DoD Awards $177.5M Logistics Contract to Brown & Root Services for Transatlantic Program Center

Contract Overview

Contract Amount: $100,632,016 ($100.6M)

Contractor: Brown & Root Services

Awarding Agency: Department of Defense

Start Date: 2000-11-16

End Date: 2001-09-30

Contract Duration: 318 days

Daily Burn Rate: $316.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS AWARD FEE

Sector: Other

Official Description: 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!

Plain-Language Summary

Department of Defense obligated $100.6 million to BROWN & ROOT SERVICES for work described as: 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!* !* … Key points: 1. The contract is for logistics support services, a critical function for military operations. 2. Brown & Root Services, a division of Halliburton, has a significant presence in government contracting. 3. The contract was awarded under full and open competition, suggesting a competitive bidding process. 4. The total value of the contract is substantial, indicating a large-scale service requirement.

Value Assessment

Rating: fair

The contract value is $177,582,855. Without specific per-unit cost data or benchmarks for similar logistics support services in Bosnia, a precise value assessment is difficult. However, the scale suggests a significant investment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded using full and open competition, which typically allows for the widest possible range of bidders and can lead to better price discovery. The specific award mechanism (Cost Plus Award Fee) allows for flexibility but requires careful monitoring of costs and performance.

Taxpayer Impact: The use of full and open competition is generally beneficial for taxpayers as it aims to secure the best value through competitive pricing. The final cost will depend on performance and award fees.

Public Impact

Ensures continued logistical support for U.S. military operations in the Bosnia region. Supports employment opportunities within Brown & Root Services and its subcontractors. Contributes to the operational readiness and effectiveness of deployed forces.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Award Fee contracts can sometimes lead to cost overruns if not managed tightly.
Geographic location (Bosnia) may present logistical challenges and increased operational costs.
Dependence on a single contractor for critical logistics could pose a risk if performance falters.

Positive Signals

Awarded under full and open competition, indicating a potentially competitive price.
Brown & Root Services is an established contractor with experience in similar services.
The contract duration allows for sustained support, contributing to operational stability.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically logistics support. Government spending in this area is substantial, driven by the need to maintain operational readiness for defense and other agencies. Benchmarks for similar contracts are highly dependent on scope, duration, and location.

Small Business Impact

The provided data does not indicate any specific set-asides for small businesses. While Brown & Root Services is a large entity, the subcontracting opportunities for small businesses are not detailed in this record.

Oversight & Accountability

The contract type (Cost Plus Award Fee) necessitates robust oversight from the Department of Defense to ensure that costs are reasonable and that award fees are justified by performance. Accountability will be tied to meeting performance metrics and managing expenditures.

Related Government Programs

Department of Defense Contracting
Department of the Army Programs

Risk Flags

Potential for cost overruns inherent in CPAF contracts.
Geopolitical instability or logistical complexities in the operating region.
Contractor performance risk and reliance on a single provider.
Lack of transparency regarding specific performance metrics for award fees.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $100.6 million to BROWN & ROOT SERVICES. 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!

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 $100.6 million.

What is the period of performance?

Start: 2000-11-16. End: 2001-09-30.

What specific logistics services are included under this contract, and how do they align with current operational needs in Bosnia?

The contract is for 'LOGISTICS SUPPORT SERVICES' (PSC R706, NAICS 541614). While the exact breakdown isn't provided, these services typically encompass supply chain management, transportation, maintenance, warehousing, and potentially base operations support. The alignment with current needs would depend on the specific mission objectives and troop presence in Bosnia during the contract period (2000-2001).

How was the 'award fee' component structured, and what metrics were used to determine its payout to Brown & Root Services?

The data indicates a 'Cost Plus Award Fee' (CPAF) contract. In a CPAF structure, the contractor is reimbursed for allowable costs plus a fixed fee that is divided into a base fee (guaranteed) and an award fee (earned based on performance against pre-defined criteria). The specific metrics for the award fee are not detailed here but would typically involve performance standards related to timeliness, quality, cost control, and customer satisfaction.

What was the competitive landscape for this contract, and were there any challenges in attracting a sufficient number of qualified bidders?

The contract was awarded under 'FULL AND OPEN COMPETITION,' suggesting that the solicitation was broadly advertised, allowing any responsible source to submit an offer. Without further details on the bidding process, it's difficult to ascertain the exact number of bidders or any specific challenges. However, for large-scale logistics contracts, a competitive field is generally expected, especially from established defense contractors.

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