DoD's $45.7M administrative support contract with Interactive Process Technology, LLC, awarded under full and open competition

Contract Overview

Contract Amount: $45,684,174 ($45.7M)

Contractor: Interactive Process Technology, LLC

Awarding Agency: Department of Defense

Start Date: 2012-04-16

End Date: 2017-09-22

Contract Duration: 1,985 days

Daily Burn Rate: $23.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: PROFESSIONAL AND EXECUTIVE-LEVEL ADMINISTRATIVE MISSION SUPPORT SERVICES FOR OUSD(AT&L)

Place of Performance

Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22204

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $45.7 million to INTERACTIVE PROCESS TECHNOLOGY, LLC for work described as: PROFESSIONAL AND EXECUTIVE-LEVEL ADMINISTRATIVE MISSION SUPPORT SERVICES FOR OUSD(AT&L) Key points: 1. Contract provides essential administrative and executive-level mission support services. 2. Awarded via a Blanket Purchase Agreement (BPA) Call, indicating a pre-competed framework. 3. The contract duration of 1985 days (approx. 5.5 years) suggests a stable, long-term need. 4. Firm Fixed Price (FFP) contract type helps control costs and provides predictability. 5. The contract was awarded under full and open competition, maximizing potential bidder participation. 6. Services are categorized under Administrative Management and General Management Consulting Services. 7. The contract value of $45.7M over its term represents a significant investment in support functions.

Value Assessment

Rating: good

The contract's value of $45.7 million over approximately 5.5 years averages to roughly $8.3 million annually. This figure for administrative and executive-level support services for a major Department of Defense component (OUSD(AT&L)) appears reasonable, especially considering the complexity and sensitivity of defense-related operations. Benchmarking against similar large-scale administrative support contracts within the federal government would provide a more precise value-for-money assessment, but the FFP structure and competitive award suggest a controlled pricing environment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'full and open competition,' meaning all responsible sources were permitted to submit an offer. The fact that it was a BPA Call suggests that the underlying BPA was also competitively awarded. While the specific number of bidders for this particular call is not provided, the 'full and open' designation generally implies a robust competitive process, which is conducive to achieving fair market prices and identifying the best value solution.

Taxpayer Impact: Taxpayers benefit from a competitive process that aims to secure the most cost-effective administrative support services for a critical defense function, reducing the risk of overpayment and ensuring efficient use of public funds.

Public Impact

The primary beneficiaries are the Office of the Under Secretary of Defense for Acquisition and Sustainment (OUSD(AT&L)), receiving crucial administrative and executive support. Services delivered include mission support, administrative assistance, and general management consulting, enabling the efficient functioning of a key defense policy and oversight body. The geographic impact is concentrated around the Washington Headquarters Services (WHS) area, supporting federal operations in the National Capital Region. Workforce implications include the direct employment of personnel by Interactive Process Technology, LLC, to fulfill the contract requirements.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if the BPA framework limits future competition.
Reliance on a single contractor for critical administrative functions could pose a risk if performance degrades.
The broad scope of 'mission support' could lead to scope creep if not carefully managed.

Positive Signals

Awarded under full and open competition, indicating a competitive marketplace.
Firm Fixed Price contract type provides cost certainty for the government.
Long contract duration suggests a stable and predictable requirement, allowing for efficient resource planning.
BPA Call mechanism implies a pre-vetted and potentially more efficient procurement process.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically administrative and management consulting. This sector is a significant component of federal contracting, supporting a wide array of government functions. The market for such services is generally competitive, with numerous firms capable of providing administrative and executive support. The $45.7 million value positions this as a substantial contract within its sub-sector, likely serving a high-level agency component.

Small Business Impact

The contract was not set aside for small businesses, and there is no explicit indication of small business subcontracting requirements in the provided data. This suggests that the primary award went to a large business, and opportunities for small businesses would likely depend on the prime contractor's subcontracting plan, if any. Without specific subcontracting goals or performance data, the direct impact on the small business ecosystem is unclear but likely minimal for this prime award.

Oversight & Accountability

Oversight is likely managed by the Washington Headquarters Services (WHS) and the OUSD(AT&L) program office. As a contract awarded by the Department of Defense, it would fall under the purview of the DoD Inspector General for audits and investigations. Transparency is generally maintained through contract award databases like FPDS, though detailed performance metrics and specific oversight activities are typically internal to the agency.

