State Dept. awards $12M+ for humanitarian mine action, with DynCorp International as prime

Contract Overview

Contract Amount: $12,050,047 ($12.1M)

Contractor: Dyncorp International LLC

Awarding Agency: Department of State

Start Date: 2006-08-25

End Date: 2012-03-31

Contract Duration: 2,045 days

Daily Burn Rate: $5.9K/day

Competition Type: COMPETITIVE DELIVERY ORDER

Number of Offers Received: 3

Pricing Type: COST PLUS AWARD FEE

Sector: Other

Official Description: HUMANITARIAN MINE ACTION PROGRAM

Plain-Language Summary

Department of State obligated $12.1 million to DYNCORP INTERNATIONAL LLC for work described as: HUMANITARIAN MINE ACTION PROGRAM Key points: 1. Contract value exceeds $12 million, indicating a significant investment in humanitarian mine action. 2. The award to DynCorp International suggests a focus on established contractors with relevant experience. 3. The duration of the contract (over 2000 days) points to a long-term need for these services. 4. The 'Engineering Services' NAICS code suggests a technical and logistical component to the mine action program. 5. The contract type 'COST PLUS AWARD FEE' implies performance incentives and potential for cost overruns. 6. The absence of small business set-aside flags suggests the primary contractor is likely a large business.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific performance metrics or comparable humanitarian mine action programs. The cost-plus award fee structure introduces variability, making a direct price comparison difficult. However, the total award amount suggests a substantial commitment to addressing landmine threats. Further analysis would require understanding the scope of services and the specific outcomes achieved.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a full and open competition, indicating that multiple bidders were likely considered. The presence of 3 bids suggests a moderate level of competition for this specific requirement. While full and open competition is generally preferred, the number of bidders can influence price discovery and the ultimate value obtained.

Taxpayer Impact: A competitive award process is generally favorable for taxpayers as it encourages multiple companies to bid, potentially driving down costs and improving service quality.

Public Impact

Beneficiaries include populations in regions affected by landmines, receiving safer living environments. Services delivered likely encompass mine detection, clearance, and potentially related training or community engagement. Geographic impact is likely concentrated in areas with active humanitarian mine action needs, potentially globally. Workforce implications may include employment for specialized personnel in demining, engineering, and program management.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost-plus award fee contracts can lead to higher final costs if not managed closely.
Long contract durations may not always reflect the most efficient or up-to-date service delivery methods.
Reliance on a single large contractor could limit opportunities for smaller, specialized firms in the long run.

Positive Signals

Full and open competition suggests a robust selection process.
The significant award amount indicates a recognized and sustained need for these critical services.
The 'Engineering Services' classification points to a structured and technically sound approach to mine action.

Sector Analysis

The humanitarian mine action sector involves specialized services aimed at mitigating the risks posed by landmines and unexploded ordnance. This contract fits within the broader 'Engineering Services' category, highlighting the technical expertise required for effective demining operations. Comparable spending benchmarks are difficult to establish due to the niche nature of the services and varying global needs, but significant international efforts are dedicated to this cause.

Small Business Impact

The contract was not set aside for small businesses, and there is no indication of subcontracting requirements for small businesses. This suggests that the primary focus was on securing the most capable large contractor for this complex task. The lack of small business involvement may limit opportunities for smaller firms to participate in this specific contract, although they may be involved in other aspects of humanitarian aid or defense contracting.

Oversight & Accountability

Oversight mechanisms for this contract would typically involve the Department of State's contracting officers and program managers. Accountability measures are embedded within the Cost Plus Award Fee structure, incentivizing performance. Transparency is generally maintained through contract award databases, though detailed operational reporting may be internal. Inspector General jurisdiction would apply to potential fraud, waste, or abuse.

Related Government Programs

Department of Defense Humanitarian Demining Program
United Nations Mine Action Service (UNMAS)
State Department Bureau of Political-Military Affairs

Risk Flags

Cost-plus award fee contracts require diligent oversight to manage costs.
Long contract duration may require mechanisms to adapt to evolving technologies and threats.
Potential for operational risks in challenging environments associated with mine action.

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $12.1 million to DYNCORP INTERNATIONAL LLC. HUMANITARIAN MINE ACTION PROGRAM

Who is the contractor on this award?

