DoD's $146M engineering services contract with CACI Technologies, LLC awarded via full and open competition
Contract Overview
Contract Amount: $146,085,153 ($146.1M)
Contractor: CACI Technologies, LLC
Awarding Agency: Department of Defense
Start Date: 2007-02-28
End Date: 2010-02-27
Contract Duration: 1,095 days
Daily Burn Rate: $133.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: TIME AND MATERIALS
Sector: Defense
Official Description: TECHNICAL AND ENGINEERING SERVICES
Place of Performance
Location: CHANTILLY, FAIRFAX County, VIRGINIA, 20151
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $146.1 million to CACI TECHNOLOGIES, LLC for work described as: TECHNICAL AND ENGINEERING SERVICES Key points: 1. Contract awarded for engineering services, a critical component of defense operations. 2. Full and open competition suggests a robust bidding process. 3. Contract duration of 1095 days indicates a significant, long-term need. 4. Delivery order type suggests flexibility within a larger contract vehicle. 5. The contract value of over $146 million signifies a substantial investment. 6. Virginia is the primary state for contract performance, impacting local economy. 7. The North American Industry Classification System (NAICS) code 541330 points to specialized engineering expertise.
Value Assessment
Rating: good
The contract value of $146,085,152.74 for engineering services appears reasonable given the 3-year duration and the nature of technical and engineering support required by the Department of Defense. Benchmarking against similar large-scale engineering contracts within the defense sector would provide a more precise value-for-money assessment. However, the absence of specific performance metrics makes a definitive value judgment challenging.
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 a bid. The fact that it was competed suggests that the Department of the Army sought the best possible solution and pricing. The number of bidders is not specified, but the competitive nature of the award process is a positive indicator for price discovery and potentially better value.
Taxpayer Impact: Taxpayers benefit from a competitive bidding process that aims to secure engineering services at the most advantageous prices, preventing potential overspending that could occur with less competitive award methods.
Public Impact
The Department of Defense benefits from specialized engineering expertise to support its technical and operational requirements. Services delivered likely include design, analysis, testing, and integration of complex systems. Geographic impact is concentrated in Virginia, potentially supporting local technical workforce and businesses. Workforce implications include employment opportunities for engineers and technical specialists within CACI Technologies, LLC and its potential subcontractors.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific performance metrics makes it difficult to assess the effectiveness and efficiency of the engineering services provided.
- The 'Time and Materials' contract type can sometimes lead to cost overruns if not closely monitored.
- Details on the specific types of engineering services and their criticality to defense missions are not fully elaborated.
Positive Signals
- Awarded through full and open competition, suggesting a fair and transparent procurement process.
- The contract's duration of three years indicates a stable and predictable need for these services.
- CACI Technologies, LLC is a known entity in the government contracting space, suggesting a degree of established capability.
Sector Analysis
This contract falls within the broader engineering services sector, which is a vital component of the defense industrial base. The market for defense engineering services is substantial, driven by the continuous need for modernization, maintenance, and development of military systems. Spending in this sector is often characterized by long-term, high-value contracts due to the complexity and criticality of the technologies involved. Comparable spending benchmarks would typically be found within large-scale defense procurement data for similar technical support services.
Small Business Impact
The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications specifically mandated for small businesses through a set-aside program. However, CACI Technologies, LLC, as a large prime contractor, may engage small businesses as subcontractors to fulfill specific aspects of the engineering services, contributing to the broader small business ecosystem.
Oversight & Accountability
Oversight for this contract would primarily reside with the Department of the Army contracting officers and program managers responsible for the engineering services. Accountability measures are typically embedded within the contract terms, including performance standards and reporting requirements. Transparency is facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.
Related Government Programs
- Defense Engineering Services
- Technical Support Services
- Department of the Army Contracts
- CACI Technologies Contracts
- Time and Materials Contracts
Risk Flags
- Potential for cost overruns due to Time and Materials pricing.
- Lack of detailed performance metrics in the provided data.
- Scope definition and management critical for T&M contract success.
