DoD's $18.3M R&D Contract with SI International Engineering for Program Management Services

Contract Overview

Contract Amount: $13,504,010 ($13.5M)

Contractor: Serco Services Inc.

Awarding Agency: Department of Defense

Start Date: 2005-03-23

End Date: 2010-09-19

Contract Duration: 2,006 days

Daily Burn Rate: $6.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: 200506!000539!5700!FA2517!21CONS/LGC !FA251705D9000 !A!N! !Y!0005 ! !20050323!20060323!182993170!002308703!014387489!N!SI INTERNATIONAL ENGINEERING I!1631 SOUTH MURRAY BLVD !COLORADO SPRIN !CO!80916!58620!041!08!PETERSON AFB !EL PASO !COLORADO !+000001709400!N!N!000000000000!R408!PROGRAM MANAGEMENT/SUPPORT SERVICES !S1 !SERVICES !000 !* !541710!E! !5!B!S! ! ! !20200930!B! ! !B! !A!N!U!2!004!B! !Z!Y!Z! ! !N!C!N! ! ! !Z!Z!A!A!000!A!C!N! ! ! ! ! ! !0001! !

Place of Performance

Location: COLORADO SPRINGS, EL PASO County, COLORADO, 80914

State: Colorado Government Spending

Plain-Language Summary

Department of Defense obligated $13.5 million to SERCO SERVICES INC. for work described as: 200506!000539!5700!FA2517!21CONS/LGC !FA251705D9000 !A!N! !Y!0005 ! !20050323!20060323!182993170!002308703!014387489!N!SI INTERNATIONAL ENGINEERING I!1631 SOUTH MURRAY BLVD !COLORADO SPRIN !CO!80916!58620!041!08!PETERSON AFB !EL P… Key points: 1. The contract, valued at $18.3 million, was awarded to SI International Engineering for program management support. 2. Research and Development in Physical, Engineering, and Life Sciences (NAICS 541710) is the sector for this contract. 3. The award was made under full and open competition, suggesting a competitive bidding process. 4. The contract type is Cost Plus Fixed Fee, which can pose risks if costs are not well-managed.

Value Assessment

Rating: fair

The contract value of $18.3 million for program management services appears within a reasonable range for similar government contracts. However, without specific benchmarks for this niche service, a precise comparison is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes price discovery and competitive pricing.

Taxpayer Impact: The competitive nature of the award suggests that taxpayers are likely receiving a fair price for the services rendered, though the Cost Plus Fixed Fee structure warrants monitoring.

Public Impact

Supports critical program management functions within the Department of Defense. The R&D focus indicates investment in advanced technological capabilities. Awarding to a single entity streamlines service delivery for the specific program.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contract type can lead to cost overruns if not managed diligently.
The specific nature of 'Program Management/Support Services' may lack clear, objective performance metrics.
Potential for scope creep in R&D related services.

Positive Signals

Awarded through full and open competition, ensuring a competitive process.
Focus on Research and Development aligns with strategic technological advancement.
Clear contract duration and defined awardee.

Sector Analysis

This contract falls under the Research and Development in the Physical, Engineering, and Life Sciences sector (NAICS 541710). Spending in this area is crucial for technological advancement but can be subject to cost fluctuations and evolving requirements.

Small Business Impact

The data does not indicate whether small businesses were involved as subcontractors or prime contractors. Further analysis would be needed to determine small business participation.

Oversight & Accountability

The Department of Defense, specifically the Department of the Air Force, is the awarding agency. Standard oversight mechanisms for federal contracts would apply, including performance monitoring and financial audits.

Related Government Programs

Research and Development in the Physical, Engineering, and Life Sciences
Department of Defense Contracting
Department of the Air Force Programs

Risk Flags

Cost Plus Fixed Fee contract type.
Potential for undefined scope in R&D services.
Limited information on specific performance metrics.
Lack of small business participation data.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $13.5 million to SERCO SERVICES INC.. 200506!000539!5700!FA2517!21CONS/LGC !FA251705D9000 !A!N! !Y!0005 ! !20050323!20060323!182993170!002308703!014387489!N!SI INTERNATIONAL ENGINEERING I!1631 SOUTH MURRAY BLVD !COLORADO SPRIN !CO!80916!58620!041!08!PETERSON AFB !EL PASO !COLORADO !+000001709400!N!N!000000000000!R408!PROGRAM MANAGEMENT/SUPPORT SERVICES !S1 !SERVICES !000 !* !541710!E! !5!B!S! ! ! !202

Who is the contractor on this award?

The obligated recipient is SERCO SERVICES INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $13.5 million.

What is the period of performance?

Start: 2005-03-23. End: 2010-09-19.

What is the typical cost range for similar program management support services in the R&D sector?

The typical cost range for program management support services in the R&D sector can vary significantly based on the complexity, duration, and specific technical expertise required. For contracts valued around $18.3 million, it's essential to benchmark against contracts with similar scope and agency. Factors like security clearances, specialized knowledge, and the level of support (strategic vs. tactical) heavily influence pricing.

What are the primary risks associated with a Cost Plus Fixed Fee contract for R&D services?

The primary risks with a Cost Plus Fixed Fee (CPFF) contract for R&D services include potential cost overruns if the contractor's actual costs exceed projections, leading to higher final prices. There's also a risk of the contractor having less incentive to control costs compared to fixed-price contracts. For R&D, defining the 'cost' and 'fee' accurately can be challenging due to the inherent uncertainties in research.

How effectively does 'full and open competition' ensure value for money in specialized R&D support services?

Full and open competition is designed to maximize the number of potential bidders, thereby increasing the likelihood of receiving competitive offers and ensuring value for money. However, for highly specialized R&D support services, the pool of qualified vendors might be limited. In such cases, while competition is present, the 'value' is also heavily dependent on the technical capabilities and innovative solutions proposed by the few capable firms.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 4

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 1050 N NEWPORT RD, COLORADO SPRINGS, CO, 80916

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

Financial Breakdown

Contract Ceiling: $14,493

Exercised Options: $14,493

Current Obligation: $13,504,010

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA251705D9000

IDV Type: IDC

Timeline