DoD's Army Spends $17.8M on Specialty Trade Contractors via Full and Open Competition

Contract Overview

Contract Amount: $17,811,765 ($17.8M)

Contractor: Miscellaneous Foreign Awardees

Awarding Agency: Department of Defense

Start Date: 2009-10-26

End Date: 2016-09-30

Contract Duration: 2,531 days

Daily Burn Rate: $7.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: 7.1.2 TITLE AND SECONDARY SERVICES

Plain-Language Summary

Department of Defense obligated $17.8 million to MISCELLANEOUS FOREIGN AWARDEES for work described as: 7.1.2 TITLE AND SECONDARY SERVICES Key points: 1. Significant spending on miscellaneous foreign awardees highlights global supply chain integration. 2. The contract spans nearly 7 years, indicating a long-term need for specialty trade services. 3. Fixed-price contract type suggests cost certainty for the government. 4. The broad NAICS code (238990) implies a wide range of potential specialty trade services were procured.

Value Assessment

Rating: fair

The contract value of $17.8M over 7 years is substantial. Without specific service details or benchmarks for 'All Other Specialty Trade Contractors,' a precise value assessment is difficult. However, the duration suggests a consistent need.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating a competitive process was initiated, but specific sources were later excluded. This method can impact price discovery if the exclusion limits the pool of bidders.

Taxpayer Impact: The use of full and open competition generally aims for the best value for taxpayers. However, the exclusion of sources warrants scrutiny to ensure it did not inflate costs.

Public Impact

Taxpayers funded nearly $18 million for miscellaneous specialty trade services over seven years. The contract's global reach through foreign awardees suggests potential impacts on domestic job markets. The long duration of the contract implies ongoing reliance on these services by the Army.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Exclusion of sources in a full and open competition.
  • Lack of specific service details within the broad NAICS code.
  • Foreign awardees may present logistical or geopolitical risks.

Positive Signals

  • Firm Fixed Price contract type provides cost predictability.
  • Full and open competition generally promotes competitive pricing.

Sector Analysis

The construction sector, particularly specialty trade contractors, is vital for infrastructure and facility maintenance. Spending benchmarks vary widely based on the specific trade and geographic location. This contract falls under 'All Other Specialty Trade Contractors,' a broad category.

Small Business Impact

The data indicates the contract was awarded to 'Miscellaneous Foreign Awardees' and does not specify small business participation. It is unlikely that small businesses were primary awardees given the nature of foreign awardees and the contract's scale.

Oversight & Accountability

The contract's long duration and the 'exclusion of sources' clause warrant oversight to ensure continued fair pricing and adherence to competition principles. Tracking the specific services rendered would enhance accountability.

Related Government Programs

  • All Other Specialty Trade Contractors
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Potential for reduced competition due to source exclusion.
  • Lack of specific service details hinders value assessment.
  • Reliance on foreign awardees may introduce geopolitical and logistical risks.
  • Long contract duration requires ongoing monitoring for sustained value.
  • Broad NAICS code obscures the precise nature of services procured.

Tags

all-other-specialty-trade-contractors, department-of-defense, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $17.8 million to MISCELLANEOUS FOREIGN AWARDEES. 7.1.2 TITLE AND SECONDARY SERVICES

Who is the contractor on this award?

The obligated recipient is MISCELLANEOUS FOREIGN AWARDEES.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $17.8 million.

What is the period of performance?

Start: 2009-10-26. End: 2016-09-30.

What specific specialty trade services were procured under this contract, and how do their costs compare to market rates for similar services?

The provided data lacks specificity regarding the exact specialty trade services rendered. The NAICS code 238990 is very broad. To assess value, a detailed breakdown of services performed (e.g., electrical, plumbing, HVAC, specialized construction) and their associated costs would be necessary. Benchmarking these against industry standards for comparable government or commercial contracts would reveal if the $17.8M expenditure was reasonable.

What was the justification for excluding specific sources in a 'Full and Open Competition' award, and did this exclusion limit competitive pricing?

The justification for excluding sources is not provided in the data. Typically, exclusions might be based on security, specialized capabilities, or prior performance issues. However, any exclusion, even in a full and open process, can potentially reduce competition and lead to higher prices if the remaining pool of bidders is limited or less competitive. Further investigation into the rationale behind the exclusion is needed.

What is the strategic importance of utilizing 'Miscellaneous Foreign Awardees' for these specialty trade services, and what are the associated risks?

Utilizing foreign awardees might be driven by unique expertise, cost efficiencies, or strategic positioning in specific regions. However, it introduces risks such as geopolitical instability, currency fluctuations, logistical challenges, differing regulatory environments, and potential national security concerns. The strategic benefit must be weighed against these inherent risks and the potential impact on domestic industry.

Industry Classification

NAICS: ConstructionOther Specialty Trade ContractorsAll Other Specialty Trade Contractors

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIESCONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2011 CRYSTAL DR STE 911, ARLINGTON, VA, 22202

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $22,510,157

Exercised Options: $22,510,157

Current Obligation: $17,811,765

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2009-10-26

Current End Date: 2016-09-30

Potential End Date: 2016-09-30 00:00:00

Last Modified: 2016-09-30

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