DoD's $177.6M Logistics Contract with Brown & Root Services: A Deep Dive
Contract Overview
Contract Amount: $69,535,556 ($69.5M)
Contractor: Brown & Root Services
Awarding Agency: Department of Defense
Start Date: 1999-10-11
End Date: 2000-09-30
Contract Duration: 355 days
Daily Burn Rate: $195.9K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: COST PLUS AWARD FEE
Sector: Other
Official Description: 200009!2100!000003!CA78 !TRANSATLANTIC PROGRAM CENTER !DACA7899D0003 !A!*!0005 !19991011!20000930!177582855!010810893!964409007!N!0BY16!BROWN & ROOT SERVICES, A DIVIS!9900 WESTPARK !HOUSTON !TX!77063!* !* !HU!* !* !HUNGARY !0001!+000006592698!N!N!000000000000!R706!LOGISTICS SUPPORT SERVICES !S1 !SERVICES !1000!NOT DISCERNABLE OR CLASSIFIED !8742!5!B!S!*!B!B!*!A !Y!R!2!002!B!* !Z!N!Z!* !* !N!M!*!*!*!A!A!A!A!* !*!N!A!B!N!*!*!Y!Y!*!
Plain-Language Summary
Department of Defense obligated $69.5 million to BROWN & ROOT SERVICES for work described as: 200009!2100!000003!CA78 !TRANSATLANTIC PROGRAM CENTER !DACA7899D0003 !A!*!0005 !19991011!20000930!177582855!010810893!964409007!N!0BY16!BROWN & ROOT SERVICES, A DIVIS!9900 WESTPARK !HOUSTON !TX!77063!* !* !HU!* !* … Key points: 1. The Department of Defense awarded a $177.6 million contract for logistics support services. 2. Brown & Root Services, a division of Halliburton, secured the contract. 3. The contract duration was 355 days, indicating a short-term operational need. 4. This spending falls under the 'Services' category, common in defense operations.
Value Assessment
Rating: fair
The contract value of $177.6 million for 355 days of logistics support is substantial. Benchmarking against similar large-scale, short-term logistics contracts is difficult without more specific service details.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally promotes price discovery and potentially better value for the government.
Taxpayer Impact: While competition was utilized, the significant value of the contract means taxpayers are funding a substantial service provision.
Public Impact
Taxpayers funded a significant logistics support operation for the Department of Defense. The contract supported operations likely related to military readiness or deployment. Brown & Root Services, a major contractor, benefited from this government expenditure.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific service details makes it hard to assess true value for money.
- Short contract duration might indicate a temporary need, raising questions about long-term strategy.
- High contract value warrants scrutiny for potential cost efficiencies.
Positive Signals
- Awarded through full and open competition, suggesting a fair process.
- Contractor has a history of providing services to the government.
Sector Analysis
This contract falls within the broad 'Services' sector, specifically logistics support for the Department of Defense. Spending in this area is critical for military operations but can be subject to significant cost fluctuations based on global events and operational tempo.
Small Business Impact
The data does not indicate any specific set-aside for small businesses, and the primary contractor, Brown & Root Services, is a large entity. Therefore, the direct impact on small businesses is likely minimal unless they were subcontractors.
Oversight & Accountability
Awarded under full and open competition suggests a degree of oversight in the procurement process. However, the limited duration and specific service details provided do not allow for a deep dive into ongoing performance oversight or accountability measures.
Related Government Programs
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- High contract value requires thorough justification and performance monitoring.
- Short contract duration may indicate a lack of long-term planning or potential for future emergency procurements.
- Cost Plus Award Fee contracts can sometimes lead to cost overruns if not carefully managed.
- Limited detail on specific services hinders comprehensive value assessment.
Tags
department-of-defense, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $69.5 million to BROWN & ROOT SERVICES. 200009!2100!000003!CA78 !TRANSATLANTIC PROGRAM CENTER !DACA7899D0003 !A!*!0005 !19991011!20000930!177582855!010810893!964409007!N!0BY16!BROWN & ROOT SERVICES, A DIVIS!9900 WESTPARK !HOUSTON !TX!77063!* !* !HU!* !* !HUNGARY !0001!+000006592698!N!N!000000000000!R706!LOGISTICS SUPPORT SERVICES !S1 !SERVICES !1000!NOT DISCERNABLE OR CLASSIFIED !8742!5!B!S!*!B!B!*!A !Y!R!
Who is the contractor on this award?
The obligated recipient is BROWN & ROOT SERVICES.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $69.5 million.
What is the period of performance?
Start: 1999-10-11. End: 2000-09-30.
What specific logistics services were provided under this contract, and how did their scope align with the $177.6 million cost?
