DoD's $41.4M contract for electronic computer manufacturing services awarded to SCIENCE AND ENGINEERING SERVICES, LLC

Contract Overview

Contract Amount: $41,407,301 ($41.4M)

Contractor: Science and Engineering Services, LLC

Awarding Agency: Department of Defense

Start Date: 2007-07-09

End Date: 2008-10-31

Contract Duration: 480 days

Daily Burn Rate: $86.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: MSD-V2

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35810

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $41.4 million to SCIENCE AND ENGINEERING SERVICES, LLC for work described as: MSD-V2 Key points: 1. Value for money appears fair given the fixed-price contract type, though specific performance metrics are not detailed. 2. Competition was full and open after exclusion of sources, suggesting a deliberate but potentially limited bidding process. 3. Risk indicators are moderate, with a fixed-price contract potentially shifting cost overruns to the contractor. 4. Performance context is limited to the contract duration and award date, lacking specific outcome data. 5. Sector positioning is within the IT hardware manufacturing and services domain, a critical area for defense operations.

Value Assessment

Rating: fair

The contract's value of $41.4 million over approximately 1.3 years (480 days) for electronic computer manufacturing services needs further benchmarking. Without detailed service descriptions or performance data, it's challenging to compare its value directly to similar contracts. The firm fixed-price nature suggests an attempt to control costs, but the absence of detailed cost breakdowns or market comparisons makes a definitive value assessment difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES.' This indicates that while the competition was intended to be broad, specific sources were excluded for reasons not detailed in the provided data. The number of bidders is not specified, making it difficult to assess the true level of competition and its impact on price discovery.

Taxpayer Impact: The 'exclusion of sources' aspect raises questions about whether taxpayers received the most competitive pricing possible. A truly open competition typically yields better price discovery.

Public Impact

The primary beneficiaries are the Department of Defense, receiving essential electronic computer manufacturing services. Services delivered likely include the production, assembly, or modification of electronic computer hardware. The geographic impact is primarily within Alabama, where the contractor is located, potentially supporting local employment. Workforce implications include skilled labor in manufacturing, engineering, and quality control within the contractor's operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Information Technology (IT) sector, specifically focusing on the manufacturing and services related to electronic computers. The IT hardware market is substantial, with significant government spending driven by modernization efforts and operational requirements. Comparable spending benchmarks would involve other DoD contracts for similar hardware manufacturing or IT support services, often in the tens to hundreds of millions of dollars.

Small Business Impact

The provided data indicates that small business participation (ss: false, sb: false) was not a primary consideration for this contract, nor was it set aside for small businesses. This suggests the contract was likely awarded to a larger entity capable of fulfilling the specialized manufacturing requirements. There is no information on subcontracting plans, so the impact on the small business ecosystem is not directly ascertainable from this data.

Oversight & Accountability

Oversight mechanisms for this contract would typically involve the Department of Defense's contracting officers and quality assurance personnel. Accountability measures are inherent in the firm fixed-price structure, which places the onus on the contractor to deliver within budget. Transparency is limited by the available public data; further details on performance and adherence to terms would reside within DoD's internal reporting systems.

Related Government Programs

Risk Flags

Tags

it, defense, department-of-defense, department-of-the-army, firm-fixed-price, full-and-open-competition-after-exclusion-of-sources, alabama, manufacturing, electronic-computer-manufacturing, large-business

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $41.4 million to SCIENCE AND ENGINEERING SERVICES, LLC. MSD-V2

Who is the contractor on this award?

The obligated recipient is SCIENCE AND ENGINEERING 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 $41.4 million.

What is the period of performance?

Start: 2007-07-09. End: 2008-10-31.

What is the specific nature of the 'electronic computer manufacturing' services provided under this contract?

The provided data, including the NAICS code 334111 (Electronic Computer Manufacturing), suggests the contract likely involved the production, assembly, customization, or repair of electronic computer hardware. This could range from individual components to complete systems. However, without more detailed contract documentation or statements of work, the precise services remain unspecified. Such services are critical for maintaining and upgrading the technological infrastructure required by the Department of Defense for its operations.

How does the awarded amount of $41.4 million compare to typical spending for similar electronic computer manufacturing contracts within the DoD?

Benchmarking this $41.4 million contract requires access to a broader dataset of similar DoD procurements. However, for specialized manufacturing and integration services, this amount falls within a common range for significant, but not exceptionally large, defense contracts. Contracts for large-scale system production or complex integration can easily reach hundreds of millions or even billions. This contract's value suggests a focused scope, possibly for a specific system upgrade, a defined production run, or specialized component manufacturing over its duration.

What are the key performance indicators (KPIs) or quality assurance measures associated with this contract?

The provided data does not explicitly list the Key Performance Indicators (KPIs) or specific quality assurance measures for this contract. However, as a firm fixed-price contract awarded by the Department of Defense, it is expected that the contractor, SCIENCE AND ENGINEERING SERVICES, LLC, would be held to stringent quality standards and delivery schedules. DoD typically employs quality assurance representatives (QARs) and requires adherence to technical specifications and performance standards outlined in the contract's statement of work. Failure to meet these would likely result in penalties or non-payment.

What is the track record of SCIENCE AND ENGINEERING SERVICES, LLC in fulfilling government contracts, particularly within the defense sector?

Information on the specific track record of SCIENCE AND ENGINEERING SERVICES, LLC for this particular $41.4 million contract is limited to its award date (2007) and completion date (2008). To assess their broader track record, one would need to examine their history of other federal awards, including performance ratings, past performance evaluations, and any instances of contract disputes or terminations. A comprehensive review would involve searching databases like the Federal Procurement Data System (FPDS) for a wider range of their contract history with the DoD and other agencies.

What are the potential risks associated with this contract, and how might they have been mitigated?

Potential risks for this contract include schedule delays, cost overruns (though mitigated by the fixed-price nature), quality defects in manufactured components, and obsolescence of technology. Given the firm fixed-price structure, the primary risk shifted to the contractor, SCIENCE AND ENGINEERING SERVICES, LLC, to manage costs and deliver within the agreed price. Mitigation strategies employed by the DoD would likely involve detailed technical specifications, rigorous testing and acceptance protocols, and potentially performance bonds. The 'exclusion of sources' aspect might also introduce a risk if it limited the pool of qualified bidders, potentially impacting innovation or price.

Industry Classification

NAICS: ManufacturingComputer and Peripheral Equipment ManufacturingElectronic Computer Manufacturing

Product/Service Code: INSTRUMENTS AND LABORATORY EQPT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Science and Engineering Services LLC (UEI: 783196348)

Address: 4015 PULASKI PIKE NW, HUNTSVILLE, AL, 05

Business Categories: Category Business, Small Business

Financial Breakdown

Contract Ceiling: $41,407,301

Exercised Options: $41,407,301

Current Obligation: $41,407,301

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W15P7T05DB201

IDV Type: IDC

Timeline

Start Date: 2007-07-09

Current End Date: 2008-10-31

Potential End Date: 2009-10-31 00:00:00

Last Modified: 2008-07-31

More Contracts from Science and Engineering Services, LLC

View all Science and Engineering Services, LLC federal contracts →

Other Department of Defense Contracts

View all Department of Defense contracts →

Explore Related Government Spending