Related Government Programs

OUSD(AT&L) Operations Support
Department of Defense Administrative Services
Federal Management Consulting Contracts
Washington Headquarters Services Support
BPA Call Procurements

Risk Flags

Contract Duration
Scope Definition
Contractor Performance History

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $45.7 million to INTERACTIVE PROCESS TECHNOLOGY, LLC. PROFESSIONAL AND EXECUTIVE-LEVEL ADMINISTRATIVE MISSION SUPPORT SERVICES FOR OUSD(AT&L)

Who is the contractor on this award?

The obligated recipient is INTERACTIVE PROCESS TECHNOLOGY, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Washington Headquarters Services).

What is the total obligated amount?

The obligated amount is $45.7 million.

What is the period of performance?

Start: 2012-04-16. End: 2017-09-22.

What is the track record of Interactive Process Technology, LLC with federal contracts, particularly within the Department of Defense?

Interactive Process Technology, LLC has a history of federal contracting, primarily with the Department of Defense. Reviewing their contract history reveals multiple awards, including this significant administrative support contract. Their performance on previous contracts, including any awards, terminations, or significant disputes, would be crucial for a comprehensive assessment. Data from sources like the Federal Procurement Data System (FPDS) can provide insights into their past performance ratings, contract types, and agencies served. A deeper dive would involve examining specific contract close-out reports and any available performance evaluations to gauge their reliability and effectiveness in delivering services similar to those required by OUSD(AT&L).

How does the pricing of this contract compare to similar administrative support services procured by the DoD or other federal agencies?

Benchmarking the pricing of this $45.7 million contract against similar administrative and executive-level support services requires access to detailed pricing structures and comparable contract data. The Firm Fixed Price (FFP) nature of this award provides cost certainty for the government. However, without specific line-item costs or rates, a direct comparison is challenging. Generally, contracts awarded under full and open competition, especially through established mechanisms like BPA calls, tend to yield competitive pricing. Factors such as the specific services required, the level of expertise needed, and the geographic location of service delivery influence pricing. A thorough analysis would involve comparing the average annual cost ($8.3M) against similar contracts for comparable support functions within the DoD or other large federal agencies, considering the scope and complexity.

What are the primary risks associated with this contract, and what mitigation strategies are in place?

Key risks associated with this contract include potential scope creep, given the broad nature of 'mission support services,' and over-reliance on a single contractor, Interactive Process Technology, LLC, for critical functions. Performance degradation or contractor failure could disrupt OUSD(AT&L)'s operations. Mitigation strategies likely involve robust contract management by the Washington Headquarters Services and OUSD(AT&L) program office, including clear performance work statements (PWS), regular performance reviews, and defined deliverables. The FFP contract type inherently mitigates cost overrun risks. Furthermore, the initial competitive award process aims to select a contractor with a proven ability to perform, reducing performance risk. Contingency planning and maintaining strong communication channels are also vital.

How effective has Interactive Process Technology, LLC been in delivering administrative and executive-level mission support services under this contract?

Assessing the effectiveness of Interactive Process Technology, LLC's service delivery requires access to performance reports, user feedback from OUSD(AT&L), and potentially data from the DoD Inspector General or agency oversight bodies. As the contract spans from 2012 to 2017, historical performance data should be available. Key indicators of effectiveness would include meeting performance metrics outlined in the PWS, timely delivery of services, responsiveness to OUSD(AT&L)'s needs, and overall client satisfaction. Without direct access to these internal performance evaluations, a definitive statement on effectiveness cannot be made, but the contract's renewal or completion without major reported issues would suggest a satisfactory level of performance.

What are the historical spending patterns for administrative and mission support services within OUSD(AT&L) and the broader Department of Defense?

Historical spending on administrative and mission support services within OUSD(AT&L) and the broader Department of Defense is substantial and multifaceted. These services are critical for the functioning of various defense entities, encompassing everything from personnel support and facility management to policy development assistance and executive scheduling. Spending in this category has generally remained high due to the scale and complexity of defense operations. Trends may show shifts towards more specialized support services, increased use of technology, and varying levels of outsourcing. Analyzing past budgets and contract awards for OUSD(AT&L) and similar DoD components would reveal spending levels, dominant contract types (e.g., FFP vs. cost-plus), and key contractors over time, indicating the government's evolving approach to acquiring these essential support functions.

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: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 700 TECHNOLOGY PARK DR STE 204, BILLERICA, MA, 01821

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Service Disabled Veteran Owned Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $45,684,174

Exercised Options: $45,684,174

Current Obligation: $45,684,174

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HQ003412A0010

IDV Type: BPA

Timeline