Tags
defense, department-of-defense, department-of-the-army, engineering-services, technical-services, caci-technologies-llc, full-and-open-competition, delivery-order, time-and-materials, virginia, naics-541330
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $146.1 million to CACI TECHNOLOGIES, LLC. TECHNICAL AND ENGINEERING SERVICES
Who is the contractor on this award?
The obligated recipient is CACI TECHNOLOGIES, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $146.1 million.
What is the period of performance?
Start: 2007-02-28. End: 2010-02-27.
What specific engineering disciplines and technical capabilities does CACI Technologies, LLC provide under this contract?
The provided data indicates the contract is for 'TECHNICAL AND ENGINEERING SERVICES' under NAICS code 541330 (Engineering Services). While the specific disciplines are not detailed, this typically encompasses a broad range of expertise including but not limited to mechanical, electrical, aerospace, civil, and systems engineering. It could involve areas such as system design, analysis, testing, integration, logistics support, and research and development for military platforms and systems. The 'Time and Materials' pricing structure suggests that the scope might be flexible or evolve, requiring detailed tracking of labor hours and material costs.
How does the $146 million contract value compare to other engineering services contracts awarded by the Department of Defense?
The $146 million contract value over a three-year period represents a significant but not extraordinary investment for major engineering services within the Department of Defense. Large defense contracts for engineering and technical support can range from tens of millions to billions of dollars. This particular contract's value places it in the mid-to-large tier for specialized engineering support. Benchmarking against similar contracts for specific weapon systems or technology development programs would reveal whether this represents a competitive price point relative to the scope and complexity of services rendered.
What are the primary risks associated with a 'Time and Materials' contract for engineering services?
The primary risk with a 'Time and Materials' (T&M) contract, like this one, is the potential for cost overruns. Unlike fixed-price contracts, T&M contracts reimburse the contractor for direct labor hours at specified hourly rates and for the actual cost of materials. If not managed diligently with strong oversight, contractors may not be incentivized to control costs as effectively. This can lead to the government paying more than anticipated if project timelines extend or if resource utilization is inefficient. Robust monitoring of labor hours, material usage, and progress is crucial to mitigate these risks.
What is CACI Technologies, LLC's track record with the Department of Defense for similar engineering services?
CACI Technologies, LLC (and its parent/affiliated entities) has a substantial track record of performing various technical, IT, and engineering services for the Department of Defense and other federal agencies. They are a well-established government contractor. While this specific contract award is for $146 million over three years, CACI has secured numerous contracts, some significantly larger, across different defense branches and mission areas. Their history suggests they possess the necessary infrastructure, personnel, and experience to handle complex engineering requirements, though performance on individual contracts can vary.
What historical spending patterns exist for engineering services within the Department of the Army, and how does this contract fit?
The Department of the Army consistently allocates substantial funding towards engineering and technical services to support its vast array of equipment, infrastructure, and modernization efforts. Historical spending patterns show a continuous demand for specialized engineering expertise across various domains, from ground vehicles and aviation to command and control systems and cybersecurity. This $146 million contract fits within the ongoing trend of outsourcing complex engineering tasks to specialized contractors like CACI to leverage external expertise and manage workload fluctuations. It represents a portion of the Army's broader investment in maintaining and advancing its technological capabilities.
What are the potential performance implications given the contract was awarded as a Delivery Order?
Being awarded as a Delivery Order (DO) implies that this contract is likely a task order under a larger indefinite-delivery, indefinite-quantity (IDIQ) contract vehicle. This structure allows the government to order specific services or supplies as needed, up to a certain ceiling. For performance, it means the scope of work, deliverables, and specific performance standards are defined within this Delivery Order, which should align with the terms of the parent IDIQ. The flexibility of the DO allows the Army to tailor requirements, but it also necessitates clear communication and precise definition of tasks to ensure successful execution and performance measurement.
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
Offers Received: 2
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Parent Company: CACI International Inc (UEI: 045534641)
Address: 14151 PARK MEADOW DRIVE, CHANTILLY, VA, 20151
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $146,085,153
Exercised Options: $146,085,153
Current Obligation: $146,085,153
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W15P7T06DE402
IDV Type: IDC
Timeline
Start Date: 2007-02-28
Current End Date: 2010-02-27
Potential End Date: 2010-02-27 12:02:00
Last Modified: 2016-09-30
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