DoD's $43.4M Amentum contract for MARSOC G9 RSAS Travel shows administrative management services
Contract Overview
Contract Amount: $43,371,232 ($43.4M)
Contractor: Amentum Technology, Inc.
Awarding Agency: Department of Defense
Start Date: 2010-12-15
End Date: 2016-06-14
Contract Duration: 2,008 days
Daily Burn Rate: $21.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 4
Pricing Type: COST PLUS FIXED FEE
Sector: Other
Official Description: MARSOC G9 RSAS TRAVEL
Place of Performance
Location: CAMP LEJEUNE, ONSLOW County, NORTH CAROLINA, 28542
Plain-Language Summary
Department of Defense obligated $43.4 million to AMENTUM TECHNOLOGY, INC. for work described as: MARSOC G9 RSAS TRAVEL Key points: 1. The contract's value of over $43 million for administrative management and general management consulting services indicates a significant investment in support functions. 2. Amentum Technology, Inc. secured this contract through full and open competition, suggesting a competitive bidding process. 3. The contract duration spans from December 2010 to June 2016, providing a substantial period for service delivery. 4. The North Carolina location for service delivery may have implications for local economic impact and workforce utilization. 5. The 'NC' (Not Competed) status for small business set-aside suggests that small businesses were not specifically targeted for this contract. 6. The Cost Plus Fixed Fee (CPFF) contract type implies that costs are reimbursed, plus a fixed fee, which can present cost control challenges.
Value Assessment
Rating: fair
Benchmarking the value of this contract is challenging without specific service details and comparable contract data. However, a $43.4 million award for administrative and management consulting over approximately five years suggests a substantial investment. The CPFF pricing structure, while common for complex services, requires careful oversight to manage costs effectively and ensure value for money. Without more granular data on the specific services rendered and their impact, a definitive value assessment is difficult.
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 presence of 4 bids (no: 4) suggests a moderate level of competition for this requirement. While full and open competition is generally preferred for maximizing value, the number of bidders provides insight into the market's interest and the potential for competitive pricing.
Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can lead to more favorable pricing and innovative solutions, ensuring that government funds are used efficiently.
Public Impact
The primary beneficiaries of this contract are likely the U.S. Special Operations Command (USOC) and its personnel, who receive administrative and management support services. The services delivered are categorized under Administrative Management and General Management Consulting Services, crucial for the operational efficiency of MARSOC. The contract's performance location in North Carolina suggests a potential economic impact and job creation within that state. The contract supports the operational readiness and administrative functions of a critical component of the U.S. military.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee (CPFF) contracts can incentivize contractors to incur higher costs if not managed diligently, potentially impacting overall value.
- The lack of specific details on the 'RSAS TRAVEL' component makes it difficult to assess the necessity and efficiency of travel-related expenditures.
- The 'NC' (Not Competed) status for small business set-aside indicates missed opportunities for small business participation and potential economic benefits.
- The duration of the contract (over 5 years) requires ongoing monitoring to ensure continued relevance and effectiveness of services.
Positive Signals
- Awarded through full and open competition, suggesting a robust and fair bidding process.
- The contract supports a critical command (MARSOC), indicating its importance to national security objectives.
- Amentum Technology, Inc. is a known entity in the government contracting space, potentially bringing established expertise.
Sector Analysis
This contract falls within the professional, scientific, and technical services sector, specifically administrative and management consulting. This sector is a significant part of federal spending, supporting various government functions. Comparable spending benchmarks would typically involve analyzing other contracts for similar management consulting services provided to defense or special operations entities. The market for these services is competitive, with numerous firms offering expertise in areas like operational support, strategic planning, and administrative efficiency.
Small Business Impact
The contract was not set aside for small businesses (sb: false), and the 'NC' (Not Competed) designation for small business set-aside further confirms this. This means that opportunities for small business participation, either as prime contractors or through subcontracting, were not explicitly mandated by the contract's structure. While large businesses may engage small businesses as subcontractors, the absence of a set-aside reduces the direct pathway for small businesses to secure this prime contract work.
Oversight & Accountability
Oversight for this contract would typically fall under the U.S. Special Operations Command (USOC) contracting and program management offices. Accountability measures would be embedded in the contract's terms, including performance standards, reporting requirements, and payment schedules tied to deliverables. Transparency is generally facilitated through contract databases like FPDS, which provide basic award information. Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse arise during the contract's performance.
Related Government Programs
- U.S. Special Operations Command (USOC) Contracts
- Department of Defense Administrative Support Contracts
- Management and Consulting Services for Military Operations
- MARSOC Support Contracts
- Travel Services Contracts
Risk Flags
- Cost Overrun Risk (CPFF)
- Lack of Specific Service Detail
- Limited Small Business Participation Opportunity
- Potential for Inefficient Travel Management
Tags
department-of-defense, u.s.-special-operations-command, administrative-management, general-management-consulting, travel-services, cost-plus-fixed-fee, full-and-open-competition, north-carolina, defense-contracting, management-support
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $43.4 million to AMENTUM TECHNOLOGY, INC.. MARSOC G9 RSAS TRAVEL
Who is the contractor on this award?
