DoD awards $80M telecommunications contract to domestic vendor under full and open competition

Contract Overview

Contract Amount: $80,143,334 ($80.1M)

Contractor: Domestic Awardees (undisclosed)

Awarding Agency: Department of Defense

Start Date: 2010-09-28

End Date: 2014-07-07

Contract Duration: 1,378 days

Daily Burn Rate: $58.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: [PIIN: W91B4M-10-C-7146] COMMERCIAL CONTRACT AWARD

Plain-Language Summary

Department of Defense obligated $80.1 million to DOMESTIC AWARDEES (UNDISCLOSED) for work described as: [PIIN: W91B4M-10-C-7146] COMMERCIAL CONTRACT AWARD Key points: 1. Contract value represents a significant investment in telecommunications infrastructure. 2. Full and open competition suggests a potentially competitive bidding process. 3. The contract duration of over three years indicates a long-term need. 4. Fixed-price contract type may offer cost certainty for the government. 5. Lack of disclosed awardee details limits specific contractor performance analysis. 6. The NAICS code points to a broad category of telecommunications services.

Value Assessment

Rating: fair

Benchmarking this contract's value is challenging without knowing the specific services rendered and the awarded vendor. The total award of $80.1 million over approximately 3.8 years (1378 days) averages to roughly $21 million annually. Without comparable contract data for similar telecommunications services within the Department of Defense, it's difficult to definitively assess value for money. The firm fixed-price structure, however, suggests an attempt to control costs.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The number of bidders is not specified, but this procurement method generally fosters a competitive environment, which can lead to better pricing and terms for the government. The absence of specific bidder numbers prevents a deeper analysis of the competitive intensity.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it aims to secure the best possible value through a wide range of offers, potentially driving down prices.

Public Impact

The primary beneficiary is the Department of Defense, which receives essential telecommunications services. Services delivered likely include network infrastructure, communication systems, or related support. Geographic impact is presumed to be domestic, supporting military operations. Workforce implications could involve telecommunications specialists and support staff, both within the government and the contractor's organization.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of disclosed awardee details hinders assessment of contractor's past performance and potential risks.
The broad NAICS code (517919) for 'All Other Telecommunications' makes it difficult to ascertain the precise nature and criticality of the services procured.
The contract duration of nearly four years, while common, necessitates ongoing monitoring to ensure continued value and performance.
Limited insight into the specific deliverables makes it hard to evaluate the effectiveness of the procured services.

Positive Signals

Awarded under full and open competition, suggesting a robust and fair bidding process.
The firm fixed-price contract type provides cost predictability for the government.
The contract was awarded by the Department of the Army, a major component of the DoD, indicating a potentially significant operational need.
The contract was awarded in 2010, suggesting it has been in place for a considerable period, potentially indicating sustained satisfaction with the services.

Sector Analysis

This contract falls within the telecommunications sector, a critical component of modern infrastructure supporting communication, data transfer, and operational command and control. The NAICS code 517919 covers a wide array of telecommunications services not elsewhere classified, including wireless internet services, satellite telecommunications, and other communication services. Spending in this sector by the federal government is substantial, supporting everything from tactical military communications to civilian agency operations. Comparable spending benchmarks are difficult to establish due to the broad nature of the NAICS code and the specific, often classified, needs of defense agencies.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct small business set-aside implications. However, the prime contractor, if a large business, may have subcontracting opportunities for small businesses. Without knowing the identity of the awardee or the specific nature of the services, it is impossible to assess the extent of potential subcontracting or its impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of the Army contracting officers and program managers. The firm fixed-price nature of the contract implies that the government's primary oversight concern would be ensuring the contractor meets the defined deliverables and performance standards. Transparency is limited by the undisclosed awardee. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Department of Defense Telecommunications Services
Army Command and Control Systems
Federal Network Infrastructure Contracts
All Other Telecommunications Services Contracts

Risk Flags

Undisclosed Awardee
Broad NAICS Code Specificity
Lack of Detailed Service Description

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $80.1 million to DOMESTIC AWARDEES (UNDISCLOSED). [PIIN: W91B4M-10-C-7146] 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 $80.1 million.

What is the period of performance?

Start: 2010-09-28. End: 2014-07-07.

What specific telecommunications services were procured under this contract?

The provided data identifies the contract under NAICS code 517919, 'All Other Telecommunications.' This broad category encompasses a wide range of services, including but not limited to wireless internet services, satellite telecommunications, telecommunications network management, and other communication services not specified elsewhere. Without access to the contract's statement of work or detailed description, the precise nature of the services remains undisclosed. Given the awarding agency is the Department of Defense, these services could range from tactical battlefield communications to broader network infrastructure support for military installations or operations.

How does the $80.1 million contract value compare to similar telecommunications contracts within the DoD?

Direct comparison of the $80.1 million contract value to similar telecommunications contracts within the DoD is challenging without specific details on the services rendered and the period of performance. The contract spans approximately 3.8 years (1378 days), equating to an average annual spend of roughly $21 million. The DoD procures a vast array of telecommunications services, from large-scale network modernization projects to specialized tactical communication systems. While $80 million is a substantial sum, it could represent a significant portion of a major program or a smaller component of a larger enterprise-wide telecommunications strategy. Benchmarking requires identifying contracts with comparable scope, technology, and duration, which is not possible with the limited data provided.

What are the potential risks associated with a contract awarded under 'All Other Telecommunications'?

The primary risk associated with a contract under the broad 'All Other Telecommunications' NAICS code (517919) is a lack of specificity regarding the procured services. This ambiguity can lead to scope creep, misinterpretation of requirements, and difficulties in performance monitoring. For the Department of Defense, risks could include reliance on potentially outdated or incompatible technologies if the services are not clearly defined and managed. Furthermore, the undisclosed nature of the awardee prevents an assessment of their past performance, financial stability, or security clearances, which are critical risk factors for defense contracts involving sensitive communications infrastructure.

What does the 'firm fixed price' contract type imply for cost control and risk allocation?

A 'firm fixed price' (FFP) contract type implies that the contractor agrees to a set price for the specified goods or services, regardless of the actual costs incurred. This structure is generally favorable for the government in terms of cost control, as it shifts the risk of cost overruns to the contractor. For this $80.1 million contract, the DoD has a predictable ceiling for its expenditure. However, FFP contracts can sometimes lead to contractors cutting corners on quality or service to maintain profitability if not meticulously managed and monitored. The government's responsibility lies in clearly defining the scope of work to prevent disputes over what is included in the fixed price.

Given the contract was awarded in 2010 and ended in 2014, what can be inferred about historical spending patterns in this telecommunications category?

This contract, awarded in 2010 and ending in 2014, provides a snapshot of federal spending on 'All Other Telecommunications' during that period. The $80.1 million award suggests a significant investment by the Department of the Army in non-standard or specialized telecommunications capabilities. Historical spending patterns in this category are generally characterized by evolving technology and increasing demand for bandwidth and connectivity, particularly within defense contexts. Contracts of this magnitude indicate the government's reliance on external vendors for critical communication infrastructure. Analyzing trends over time would require examining subsequent contracts in this NAICS code and related categories to understand shifts in technology, vendor landscape, and overall investment levels.

Industry Classification

NAICS: Information › Other Telecommunications › All Other Telecommunications

Product/Service Code: COMM/DETECT/COHERENT RADIATION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

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: $80,143,334

Exercised Options: $80,143,334

Current Obligation: $80,143,334

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NOT OBTAINED - WAIVED

Timeline