USMC Intelligence Support Services contract awarded to Vickers & Nolan Enterprises LLC for over $43M

Contract Overview

Contract Amount: $43,287,618 ($43.3M)

Contractor: Vickers & Nolan Enterprises LLC

Awarding Agency: Department of Defense

Start Date: 2017-12-08

End Date: 2023-07-08

Contract Duration: 2,038 days

Daily Burn Rate: $21.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: IGFF::OT::IGF UNITED STATES MARINE CORPS (USMC) INTELLIGENCE SUPPORT SERVICES

Place of Performance

Location: STAFFORD, STAFFORD County, VIRGINIA, 22556

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $43.3 million to VICKERS & NOLAN ENTERPRISES LLC for work described as: IGFF::OT::IGF UNITED STATES MARINE CORPS (USMC) INTELLIGENCE SUPPORT SERVICES Key points: 1. The contract value of over $43 million represents a significant investment in intelligence support for the USMC. 2. Full and open competition was utilized, suggesting a robust market for these specialized services. 3. The contract duration of approximately 6.5 years indicates a long-term need for these capabilities. 4. The cost-plus-fixed-fee pricing structure may allow for flexibility but requires careful oversight to manage costs. 5. The award was a delivery order, implying it was part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract. 6. The services fall under engineering, which is a broad category that could encompass various technical and analytical support functions.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific details on the services rendered. However, a $43 million award over 6.5 years averages around $6.6 million annually. This figure needs to be compared against the scope and complexity of intelligence support services provided to the USMC. The cost-plus-fixed-fee (CPFF) contract type can sometimes lead to higher costs if not managed diligently, as it reimburses costs plus a fixed fee. Without comparable contract data for similar intelligence support services, a definitive value-for-money assessment is difficult, but the duration and total value suggest a substantial requirement.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit offers. This approach generally fosters a competitive environment, potentially leading to better pricing and service quality. The fact that there were 5 bidders suggests a healthy level of interest and capability within the market for these intelligence support services. A competitive process helps ensure that the government receives a fair price and the best value available.

Taxpayer Impact: Taxpayers benefit from full and open competition through potentially lower prices and a wider range of innovative solutions being considered. This process helps prevent price gouging and ensures that public funds are used efficiently.

Public Impact

The primary beneficiaries are the United States Marine Corps, receiving critical intelligence support services to enhance operational effectiveness. The services delivered likely include intelligence analysis, collection support, data processing, and potentially training or advisory roles. The geographic impact is likely focused on USMC operational areas, both domestically and internationally, wherever intelligence support is required. Workforce implications include the employment of skilled analysts, engineers, and support staff by the prime contractor and potentially its subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The CPFF contract type requires robust oversight to ensure costs remain reasonable and the fixed fee does not become excessive.
The broad nature of 'Engineering Services' for intelligence support could lead to scope creep if not clearly defined and managed.
Reliance on a single delivery order under a potential IDIQ structure might limit visibility into the overall contract's performance and cost trends.

Positive Signals

The use of full and open competition indicates a mature market and likely competitive pricing.
The award to Vickers & Nolan Enterprises LLC suggests they possess the necessary qualifications and experience for these critical services.
The long contract duration implies a stable, ongoing need and a successful partnership between the contractor and the USMC.

Sector Analysis

The intelligence support services sector is a critical component of national defense, encompassing a wide range of analytical, technical, and operational capabilities. This contract, valued at over $43 million, falls within the broader engineering services (NAICS 541330) and defense intelligence markets. The market for such services is characterized by specialized expertise, high security clearances, and significant government investment. Comparable spending benchmarks would typically involve other large-scale intelligence support contracts awarded to defense contractors, often through IDIQ vehicles, to support various branches of the military and intelligence agencies.

Small Business Impact

There is no indication that this contract was specifically set aside for small businesses, nor is there information suggesting significant subcontracting opportunities for small businesses. The prime contractor, Vickers & Nolan Enterprises LLC, is not explicitly identified as a small business in the provided data. Further analysis would be needed to determine if small business participation was a requirement or if subcontracting plans were mandated.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of the Navy and the USMC contracting and program management offices. Given the nature of intelligence support services, oversight would likely include rigorous performance monitoring, financial audits, and adherence to security protocols. Transparency may be limited due to the sensitive nature of intelligence operations. Inspector General jurisdiction would apply to investigations of fraud, waste, or abuse related to the contract.

