DoD's $26M program management support contract awarded to Engility Services, LLC, spanning three years

Contract Overview

Contract Amount: $25,966,149 ($26.0M)

Contractor: Engility Services, LLC

Awarding Agency: Department of Defense

Start Date: 2012-03-22

End Date: 2015-03-22

Contract Duration: 1,095 days

Daily Burn Rate: $23.7K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: PROGRAM MANAGEMENT SUPPORT SERVICES

Place of Performance

Location: ANDOVER, ESSEX County, MASSACHUSETTS, 01810

State: Massachusetts Government Spending

Plain-Language Summary

Department of Defense obligated $26.0 million to ENGILITY SERVICES, LLC for work described as: PROGRAM MANAGEMENT SUPPORT SERVICES Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract type is Time and Materials, which can pose cost control risks if not managed closely. 3. The award was a delivery order, indicating it was part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract. 4. The contract duration of 1095 days (3 years) is a standard term for such support services. 5. The North American Industry Classification System (NAICS) code 541611 points to administrative and general management consulting services. 6. The contract was awarded to Engility Services, LLC, a significant player in the government contracting space.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific deliverables or performance metrics. However, the total award amount of approximately $26 million over three years for program management support services appears within a reasonable range for large-scale federal contracts. The Time and Materials (T&M) pricing structure, while common, necessitates diligent oversight to ensure costs remain aligned with the value delivered and to prevent potential cost overruns compared to fixed-price contracts. Further analysis would require comparing the specific services rendered against industry standards and the contractor's historical performance on similar engagements.

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 specific number of bidders is not provided, but this method generally fosters a competitive environment, which can lead to better pricing and service offerings for the government. The open competition suggests that the Department of Defense sought the best value available in the market for these program management support services.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it is intended to drive down costs and improve the quality of services through market forces.

Public Impact

The primary beneficiaries are the Department of Defense and its various programs requiring expert program management support. Services delivered include administrative management and general management consulting, crucial for efficient program execution. The geographic impact is likely centered around the Department of Defense's operational areas, potentially nationwide or global. Workforce implications include the employment of consultants and program managers, contributing to the professional services sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The federal sector for administrative management and general management consulting services (NAICS 541611) is substantial, with agencies like the Department of Defense being major consumers. These services are critical for optimizing operations, strategic planning, and project execution within complex government organizations. Comparable spending benchmarks would involve analyzing other large program management support contracts awarded by DoD and other federal agencies to assess cost-effectiveness and market rates for similar scopes of work.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). As a large contract awarded under full and open competition, there may be opportunities for small businesses to participate as subcontractors to Engility Services, LLC. However, the extent of small business subcontracting is not detailed in the provided information and would require further investigation into the contract's specific terms and the contractor's subcontracting plan.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the program management office within the Department of the Army. Accountability measures would be defined in the contract's statement of work and performance standards. Transparency is generally facilitated through contract award databases and reporting requirements, though specific performance data may not always be publicly accessible. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Risk Flags

Tags

dod, department-of-defense, department-of-the-army, program-management-support, administrative-management-consulting, general-management-consulting, time-and-materials, full-and-open-competition, delivery-order, engility-services-llc, professional-services, massachusetts

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $26.0 million to ENGILITY SERVICES, LLC. PROGRAM MANAGEMENT SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is ENGILITY SERVICES, 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 $26.0 million.

What is the period of performance?

Start: 2012-03-22. End: 2015-03-22.

What was the specific scope of work for these program management support services?

The provided data indicates the contract falls under NAICS code 541611, which covers Administrative Management and General Management Consulting Services. This typically includes a broad range of activities such as strategic planning, organizational analysis, process improvement, project management, and administrative support for government programs. Without the full contract details or statement of work, the precise tasks performed by Engility Services, LLC remain unspecified. However, given the Department of Defense context, these services likely supported complex military programs, ensuring efficient execution, resource allocation, and adherence to timelines and objectives.

How does the $26 million award compare to similar program management support contracts within the DoD?

Comparing the $26 million award requires context regarding the duration, scope, and specific services rendered. This contract, valued at approximately $26 million over three years, represents a significant but not extraordinary investment for program management support within the Department of Defense. Large-scale federal agencies often award multi-million dollar contracts for such services to manage complex operations. To benchmark effectively, one would need to analyze contracts with similar durations, service requirements (e.g., strategic planning, operational support, acquisition assistance), and awarded to similar types of contractors (e.g., large professional services firms). The Time and Materials (T&M) nature of this contract also influences its comparability, as T&M contracts can fluctuate in final cost based on labor hours utilized.

What are the potential risks associated with a Time and Materials (T&M) contract for program management support?

Time and Materials (T&M) contracts, like the one awarded to Engility Services, LLC, carry inherent risks primarily related to cost control. Unlike fixed-price contracts, T&M agreements reimburse the contractor for the actual cost of labor (at specified hourly rates) and direct materials used. This structure can lead to cost overruns if the scope of work expands, if labor hours are not efficiently utilized, or if rates are not competitive. For the government, effective oversight is crucial to ensure that the hours billed are reasonable and allocable to the contract's objectives, and that material costs are justified. Without stringent monitoring and management, T&M contracts can become more expensive than initially anticipated, potentially diminishing the overall value for money.

What is Engility Services, LLC's track record with the Department of Defense?

Engility Services, LLC (now part of SAIC following a merger) has a substantial history of contracting with the Department of Defense across various service areas. Prior to its acquisition, Engility held numerous prime contracts and subcontracts supporting military branches and defense agencies. Their portfolio often included IT services, engineering support, logistics, and program management. While specific performance details for individual contracts are not always public, their continued awards from DoD suggest a generally satisfactory performance history and capability to meet the complex requirements of defense programs. A deeper dive into past performance evaluations and contract close-out data would provide a more granular assessment.

How has spending on program management support services evolved within the DoD over the past decade?

Spending on program management support services within the Department of Defense has generally remained a significant category, reflecting the complexity and scale of military operations and acquisitions. While specific figures fluctuate based on geopolitical events, budget priorities, and acquisition strategies, the need for expert support in managing large, intricate programs is constant. Over the past decade, there has been an increasing emphasis on efficiency, data analytics, and agile methodologies in program management, potentially shifting the nature of services required. Federal spending databases (like USASpending.gov) can provide historical data to track trends in this spending category, revealing increases or decreases tied to broader defense spending cycles and specific program initiatives.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesManagement, Scientific, and Technical Consulting ServicesAdministrative Management and General Management Consulting 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: W91QUZ07R0007

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Science Applications International Corporation

Address: 35 NEW ENGLAND BUSINESS CTR DR STE 200, ANDOVER, MA, 01810

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

Financial Breakdown

Contract Ceiling: $49,201,727

Exercised Options: $31,272,686

Current Obligation: $25,966,149

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W91QUZ09D0039

IDV Type: IDC

Timeline

Start Date: 2012-03-22

Current End Date: 2015-03-22

Potential End Date: 2015-03-22 12:03:00

Last Modified: 2025-12-31

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