DoD Awards $35M Engineering Support Contract to Centurum Technical Solutions in USCENTCOM AOR

Contract Overview

Contract Amount: $35,173,767 ($35.2M)

Contractor: Centurum Technical Solutions, Inc.

Awarding Agency: Department of Defense

Start Date: 2014-05-23

End Date: 2017-11-22

Contract Duration: 1,279 days

Daily Burn Rate: $27.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 9

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: AFCENT&ARCENT ENGINEERING&INSTALLATION (E&I) SUPPORT IN USCENTCOM AOR

Place of Performance

Location: MARLTON, BURLINGTON County, NEW JERSEY, 08053

State: New Jersey Government Spending

Plain-Language Summary

Department of Defense obligated $35.2 million to CENTURUM TECHNICAL SOLUTIONS, INC. for work described as: AFCENT&ARCENT ENGINEERING&INSTALLATION (E&I) SUPPORT IN USCENTCOM AOR Key points: 1. Contract value of $35.17M for engineering and installation support. 2. Awarded to Centurum Technical Solutions, Inc. under full and open competition. 3. Potential risks include performance in a complex operational environment. 4. Sector is Engineering Services within the Defense industry.

Value Assessment

Rating: fair

The contract was awarded on a Cost Plus Fixed Fee basis. Without detailed cost breakdowns or benchmarks for similar services in the USCENTCOM AOR, assessing the pricing's value is challenging. The fixed fee component suggests some cost control, but the cost-plus nature can lead to higher overall expenditures.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, indicating a robust price discovery process. This method generally leads to competitive pricing as multiple vendors had the opportunity to bid.

Taxpayer Impact: Taxpayer funds were utilized through a competitive bidding process, aiming for value. However, the cost-plus fixed fee structure warrants scrutiny to ensure efficiency and prevent cost overruns.

Public Impact

Ensures critical engineering and installation support for US military operations in the USCENTCOM AOR. Supports the Department of Defense's infrastructure and operational readiness in a key region. Contract duration of over three years indicates a significant, ongoing need for these services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost-plus contract type can lead to higher costs than fixed-price.
Performance in a complex operational environment (USCENTCOM AOR) presents inherent risks.
Lack of specific performance metrics or outcomes makes value assessment difficult.

Positive Signals

Awarded via full and open competition, suggesting competitive pricing.
Contract addresses essential engineering and installation needs.
Fixed fee component provides some level of cost predictability.

Sector Analysis

This contract falls within the Engineering Services sector, specifically supporting military operations in the USCENTCOM Area of Responsibility. Benchmarks for similar large-scale engineering support contracts in active operational zones are difficult to establish due to unique environmental and logistical factors.

Small Business Impact

The data indicates that this contract was not awarded to small businesses, as the 'sb' field is false. The prime contractor, Centurum Technical Solutions, Inc., is likely a larger entity, and there is no information provided on small business subcontracting.

Oversight & Accountability

The contract was managed by the Defense Contract Management Agency (DCMA), which is responsible for overseeing contract performance and ensuring compliance. Further oversight details, such as audit reports or performance reviews, are not provided in this data.

Related Government Programs

Engineering Services
Department of Defense Contracting
Defense Contract Management Agency Programs

Risk Flags

Cost-plus contract type.
Performance in a high-risk operational environment.
Limited transparency on specific deliverables and outcomes.
No indication of small business participation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $35.2 million to CENTURUM TECHNICAL SOLUTIONS, INC.. AFCENT&ARCENT ENGINEERING&INSTALLATION (E&I) SUPPORT IN USCENTCOM AOR

Who is the contractor on this award?

The obligated recipient is CENTURUM TECHNICAL SOLUTIONS, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $35.2 million.

What is the period of performance?

Start: 2014-05-23. End: 2017-11-22.

What was the specific scope of 'Engineering & Installation Support' provided under this contract, and how did it contribute to mission objectives?

The 'Engineering & Installation Support' likely encompassed a range of activities such as designing, planning, and implementing infrastructure, communication systems, and facilities within the USCENTCOM AOR. This support is critical for maintaining operational readiness, enabling troop deployment, and facilitating logistical operations in a complex and often austere environment. The specific contributions would depend on the exact needs of AFCENT and ARCENT during the contract period.

Given the Cost Plus Fixed Fee (CPFF) structure, what mechanisms were in place to control costs and ensure the government received fair value?

A CPFF contract aims to provide flexibility for undefined scopes while controlling costs through a fixed fee. Mechanisms to ensure fair value would typically include rigorous negotiation of the fixed fee, detailed cost accounting standards, regular audits by the DCMA, and performance metrics tied to the fee. However, the inherent risk with CPFF is potential cost escalation if not managed diligently by both the contractor and the contracting officer.

How did the competitive landscape for engineering and installation support in the USCENTCOM AOR influence the final award price and contractor performance?

The 'full and open competition' suggests that multiple qualified firms could bid, theoretically driving down prices and encouraging strong performance. However, the unique challenges of operating in the USCENTCOM AOR might limit the number of willing or capable bidders. The final price reflects the balance between competition and the perceived risks and costs associated with performing in that specific environment.

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: N0002413R3363

Offers Received: 9

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Centurum Inc.

Address: 12000 LINCOLN DR W STE 107, MARLTON, NJ, 08053

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $53,710,511

Exercised Options: $53,710,511

Current Obligation: $35,173,767

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017805D4234

IDV Type: IDC

Timeline