The obligated recipient is DYNCORP INTERNATIONAL LLC.

Which agency awarded this contract?

Awarding agency: Department of State (Department of State).

What is the total obligated amount?

The obligated amount is $12.1 million.

What is the period of performance?

Start: 2006-08-25. End: 2012-03-31.

What specific types of engineering services are encompassed by this contract for humanitarian mine action?

While the NAICS code is 'Engineering Services' (541330), the specific services under this contract likely extend beyond traditional engineering. For humanitarian mine action, this typically includes survey and mapping of suspected hazardous areas, mine detection using various technologies (e.g., metal detectors, ground-penetrating radar), manual and mechanical mine clearance, explosive ordnance disposal (EOD), and post-clearance verification. It may also involve the management and logistics of demining operations, training of local personnel, community liaison, and the safe destruction of cleared ordnance. The 'COST PLUS AWARD FEE' structure suggests that the contractor is incentivized to perform these complex tasks efficiently and effectively, with potential bonuses tied to meeting or exceeding performance targets related to safety, speed, and thoroughness of clearance.

How does the Cost Plus Award Fee (CPAF) contract type influence the final cost and contractor performance?

The Cost Plus Award Fee (CPAF) contract type allows the contractor to recover all allowable costs incurred, plus a fixed fee that is adjusted based on performance. This means the final cost can fluctuate based on actual expenses and the achievement of specific performance objectives. For taxpayers, CPAF can be a double-edged sword: it encourages contractors to perform well by offering incentives (the award fee), potentially leading to better outcomes. However, it also carries the risk of higher costs compared to fixed-price contracts if costs are not well-managed or if the award fee criteria are broadly met without exceptional value. Effective oversight by the contracting agency is crucial to ensure that costs remain reasonable and that the award fee is justified by superior performance in humanitarian mine action.

What is DynCorp International's track record in humanitarian mine action or similar complex logistical support contracts?

DynCorp International has a significant history of providing complex logistical, technical, and security support services to government agencies, including the Department of Defense and the Department of State. Their experience often involves operating in challenging environments and managing large-scale operations. While specific details on their humanitarian mine action projects under this particular contract would require deeper investigation, their broader portfolio suggests they possess the organizational capacity and expertise to manage such programs. Past performance evaluations and contract awards in related fields, such as aviation support, base operations, and security services, would provide further context for their capabilities in executing demanding, mission-critical contracts.

What are the potential risks associated with a long-duration contract (2045 days) for humanitarian mine action?

A long-duration contract like this (over 5 years) for humanitarian mine action presents several potential risks. Firstly, the threat landscape and technological advancements in mine detection and clearance can evolve rapidly; a long-term contract might not always incorporate the latest, most efficient methods unless robust modification clauses are in place. Secondly, the geopolitical and security situations in affected regions can change, potentially impacting operational feasibility and safety. Thirdly, maintaining consistent quality and motivation from the contractor over an extended period can be challenging. Finally, from a financial perspective, prolonged contracts increase the exposure to potential cost increases due to inflation or unforeseen operational challenges, making diligent oversight and periodic reviews critical.

How does this contract compare to other federal spending in the broader category of 'Engineering Services' or international aid?

Comparing this $12 million contract to the broader federal spending in 'Engineering Services' or international aid places it within a specific niche. The federal government spends hundreds of billions annually on engineering services across various sectors like defense, infrastructure, and research. International aid and security assistance budgets are also substantial, often in the tens of billions. This specific contract represents a focused allocation towards a critical humanitarian objective. While not a massive expenditure in the grand scheme of federal budgets, its significance lies in its direct impact on mitigating threats from landmines and unexploded ordnance, contributing to post-conflict recovery and civilian safety in targeted regions.

Industry Classification

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

Product/Service Code: TECHNICAL REPRESENTATIVE SVCS. › TECHNICAL REPRESENTATIVE SERVICES

Competition & Pricing

Extent Competed: COMPETITIVE DELIVERY ORDER

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 3

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Parent Company: Cerberus Capital Management, L.P. (UEI: 014784388)

Address: 6500 WEST FWY STE 500, FORT WORTH, TX, 90

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $12,050,047

Exercised Options: $12,050,047

Current Obligation: $12,050,047

Parent Contract

Parent Award PIID: SAQMPD05D1108

IDV Type: IDC

Timeline