The provided data categorizes the service as 'LOGISTICS SUPPORT SERVICES' but lacks granular detail. Without knowing the exact nature of these services (e.g., transportation, maintenance, supply chain management, base operations support), it's impossible to definitively assess if the $177.6 million expenditure represented good value. Further documentation would be needed to break down costs by service component and compare them to industry standards or historical data for similar operations.
Given the short 355-day duration, what was the strategic rationale behind this contract, and were there risks associated with a sole-source or limited competition scenario if this was a follow-on?
The contract was awarded under 'FULL AND OPEN COMPETITION,' mitigating the risk of a sole-source or limited competition scenario. The short duration suggests a specific, time-bound operational requirement, possibly related to a deployment, exercise, or transition period. The risk lies not in the competition method but in potential inefficiencies if the short duration prevented economies of scale or if follow-on needs were not adequately planned for, potentially leading to emergency procurements later.
How effective was Brown & Root Services in fulfilling the logistics support requirements, and did the Cost Plus Award Fee (CPA F) structure incentivize optimal performance?
The contract type is 'COST PLUS AWARD FEE' (CPAF), which aims to incentivize contractor performance by offering award fees based on meeting or exceeding certain criteria. However, the data does not provide performance metrics or the actual award fee paid. Therefore, assessing the effectiveness of Brown & Root Services and the incentive structure's impact on achieving optimal outcomes is not possible with the current information.
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 2
Pricing Type: COST PLUS AWARD FEE (R)
Evaluated Preference: NONE
Contractor Details
Address: 4100 CLINTON DR, HOUSTON, TX, 90
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business
Contract Characteristics
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: DACA7899D0003
IDV Type: IDC
Timeline
Start Date: 1999-10-11
Current End Date: 2000-09-30
Potential End Date: 2000-09-30 00:00:00
Last Modified: 2014-08-21
More Contracts from Brown & Root Services
- 200412!000593!2100!W9126G!* !daca6303d0005 !A!N! !N!0006 ! !20040211!20041207!133469119!133469119!964409007!n!kellogg Brown & Root Services,!4100 Clinton DR !houston !TX!77020!00000! !IZ!* !* !iraq !+000222000000!n!n!000000000000!x300!restoration Activities !S1 !services !000 !* !928110!E! !5!B!S! ! !D!20040307!B! ! !n!a!d!u!r!1!001!n!2a!z!n!z! ! !N!M!N! ! ! ! ! !A!A!00 !A!B!N! ! ! ! ! ! !0001! ! — $213.2M (Department of Defense)
- Construction Services — $158.0M (Department of State)
- 200106!000042!2100!CA78 !transatlantic Program Center !daca7899d0003 !A!N!*!Y!004101 !20001101!20010930!177582855!010810893!964409007!n!brown & Root Services, a Divis!9900 Westpark !houston !TX!77063!* !* !BK!* !* !bosnia !+000010149735!n!n!000000000000!r706!logistics Support Services !S1 !services !1000!NOT Discernable or Classified !541614!*!*!5!b!s!b!*!*!*!b!*!*!b! !A !Y!R!2!002!B! !Z!N!Z! ! !N!M!N! ! ! ! ! !a!a!000!a!b!n! ! !Y!Y! ! !0001! — $120.9M (Department of Defense)
- 200009!2100!000004!CA78 !transatlantic Program Center !daca7899d0003 !A!*!0006 !19991011!20000930!177582855!010810893!964409007!n!0by16!brown & Root Services, a Divis!9900 Westpark !houston !TX!77063!* !* !BK!* !* !bosnia !0001!+000010001800!n!n!000000000000!r706!logistics Support Services !S1 !services !1000!NOT Discernable or Classified !8742!5!b!s!*!b!b!*!a !Y!R!2!002!B!* !Z!N!Z!* !* !n!m!*!*!*!a!a!a!a!* !*!n!a!b!n!*!*!y!y!*! — $103.2M (Department of Defense)
- 200106!000046!2100!CA78 !transatlantic Program Center !daca7899d0003 !A!N!*!Y!001201 !20001116!20010930!177582855!010810893!964409007!n!brown & Root Services, a Divis!9900 Westpark !houston !TX!77063!* !* !BK!* !* !bosnia !+000007235943!n!n!000000000000!r706!logistics Support Services !S1 !services !1000!NOT Discernable or Classified !541614!*!*!5!b!s!c!*!*!*!b!*!*!b! !A !Y!R!2!002!B! !Z!N!Z! ! !N!M!N! ! ! ! ! !a!a!000!a!b!n! ! !Y!Y! ! !0001! — $100.6M (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)