The obligated recipient is AMENTUM TECHNOLOGY, INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (U.S. Special Operations Command).
What is the total obligated amount?
The obligated amount is $43.4 million.
What is the period of performance?
Start: 2010-12-15. End: 2016-06-14.
What specific administrative management and general management consulting services were provided under this contract to MARSOC?
The provided data indicates the contract is for 'MARSOC G9 RSAS TRAVEL' and falls under NAICS code 541611 (Administrative Management and General Management Consulting Services). While the specific details of 'G9 RSAS TRAVEL' are not elaborated, it suggests services related to the management of travel operations and potentially administrative support for specific groups or functions within MARSOC (e.g., Group 9, RSAS - Readiness, Sustainment, and Support). This could encompass tasks such as travel policy development, booking and logistics management, expense tracking and reporting, travel budget oversight, and ensuring compliance with travel regulations. The 'TRAVEL' component strongly implies a focus on optimizing and managing the logistical and financial aspects of personnel movement for MARSOC operations.
How does the Cost Plus Fixed Fee (CPFF) pricing structure for this contract potentially impact cost control and value for money?
The Cost Plus Fixed Fee (CPFF) pricing structure means that the contractor (Amentum Technology, Inc.) is reimbursed for all allowable costs incurred, plus a predetermined fixed fee representing profit. While CPFF is often used for research and development or services where the scope is not well-defined, it can present challenges for cost control. The contractor has less incentive to minimize costs because their profit (the fixed fee) is not directly tied to cost savings. Conversely, the government bears the risk of cost overruns. Effective oversight, rigorous auditing of incurred costs, and clear definition of allowable expenses are crucial to ensure value for money under a CPFF contract. Without strong government management, this structure can lead to higher overall expenditures than other contract types.
What does the number of bids (4) in a full and open competition suggest about the market for these specific MARSOC support services?
The submission of 4 bids for this contract, awarded under full and open competition, suggests a moderately competitive market for MARSOC's administrative and travel management support services. A higher number of bids generally indicates greater market interest and potentially more robust price competition. Four bidders imply that several companies possess the capability and interest to serve MARSOC's needs. However, it also suggests that the market might not be as saturated as for more common or broadly applicable services. This level of competition is generally considered adequate to provide the government with a reasonable selection of qualified offerors and to encourage competitive pricing, though it may not represent the absolute lowest possible price achievable in a highly contested market.
What are the potential implications of the North Carolina performance location for this contract?
The performance location being in North Carolina has several potential implications. Economically, it means that a portion of the $43.4 million contract value will likely be spent within the state, potentially creating or sustaining jobs in administrative, management, and travel-related fields. It could also stimulate local businesses that support the contractor's operations. For the government, having a concentrated performance location can sometimes simplify oversight and management. However, it also means that the benefits of competition might be geographically concentrated, and if the services require specialized local expertise, it could limit the pool of potential subcontractors or local hires. The specific impact depends on the scale of operations conducted in North Carolina.
Given the contract's focus on 'TRAVEL', what risks might be associated with managing travel expenses for MARSOC?
Managing travel expenses for a unit like MARSOC presents several risks. These include the potential for unauthorized or excessive travel, which can inflate costs beyond what is necessary or budgeted. Ensuring compliance with complex and frequently updated Joint Travel Regulations (JTR) and specific military policies is critical; non-compliance can lead to improper payments and audit issues. There's also a risk of fraud, where individuals might submit falsified travel claims. Furthermore, the dynamic nature of special operations might involve last-minute changes or urgent travel, which can be more expensive and harder to manage efficiently. Effective risk mitigation requires robust internal controls, regular audits, clear policies, and potentially specialized travel management software.
How does the 'NC' (Not Competed) status for small business set-aside affect opportunities for small businesses in relation to this contract?
The 'NC' (Not Competed) status for small business set-aside signifies that this particular contract was not specifically designated for competition among small businesses. This means that the primary award was open to all responsible sources, including large businesses. Consequently, small businesses did not have the opportunity to compete as prime contractors for this specific award. While large prime contractors are often encouraged or required to subcontract portions of their work to small businesses, the absence of a set-aside means there was no explicit mandate within this contract to do so. This reduces the direct opportunities for small businesses to secure prime contract revenue from this $43.4 million award.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative 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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: H9222209R0034
Offers Received: 4
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Jacobs Engineering Group Inc (UEI: 074103508)
Address: 5401 W KENNEDY BLVD STE 900, TAMPA, FL, 33609
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $45,570,767
Exercised Options: $45,570,767
Current Obligation: $43,371,232
Subaward Activity
Number of Subawards: 52
Total Subaward Amount: $18,641,076
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: H9222210D0018
IDV Type: IDC
Timeline
Start Date: 2010-12-15
Current End Date: 2016-06-14
Potential End Date: 2016-06-14 00:00:00
Last Modified: 2017-07-19
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