Department of the Army awards $21.4M for 'All Other Professional, Scientific, and Technical Services' via sole-source contract

Contract Overview

Contract Amount: $21,409,140 ($21.4M)

Contractor: Domestic Awardees (undisclosed)

Awarding Agency: Department of Defense

Start Date: 2013-12-07

End Date: 2015-04-14

Contract Duration: 493 days

Daily Burn Rate: $43.4K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: [PIIN: W56SGK-14-C-0003] COMMERCIAL CONTRACT AWARD

Plain-Language Summary

Department of Defense obligated $21.4 million to DOMESTIC AWARDEES (UNDISCLOSED) for work described as: [PIIN: W56SGK-14-C-0003] COMMERCIAL CONTRACT AWARD Key points: 1. Contract awarded on a sole-source basis, raising questions about potential price efficiencies. 2. The contract duration of 493 days suggests a need for ongoing specialized services. 3. The firm fixed-price contract type shifts cost risk to the contractor. 4. The absence of disclosed domestic awardees limits transparency and benchmarking opportunities. 5. The broad service category 'All Other Professional, Scientific, and Technical Services' lacks specificity. 6. This award represents a small fraction of the Department of Defense's overall spending.

Value Assessment

Rating: questionable

Benchmarking the value of this $21.4 million contract is challenging due to the undisclosed domestic awardee and the broad nature of the service category. Without comparable contracts or market rates for 'All Other Professional, Scientific, and Technical Services,' it is difficult to definitively assess if the pricing is competitive. The sole-source award mechanism also limits the ability to compare pricing against multiple bids, potentially leading to a less favorable price for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not competed among multiple potential vendors. This approach is typically used when only one vendor can provide the required services, or in specific emergency situations. The lack of competition means there were no multiple bidders to drive down prices through a bidding process, and price discovery was limited to negotiation with the single selected contractor.

Taxpayer Impact: Taxpayers may not have received the best possible price due to the absence of competitive bidding. The government's negotiating position is inherently weaker when dealing with a sole-source provider.

Public Impact

The primary beneficiaries are likely the specialized service providers within the 'All Other Professional, Scientific, and Technical Services' domain. The services delivered are not specified beyond the broad category, making it difficult to detail specific benefits. The geographic impact is limited to where the services are performed, which is not specified. Workforce implications would depend on the specific nature of the services and whether they require specialized skills.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition limits price discovery and potentially increases costs for taxpayers.
Broad service category obscures the specific nature and value of the services procured.
Undisclosed awardee reduces transparency and makes accountability more difficult.
Sole-source awards can indicate potential reliance on a single vendor, posing future risk.

Positive Signals

Firm fixed-price contract shifts cost overrun risk to the contractor.
The contract duration suggests a recognized need for these specific services.
Awarded by the Department of the Army, indicating a focus on defense-related needs.

Sector Analysis

The professional, scientific, and technical services sector is vast and encompasses a wide range of activities. This contract falls under the 'All Other Professional, Scientific, and Technical Services' NAICS code (541990), which is a catch-all category for services not classified elsewhere. Spending in this sector by the federal government is substantial, supporting various agencies' missions. Benchmarking is difficult due to the broadness of the category and the sole-source nature of this award.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications or specific benefits for the small business ecosystem stemming from this particular award. The awardee is also undisclosed, making it impossible to determine if they are a small or large business.

Oversight & Accountability

Oversight mechanisms for this contract would typically involve the contracting officer's representative (COR) and the Department of the Army's procurement oversight bodies. Transparency is limited due to the sole-source award and the undisclosed nature of the awardee. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Department of Defense Professional Services Contracts
Army Technical and Scientific Support Services
Sole-Source Service Contracts
All Other Professional, Scientific, and Technical Services

Risk Flags

Sole-source award limits competition and price discovery.
Undisclosed awardee reduces transparency and accountability.
Broad service category lacks specificity, hindering performance assessment.
Potential for higher costs due to lack of competitive bidding.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $21.4 million to DOMESTIC AWARDEES (UNDISCLOSED). [PIIN: W56SGK-14-C-0003] COMMERCIAL CONTRACT AWARD

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 $21.4 million.

What is the period of performance?

Start: 2013-12-07. End: 2015-04-14.

What specific services are covered under the 'All Other Professional, Scientific, and Technical Services' category for this contract?

The provided data only specifies the NAICS code 541990, 'All Other Professional, Scientific, and Technical Services,' which is a broad classification. This category typically includes services such as research and development, consulting, and technical support that do not fit into more specific categories. Without further documentation or a detailed contract statement of work, the precise nature of the services procured under this $21.4 million award remains undisclosed. This lack of specificity hinders a thorough understanding of the contract's purpose and value.

Why was this contract awarded on a sole-source basis, and what are the implications for cost?

The data indicates the contract was 'NOT COMPETED,' signifying a sole-source award. Common justifications for sole-source awards include the unavailability of other sources, urgent and compelling needs, or specific capabilities possessed by only one vendor. The implication for cost is significant: without competition, the government loses the opportunity to leverage multiple bids to secure the most favorable pricing. This can lead to higher costs for taxpayers compared to a competitively awarded contract, as price discovery is limited to direct negotiation with the single provider.

What is the track record of the undisclosed contractor for similar services?

The awardee for PIIN W56SGK-14-C-0003 is listed as 'DOMESTIC AWARDEES (UNDISCLOSED).' Consequently, there is no publicly available information regarding the contractor's track record for similar services. This lack of transparency makes it impossible to assess their past performance, reliability, or expertise in delivering professional, scientific, or technical services. Future analysis would require the disclosure of the awardee's identity.

How does the $21.4 million award compare to typical spending for 'All Other Professional, Scientific, and Technical Services' within the Department of the Army?

Determining how this $21.4 million award compares to typical spending within the Department of the Army for NAICS code 541990 is challenging without access to historical spending data for this specific category and agency. The 'All Other' classification is broad, and individual contract values can vary significantly based on the scope of work. However, $21.4 million represents a substantial investment for a single contract, especially one awarded sole-source. Further analysis would require a review of the Army's broader procurement portfolio for similar services over multiple fiscal years.

What are the potential risks associated with a sole-source award for specialized technical services?

Sole-source awards for specialized technical services carry several potential risks. Firstly, the lack of competition can lead to inflated pricing, as the government may not achieve the best possible value. Secondly, it can foster vendor lock-in, making it difficult and costly to switch providers in the future if performance issues arise or market conditions change. Thirdly, it may signal a lack of robust market research or planning by the procuring agency. Finally, without competitive pressure, the awarded contractor might have less incentive to innovate or maintain high service quality over the contract's duration.

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

Solicitation ID: W56SGK14RXXXX

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: $21,409,140

Exercised Options: $21,409,140

Current Obligation: $21,409,140

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NOT OBTAINED - WAIVED

Timeline