DoD's $40.5M Intelligence Services Contract Awarded to Engility Corporation Under Full and Open Competition
Contract Overview
Contract Amount: $40,499,607 ($40.5M)
Contractor: Engility Corporation
Awarding Agency: Department of Defense
Start Date: 2006-09-15
End Date: 2010-09-29
Contract Duration: 1,475 days
Daily Burn Rate: $27.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 5
Pricing Type: TIME AND MATERIALS
Sector: Other
Official Description: INTELLIGENCE SERVICES, IRAQ
Plain-Language Summary
Department of Defense obligated $40.5 million to ENGILITY CORPORATION for work described as: INTELLIGENCE SERVICES, IRAQ Key points: 1. Contract value represents a significant investment in intelligence support services. 2. Full and open competition suggests a potentially competitive bidding process. 3. Contract duration of nearly 4 years indicates a substantial, ongoing need. 4. Awarded by the Department of the Army, highlighting a key defense sector requirement. 5. The 'All Other Professional, Scientific, and Technical Services' NAICS code suggests a broad scope of work.
Value Assessment
Rating: fair
Benchmarking the value-for-money for this specific contract is challenging without detailed service breakdowns and performance metrics. The total award amount of $40.5 million over approximately four years averages to about $10 million annually, which could be reasonable for specialized intelligence services. However, without comparable contract data for similar intelligence support in Iraq, a definitive assessment of pricing and value is difficult. The Time and Materials (T&M) contract type can sometimes lead to cost overruns if not closely managed, which warrants scrutiny.
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 presence of 5 bids suggests a moderate level of competition for this requirement. While multiple bidders are positive, the specific number (5) does not necessarily guarantee the most competitive pricing or innovative solutions without further analysis of the bid quality and the specific market dynamics for these intelligence services.
Taxpayer Impact: A competitive bidding process generally benefits taxpayers by encouraging lower prices and better service offerings from contractors vying for the award.
Public Impact
Provides critical intelligence support services to the Department of Defense, likely aiding in operational planning and execution in Iraq. Benefits military personnel and intelligence analysts by furnishing necessary data and expertise. Geographic impact is focused on operations within Iraq. Workforce implications include employment for personnel with specialized intelligence and technical skills.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Time and Materials contract type can lead to cost uncertainty if not managed rigorously.
- Geographic focus on Iraq presents inherent operational and security risks.
- The broad NAICS code 'All Other Professional, Scientific, and Technical Services' may obscure specific performance details.
Positive Signals
- Awarded under full and open competition, suggesting a structured procurement process.
- Multiple bids received (5) indicate a degree of market interest and potential for competitive pricing.
- Contract duration of nearly 4 years implies a sustained and recognized need for the services.
Sector Analysis
This contract falls within the Professional, Scientific, and Technical Services sector, specifically related to intelligence and support services. The market for such services is often characterized by specialized expertise, high security clearances, and significant government reliance, particularly in defense contexts. Comparable spending benchmarks would typically be found within broader intelligence community budgets or specific defense agency procurement data for similar support functions.
Small Business Impact
There is no indication that this contract included a small business set-aside. The contract was awarded to Engility Corporation, a large business. Subcontracting opportunities for small businesses may exist, but this would depend on Engility's specific subcontracting plan, which is not detailed here. The overall impact on the small business ecosystem is likely minimal unless significant subcontracting occurs.
Oversight & Accountability
Oversight would primarily be conducted by the Department of the Army contracting and program management offices. Accountability measures are typically embedded within the contract's performance work statement and reporting requirements. Transparency is facilitated through contract award databases, but detailed performance and financial oversight specifics are generally not public.
Related Government Programs
- Intelligence Support Services
- Department of Defense Contracts
- Services in Iraq
- Professional, Scientific, and Technical Services
Risk Flags
- Time and Materials Contract Type
- Geographic Risk (Iraq)
- Broad NAICS Code
Tags
intelligence-services, department-of-defense, department-of-the-army, iraq, full-and-open-competition, time-and-materials, professional-scientific-and-technical-services, large-business, defense
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $40.5 million to ENGILITY CORPORATION. INTELLIGENCE SERVICES, IRAQ
Who is the contractor on this award?
The obligated recipient is ENGILITY CORPORATION.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $40.5 million.
What is the period of performance?
Start: 2006-09-15. End: 2010-09-29.
What was Engility Corporation's track record prior to and during this contract?
Engility Corporation, prior to and during this contract period (2006-2010), was a significant government contractor, particularly in defense and intelligence sectors. The company was formed through various acquisitions and mergers, including parts of SAIC. Their track record generally involved providing a wide range of services from IT to engineering and mission support. Specific performance details for this particular $40.5 million contract, such as performance ratings or any disputes, are not readily available in the public domain. However, Engility, like many large contractors, would have been subject to standard government oversight and performance evaluations. Post-contract, Engility continued to grow and eventually merged with TASC, forming Vectrus (now SOLE). Assessing their overall track record would require a deeper dive into CPARS reports and potentially IG investigations if any arose.
