DoD awards $61.4M contract for Intelligence Services in Iraq to Engility Corporation
Contract Overview
Contract Amount: $61,381,783 ($61.4M)
Contractor: Engility Corporation
Awarding Agency: Department of Defense
Start Date: 2007-11-01
End Date: 2008-03-31
Contract Duration: 151 days
Daily Burn Rate: $406.5K/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 $61.4 million to ENGILITY CORPORATION for work described as: INTELLIGENCE SERVICES, IRAQ Key points: 1. Contract awarded to Engility Corporation for intelligence services. 2. Significant spending on services for operations in Iraq. 3. Contract type is Time and Materials, potentially leading to cost overruns. 4. Sector is Professional, Scientific, and Technical Services.
Value Assessment
Rating: fair
The contract value of $61.4M for a 5-month period is substantial. Without specific deliverables or performance metrics, it's difficult to assess value for money. The Time and Materials pricing structure carries inherent risk for cost control.
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. However, the Time and Materials pricing model may not incentivize the contractor to control costs effectively, potentially impacting the final price paid by taxpayers.
Taxpayer Impact: Taxpayers may face higher costs due to the Time and Materials contract type, which lacks a fixed ceiling on labor hours and rates.
Public Impact
Supports intelligence operations in a critical geopolitical region. Contract duration of 5 months suggests a specific, short-term need. Potential for cost escalation due to Time and Materials contract type.
Waste & Efficiency Indicators
Waste Risk Score: 40 / 10
Warning Flags
- Time and Materials contract type
- Lack of specific performance metrics
- High dollar value for short duration
Positive Signals
- Awarded under full and open competition
Sector Analysis
This contract falls under Professional, Scientific, and Technical Services, a broad category. Spending in this sector can vary widely depending on the specific services required and the geopolitical context.
Small Business Impact
The data indicates that small businesses were not involved in this specific contract award, as the 'sb' field is false.
Oversight & Accountability
Oversight is crucial for Time and Materials contracts to ensure costs remain reasonable and deliverables are met. The Department of the Army is responsible for monitoring this contract's performance and expenditures.
Related Government Programs
- All Other Professional, Scientific, and Technical Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Potential for cost overruns due to Time and Materials contract.
- Lack of detailed service description makes value assessment difficult.
- High expenditure for a relatively short contract duration.
- No indication of small business participation.
Tags
all-other-professional-scientific-and-te, department-of-defense, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $61.4 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 $61.4 million.
What is the period of performance?
Start: 2007-11-01. End: 2008-03-31.
What specific intelligence services were provided under this contract, and how did they contribute to mission objectives in Iraq?
The contract description 'INTELLIGENCE SERVICES, IRAQ' is broad. To assess value, detailed information on the nature of these services (e.g., data analysis, surveillance, reporting), the specific intelligence requirements they fulfilled, and their impact on operational success is needed. Without this, it's challenging to determine if the $61.4M was an efficient use of funds.
What measures were in place to control costs and ensure efficiency given the Time and Materials contract type?
Time and Materials contracts inherently carry a risk of cost overruns as they reimburse the contractor for actual labor and material costs plus a fee. Effective oversight would involve rigorous tracking of hours, rates, and materials, along with clear milestones and performance reviews to ensure the contractor is operating efficiently and not inflating costs.
How did the competitive bidding process for this contract ensure the best value was obtained for the taxpayer?
While 'full and open competition' suggests multiple bids were considered, the Time and Materials pricing structure can complicate value assessment. The government would need to have evaluated not just the proposed rates but also the contractor's past performance, technical approach, and the reasonableness of estimated hours to ensure the best value was achieved.
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
Solicitation ID: W912CM04R0028
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: $61,381,783
Exercised Options: $61,381,783
Current Obligation: $61,381,783
Contract Characteristics
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: W912CM05D0011
IDV Type: IDC
Timeline
Start Date: 2007-11-01
Current End Date: 2008-03-31
Potential End Date: 2008-03-31 00:00:00
Last Modified: 2008-02-26
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