DoD's Missile Defense Agency awards $29M strategic planning contract to ECS Federal, LLC

Contract Overview

Contract Amount: $29,159,952 ($29.2M)

Contractor: ECS Federal, LLC

Awarding Agency: Department of Defense

Start Date: 2015-03-04

End Date: 2017-03-06

Contract Duration: 733 days

Daily Burn Rate: $39.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: TASK ORDER AWARD FOR DOB-02-13 STRATEGIC PLANNING AND FINANCIAL MANAGEMENT SUPPORT.

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35898

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $29.2 million to ECS FEDERAL, LLC for work described as: TASK ORDER AWARD FOR DOB-02-13 STRATEGIC PLANNING AND FINANCIAL MANAGEMENT SUPPORT. Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract type is Cost Plus Fixed Fee, which can incentivize cost overruns. 3. Duration of 733 days indicates a medium-term engagement for strategic planning services. 4. The award was a delivery order, suggesting it's part of a larger contract vehicle. 5. The contractor, ECS Federal, LLC, has experience in federal contracting, but specific performance context is needed. 6. The North American Industry Classification System (NAICS) code 541330 points to Engineering Services, which may encompass strategic planning in this context.

Value Assessment

Rating: fair

The total award amount of approximately $29.2 million over two years for strategic planning and financial management support appears to be within a reasonable range for complex federal projects. However, without specific deliverables and performance metrics, a precise value-for-money assessment is challenging. Benchmarking against similar contracts for strategic planning within the Department of Defense or other agencies would provide a clearer picture of whether this pricing is competitive.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of two bidders suggests a moderate level of competition for this specific task order. While full and open competition is generally preferred for maximizing price discovery and ensuring fair access, the low number of bidders might warrant further investigation into market dynamics or potential barriers to entry.

Taxpayer Impact: A competitive bidding process, even with a limited number of bidders, generally benefits taxpayers by encouraging more favorable pricing and service offerings compared to sole-source or limited competition scenarios.

Public Impact

The primary beneficiary is the Missile Defense Agency, which receives support for strategic planning and financial management. Services delivered include strategic planning and financial management support, crucial for agency operations. The geographic impact is primarily within the Department of Defense's operational sphere, with potential implications for national security. Workforce implications may include the utilization of specialized consultants and analysts from ECS Federal, LLC.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contract type can lead to cost overruns if not managed tightly.
Limited number of bidders (2) in a full and open competition may indicate potential market concentration or barriers.
The specific nature of 'strategic planning and financial management support' requires detailed performance metrics for effective oversight.

Positive Signals

Awarded under full and open competition, which is a positive indicator for market fairness.
The contract is for essential support functions (strategic planning, financial management) vital for agency operations.
The contractor, ECS Federal, LLC, is an established entity in the federal contracting space.

Sector Analysis

The federal IT and professional services sector is highly competitive, with significant spending allocated to strategic planning, management consulting, and engineering services. The Missile Defense Agency, as a critical component of national defense, requires specialized expertise in these areas. This contract fits within the broader category of defense-related professional services, where spending can fluctuate based on geopolitical factors and evolving technological needs. Comparable spending benchmarks for similar strategic planning contracts within defense agencies often range from tens to hundreds of millions of dollars annually.

Small Business Impact

This contract was not set aside for small businesses, and there is no indication of subcontracting requirements for small businesses in the provided data. Therefore, the direct impact on the small business ecosystem appears minimal for this specific award. However, the overall contracting strategy of the Missile Defense Agency may include separate set-aside contracts or subcontracting opportunities that are not reflected in this single award.

Oversight & Accountability

Oversight for this contract would typically fall under the purview of the Missile Defense Agency's contracting officers and program managers. The Cost Plus Fixed Fee structure necessitates robust financial oversight to ensure costs are reasonable and allocable. Transparency is generally maintained through contract reporting mechanisms, and the Inspector General of the Department of Defense may conduct audits or investigations if performance or financial irregularities are suspected.