How does the $40.5 million value compare to similar intelligence support contracts in Iraq during that period?
Comparing the $40.5 million value of this contract to similar intelligence support contracts in Iraq between 2006 and 2010 is challenging without access to a comprehensive database of classified or sensitive contract details. However, given the operational tempo and the critical nature of intelligence in Iraq during that period, contracts of this magnitude were not uncommon for specialized support services. The average annual value of approximately $10 million per year for intelligence services could be considered moderate to significant, depending on the specific scope. Larger contracts often involved broader security, logistics, or base support, while smaller ones might focus on niche analytical capabilities. This contract's value suggests a substantial requirement for Engility's services.
What were the primary risks associated with providing intelligence services in Iraq under this contract?
The primary risks associated with providing intelligence services in Iraq under this contract were multifaceted. Geopolitical instability and security threats were paramount; operating in Iraq posed significant risks to personnel and assets. Operational risks included the potential for mission failure, data compromise, or intelligence gaps due to the volatile environment. Contractual risks involved the Time and Materials (T&M) pricing structure, which could lead to cost overruns if not managed effectively, and potential scope creep. Furthermore, the nature of intelligence work itself carries inherent risks related to information accuracy, timeliness, and the potential for misinterpretation, which could have downstream consequences for military operations. Compliance with evolving regulations and rules of engagement in a combat zone also presented risks.
How effective was the 'All Other Professional, Scientific, and Technical Services' classification in defining the scope of work?
The 'All Other Professional, Scientific, and Technical Services' (NAICS 541990) classification is extremely broad and generally serves as a catch-all category for services that do not fit into more specific NAICS codes. While it allowed flexibility for the contracting agency (Department of the Army) and the contractor (Engility Corporation) to adapt to evolving intelligence needs in Iraq, it offers limited insight into the specific nature of the services delivered. Effectiveness in defining the scope is therefore questionable from a transparency perspective. It implies the services could range widely, from technical consulting and data analysis to specialized research or support functions. A more specific NAICS code would typically provide better clarity on the core competencies being procured and allow for more precise benchmarking.
What were historical spending patterns for intelligence services by the Department of the Army in the mid-2000s?
Historical spending patterns for intelligence services by the Department of the Army in the mid-2000s, particularly during the height of operations in Iraq and Afghanistan, saw a significant increase. Driven by wartime requirements, the Army substantially augmented its intelligence capabilities, both organic and contracted. This included spending on analysis, collection support, technical services, and personnel augmentation. While specific figures for 'intelligence services' as a distinct category can be difficult to isolate due to varied classifications, overall intelligence, surveillance, and reconnaissance (ISR) spending, as well as related technical and professional services, experienced a marked rise. Contracts like the one awarded to Engility were part of this broader trend of increased investment in intelligence capabilities to support ongoing military operations.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 5
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Parent Company: L-3 Communications Holdings, Inc. (UEI: 008898843)
Address: 3750 CENTERVIEW DR, CHANTILLY, VA, 90
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $40,499,607
Exercised Options: $40,499,607
Current Obligation: $40,499,607
Contract Characteristics
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: W912CM05D0011
IDV Type: IDC
Timeline
Start Date: 2006-09-15
Current End Date: 2010-09-29
Potential End Date: 2010-09-29 00:00:00
Last Modified: 2010-10-13
More Contracts from Engility Corporation
- IT Support for Network Operation and Security Center for Usafcent — $150.8M (General Services Administration)
- [piin: W912cm-05-D-0011-0011] Migrated Award & Mods UP to 0005 — $121.9M (Department of Defense)
- Federal Contract — $113.5M (Department of Defense)
- 200303!000021!1700!A8305 !naval AIR Warfare Center Trainin!n6133900d0032 !A!N! !N!0003 !20021203!20040614!177153319!008898884!008898843!N!L-3 Communications Government !3750 Centerview Drive !chantilly !va!20151!03000!013!51!arlington !arlington !virginia !+000039861464!n!n!000000000000!6930!operational Training Devices !c9e!all Other Supplies and Equipme!2afx!f-18 Hornet !333319!E! !5!B!M! !A! !99990909!B! ! !n!z!a!u!m!2!002!b! !Z!N!F! ! !n!b!y!n! ! !Z! !a!a!000!a!b!n! ! ! ! ! ! !0001! ! — $91.3M (Department of Defense)
- 200208!000084!5700!GV68 !esc/Ack !gs35f5396h !C!N! !N!F1962802F8162 !20020409!20040131!081080707!011147928!048341838!n!the Titan Corporation !1900 Campus Commons Drive !reston !va!20191!01375!037!24!andover Estates !ST. Mary S !maryland !+000011005449!n!n!000000000000!r499!other Professional Services !A7 !electronics and Communication !3000!NOT Discernable or Classified !334290!E! !6! ! ! ! ! !99990909!B! ! ! ! !A! ! ! !000! ! ! ! ! ! ! !y!c!n!n! ! ! ! ! ! !* ! ! ! ! ! ! ! ! ! !0001! — $86.3M (Department of Defense)
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)