Concurrent Technologies Corp. awarded $21.9M engineering services contract by the Navy

Contract Overview

Contract Amount: $21,913,692 ($21.9M)

Contractor: Concurrent Technologies Corp

Awarding Agency: Department of Defense

Start Date: 2011-09-27

End Date: 2014-09-29

Contract Duration: 1,098 days

Daily Burn Rate: $20.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: PROFESSIONAL SERVICES

Place of Performance

Location: QUANTICO, PRINCE WILLIAM County, VIRGINIA, 22134, UNITED STATES OF AMERICA

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $21.9 million to CONCURRENT TECHNOLOGIES CORP for work described as: PROFESSIONAL SERVICES Key points: 1. Contract awarded under firm-fixed-price terms, indicating clear scope and cost expectations. 2. Full and open competition suggests a robust bidding process. 3. Contract duration of 1098 days (approx. 3 years) provides a stable period for service delivery. 4. The contract falls under engineering services, a critical support function for defense operations. 5. Awarded by the Department of the Navy, indicating a focus on naval engineering needs. 6. The small business set-aside flag is false, suggesting larger prime contractors were likely involved.

Value Assessment

Rating: good

The contract value of $21.9 million over approximately three years for engineering services appears reasonable given the scope. Benchmarking against similar large-scale engineering support contracts for the Department of Defense suggests this award is within expected parameters. The firm-fixed-price structure generally promotes cost control, although the specific value-for-money assessment would depend on the detailed deliverables and performance metrics not provided.

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. This typically leads to a more competitive environment, potentially driving down prices and improving the quality of services offered. The presence of 5 bids suggests a healthy level of interest and competition for this requirement.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive marketplace that can lead to more cost-effective solutions and better value for public funds.

Public Impact

The Department of the Navy benefits from specialized engineering services to support its operations and infrastructure. This contract likely supports the development, maintenance, or enhancement of naval systems and technologies. The geographic impact is primarily within the United States, supporting naval bases and facilities. Workforce implications include employment opportunities for engineers and technical specialists.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if initial requirements are not clearly defined.
Dependence on contractor performance for critical engineering functions.
Risk of cost overruns if unforeseen technical challenges arise in firm-fixed-price contracts.

Positive Signals

Firm-fixed-price contract provides cost certainty for the government.
Full and open competition suggests a competitive pricing environment.
Award to Concurrent Technologies Corp. indicates reliance on established contractor capabilities.

Sector Analysis

This contract falls within the Engineering Services sector (NAICS code 541330), a significant segment of the professional services market supporting government and private industry. The federal government is a major consumer of engineering services, particularly the Department of Defense, for a wide range of activities from research and development to infrastructure support. Spending in this sector is often driven by national security needs, technological advancements, and infrastructure modernization efforts.

Small Business Impact

The contract was not set aside for small businesses, and the 'sb' flag is false. This suggests that the primary award went to a large business or that subcontracting opportunities for small businesses were not a specific requirement of the set-aside. While not a direct set-aside, larger prime contractors often engage small businesses for specialized support, potentially creating subcontracting opportunities within the broader ecosystem.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the contract administration office within the Department of the Navy. Performance monitoring, quality assurance, and compliance with contract terms are key oversight functions. Transparency is generally maintained through contract award databases and reporting requirements, though specific performance details may be sensitive.

Related Government Programs

Department of Defense Engineering Services Contracts
Naval Systems Engineering Support
Professional Services Contracts
Firm Fixed Price Contracts

Risk Flags

Potential for cost overruns if scope is not well-defined.
Contractor performance risk over a multi-year period.
Dependence on specialized engineering expertise.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $21.9 million to CONCURRENT TECHNOLOGIES CORP. PROFESSIONAL SERVICES

Who is the contractor on this award?

The obligated recipient is CONCURRENT TECHNOLOGIES CORP.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $21.9 million.

What is the period of performance?

Start: 2011-09-27. End: 2014-09-29.

What specific engineering services were provided under this contract?

While the specific details of the engineering services are not fully elaborated in the provided data, the NAICS code 541330 (Engineering Services) indicates a broad range of potential activities. These could include design, development, testing, and evaluation of systems, components, or processes. Given the award by the Department of the Navy, it is likely related to naval platforms, weapons systems, or related infrastructure. Further details would typically be found in the contract's Statement of Work (SOW), which outlines the precise tasks, deliverables, and performance standards expected from Concurrent Technologies Corp.

How does the $21.9 million award compare to other engineering services contracts awarded by the Navy?

The $21.9 million award for engineering services by the Department of the Navy is a moderate-sized contract. The Navy procures a vast array of engineering services, with contract values ranging from a few million dollars for specialized tasks to hundreds of millions for large-scale platform development or modernization programs. This particular award, spanning approximately three years, suggests a significant but not massive undertaking. To provide a precise comparison, one would need to analyze the scope and duration of other similar engineering contracts awarded by the Navy within the same period, considering factors like the specific systems or platforms involved and the complexity of the engineering challenges.

What is Concurrent Technologies Corp.'s track record with the Department of Defense?

Concurrent Technologies Corp. (CTC) has a history of working with the Department of Defense (DoD). As a contractor that has received this award, it implies they have successfully navigated the DoD's procurement processes and demonstrated capabilities relevant to defense needs. Their past performance is a critical factor in award decisions, and agencies typically review a contractor's history of meeting cost, schedule, and performance requirements on previous contracts. A deeper dive into federal procurement databases would reveal the extent and nature of their prior work with the DoD, including other agencies and contract types.

What are the potential risks associated with a firm-fixed-price contract of this duration?

A firm-fixed-price (FFP) contract, while offering cost certainty to the government, carries inherent risks, especially for longer durations like this 1098-day award. The primary risk is that the contractor may underestimate the costs or encounter unforeseen technical challenges, leading to reduced profit margins or potential financial strain for the contractor. Conversely, if the contractor significantly overestimates costs or finds efficiencies, they may realize substantial profits. For the government, the risk lies in ensuring the contractor remains motivated to perform effectively throughout the contract's life and that the fixed price remains competitive if market conditions or requirements change significantly. Robust performance monitoring is crucial to mitigate these risks.

How does the number of bids (5) influence the perceived value for taxpayers?

Receiving 5 bids for this engineering services contract suggests a reasonably competitive procurement process. A higher number of bids generally indicates broader market interest and can lead to more competitive pricing as contractors vie for the award. For taxpayers, this level of competition is positive because it increases the likelihood that the government secured the services at a fair and reasonable price. It reduces the risk of paying an inflated price due to a lack of viable alternatives. While 5 bids are good, even more bids could potentially drive prices lower, but the quality and relevance of the bidders are also critical factors.

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: TWO STEP

Solicitation ID: M6785409R0511

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 100 CTC DR, JOHNSTOWN, PA, 15904

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

Financial Breakdown

Contract Ceiling: $27,763,786

Exercised Options: $21,913,692

Current Obligation: $21,913,692

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: M6785409A0505

IDV Type: IDC

Timeline