DoD awards $12.16M engineering services contract to WSM Pacific Siop for 2529 days

Contract Overview

Contract Amount: $12,164,318 ($12.2M)

Contractor: WSM Pacific Siop, a Joint Venture

Awarding Agency: Department of Defense

Start Date: 2023-08-30

End Date: 2030-08-02

Contract Duration: 2,529 days

Daily Burn Rate: $4.8K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: PDA 0% - 15% DESIGN - CHAP 1

Place of Performance

Location: BREMERTON, KITSAP County, WASHINGTON, 98312

State: Washington Government Spending

Plain-Language Summary

Department of Defense obligated $12.2 million to WSM PACIFIC SIOP, A JOINT VENTURE for work described as: PDA 0% - 15% DESIGN - CHAP 1 Key points: 1. Contract awarded via full and open competition, suggesting a broad market search. 2. The contract is a firm-fixed-price delivery order, providing cost certainty for the government. 3. Duration of over 2500 days indicates a long-term need for these engineering services. 4. The contract falls under engineering services, a critical support function for defense operations. 5. Awarded by the Department of the Navy, highlighting specific service branch requirements. 6. The contract value is approximately $4.7K per day, considering the total award amount and duration.

Value Assessment

Rating: good

The contract value of $12.16 million for engineering services over approximately 7 years appears reasonable given the duration and the nature of defense-related engineering support. Benchmarking against similar long-term engineering contracts within the Department of Defense would provide a more precise value-for-money assessment. The firm-fixed-price structure helps control costs, but the absence of detailed performance metrics makes a definitive value assessment challenging without further context on the specific engineering tasks.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that the Department of the Navy sought proposals from all responsible sources. The specific number of bidders is not provided, but this procurement method generally fosters a competitive environment, which can lead to better pricing and service offerings. The open competition suggests that the agency did not identify any specific barriers to entry or proprietary requirements that would limit the bidder pool.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it maximizes the potential for competitive pricing and encourages a wider range of innovative solutions, potentially leading to cost savings and improved service delivery.

Public Impact

The Department of the Navy benefits from specialized engineering expertise to support its operations and infrastructure. This contract likely supports critical defense infrastructure or program development within the Navy. The geographic impact is primarily within Washington state, where the contractor is located. The contract may have implications for the engineering workforce, potentially creating or sustaining jobs in the sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long contract duration (over 7 years) could lead to scope creep or evolving requirements not fully captured in the initial award.
Lack of specific performance metrics or deliverables in the provided data makes it difficult to assess the quality and effectiveness of services.
The joint venture structure of the contractor might introduce complexities in accountability or resource allocation.
Potential for cost overruns if unforeseen technical challenges arise, despite the firm-fixed-price nature.

Positive Signals

Awarded through full and open competition, indicating a robust and fair bidding process.
Firm-fixed-price contract type provides cost certainty for the government.
Long-term nature of the contract suggests a stable and ongoing need for these critical engineering services.
Contractor is a joint venture, potentially bringing together diverse expertise and capabilities.

Sector Analysis

The engineering services sector is a vital component of the federal procurement landscape, supporting a wide array of government functions, particularly in defense, infrastructure, and research and development. This contract, valued at over $12 million, falls within the typical range for specialized engineering support services required by agencies like the Department of the Navy. The NAICS code 541330 (Engineering Services) encompasses a broad range of activities, from civil and mechanical engineering to naval architecture and aerospace engineering, indicating the diverse needs the federal government has in this area.

Small Business Impact

The provided data indicates that small business participation (ss and sb fields) is false for this contract. This suggests that the contract was not set aside for small businesses, nor does it appear to have specific subcontracting requirements mandated for small businesses within this award. Consequently, the direct impact on the small business ecosystem from this specific contract may be limited, unless the prime contractor voluntarily engages small businesses in their supply chain.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and program managers within the Department of the Navy. Accountability measures are inherent in the firm-fixed-price contract type, which obligates the contractor to deliver specified services within the agreed-upon price. Transparency is generally facilitated through contract databases like FPDS, where award details are made public. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Naval Sea Systems Command (NAVSEA) Contracts
Department of Defense Engineering Support Services
Military Construction and Facilities Engineering
Naval Architecture and Marine Engineering Services

Risk Flags

Long contract duration may increase risk of requirement changes.
Lack of specific performance metrics hinders assessment of service quality.
Joint venture structure could introduce management complexities.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $12.2 million to WSM PACIFIC SIOP, A JOINT VENTURE. PDA 0% - 15% DESIGN - CHAP 1

Who is the contractor on this award?

The obligated recipient is WSM PACIFIC SIOP, A JOINT VENTURE.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $12.2 million.

What is the period of performance?

Start: 2023-08-30. End: 2030-08-02.

What specific engineering services are encompassed by this contract, and how do they align with the Department of the Navy's strategic objectives?

The contract falls under NAICS code 541330 (Engineering Services), which is broad. Given the award by the Department of the Navy, these services likely pertain to naval systems, infrastructure, or platforms. This could include design, analysis, testing, or technical support for ships, submarines, shore facilities, or weapon systems. Alignment with strategic objectives would depend on the specific projects funded, such as fleet readiness, modernization programs, or new platform development. Without more detailed task orders or statements of work, the precise nature and strategic alignment remain speculative but are presumed to support core naval operational and modernization goals.

How does the $12.16 million award compare to historical spending on similar engineering services by the Department of the Navy?

Comparing this $12.16 million award requires analyzing historical data for similar engineering services contracts awarded by the Department of the Navy, particularly those with long durations (over 2500 days) and under full and open competition. While this value is substantial, the Navy procures a vast array of services. If this contract represents a significant portion of a specific engineering discipline or program, it could be considered large. However, if it's one of many similar contracts supporting diverse needs, it might be moderate. A precise comparison would necessitate examining contract databases for average award values, contract volumes, and the specific types of engineering services procured over recent fiscal years to establish a relevant benchmark.

What are the key performance indicators (KPIs) or deliverables expected under this contract, and how will their achievement be measured?

The provided data does not specify the key performance indicators (KPIs) or detailed deliverables for this contract. Typically, for engineering services contracts, KPIs might include adherence to project timelines, quality of technical reports, accuracy of designs, successful completion of testing phases, and responsiveness to technical queries. Measurement would likely involve regular progress reviews, acceptance of deliverables by government representatives, and potentially performance assessments at key milestones. The firm-fixed-price nature implies that the contractor is responsible for meeting these undefined performance standards to receive full payment.

What is the track record of WSM Pacific Siop, A Joint Venture, in delivering similar engineering services to the federal government?

Assessing the track record of WSM Pacific Siop, A Joint Venture, requires examining their past performance on federal contracts. This includes reviewing contract awards, completion history, any reported performance issues, and past performance evaluations if publicly available. As a joint venture, its track record might be a composite of its member companies' experiences or reflect specific projects undertaken under the JV entity. Information on past performance, including any awards or disputes, would provide insight into their reliability, technical capabilities, and ability to manage complex engineering projects for government clients.

What are the potential risks associated with the long duration (over 7 years) of this engineering services contract?

The long duration of this contract presents several potential risks. Firstly, requirements may evolve significantly over seven years, potentially leading to scope creep or the need for contract modifications, which could impact cost and schedule. Secondly, maintaining consistent quality and performance from the contractor over such an extended period can be challenging. Thirdly, economic fluctuations or changes in government priorities could affect the continued necessity or funding of the services. Finally, there's a risk of contractor personnel turnover, potentially leading to knowledge loss and disruption in service continuity.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: ARCHITECT/ENGINEER SERVICES › ARCH-ENG SVCS - GENERAL

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: ARCHITECT-ENGINEER FAR 6.102

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1001 BISHOP ST STE 2400, HONOLULU, HI, 96813

Business Categories: Category Business, Foreign Owned, Foreign-Owned and U.S.-Incorporated Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations

Financial Breakdown

Contract Ceiling: $12,164,318

Exercised Options: $12,164,318

Current Obligation: $12,164,318

Actual Outlays: $365,243

Subaward Activity

Number of Subawards: 13

Total Subaward Amount: $7,103,556

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N6274221D0001

IDV Type: IDC

Timeline