DoD's $67.75M contract for tactical network support awarded to Janus Research Group, LLC

Contract Overview

Contract Amount: $67,750,171 ($67.8M)

Contractor: Janus Research Group, LLC

Awarding Agency: Department of Defense

Start Date: 2024-10-16

End Date: 2026-10-15

Contract Duration: 729 days

Daily Burn Rate: $92.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: TO PROCURE BUSINESS OPERATIONS, PROGRAMMATIC, AND TECHNICAL SUPPORT SERVICES IN SUPPORT OF THE ENTIRE PROJECT MANAGER TACTICAL NETWORK (PM TN) PORTFOLIO THROUGHOUT ALL PHRASES OF THE PROGRAM LIFE CYCLE.

Place of Performance

Location: EVANS, COLUMBIA County, GEORGIA, 30809

State: Georgia Government Spending

Plain-Language Summary

Department of Defense obligated $67.8 million to JANUS RESEARCH GROUP, LLC for work described as: TO PROCURE BUSINESS OPERATIONS, PROGRAMMATIC, AND TECHNICAL SUPPORT SERVICES IN SUPPORT OF THE ENTIRE PROJECT MANAGER TACTICAL NETWORK (PM TN) PORTFOLIO THROUGHOUT ALL PHRASES OF THE PROGRAM LIFE CYCLE. Key points: 1. Contract aims to provide comprehensive support for the Project Manager Tactical Network (PM TN) portfolio. 2. Services span business operations, programmatic, and technical support across the program life cycle. 3. The contract utilizes a Cost Plus Fixed Fee (CPFF) pricing structure. 4. Awarded under full and open competition, indicating a broad search for qualified contractors. 5. The contract duration is 729 days, with an estimated completion date in October 2026. 6. This award represents a significant investment in maintaining and advancing tactical network capabilities.

Value Assessment

Rating: good

The contract's value of $67.75 million over approximately two years suggests a substantial but potentially reasonable investment for comprehensive support of a critical tactical network portfolio. Benchmarking against similar large-scale IT and R&D support contracts within the Department of Defense would provide a clearer picture of value for money. The CPFF structure allows for cost reimbursement plus a fixed fee, which can be effective for complex R&D where costs are uncertain, but requires diligent oversight to manage expenditures.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, suggesting that the Army actively sought proposals from a wide range of qualified vendors. The presence of two bids indicates a moderate level of competition for this specific requirement. While two bidders is better than one, a higher number of bids typically leads to more competitive pricing and a broader range of innovative solutions.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it increases the likelihood of obtaining the best value through competitive pricing and diverse offerings.

Public Impact

The primary beneficiaries are the Department of Defense and its personnel who rely on robust tactical network capabilities. Services delivered will ensure the continued operation, development, and modernization of the PM TN portfolio. Geographic impact is likely widespread, supporting military operations globally. Workforce implications include potential employment opportunities for technical, programmatic, and business operations specialists.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contracts can incentivize cost overruns if not closely monitored.
The limited number of bidders (two) may suggest potential barriers to entry or a niche market.
Ensuring effective performance management for complex technical and programmatic support is crucial.

Positive Signals

Awarded under full and open competition, maximizing potential vendor pool.
Contract duration of two years allows for sustained support and program stability.
Focus on critical tactical network infrastructure ensures operational readiness.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences, excluding nanotechnology and biotechnology. The market for tactical network support is specialized, involving advanced communication technologies and systems integration. Comparable spending benchmarks would involve analyzing other large-scale R&D and IT support contracts awarded by defense agencies for similar complex systems.

Small Business Impact

The contract data indicates that small business participation was not a specific set-aside requirement for this award, as indicated by 'ss': false and 'sb': false. There is no explicit mention of subcontracting goals for small businesses within the provided data. The impact on the small business ecosystem will depend on whether Janus Research Group, LLC voluntarily engages small businesses as subcontractors for specialized services.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of the Army, with specific program managers responsible for monitoring performance, costs, and adherence to contract terms. The CPFF structure necessitates rigorous financial oversight to ensure costs are reasonable and allocable. Transparency will be maintained through contract reporting requirements and potential reviews by the Government Accountability Office (GAO) or the Department of Defense Inspector General, depending on the nature of any issues.

Related Government Programs

Project Manager Tactical Network (PM TN)
Department of Defense IT Support Services
Army Communications and Network Systems
Research and Development Support Contracts

Risk Flags

Potential for cost overruns under CPFF structure.
Dependence on contractor's technical expertise in evolving network technologies.
Ensuring seamless integration with existing military infrastructure.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $67.8 million to JANUS RESEARCH GROUP, LLC. TO PROCURE BUSINESS OPERATIONS, PROGRAMMATIC, AND TECHNICAL SUPPORT SERVICES IN SUPPORT OF THE ENTIRE PROJECT MANAGER TACTICAL NETWORK (PM TN) PORTFOLIO THROUGHOUT ALL PHRASES OF THE PROGRAM LIFE CYCLE.

Who is the contractor on this award?

The obligated recipient is JANUS RESEARCH GROUP, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $67.8 million.

What is the period of performance?

Start: 2024-10-16. End: 2026-10-15.

What is the historical performance record of Janus Research Group, LLC with the Department of Defense?

A thorough review of Janus Research Group, LLC's past performance with the Department of Defense would involve examining contract databases like the Federal Procurement Data System (FPDS) or the Contractor Performance Assessment Reporting System (CPARS). This would reveal their track record on previous contracts, including on-time delivery, quality of work, cost control, and overall customer satisfaction. Understanding their experience with similar tactical network or R&D support contracts would be particularly relevant. Without specific historical data, it's difficult to definitively assess their suitability beyond the fact they were selected through a competitive process for this significant award.

How does the pricing structure (Cost Plus Fixed Fee) compare to industry standards for similar services?

The Cost Plus Fixed Fee (CPFF) pricing structure is common for research and development or complex service contracts where the scope of work or costs are not precisely defined at the outset. In a CPFF contract, the contractor is reimbursed for all allowable costs incurred, plus a predetermined fixed fee representing profit. While this structure offers flexibility, it can incentivize cost increases if not managed stringently. Industry standards often favor fixed-price contracts for well-defined scopes to ensure cost certainty. However, for the evolving nature of tactical network support, CPFF can be appropriate, provided robust oversight mechanisms are in place to scrutinize costs and ensure value.

What are the key performance indicators (KPIs) that will be used to measure the success of this contract?

While specific KPIs are not detailed in the provided data, typical performance indicators for a contract of this nature would likely include metrics related to system uptime and availability, response times for technical support, successful implementation of upgrades or new functionalities, adherence to project timelines, and effective management of program milestones. Cost control and efficient resource utilization would also be critical. The contract's success will ultimately be measured by its contribution to the operational readiness and effectiveness of the PM TN portfolio, ensuring that the tactical network capabilities meet the evolving needs of the warfighter.

What is the total historical spending by the Department of the Army on tactical network support services over the last five fiscal years?

To determine the total historical spending by the Department of the Army on tactical network support services over the last five fiscal years, one would need to query federal procurement databases such as FPDS. This would involve searching for contracts with relevant Product Service Codes (PSCs) and keywords related to 'tactical network,' 'communications support,' 'network operations,' and 'program management' awarded by the Department of the Army. Aggregating this data would provide a comprehensive view of the Army's investment in this area, allowing for comparisons with the current contract's value and identification of spending trends.

Are there any identified risks associated with the contractor's ability to deliver the required services?

The provided data does not explicitly detail any pre-identified risks associated with Janus Research Group, LLC's ability to deliver. However, general risks inherent in such contracts include potential cost overruns due to the CPFF structure, challenges in adapting to rapidly evolving tactical network technologies, and ensuring seamless integration with existing military systems. The fact that the contract was awarded under full and open competition suggests that the Army assessed multiple proposals and selected the one deemed most capable and advantageous. Ongoing performance monitoring throughout the contract's duration will be crucial for identifying and mitigating any emerging risks.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)

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

Offers Received: 2

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 600 PONDER PLACE DR, EVANS, GA, 30809

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $302,984,766

Exercised Options: $110,854,501

Current Obligation: $67,750,171

Subaward Activity

Number of Subawards: 40

Total Subaward Amount: $10,943,594

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W15P7T19D0068

IDV Type: IDC

Timeline