Army awards $53.9M for advanced marksmanship training, with 6 bidders competing
Contract Overview
Contract Amount: $53,949,049 ($53.9M)
Contractor: OAK Grove Technologies, LLC
Awarding Agency: Department of Defense
Start Date: 2018-09-26
End Date: 2021-12-25
Contract Duration: 1,186 days
Daily Burn Rate: $45.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 6
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: ADVANCED AND BASIC SQUAD LEVEL SIMULATION BASED MARKSMANSHIP TRAINING
Place of Performance
Location: RALEIGH, WAKE County, NORTH CAROLINA, 27612
Plain-Language Summary
Department of Defense obligated $53.9 million to OAK GROVE TECHNOLOGIES, LLC for work described as: ADVANCED AND BASIC SQUAD LEVEL SIMULATION BASED MARKSMANSHIP TRAINING Key points: 1. Value for money appears reasonable given the scope of advanced simulation and training. 2. Strong competition with 6 bidders suggests a healthy market for these specialized services. 3. Risk indicators are low, with a firm fixed-price contract and established delivery period. 4. Performance context is within the realm of specialized military training services. 5. Sector positioning is within defense training and simulation, a critical area for military readiness.
Value Assessment
Rating: good
The contract value of $53.9 million for advanced and basic squad-level simulation-based marksmanship training appears to be within a reasonable range for specialized military training services. Benchmarking against similar contracts for advanced simulation systems and tactical training programs suggests that the pricing is competitive, especially considering the duration and scope of services provided. The firm fixed-price structure further supports the assessment of good value, as it caps the government's financial exposure.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded under full and open competition, with six distinct bidders vying for the opportunity. The presence of multiple bidders indicates a robust and competitive market for advanced simulation-based marksmanship training. This level of competition generally leads to better price discovery and encourages contractors to offer their best value propositions to secure the award.
Taxpayer Impact: The robust competition ensures that taxpayer dollars are used efficiently, driving down costs and ensuring the government receives high-quality training services at a fair market price.
Public Impact
Soldiers benefit from enhanced marksmanship skills through advanced simulation technology. Services delivered include both basic and advanced squad-level training scenarios. Geographic impact is primarily within the operational areas of the Department of the Army. Workforce implications include the need for skilled training personnel and simulation technicians.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for vendor lock-in if simulation technology becomes proprietary and difficult to integrate with other systems.
- Reliance on specific simulation platforms could lead to challenges in adapting to future technological advancements.
- Ensuring consistent quality of training across all instructors and simulation scenarios requires ongoing oversight.
Positive Signals
- Firm fixed-price contract limits cost overruns and provides budget certainty.
- Full and open competition suggests a competitive market, likely leading to favorable pricing.
- The contract is for a defined period, allowing for reassessment of needs and technology at its conclusion.
- The contractor, Oak Grove Technologies, LLC, has experience in providing training services.
Sector Analysis
The defense training and simulation sector is a significant market driven by the need for realistic and cost-effective military preparation. This contract fits within the broader category of simulation and virtual training, which is increasingly important for reducing the costs and risks associated with live-fire exercises. Comparable spending in this sector often involves substantial investments in hardware, software, and specialized personnel to deliver high-fidelity training environments.
Small Business Impact
There is no indication of a small business set-aside for this contract, nor are there specific details provided regarding subcontracting plans with small businesses. The award to Oak Grove Technologies, LLC, a company that may or may not be classified as a small business itself, means that the direct impact on the small business ecosystem through this specific contract is not immediately clear without further subcontracting data. Future analysis could explore if Oak Grove Technologies has a history of engaging small businesses as subcontractors.
Oversight & Accountability
Oversight for this contract would typically fall under the purview of the Department of the Army's contracting and program management offices. Accountability measures are embedded within the firm fixed-price contract terms, requiring delivery of specified training services. Transparency is generally maintained through contract award databases and reporting requirements. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.
Related Government Programs
- Army Training and Simulation Programs
- Military Readiness and Force Development
- Advanced Combat Training Systems
- Virtual and Augmented Reality in Defense
Risk Flags
- Potential for technological obsolescence
- Dependence on contractor performance for training quality
- Cybersecurity risks associated with simulation systems
Tags
defense, department-of-defense, department-of-the-army, simulation-training, marksmanship-training, full-and-open-competition, delivery-order, firm-fixed-price, large-contract, north-carolina, advanced-training
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $53.9 million to OAK GROVE TECHNOLOGIES, LLC. ADVANCED AND BASIC SQUAD LEVEL SIMULATION BASED MARKSMANSHIP TRAINING
Who is the contractor on this award?
The obligated recipient is OAK GROVE TECHNOLOGIES, 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 $53.9 million.
What is the period of performance?
Start: 2018-09-26. End: 2021-12-25.
What is Oak Grove Technologies, LLC's track record with the Department of Defense, particularly in simulation-based training?
Oak Grove Technologies, LLC has a history of providing various training and simulation services to the Department of Defense. Their contract portfolio often includes areas such as tactical training, simulation development, and instructional services. Specific to marksmanship and squad-level simulation, they have been involved in delivering solutions designed to enhance soldier proficiency in realistic, yet controlled, environments. Analyzing their past performance on similar contracts, including any reported issues or successes, provides crucial context for assessing their capability and reliability in executing this current award. Their experience suggests a familiarity with military training requirements and the technological demands of advanced simulation.
How does the $53.9 million cost compare to similar advanced marksmanship training contracts awarded by the DoD?
The $53.9 million award for advanced and basic squad-level simulation-based marksmanship training appears to be a significant but not necessarily outlier figure within the defense sector for comprehensive training solutions. Benchmarking requires comparing not just the total dollar amount but also the scope, duration, technology involved, and specific training objectives. Contracts for advanced simulation systems, including hardware, software, maintenance, and instructor support, can easily reach tens of millions of dollars, especially when covering multiple units or extended periods. Given the 1186-day duration (approximately 3.25 years) and the inclusion of 'advanced' simulation, this contract's value seems aligned with market rates for sophisticated, high-fidelity training programs designed to enhance critical combat skills.
What are the primary risks associated with this type of simulation-based training contract?
Primary risks associated with this simulation-based training contract include technological obsolescence, where the simulation systems may become outdated before the contract's end or shortly after. Another risk is the fidelity of the simulation; if it does not accurately replicate real-world scenarios, its training value diminishes. Contractor performance is also a risk; failure to deliver consistent, high-quality training or maintain the simulation equipment could impact soldier readiness. Furthermore, integration challenges with existing military networks or platforms could arise. Finally, ensuring the security of sensitive training data and systems is paramount, posing cybersecurity risks.
How effective is simulation-based marksmanship training compared to traditional live-fire exercises?
Simulation-based marksmanship training offers several advantages over traditional live-fire exercises. It allows for a wider variety of scenarios, including complex tactical situations and environmental conditions that are difficult or impossible to replicate safely with live ammunition. Simulations provide immediate feedback on performance, enabling trainees to analyze mistakes and practice corrections rapidly, which is often not feasible in live-fire settings. Furthermore, simulations can significantly reduce the cost associated with ammunition, range maintenance, and safety protocols. While live-fire training remains crucial for developing muscle memory and the feel of actual weapon discharge, simulations provide a cost-effective, safe, and versatile platform for mastering fundamental skills and complex tactical decision-making, thereby complementing, rather than entirely replacing, live-fire training.
What has been the historical spending trend for marksmanship and simulation training within the Department of the Army?
Historical spending trends within the Department of the Army for marksmanship and simulation training have shown a consistent and increasing investment over the past decade. Driven by a focus on readiness, cost-efficiency, and the desire for more realistic training environments, the Army has progressively shifted towards leveraging advanced simulation technologies. This trend reflects a recognition that simulations can provide high-volume, repeatable training scenarios at a lower cost per soldier compared to live-fire exercises, especially for complex tactical situations. Budgets allocated to simulation and virtual training systems have grown as technology has matured, enabling more sophisticated and immersive experiences. This particular contract aligns with that broader strategic investment in modernizing training capabilities.
Industry Classification
NAICS: Educational Services › Other Schools and Instruction › Exam Preparation and Tutoring
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: 6
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 4131 PARKLAKE AVE STE 100, RALEIGH, NC, 27612
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $62,212,208
Exercised Options: $54,349,556
Current Obligation: $53,949,049
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NOT OBTAINED - WAIVED
Parent Contract
Parent Award PIID: GS02F0065V
IDV Type: FSS
Timeline
Start Date: 2018-09-26
Current End Date: 2021-12-25
Potential End Date: 2022-11-25 00:00:00
Last Modified: 2021-09-16
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