Related Government Programs

Intelligence Support Services
Defense Intelligence
Marine Corps Systems Command Contracts
Engineering Services Contracts
Department of Defense IT and Support Services

Risk Flags

Cost Overruns Risk (CPFF)
Scope Creep Potential
Security Clearance Management
Data Handling and Classification Compliance

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $43.3 million to VICKERS & NOLAN ENTERPRISES LLC. IGFF::OT::IGF UNITED STATES MARINE CORPS (USMC) INTELLIGENCE SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is VICKERS & NOLAN ENTERPRISES 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 $43.3 million.

What is the period of performance?

Start: 2017-12-08. End: 2023-07-08.

What specific intelligence support services were provided under this contract?

The provided data categorizes this contract under 'Engineering Services' (NAICS 541330) for the USMC Intelligence Support Services. However, the specific deliverables are not detailed. Typically, such services can encompass a broad spectrum including intelligence analysis, data fusion, collection management, geospatial intelligence support, technical exploitation, threat assessment, and advisory services to operational units. The 'Cost Plus Fixed Fee' (CPFF) structure suggests that the scope might have involved evolving requirements or research and development elements where precise costs were not fully predictable at the outset. A deeper dive into the contract's Statement of Work (SOW) would be necessary to ascertain the exact nature and extent of the services rendered.

How does the $43.2 million contract value compare to similar USMC intelligence support contracts?

Comparing the $43.2 million contract value requires context regarding the duration and scope of services. This contract spans approximately 6.5 years (December 2017 to July 2023), averaging about $6.6 million per year. To benchmark effectively, one would need to identify other USMC or Department of Defense contracts for intelligence support services with similar durations and service complexities. For instance, larger, multi-year IDIQ contracts might have total ceiling values in the hundreds of millions or billions, with individual delivery orders varying significantly. This specific award appears to be a substantial, but not exceptionally large, single delivery order, reflecting a focused requirement for specialized engineering and intelligence support.

What are the key risks associated with a Cost Plus Fixed Fee (CPFF) contract for intelligence services?

The primary risk with a CPFF contract is the potential for cost overruns, as the government agrees to reimburse the contractor for all allowable costs incurred, plus a predetermined fixed fee. While the fee is fixed, the total cost can escalate if the contractor's expenses are higher than anticipated. This necessitates robust government oversight to ensure costs are reasonable, allocable, and allowable. For intelligence services, risks also include ensuring the contractor maintains necessary security clearances, adheres to strict data handling protocols, and delivers accurate, timely intelligence. Scope creep is another risk; if the requirements are not clearly defined or evolve significantly, the contractor may incur additional costs beyond the initial estimates, impacting the overall value.

What is the significance of this contract being a 'Delivery Order'?

This contract being a 'Delivery Order' (DO) signifies that it was likely issued under a larger Indefinite Delivery/Indefinite Quantity (IDIQ) contract vehicle. IDIQ contracts establish a framework for services or supplies over a period, allowing the government to issue multiple DOs or Task Orders (TOs) up to a specified ceiling amount. This approach provides flexibility for agencies to procure needed services as requirements arise. For taxpayers, this means funds are obligated incrementally as orders are placed, rather than all at once. The specific DO value ($43.2M) represents the committed funding for the services procured under that particular order, which is part of the overall potential value of the parent IDIQ contract.

How does the 'Engineering Services' classification relate to intelligence support?

The classification of 'Engineering Services' (NAICS 541330) for intelligence support indicates that the contract likely involves technical expertise, system design, integration, analysis, or development related to intelligence gathering, processing, or dissemination. This could include developing or maintaining intelligence software, designing secure communication systems, analyzing complex data sets using engineering principles, or providing technical consultation on intelligence platforms. It suggests a focus on the technical and systematic aspects of intelligence operations, rather than purely analytical or human intelligence gathering, bridging the gap between technical systems and actionable intelligence.

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: N6523618R3050

Offers Received: 5

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 50 TECH PKWY STE 103, STAFFORD, VA, 22556

Business Categories: Category Business, Emerging Small Business, Limited Liability Corporation, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $45,600,172

Exercised Options: $45,576,370

Current Obligation: $43,287,618

Actual Outlays: $8,559,696

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017810D6390

IDV Type: IDC

Timeline