DoD's $24.2M consulting contract with DAWSON-ISC GROUP, LLC awarded via sole-source vehicle

Contract Overview

Contract Amount: $24,195,150 ($24.2M)

Contractor: Dawson-Isc Group, LLC

Awarding Agency: Department of Defense

Start Date: 2017-03-03

End Date: 2021-03-15

Contract Duration: 1,473 days

Daily Burn Rate: $16.4K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: IGF::OT::IGF KNOWLEDGE BASED SERVICES

Place of Performance

Location: SIERRA VISTA, COCHISE County, ARIZONA, 85635

State: Arizona Government Spending

Plain-Language Summary

Department of Defense obligated $24.2 million to DAWSON-ISC GROUP, LLC for work described as: IGF::OT::IGF KNOWLEDGE BASED SERVICES Key points: 1. The contract's value of $24.2 million over its 4-year period suggests a significant investment in administrative management and general management consulting services. 2. Awarded as a sole-source contract, the absence of broader competition may limit price discovery and potentially impact overall value for money. 3. The contract's duration of 1473 days indicates a long-term engagement, requiring careful monitoring of performance and evolving needs. 4. The fixed-price contract type provides cost certainty but shifts performance risk to the contractor. 5. The contract was awarded to DAWSON-ISC GROUP, LLC, whose track record and past performance should be evaluated for suitability. 6. The 'Administrative Management and General Management Consulting Services' NAICS code points to a focus on improving organizational efficiency and strategic planning.

Value Assessment

Rating: fair

Benchmarking the value of this $24.2 million contract is challenging without specific deliverables or performance metrics. As a sole-source award, direct price comparisons to similar competitive contracts are not feasible. The fixed-price nature suggests a defined scope, but the absence of competition raises questions about whether the government secured the most cost-effective solution. Further analysis would require understanding the specific services rendered and their impact on the Department of the Army's operational efficiency.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded using a sole-source justification, meaning it was not competed among multiple vendors. This approach is typically used when only one vendor possesses the unique capabilities or qualifications required for the service. The lack of competition means that the government did not benefit from a bidding process that could have driven down prices or spurred innovation from multiple offerors. This limits the ability to assess market competitiveness for these specific services.

Taxpayer Impact: Sole-source awards can potentially lead to higher costs for taxpayers as there is no competitive pressure to ensure the lowest possible price. It also reduces transparency in the procurement process.

Public Impact

The Department of the Army is the primary beneficiary, receiving administrative and management consulting services. The services delivered are expected to enhance the efficiency and effectiveness of Army operations. The contract's geographic impact is primarily within Arizona (ST/SN), where the contractor is based, but the services may support broader Army initiatives. The contract likely supports a workforce of consultants, contributing to employment in the professional services sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may have resulted in a higher price than a competitively awarded contract.
Sole-source awards can reduce transparency and accountability in government spending.
The long contract duration necessitates robust oversight to ensure continued relevance and value.
Performance metrics and success criteria are not detailed, making objective evaluation difficult.

Positive Signals

The fixed-price contract type provides budget certainty for the government.
The contract is awarded to a specific entity, potentially leveraging specialized expertise.
The contract duration suggests a strategic, long-term need being addressed.

Sector Analysis

This contract falls within the Administrative Management and General Management Consulting Services sector (NAICS 541611). This sector is characterized by firms offering expertise in organizational planning, business process improvement, and strategic management. The market size for government consulting services is substantial, with agencies frequently outsourcing specialized knowledge to enhance efficiency and address complex challenges. This contract represents a portion of the Department of Defense's broader spending on professional services to support its vast operational and administrative functions.

Small Business Impact

This contract was not set aside for small businesses, and there is no indication of subcontracting requirements for small businesses. The award to DAWSON-ISC GROUP, LLC, a single entity, suggests that small business participation was not a primary consideration in this specific procurement. This could limit opportunities for small businesses to engage in government contracting related to these services.

Oversight & Accountability

Oversight mechanisms for this contract would typically involve contract officers, program managers within the Department of the Army, and potentially the Inspector General's office. Accountability is established through the contract terms, including performance standards and payment schedules. Transparency is limited due to the sole-source nature of the award, but contract details should be publicly available through federal procurement databases.

Related Government Programs

Department of Defense Consulting Services
Administrative Management Services
General Management Consulting
Professional Services Contracts
Sole-Source Procurements

Risk Flags

Sole-source award may limit price competition.
Lack of detailed performance metrics hinders value assessment.
Contract duration requires sustained oversight.
Contractor's past performance needs thorough review.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $24.2 million to DAWSON-ISC GROUP, LLC. IGF::OT::IGF KNOWLEDGE BASED SERVICES

Who is the contractor on this award?

The obligated recipient is DAWSON-ISC 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 $24.2 million.

What is the period of performance?

Start: 2017-03-03. End: 2021-03-15.

What specific administrative and management consulting services were provided under this contract?

The contract data indicates the NAICS code 541611, which covers Administrative Management and General Management Consulting Services. While the specific tasks are not detailed in the provided data, these services typically encompass areas such as organizational structure analysis, process improvement, strategic planning, operational efficiency assessments, and management policy development. The Department of the Army likely engaged DAWSON-ISC GROUP, LLC to address specific challenges or opportunities within its administrative functions, aiming to optimize resource allocation, improve decision-making processes, or enhance overall organizational performance. A deeper dive into the contract's statement of work (SOW) would be necessary to ascertain the precise nature and scope of the consulting activities undertaken.

How does the $24.2 million contract value compare to similar consulting contracts awarded by the Department of Defense?

Comparing the $24.2 million value of this contract requires context regarding the duration and scope of services. As a sole-source award spanning over 1400 days, it represents a significant, long-term engagement. The Department of Defense frequently awards large contracts for professional services, including management consulting. However, without knowing the specific deliverables and performance metrics, a direct comparison to other contracts is difficult. Generally, large-scale, multi-year consulting engagements for major federal agencies can range from tens to hundreds of millions of dollars. The key factor in assessing value is not just the total dollar amount but the impact and effectiveness of the services rendered relative to the cost.

What are the potential risks associated with awarding a $24.2 million contract on a sole-source basis?

Awarding a contract of this magnitude on a sole-source basis carries several potential risks. Primarily, the absence of competition means the government may not have secured the most cost-effective solution, potentially leading to overpayment. There's also a risk that the chosen contractor may not possess the absolute best capabilities available in the market, as alternatives were not explored through a competitive process. Furthermore, sole-source awards can sometimes be perceived as lacking transparency, potentially leading to scrutiny regarding the justification for not competing the award. Ensuring robust oversight and performance management becomes even more critical to mitigate these risks and ensure the government receives adequate value.

What is the track record of DAWSON-ISC GROUP, LLC in performing similar government contracts?

Information regarding DAWSON-ISC GROUP, LLC's track record is crucial for assessing the risk and potential success of this contract. As a sole-source award, the government presumably relied on prior positive experiences or unique qualifications of this contractor. A review of their past performance on federal contracts, particularly those involving administrative and management consulting for defense or other large agencies, would provide insight into their ability to deliver quality services, manage projects effectively, and adhere to contract requirements. Analyzing past performance evaluations, any contract disputes, or awards for exceptional performance would offer a more comprehensive understanding of their capabilities and reliability.

How does the fixed-price contract type influence the risk and value proposition for the government?

A Firm Fixed Price (FFP) contract type, as indicated for this award, shifts the majority of the cost risk to the contractor. This means DAWSON-ISC GROUP, LLC is obligated to complete the work for the agreed-upon price, regardless of their actual costs. For the government, this provides significant budget certainty, as the total cost is known upfront. The value proposition lies in the contractor's incentive to manage their costs efficiently to maximize profit. However, if the scope of work is not clearly defined or if unforeseen issues arise, the contractor may face financial strain, potentially impacting performance or leading to requests for contract modifications. Conversely, the government benefits from predictable spending.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services

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

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: W900KK17R0021

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 310 VOYAGER WAY STE 105, HUNTSVILLE, AL, 35806

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Native Hawaiian Organization Owned Firm, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $24,195,150

Exercised Options: $24,195,150

Current Obligation: $24,195,150

Subaward Activity

Number of Subawards: 2

Total Subaward Amount: $5,771,741

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline