State Department paid $24.4M for logistical support, with DynCorp International LLC as the sole provider

Contract Overview

Contract Amount: $24,409,752 ($24.4M)

Contractor: Dyncorp International LLC

Awarding Agency: Department of State

Start Date: 2007-01-23

End Date: 2013-09-21

Contract Duration: 2,433 days

Daily Burn Rate: $10.0K/day

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: PEACEKEEPER DEPLOYMENT LOGISTICAL SUPPORT

Plain-Language Summary

Department of State obligated $24.4 million to DYNCORP INTERNATIONAL LLC for work described as: PEACEKEEPER DEPLOYMENT LOGISTICAL SUPPORT Key points: 1. Value for money is difficult to assess due to the sole-source nature of the award. 2. Competition dynamics were absent, as only one vendor was considered. 3. Risk indicators are moderate, given the long duration and sole-source award. 4. Performance context is limited without specific delivery metrics. 5. Sector positioning is within government support services, a common area for large contracts.

Value Assessment

Rating: fair

The contract's value of $24.4 million over approximately six years suggests a significant investment. However, without a competitive bidding process, it is challenging to benchmark the pricing against market rates or determine if it represents excellent value for money. The cost-plus-fixed-fee structure implies that costs were reimbursed plus a fixed fee, which can sometimes lead to less cost control compared to fixed-price contracts. Further analysis of the fee structure and actual costs incurred would be needed for a more definitive value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning that only one vendor, DynCorp International LLC, was solicited. This approach is typically used when a specific capability is required that only one entity possesses, or in situations where urgency or other factors preclude full and open competition. The lack of multiple bidders means there was no direct price competition to drive down costs or ensure the most favorable terms for the government.

Taxpayer Impact: Sole-source awards limit the government's ability to leverage competition to secure the best possible pricing, potentially resulting in higher costs for taxpayers.

Public Impact

The primary beneficiaries are the Department of State personnel and operations requiring logistical support. Services delivered include essential logistical functions to support government missions. The geographic impact is likely tied to the locations where the Department of State operates. Workforce implications involve the employment of personnel by DynCorp International to fulfill the contract requirements.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits price discovery and potential cost savings.
Cost-plus-fixed-fee contract type may offer less incentive for cost efficiency compared to fixed-price.
Long contract duration (over 6 years) increases exposure to potential cost overruns or performance issues.

Positive Signals

DynCorp International LLC is an established government contractor with experience in logistical support.
The contract was awarded by the Department of State, a major federal agency.
The award indicates a recognized need for the services provided.

Sector Analysis

This contract falls within the broader government services sector, specifically focusing on logistical support. This sector is characterized by a mix of large, established contractors and smaller niche providers. Government spending in this area is substantial, driven by the need to support a wide range of domestic and international operations. Comparable spending benchmarks would typically involve analyzing other large-scale logistical support contracts awarded by various federal agencies.

Small Business Impact

There is no indication that this contract included a small business set-aside. As a sole-source award to a large prime contractor, it is unlikely to have direct subcontracting opportunities specifically designated for small businesses unless the prime contractor voluntarily includes them in their subcontracting plan. The absence of set-asides means that small businesses did not have a direct avenue to compete for this specific contract.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of State's contracting officers and program managers. Accountability measures would be defined within the contract's terms and conditions, including performance standards and reporting requirements. Transparency is facilitated through contract databases, though detailed performance data may not always be publicly accessible. Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse arise.

Related Government Programs

Department of State Logistics Contracts
Government Support Services
International Operations Support
Federal Logistical Services

Risk Flags

Sole-source award
Potential for higher costs due to lack of competition
Cost-plus-fixed-fee contract type may reduce cost control incentives

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $24.4 million to DYNCORP INTERNATIONAL LLC. PEACEKEEPER DEPLOYMENT LOGISTICAL SUPPORT

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 $24.4 million.

What is the period of performance?

Start: 2007-01-23. End: 2013-09-21.

What is DynCorp International LLC's track record with the Department of State and similar agencies?

DynCorp International LLC has a long history of contracting with the U.S. government, including the Department of State, Department of Defense, and other agencies. Their services often encompass aviation, logistics, training, and technical support, particularly in complex or high-risk environments. While their extensive experience suggests a capacity to perform, past performance reviews and specific contract outcomes would provide a more nuanced understanding of their reliability and effectiveness. Analyzing past performance metrics, any documented issues or disputes, and client satisfaction ratings from previous State Department or similar contracts would be crucial for a comprehensive assessment of their track record.

How does the cost-plus-fixed-fee structure compare to other contract types for logistical support?

The cost-plus-fixed-fee (CPFF) contract type reimburses the contractor for allowable costs incurred plus a fixed fee representing profit. This structure is often used when the scope of work is not precisely defined or when there is significant uncertainty in the costs. Compared to fixed-price contracts, CPFF can offer less incentive for the contractor to control costs, as all allowable expenses are reimbursed. However, it provides flexibility for evolving requirements. For logistical support, fixed-price contracts might be preferred if requirements are stable and well-defined, potentially leading to lower overall costs for the government. The CPFF structure here suggests that the government accepted a higher degree of cost risk in exchange for flexibility or because precise cost estimation was difficult.

What are the potential risks associated with a sole-source award for logistical support?

The primary risk of a sole-source award is the lack of competition, which can lead to inflated prices and reduced pressure on the contractor to innovate or improve efficiency. Without competing bids, the government may not be securing the best possible value for its money. There's also a risk that the sole provider may not have the most advanced capabilities or may become complacent due to the lack of market pressure. Furthermore, reliance on a single vendor can create vulnerabilities if that vendor experiences financial difficulties, operational failures, or decides to exit the market. This contract's sole-source nature necessitates robust government oversight to mitigate these inherent risks.

What specific logistical services were covered under this contract?

While the data provided identifies the contract as 'PEACEKEEPER DEPLOYMENT LOGISTICAL SUPPORT,' the specific services are not detailed. Typically, such contracts encompass a broad range of activities essential for supporting operations, which could include transportation of personnel and equipment, supply chain management, warehousing, maintenance of facilities and vehicles, procurement of necessary goods and services, and potentially base operations support. The term 'Peacekeeper Deployment' suggests support for diplomatic or security missions, implying services tailored to enabling personnel to operate effectively in their assigned locations, which could range from administrative support to more complex field operations logistics.

How does this contract's duration and value compare to similar logistical support contracts?

This contract, valued at approximately $24.4 million over a period of roughly six years (January 2007 to September 2013), represents a moderate-sized award for long-term logistical support. Annualized, it averages around $4 million per year. Comparing this requires access to a broader dataset of similar contracts. However, large-scale logistical support contracts for government agencies, especially those involving international deployments or complex operations, can range from tens to hundreds of millions of dollars over similar or longer durations. The $4 million annual average suggests a focused scope of support rather than comprehensive base operations for a large contingent, but its sole-source nature makes direct value comparisons difficult without knowing the specific services and operational tempo it supported.

Contractor Details

Parent Company: THE Veritas Capital Fund II L P (UEI: 160610809)

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

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $24,409,752

Exercised Options: $24,409,752

Current Obligation: $24,409,752

Parent Contract

Parent Award PIID: SLMAQM03C0034

IDV Type: IDC

Timeline