DoD's Navy awards $6.28M C4I training contract to Professional Software Engineering, Inc

Contract Overview

Contract Amount: $6,284,717 ($6.3M)

Contractor: Professional Software Engineering, Inc.

Awarding Agency: Department of Defense

Start Date: 2024-09-23

End Date: 2029-09-22

Contract Duration: 1,825 days

Daily Burn Rate: $3.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: COMMAND, CONTROL, COMMUNICATIONS, COMPUTERS AND INTELLIGENCE (C4I) TRAINING, SYSTEMS ENGINEERING & INTEGRATED PRODUCT SUPPORT

Place of Performance

Location: VIRGINIA BEACH, VIRGINIA BEACH CITY County, VIRGINIA, 23452

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $6.3 million to PROFESSIONAL SOFTWARE ENGINEERING, INC. for work described as: COMMAND, CONTROL, COMMUNICATIONS, COMPUTERS AND INTELLIGENCE (C4I) TRAINING, SYSTEMS ENGINEERING & INTEGRATED PRODUCT SUPPORT Key points: 1. Contract focuses on critical C4I training and systems engineering. 2. Professional Software Engineering, Inc. is the sole awardee. 3. The contract spans five years, indicating long-term support needs. 4. This award falls under Engineering Services (NAICS 541330).

Value Assessment

Rating: fair

The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. Benchmarking against similar C4I training and engineering contracts is needed to assess pricing reasonableness.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the specific award mechanism (Delivery Order) and the single awardee warrant further examination of price discovery.

Taxpayer Impact: Taxpayer funds are being used for essential defense training and support services. Ensuring competitive pricing and efficient execution is key to maximizing value for taxpayers.

Public Impact

Ensures readiness and effectiveness of naval C4I systems through specialized training. Supports critical engineering and integrated product development for advanced defense technologies. Potential impact on technological advancement and operational superiority in naval forces. Job creation and economic activity within the defense contracting sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contract type requires close monitoring to control costs.
Lack of specific performance metrics in provided data.
Small business participation not indicated.

Positive Signals

Awarded under full and open competition.
Long-term contract duration suggests sustained need and potential for stable support.
Focus on critical C4I capabilities.

Sector Analysis

This contract falls within the IT and Defense sectors, specifically focusing on C4I systems. Spending benchmarks for similar engineering and training services for the Department of Defense are typically in the millions to tens of millions of dollars annually.

Small Business Impact

The data indicates that this contract was not awarded to a small business. Further analysis would be needed to determine if small business subcontracting opportunities exist within this award.

Oversight & Accountability

The Department of the Navy is responsible for oversight. The contract's duration and cost-plus nature necessitate robust oversight to ensure performance and cost control, potentially involving the Defense Contract Management Agency (DCMA).

Related Government Programs

Engineering Services
Department of Defense Contracting
Department of the Navy Programs

Risk Flags

Cost Plus Fixed Fee contract type.
Potential for cost overruns.
Limited insight into specific performance metrics.
No indication of small business participation.
Long contract duration requires sustained oversight.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $6.3 million to PROFESSIONAL SOFTWARE ENGINEERING, INC.. COMMAND, CONTROL, COMMUNICATIONS, COMPUTERS AND INTELLIGENCE (C4I) TRAINING, SYSTEMS ENGINEERING & INTEGRATED PRODUCT SUPPORT

Who is the contractor on this award?

The obligated recipient is PROFESSIONAL SOFTWARE ENGINEERING, 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 $6.3 million.

What is the period of performance?

Start: 2024-09-23. End: 2029-09-22.

What specific C4I systems and training modules are covered under this contract, and how do they align with current and future naval operational requirements?

The contract likely covers a range of Command, Control, Communications, Computers, and Intelligence (C4I) systems essential for naval operations. This could include training on communication networks, data management systems, intelligence gathering platforms, and command decision support tools. Alignment with requirements would involve ensuring the training directly supports the effective deployment and utilization of these systems in diverse operational environments, from tactical engagements to strategic command.

How will the Cost Plus Fixed Fee structure be managed to mitigate risks of cost overruns and ensure fair pricing for the government?

Effective management of a Cost Plus Fixed Fee (CPFF) contract requires stringent oversight of incurred costs and contractor performance. The government will need to establish clear baseline estimates, monitor direct and indirect costs diligently, and ensure the fixed fee is earned based on achieving defined milestones and deliverables. Regular audits and performance reviews are crucial to identify potential inefficiencies or unallowable costs early, thereby mitigating overrun risks and ensuring fair pricing.

What performance metrics will be used to evaluate the effectiveness of the training and engineering services provided by Professional Software Engineering, Inc.?

Effectiveness will likely be measured through a combination of quantitative and qualitative metrics. Quantitative measures could include trainee performance scores, system uptime during training simulations, and timely completion of engineering milestones. Qualitative assessments might involve feedback from trainees and end-users, expert reviews of engineering designs, and the successful integration of new C4I capabilities. Clear, measurable objectives tied to operational readiness are essential.

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: N6523624R3024

Offers Received: 6

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Professional Software Engineering Inc.

Address: 500 VIKING DRIVE, SUITE 301, VIRGINIA BEACH, VA, 23452

Business Categories: Asian Pacific American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $68,693,841

Exercised Options: $68,693,841

Current Obligation: $6,284,717

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017819D8340

IDV Type: IDC

Timeline