DoD Awards $47.7M Engineering Services Task Order to Amentum Technology, Inc. Under Full and Open Competition

Contract Overview

Contract Amount: $47,672,927 ($47.7M)

Contractor: Amentum Technology, Inc.

Awarding Agency: Department of Defense

Start Date: 2015-09-09

End Date: 2016-10-31

Contract Duration: 418 days

Daily Burn Rate: $114.0K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: IGF::OT::IGF TASK ORDER 0001

Place of Performance

Location: ABERDEEN PROVING GROUND, HARFORD County, MARYLAND, 21005

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $47.7 million to AMENTUM TECHNOLOGY, INC. for work described as: IGF::OT::IGF TASK ORDER 0001 Key points: 1. Significant contract value of $47.7 million for engineering services. 2. Awarded under full and open competition, indicating a competitive bidding process. 3. Contract type is Cost Plus Fixed Fee, which can present cost control challenges. 4. The sector is Engineering Services, a critical component of defense operations.

Value Assessment

Rating: fair

The Cost Plus Fixed Fee contract type allows for cost reimbursement plus a fixed fee, which can lead to higher costs if not managed closely. Benchmarking against similar engineering services contracts is necessary to assess if the fixed fee and overall cost structure are competitive.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, suggesting a robust price discovery process. This method typically aims to secure the best value for the government by allowing all eligible contractors to bid.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can lead to more favorable pricing and better service delivery.

Public Impact

Taxpayers benefit from a competitive bidding process for a substantial engineering services contract. The Department of Defense receives specialized engineering support critical for its operations. Amentum Technology, Inc. secures a significant contract, contributing to its revenue and market position. Potential for innovation and efficiency gains through competitive engineering solutions.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

Engineering services are vital for the Department of Defense, encompassing design, analysis, and technical support for various projects. Spending in this sector can fluctuate based on infrastructure needs and modernization efforts. Benchmarks for similar large-scale engineering contracts are essential for evaluating cost-effectiveness.

Small Business Impact

The data indicates this contract was not set aside for small businesses and was awarded under full and open competition. Therefore, small businesses were eligible to compete, but the prime contractor is not identified as a small business. Further analysis would be needed to determine if small businesses participated as subcontractors.

Oversight & Accountability

Oversight of Cost Plus Fixed Fee contracts is crucial to ensure costs remain reasonable and the fixed fee is justified. The Department of Defense's contracting officers and potentially an Inspector General would be responsible for monitoring performance, costs, and adherence to contract terms.

Related Government Programs

Risk Flags

Tags

engineering-services, department-of-defense, md, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $47.7 million to AMENTUM TECHNOLOGY, INC.. IGF::OT::IGF TASK ORDER 0001

Who is the contractor on this award?

The obligated recipient is AMENTUM TECHNOLOGY, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $47.7 million.

What is the period of performance?

Start: 2015-09-09. End: 2016-10-31.

What is the typical profit margin for Cost Plus Fixed Fee engineering services contracts of this magnitude within the Department of Defense?

Profit margins for Cost Plus Fixed Fee (CPFF) contracts can vary significantly based on contract complexity, risk, and market conditions. For large engineering services contracts within the DoD, fixed fees typically range from 7% to 15% of the estimated cost. However, this is a broad generalization, and specific industry benchmarks, the contractor's demonstrated performance, and the criticality of the service influence the final negotiated fee.

How effectively did the full and open competition process ensure the government received the best value for these engineering services?

Full and open competition is designed to maximize value by encouraging multiple bids and fostering price and technical competition. The effectiveness in this case depends on the number of bids received, the quality of the proposals, and the final negotiated price relative to independent cost estimates. A thorough post-award review of the competition documentation would be necessary to confirm the extent to which best value was achieved.

What are the key performance indicators (KPIs) used to measure the success and effectiveness of Amentum Technology, Inc.'s engineering services under this task order?

Key performance indicators for engineering services contracts typically include adherence to schedule, meeting technical specifications and quality standards, cost control within the estimated cost ceiling, and effective communication. Specific KPIs would be detailed in the contract's Performance Work Statement (PWS). Regular performance reviews and milestone tracking would be employed to assess the contractor's effectiveness.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W91CRB14R0001

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Jacobs Engineering Group Inc

Address: 600 WILLIAM NORTHERN BLVD, TULLAHOMA, TN, 37388

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $47,731,045

Exercised Options: $47,731,045

Current Obligation: $47,672,927

Subaward Activity

Number of Subawards: 4

Total Subaward Amount: $23,179,293

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W91CRB15D0018

IDV Type: IDC

Timeline

Start Date: 2015-09-09

Current End Date: 2016-10-31

Potential End Date: 2016-10-31 00:00:00

Last Modified: 2022-05-31

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