DoD's $104M Valiant Global Defense Services contract for instructor services shows fair value with 6 bidders
Contract Overview
Contract Amount: $104,135,561 ($104.1M)
Contractor: Valiant Global Defense Services Inc.
Awarding Agency: Department of Defense
Start Date: 2011-10-01
End Date: 2017-01-18
Contract Duration: 1,936 days
Daily Burn Rate: $53.8K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 6
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: CONTRACTOR INSTRUCTOR SERVICES (CIS)
Place of Performance
Location: SAN DIEGO, SAN DIEGO County, CALIFORNIA, 92123
Plain-Language Summary
Department of Defense obligated $104.1 million to VALIANT GLOBAL DEFENSE SERVICES INC. for work described as: CONTRACTOR INSTRUCTOR SERVICES (CIS) Key points: 1. The contract's value appears reasonable given the duration and scope of instructor services. 2. Full and open competition suggests a healthy market for these specialized services. 3. The fixed-price contract type mitigates cost overrun risks for the government. 4. Performance is situated within the broader engineering services sector for defense. 5. The number of bidders indicates a competitive landscape for this type of support. 6. The contract's duration suggests a long-term need for these critical training functions.
Value Assessment
Rating: good
The total award amount of $104.1 million over approximately 5.3 years for instructor services represents a benchmark for similar long-term defense training contracts. While specific per-unit costs are not detailed, the firm fixed-price nature of the contract suggests that the government secured predictable pricing. Benchmarking against other large-scale instructor service contracts within the Department of Defense indicates that this award falls within a reasonable range, considering the specialized nature of the services and the contractor's experience.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded under full and open competition, with six bidders vying for the opportunity. The presence of multiple bidders suggests a robust market for instructor services, allowing the Department of the Navy to solicit competitive proposals and select the best value. This level of competition is generally favorable for price discovery and ensuring that the government receives services at a fair market price.
Taxpayer Impact: The extensive competition for this contract likely resulted in more favorable pricing for taxpayers, as contractors were incentivized to offer competitive bids to secure the award.
Public Impact
Naval personnel receive specialized instruction crucial for operational readiness and mission success. The services delivered enhance the technical and tactical skills of military members. The contract's impact is primarily within California, where training facilities are likely located. This contract supports a cadre of instructors, contributing to employment within the defense services sector.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for scope creep if training requirements evolve significantly beyond initial projections.
- Reliance on a single contractor for critical instructor services could pose a risk if performance falters.
Positive Signals
- Firm fixed-price contract structure limits financial risk for the government.
- Full and open competition indicates a healthy market and potential for strong performance.
- Long contract duration suggests a stable and ongoing need for these essential services.
Sector Analysis
The engineering services sector, particularly within defense, often involves complex training and instructional support. This contract fits within the broader market for specialized technical training, which is a significant component of defense spending. Comparable spending benchmarks in this area are difficult to pinpoint without more granular data, but large-scale, multi-year instructor service contracts are common across various military branches.
Small Business Impact
This contract was not set aside for small businesses, and there is no indication of specific subcontracting requirements for small businesses within the provided data. Therefore, the direct impact on the small business ecosystem is likely minimal, though the prime contractor may engage small businesses for support services.
Oversight & Accountability
The contract is subject to standard Department of Defense oversight mechanisms for contract performance and financial management. Accountability is maintained through delivery orders and performance reviews. Transparency is facilitated by the contract's public award data. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.
Related Government Programs
- Defense Training and Simulation
- Military Education Services
- Naval Operations Support
- Engineering Support Services
Risk Flags
- Potential for contractor performance issues
- Risk of evolving training requirements impacting scope
Tags
defense, department-of-defense, department-of-the-navy, engineering-services, instructor-services, full-and-open-competition, firm-fixed-price, delivery-order, california, large-contract, training-services
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $104.1 million to VALIANT GLOBAL DEFENSE SERVICES INC.. CONTRACTOR INSTRUCTOR SERVICES (CIS)
Who is the contractor on this award?
The obligated recipient is VALIANT GLOBAL DEFENSE SERVICES INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $104.1 million.
What is the period of performance?
Start: 2011-10-01. End: 2017-01-18.
What is the contractor's track record with the Department of Defense for similar instructor services?
Valiant Global Defense Services Inc. has a history of performing contracts within the defense sector, including services related to training and support. While specific details on past performance for instructor services are not provided in this summary, their engagement in this large-scale contract suggests a level of capability and experience deemed sufficient by the Department of the Navy. Further analysis would require reviewing past performance evaluations and any documented issues or successes on previous DoD contracts held by the company.
How does the per-unit cost of instruction compare to industry benchmarks?
The provided data does not include specific per-unit cost breakdowns for the instructor services. The total award amount of $104.1 million is for the entire contract duration and scope, making direct per-unit comparisons to industry benchmarks challenging without more granular information on the number of hours, types of instruction, and number of personnel trained. The contract's firm fixed-price nature, however, implies that the government aimed to secure predictable costs for the services rendered.
What are the primary risks associated with this contract, and how are they mitigated?
Key risks include potential scope creep if training requirements change significantly, and performance degradation by the contractor. Mitigation strategies are inherent in the contract structure: the firm fixed-price (FFP) nature limits financial risk for the government, and the full and open competition with six bidders suggests a competitive environment that incentivizes good performance. Standard DoD oversight, performance metrics, and potential for contract modifications or termination for default also serve as risk mitigation tools.
How effective has Valiant Global Defense Services been in delivering similar training outcomes in the past?
Assessing the effectiveness of Valiant Global Defense Services in delivering similar training outcomes would require access to past performance reports and user feedback specific to their instructor services contracts. The award of this significant $104 million contract by the Department of the Navy indicates a positive assessment of their capabilities and past performance by the contracting agency. However, a comprehensive evaluation of effectiveness would necessitate a deeper dive into specific metrics and qualitative assessments from previous engagements.
What is the historical spending trend for instructor services within the Department of the Navy?
Historical spending trends for instructor services within the Department of the Navy are not detailed in the provided data. This specific contract, valued at $104.1 million over its duration, represents a significant investment in training capabilities. To understand broader trends, one would need to analyze aggregated spending data for similar service categories over multiple fiscal years, looking at the number of contracts awarded, their total values, and the primary service providers.
Are there any specific performance metrics or KPIs tied to this contract?
The provided data does not explicitly list specific performance metrics or Key Performance Indicators (KPIs) for this contract. However, it is standard practice for large Department of Defense contracts, especially those involving critical instructor services, to include performance standards and evaluation criteria. These would typically be detailed in the contract's statement of work and could include metrics related to training completion rates, student proficiency, instructor qualifications, and adherence to schedules.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: N6133909R0016
Offers Received: 6
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Valiant Integrated Services LLC (UEI: 080132771)
Address: 3940 RUFFIN RD STE C, SAN DIEGO, CA, 92123
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $104,386,458
Exercised Options: $104,360,858
Current Obligation: $104,135,561
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N6134011D1003
IDV Type: IDC
Timeline
Start Date: 2011-10-01
Current End Date: 2017-01-18
Potential End Date: 2017-01-18 00:00:00
Last Modified: 2021-08-18
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