Related Government Programs

Missile Defense Agency Operations Support
Department of Defense Strategic Planning Initiatives
Federal Financial Management Services
Engineering Services Contracts

Risk Flags

Cost Plus Fixed Fee contract type requires careful monitoring.
Limited competition (2 bidders) in a full and open process warrants attention.
Need for clear performance metrics for strategic planning and financial management.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $29.2 million to ECS FEDERAL, LLC. TASK ORDER AWARD FOR DOB-02-13 STRATEGIC PLANNING AND FINANCIAL MANAGEMENT SUPPORT.

Who is the contractor on this award?

The obligated recipient is ECS FEDERAL, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Missile Defense Agency).

What is the total obligated amount?

The obligated amount is $29.2 million.

What is the period of performance?

Start: 2015-03-04. End: 2017-03-06.

What is the track record of ECS Federal, LLC in delivering similar strategic planning and financial management services to the federal government?

ECS Federal, LLC has a history of performing various IT and professional services for federal agencies, including the Department of Defense. While specific details on their strategic planning and financial management project successes are not immediately available from this data alone, their presence as a contractor suggests they meet basic qualifications. A deeper dive into their past performance evaluations, contract history, and client testimonials would be necessary to fully assess their capabilities and reliability in delivering these specific services. Examining awards for similar task orders or contracts could reveal patterns in their performance, cost control, and adherence to schedules.

How does the Cost Plus Fixed Fee (CPFF) contract type influence cost control and potential for overruns in this specific award?

The Cost Plus Fixed Fee (CPFF) contract type allows the contractor to recover all allowable costs incurred, plus a predetermined fixed fee representing profit. While it provides flexibility for evolving project scopes, it inherently carries a higher risk of cost overruns compared to fixed-price contracts. The government bears the risk of cost increases, and the contractor is incentivized to manage costs efficiently to protect their fee. Effective oversight by the Missile Defense Agency is crucial to scrutinize allowable costs, ensure the fee remains appropriate, and prevent scope creep that could inflate the total project cost beyond initial expectations. Regular audits and detailed cost reporting are essential to mitigate the risks associated with CPFF.

What are the key performance indicators (KPIs) used to measure the success of this strategic planning and financial management support contract?

The provided data does not specify the key performance indicators (KPIs) for this contract. Typically, for strategic planning and financial management support, KPIs would focus on the quality and timeliness of deliverables such as strategic plans, financial analyses, budget forecasts, and policy recommendations. Other potential KPIs could include the accuracy of financial reporting, the effectiveness of implemented strategic initiatives, adherence to project milestones, and client satisfaction. The Missile Defense Agency's contracting officer and program managers would be responsible for defining and monitoring these KPIs throughout the contract's duration to ensure the contractor meets performance expectations.

Can the value of this $29.2 million contract be benchmarked against similar strategic planning contracts awarded by the Department of Defense or other federal agencies?

Benchmarking this $29.2 million contract requires comparing it to similar task orders or contracts for strategic planning and financial management support within the Department of Defense or other large federal agencies. Factors such as contract duration (733 days), scope of services, and the specific agency's complexity would need to be considered. While $29.2 million over two years is a substantial amount, it may be within the typical range for specialized support to a major defense program like missile defense. Access to a comprehensive database of federal contract awards and performance data would allow for a more precise comparison of pricing, scope, and contractor performance against industry standards and peer contracts.

What is the historical spending trend for strategic planning and financial management support within the Missile Defense Agency?

Historical spending data for strategic planning and financial management support within the Missile Defense Agency (MDA) is not provided in this dataset. To analyze this trend, one would need to examine MDA's budget allocations and contract awards over several fiscal years, specifically looking for contracts categorized under management consulting, strategic planning, financial advisory, and related services. Understanding past spending patterns would help determine if the $29.2 million award represents an increase, decrease, or stable level of investment in these support functions. Factors such as shifts in defense priorities, agency restructuring, or new strategic initiatives could influence these historical spending trends.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

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

Solicitation ID: HQ014709R0002

Offers Received: 2

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: ON Assignment, Inc. (UEI: 157674896)

Address: 2750 PROSPERITY AVE STE 600, FAIRFAX, VA, 22031

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

Financial Breakdown

Contract Ceiling: $31,287,779

Exercised Options: $31,287,779

Current Obligation: $29,159,952

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HQ014710D0020

IDV Type: IDC

Timeline