractor on this award?

The obligated recipient is PRECISE SYSTEMS, 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 $13.8 million.

What is the period of performance?

Start: 2023-04-01. End: 2027-03-31.

What is the estimated total contract value including all option periods?

The provided data only details the base period labor cost of $13,842,784.40. The total contract value, including any potential option periods, is not specified. A comprehensive assessment of value would require visibility into the full contract scope and potential future expenditures.

What specific risks are associated with the 'Exclusion of Sources' in the competition method?

Excluding sources, even in a full and open competition context, can limit the pool of potential offerors and may inadvertently exclude highly capable vendors. This could potentially lead to higher prices or less innovative solutions if not carefully managed and justified.

How effectively does this contract support the Department of Defense's mission objectives?

This contract directly supports the Department of the Navy's role in managing Foreign Military Sales, a critical component of U.S. defense diplomacy and security cooperation. Ensuring efficient and effective FMS administration is vital for maintaining international partnerships and projecting U.S. influence.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N0042118R0039

Offers Received: 3

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 22290 EXPLORATION DR, STE 400, LEXINGTON PARK, MD, 20653

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

Financial Breakdown

Contract Ceiling: $19,259,739

Exercised Options: $17,833,746

Current Obligation: $13,842,784

Subaward Activity

Number of Subawards: 4

Total Subaward Amount: $3,153,533

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0042118D0044

IDV Type: IDC

Timeline

Start Date: 2023-04-01

Current End Date: 2027-03-31

Potential End Date: 2028-03-31 00:00:00

Last Modified: 2025-12-31

More Contracts from Precise Systems, Inc.

View all Precise Systems, Inc. federal contracts →

Other Department of Defense Contracts

View all Department of Defense contracts →

Explore Related Government Spending