DoD's $18.2M Electronic Security Systems Contract Awarded to Alutiiq Global Solutions
Contract Overview
Contract Amount: $18,217,181 ($18.2M)
Contractor: Alutiiq Global Solutions, LLC
Awarding Agency: Department of Defense
Start Date: 2007-09-14
End Date: 2012-09-29
Contract Duration: 1,842 days
Daily Burn Rate: $9.9K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: Other
Official Description: PROVIDE ELECTRONIC SECURITY SYSTEMS
Place of Performance
Location: ANCHORAGE, ANCHORAGE County, ALASKA, 99503
State: Alaska Government Spending
Plain-Language Summary
Department of Defense obligated $18.2 million to ALUTIIQ GLOBAL SOLUTIONS, LLC for work described as: PROVIDE ELECTRONIC SECURITY SYSTEMS Key points: 1. Significant contract value of $18.2 million for electronic security systems. 2. Sole-source award to Alutiiq Global Solutions, LLC raises competition concerns. 3. Contract duration spans over 5 years, indicating long-term reliance. 4. Sector focus on security systems services, critical for defense operations.
Value Assessment
Rating: questionable
The contract's Cost Plus Fixed Fee (CPFF) structure can lead to cost overruns if not managed tightly. Without a competitive benchmark, assessing the value for money is difficult, especially given the sole-source nature.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
The contract was awarded on a sole-source basis, indicating a lack of competition. This limits price discovery and potentially leads to higher costs for taxpayers compared to a competitive procurement.
Taxpayer Impact: The absence of competition for this $18.2 million contract means taxpayers may have paid a premium for electronic security systems and services.
Public Impact
Ensures critical electronic security infrastructure for the Department of the Navy. Supports national security by providing essential security systems. Potential for cost inefficiencies due to sole-source award.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award limits competition and price discovery.
- CPFF contract type can incentivize cost increases.
- Long contract duration may not reflect current market prices.
Positive Signals
- Provides essential security services to the Department of Defense.
- Long-term contract ensures continuity of critical security operations.
Sector Analysis
This contract falls within the Security Systems Services sector, which is vital for government and defense installations. Benchmarks for similar sole-source contracts are hard to establish, but competitive bids typically yield better pricing.
Small Business Impact
The data does not indicate any specific provisions or awards made to small businesses under this contract, suggesting a missed opportunity for small business participation.
Oversight & Accountability
The sole-source nature of this award warrants scrutiny to ensure fair pricing and necessity. Robust oversight is needed to manage the CPFF structure effectively and prevent cost overruns.
Related Government Programs
- Security Systems Services (except Locksmiths)
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Lack of competition
- Cost Plus Fixed Fee structure
- Potential for cost overruns
- Sole-source dependency
- Limited transparency on justification
Tags
security-systems-services-except-locksmi, department-of-defense, ak, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $18.2 million to ALUTIIQ GLOBAL SOLUTIONS, LLC. PROVIDE ELECTRONIC SECURITY SYSTEMS
Who is the contractor on this award?
The obligated recipient is ALUTIIQ GLOBAL SOLUTIONS, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $18.2 million.
What is the period of performance?
Start: 2007-09-14. End: 2012-09-29.
What was the justification for awarding this contract on a sole-source basis, and were alternatives explored?
The justification for a sole-source award is crucial for understanding why competition was bypassed. Typically, this occurs when only one vendor possesses the unique capability or technology required. Without this information, it's difficult to assess if the government received the best possible value or if market research was insufficient.
How were costs controlled and validated under the Cost Plus Fixed Fee (CPFF) structure for this contract?
The CPFF structure requires diligent oversight to manage costs effectively. The government must ensure that the contractor's costs are reasonable and allocable, and that the fixed fee is appropriate for the risk undertaken. Regular audits and performance reviews are essential to prevent cost creep and ensure taxpayer funds are used efficiently.
What is the long-term strategic value of relying on a single vendor for electronic security systems?
Long-term reliance on a single vendor can create strategic risks, including vendor lock-in, potential price increases upon contract renewal, and vulnerability if the vendor experiences financial or operational difficulties. Diversifying security solutions or ensuring robust contingency plans can mitigate these risks.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Investigation and Security Services › Security Systems Services (except Locksmiths)
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: NOT AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: N0017405R0051
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Afognak Native Corp (UEI: 052089695)
Address: 3201 C STREET, SUITE 700, ANCHORAGE, AK, 99503
Business Categories: 8(a) Program Participant, Category Business, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations
Financial Breakdown
Contract Ceiling: $29,683,585
Exercised Options: $29,683,585
Current Obligation: $18,217,181
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N0017406D0024
IDV Type: IDC
Timeline
Start Date: 2007-09-14
Current End Date: 2012-09-29
Potential End Date: 2012-09-29 00:00:00
Last Modified: 2018-10-17
More Contracts from Alutiiq Global Solutions, LLC
- Federal Contract — $115.5M (Department of Defense)
- 200608!601294!2100!w912qr!usa Engineer Dist Louisville !w912qr06c0032 !A!N! !N! ! !20060623!20060120!126925267!126925267!118261523!n!alutiiq Global Solutions, LLC !3201 C Street, Suite 700 !anchorage !ak!99503!28540!093!21!fort Knox !hardin !kentucky !+000048651449!n!n!000048651449!y163!troop Housing Facilities !C2 !construction !000 !NOT Discernable !236220!E! !3! ! ! ! ! !99990909!B! ! !A! !a!u!j!1!002!b! !D!N!Z! ! !n!a!n!n!e! ! ! !a!a!000!a!b!y!s!n! !Y! ! !0001! ! — $51.0M (Department of Defense)
- TAS::21 2040::TAS 200512!502701!2100!w9113m!usa Space and Strategic DEF CDR !W9113M05C0127 !A!N! !N! ! !20050921!20100930!126925267!126925267!118261523!n!alutiiq Global Solutions, LLC !3201 C Street, Suite 700 !anchorage !ak!99503!30000!150!68!yona !kwajalein !* !+000000450000!n!n!000000000000!s206!guard Services !S1 !services !000 !* !561612!E! !3! ! ! ! ! !20200930!B! ! !A! !b!y!u!1!001!n!5a!z!y!z! ! !n!a!n!n!e! ! ! !d!a!000!a!b!n! ! ! ! ! ! !0001! ! — $44.6M (Department of Defense)
- Champ — $42.9M (Department of Defense)
- Readiness and Surge Support Services — $39.8M (Department of Homeland Security)
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)