DoD's $25.2M Intelligence Support Services contract for Afghanistan operations awarded without competition

Contract Overview

Contract Amount: $25,241,726 ($25.2M)

Contractor: Domestic Awardees (undisclosed)

Awarding Agency: Department of Defense

Start Date: 2015-02-06

End Date: 2023-04-26

Contract Duration: 3,001 days

Daily Burn Rate: $8.4K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: INTELLIGENCE SUPPORT SERVICES-AFGHANISTAN (ISS-A)AID IN THE COORDINATION, PLANNING, AND EXECUTION OF INTELLIGENCE COLLECTION OPERATIONS.

Plain-Language Summary

Department of Defense obligated $25.2 million to DOMESTIC AWARDEES (UNDISCLOSED) for work described as: INTELLIGENCE SUPPORT SERVICES-AFGHANISTAN (ISS-A)AID IN THE COORDINATION, PLANNING, AND EXECUTION OF INTELLIGENCE COLLECTION OPERATIONS. Key points: 1. Contract awarded on a sole-source basis, raising questions about price discovery and potential value. 2. The contract's duration of over 8 years suggests a long-term need for these intelligence services. 3. Services provided are critical for coordinating, planning, and executing intelligence collection operations. 4. The lack of disclosed domestic awardees makes direct benchmarking difficult. 5. Firm Fixed Price contract type offers cost certainty but may limit flexibility. 6. No small business set-aside was utilized, potentially impacting small business participation.

Value Assessment

Rating: questionable

Benchmarking the value of this contract is challenging due to the lack of disclosed awardee information and the specific nature of intelligence support services in a complex operational environment like Afghanistan. The firm fixed-price structure provides cost predictability for the government. However, without competitive bidding, it's difficult to ascertain if the pricing reflects the best possible value for the taxpayer. The total value of over $25 million over an extended period warrants scrutiny to ensure efficiency and effectiveness.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning there was no open competition. This approach is typically used when only one source is capable of meeting the requirement, or in situations where competition is not feasible or practicable. The absence of multiple bidders means that the government did not benefit from the price discovery mechanisms inherent in a competitive procurement process.

Taxpayer Impact: Sole-source awards can lead to higher costs for taxpayers as the government may not achieve the most favorable pricing achievable through competition.

Public Impact

The primary beneficiaries are the Department of Defense and its operational units requiring intelligence support in Afghanistan. Services delivered include crucial support for the coordination, planning, and execution of intelligence collection operations. The geographic impact is focused on Afghanistan, a theater of significant U.S. military and intelligence operations. Workforce implications include the potential employment of specialized personnel for intelligence analysis and support roles.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may lead to inflated costs.
Sole-source award raises concerns about the availability of alternative solutions.
Extended contract duration without competition could indicate a missed opportunity for market engagement.
Limited transparency due to undisclosed awardees hinders public accountability.
Specific performance metrics and outcomes are not publicly detailed, making effectiveness assessment difficult.

Positive Signals

Firm Fixed Price contract type provides cost certainty.
Services are critical for national security operations in a challenging environment.
Long-term contract suggests a sustained and recognized need for these capabilities.
Awarded to domestic entities, implying adherence to U.S. sourcing requirements.

Sector Analysis

Intelligence support services fall under the broader professional, scientific, and technical services sector. This sector is characterized by a high degree of specialization and often involves sensitive or classified information, particularly in defense contexts. The market size for such specialized intelligence support can be substantial, driven by government needs for expertise in areas like data analysis, collection planning, and operational support. This contract fits within the niche of defense-related intelligence services, supporting ongoing military and national security objectives.

Small Business Impact

This contract did not include a small business set-aside, nor is there information indicating subcontracting opportunities for small businesses. The sole-source nature of the award further limits the potential for small business participation, as they would typically need to be identified as the sole capable provider or be part of a subcontracting plan. This suggests that the primary awardee is likely a larger entity, and the impact on the small business ecosystem for this specific contract is minimal.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Defense's contracting and financial management oversight mechanisms. Accountability measures would be tied to the terms of the Firm Fixed Price contract and performance expectations. Transparency is limited due to the sole-source nature and the classified aspects often associated with intelligence support services. Inspector General jurisdiction would apply to any allegations of fraud, waste, or abuse related to the contract.

