DoD Awards $11.5M Engineering Services Task Order to CEG Solutions LLC under Full and Open Competition
Contract Overview
Contract Amount: $11,549,801 ($11.5M)
Contractor: CEG Solutions LLC
Awarding Agency: Department of Defense
Start Date: 2023-03-16
End Date: 2045-10-01
Contract Duration: 8,235 days
Daily Burn Rate: $1.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 12
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: TASK ORDER AWARD FOR NIWC JC CHARLESTON.
Place of Performance
Location: CHARLESTON AFB, CHARLESTON County, SOUTH CAROLINA, 29404
Plain-Language Summary
Department of Defense obligated $11.5 million to CEG SOLUTIONS LLC for work described as: TASK ORDER AWARD FOR NIWC JC CHARLESTON. Key points: 1. The award represents a significant investment in engineering services for the Department of the Army. 2. CEG Solutions LLC secured this contract through a competitive bidding process. 3. The firm-fixed-price contract structure aims to control costs for the government. 4. The duration of the task order extends to October 2045, indicating a long-term need.
Value Assessment
Rating: good
The contract is firm-fixed-price, which generally provides good value by shifting cost risk to the contractor. Benchmarking against similar engineering services contracts is needed for a definitive assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a robust price discovery process. This method typically leads to more competitive pricing.
Taxpayer Impact: The competitive award process is expected to yield fair pricing, maximizing taxpayer value for the engineering services procured.
Public Impact
Supports critical engineering services for the Department of the Army. Long-term contract (over 20 years) ensures continuity of essential services. Award to CEG Solutions LLC contributes to the contractor's revenue and growth.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long contract duration could lead to scope creep or evolving requirements.
- Potential for cost overruns if initial estimates are inaccurate despite FFP.
Positive Signals
- Awarded through full and open competition.
- Firm-fixed-price contract type.
- Long-term need indicates essential service provision.
Sector Analysis
Engineering services are crucial for government infrastructure and defense projects. The benchmark for such services varies widely based on complexity and duration, but this award appears within a reasonable range for a long-term, high-value contract.
Small Business Impact
The data indicates this contract was not awarded to a small business. Further analysis would be needed to determine if small business set-asides were considered or if prime contractors are subcontracting to small businesses.
Oversight & Accountability
The award was made under full and open competition, suggesting adherence to standard procurement regulations. Ongoing oversight will be crucial to manage the long duration and ensure deliverables meet expectations.
Related Government Programs
- Engineering Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Long contract duration (over 20 years).
- No indication of small business participation.
- Specific services and performance metrics not detailed in summary data.
- Potential for requirement changes over the contract's extensive lifespan.
Tags
engineering-services, department-of-defense, sc, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $11.5 million to CEG SOLUTIONS LLC. TASK ORDER AWARD FOR NIWC JC CHARLESTON.
Who is the contractor on this award?
The obligated recipient is CEG SOLUTIONS 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 $11.5 million.
What is the period of performance?
Start: 2023-03-16. End: 2045-10-01.
What specific engineering services are being procured under this task order, and how do they align with NIWC's mission objectives?
The task order is for engineering services (NAICS 541330). While the specific services aren't detailed, they likely support NIWC's mission in command, control, communications, computers, intelligence, surveillance, and reconnaissance (C4ISR) systems. This could encompass design, development, testing, and integration of complex systems, crucial for maintaining technological superiority in defense.
What is the projected cost per year, and how does it compare to industry benchmarks for similar long-term engineering support contracts?
With an award of $11.55 million over approximately 22 years (March 2023 to October 2045), the average annual cost is roughly $525,000. This figure needs to be benchmarked against similar long-term, firm-fixed-price engineering services contracts for defense agencies to assess its competitiveness and value.
Are there any performance metrics or milestones defined in the task order to ensure effective service delivery and accountability?
The provided data does not specify performance metrics or milestones. However, for a firm-fixed-price contract of this magnitude and duration, robust performance standards and regular reviews are typically included to ensure accountability and effective service delivery aligned with government requirements.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
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
Solicitation ID: W912DY12R0046
Offers Received: 12
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1005 NORTH GLEBE RD STE 620, ARLINGTON, VA, 22201
Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $50,433,493
Exercised Options: $11,667,340
Current Obligation: $11,549,801
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W912DY15D0042
IDV Type: IDC
Timeline
Start Date: 2023-03-16
Current End Date: 2045-10-01
Potential End Date: 2046-12-01 00:00:00
Last Modified: 2026-01-14
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