Related Government Programs

Intelligence, Surveillance, and Reconnaissance (ISR) Services
Specialized Technical Support Services
Afghanistan Reconstruction and Security Programs
Department of Defense Support Contracts
National Security Information Services

Risk Flags

Sole-source award
Lack of competition
Undisclosed awardees
Long contract duration
Intelligence support services

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $25.2 million to DOMESTIC AWARDEES (UNDISCLOSED). INTELLIGENCE SUPPORT SERVICES-AFGHANISTAN (ISS-A)AID IN THE COORDINATION, PLANNING, AND EXECUTION OF INTELLIGENCE COLLECTION OPERATIONS.

Who is the contractor on this award?

The obligated recipient is DOMESTIC AWARDEES (UNDISCLOSED).

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $25.2 million.

What is the period of performance?

Start: 2015-02-06. End: 2023-04-26.

What is the specific nature of the intelligence collection operations supported by this contract?

The contract, "INTELLIGENCE SUPPORT SERVICES-AFGHANISTAN (ISS-A)," is designed to "AID IN THE COORDINATION, PLANNING, AND EXECUTION OF INTELLIGENCE COLLECTION OPERATIONS." While the precise details of these operations are likely classified due to national security sensitivities, they generally involve gathering, analyzing, and disseminating information relevant to U.S. interests and objectives in Afghanistan. This could encompass a wide range of activities, from human intelligence (HUMINT) support to signals intelligence (SIGINT) or geospatial intelligence (GEOINT) related tasks, all aimed at providing actionable intelligence to military and policy decision-makers operating in or concerned with the region.

Why was this contract awarded on a sole-source basis instead of through full and open competition?

Sole-source awards are typically justified under specific circumstances outlined in federal acquisition regulations, such as when only one responsible source can provide the required supplies or services, or when there is a compelling urgency that precludes competition. For intelligence support services in a complex operational environment like Afghanistan, it's possible that the specialized expertise, security clearances, or established operational integration required for these specific tasks were only available from a single contractor. Alternatively, national security considerations or the unique nature of the mission might have led the Department of Defense to determine that competition was not feasible or practicable at the time of award.

How does the firm fixed-price contract type impact the government's risk and the contractor's incentive?

A Firm Fixed Price (FFP) contract type places the majority of the cost risk on the contractor. This means the contractor is obligated to complete the work for a predetermined price, regardless of their actual costs. For the government, this offers significant cost certainty and predictability, as the total expenditure is known upfront. The contractor has a strong incentive to control costs and work efficiently to maximize their profit margin. However, FFP contracts can sometimes lead to higher initial prices compared to cost-reimbursement contracts, as contractors may build in a contingency for unforeseen expenses. For specialized intelligence services, the FFP structure ensures the government pays a set amount for defined support.

What are the potential risks associated with a sole-source award of this magnitude and duration?

The primary risk associated with a sole-source award of this magnitude ($25.2 million) and duration (over 8 years) is the potential for inflated pricing due to the absence of competitive pressure. Without competing bids, the government may not be achieving the best possible value for its money. There's also a risk of contractor complacency or reduced innovation over the long term, as the contractor may not feel the same pressure to improve services or efficiency as they would in a competitive environment. Furthermore, the lack of transparency inherent in sole-source awards can make it difficult for oversight bodies and the public to assess the fairness and reasonableness of the contract's terms and pricing.

Can the performance and effectiveness of these intelligence support services be objectively measured?

Measuring the performance and effectiveness of intelligence support services can be inherently challenging due to the classified nature of the operations they support. Objective metrics are often difficult to define and publicly disclose. However, within the government, performance is typically assessed against specific contract requirements, deliverables, and key performance indicators (KPIs) that may be outlined in the contract's statement of work. These could include timeliness of intelligence delivery, accuracy of analysis, or successful support of specific operational objectives. The effectiveness is ultimately judged by the quality and utility of the intelligence provided to decision-makers, which is often assessed through internal government evaluations rather than public reporting.

What is the historical spending trend for similar intelligence support services by the Department of Defense?

Historical spending on intelligence support services by the Department of Defense (DoD) has been substantial and generally increasing over the past two decades, driven by evolving geopolitical landscapes and technological advancements in intelligence gathering and analysis. While specific figures for 'Intelligence Support Services-Afghanistan' are not readily available without deeper database access, the broader category of intelligence and special operations support contracts has seen billions of dollars allocated annually. Spending patterns are influenced by the duration and intensity of military operations, the need for specialized technical expertise, and the increasing reliance on data analytics. Contracts like ISS-A represent a segment of this larger, consistent investment in maintaining intelligence capabilities.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1800 F ST NW, WASHINGTON, DC, 20405

Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $25,241,726

Exercised Options: $25,241,726

Current Obligation: $25,241,726

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline