Army awards $12.6M contract for equipment and vehicle maintenance, highlighting a competitive bidding process

Contract Overview

Contract Amount: $12,594,966 ($12.6M)

Contractor: URS Federal Services Inc.

Awarding Agency: Department of Defense

Start Date: 2004-05-21

End Date: 2005-05-20

Contract Duration: 364 days

Daily Burn Rate: $34.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 12

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: 200411!000676!2100!W911SE!ACA, SOUTH REGION CONTRACTING CT!DAKF1199D0012 !A!N! !N!0036 ! !20040521!20041122!073871048!065262573!043271568!N!LEAR SIEGLER SERVICES INC !900 CLOPPER ROAD !GAITHERSBURG !MD!20878!24260!051!37!FORT BRAGG !CUMBERLAND !N CAROLINA!+000006587082!N!N!000000000000!J023!MAINT&REPAIR OF EQ/VEHICLES-TRAILERS-CYCLES !A4A!COMBAT VEHICLES !000 !* !811111!E! !5!B!M! !A!A!20041122!B! ! !A! !A!N!U!1!001!B! !C!N!Z! ! !N!C!N! ! ! !Z!Z!A!A!000!A!C!N! ! ! !Y!2100!W33FYJ!0001! !

Place of Performance

Location: ATLANTA, GEORGIA, 30330, UNITED STATES OF AMERICA

State: Georgia Government Spending

Plain-Language Summary

Department of Defense obligated $12.6 million to URS FEDERAL SERVICES INC. for work described as: 200411!000676!2100!W911SE!ACA, SOUTH REGION CONTRACTING CT!DAKF1199D0012 !A!N! !N!0036 ! !20040521!20041122!073871048!065262573!043271568!N!LEAR SIEGLER SERVICES INC !900 CLOPPER ROAD !GAITHERSBURG !MD!20878!24260!051!37!FORT BRAGG !CUMBERLAND !N CAROLINA!+000006587082!N!N!000000… Key points: 1. Contract awarded through full and open competition, suggesting a robust market for maintenance services. 2. The contract value of $12.6M is moderate for defense maintenance, requiring benchmarking against similar services. 3. Performance is tied to Fort Bragg, North Carolina, indicating a focus on operational readiness. 4. The contractor, URS Federal Services Inc., has a track record that needs evaluation for performance and value. 5. The contract type (Cost Plus Fixed Fee) can incentivize cost control but requires careful oversight. 6. A duration of 364 days suggests a need for ongoing, consistent maintenance support.

Value Assessment

Rating: fair

The contract value of $12.6M for equipment and vehicle maintenance appears moderate. Without specific details on the scope of work, it's challenging to benchmark against similar contracts. However, the Cost Plus Fixed Fee (CPFF) contract type suggests that the government is paying for actual costs plus a fixed fee, which can sometimes lead to higher overall costs if not managed tightly. Further analysis would require comparing the per-unit costs or labor rates to industry standards and other government contracts for similar services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple bidders were likely considered. The presence of 12 bids suggests a healthy level of competition for this type of service. This broad competition is generally favorable as it allows for a wider range of potential solutions and pricing, and it pressures bidders to offer competitive terms to win the award.

Taxpayer Impact: The full and open competition for this contract is beneficial for taxpayers, as it likely resulted in a more competitive price than a sole-source or limited competition award. The multiple bids received suggest that the government had a good selection of qualified contractors, increasing the likelihood of obtaining good value for money.

Public Impact

Personnel at Fort Bragg, North Carolina, will benefit from well-maintained equipment and vehicles, ensuring operational readiness. Services delivered include maintenance and repair for a variety of equipment, vehicles, trailers, and cycles. The geographic impact is concentrated at Fort Bragg, supporting the operational needs of units stationed there. This contract supports a workforce of personnel involved in the maintenance and repair of military assets.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contracts require diligent oversight to ensure costs remain reasonable and the fixed fee is justified.
The broad scope of 'MAINT&REPAIR OF EQ/VEHICLES-TRAILERS-CYCLES' necessitates clear performance standards and monitoring to ensure quality.
Reliance on a single contractor for a year could pose a risk if performance issues arise or if the contractor faces financial instability.

Positive Signals

Awarded through full and open competition with 12 bids, indicating a competitive marketplace and likely fair pricing.
The contract is for essential maintenance, directly supporting military operational readiness.
The fixed fee component of the contract provides some cost certainty for the government.

Sector Analysis

The defense maintenance and repair sector is a significant segment of government contracting, encompassing a wide range of services from vehicle upkeep to complex equipment servicing. This contract falls within the broader category of logistics and support services for military operations. Benchmarking this contract's value would involve comparing it to other Department of Defense contracts for similar maintenance services, considering factors like the type of equipment, labor rates, and geographic location.

Small Business Impact

There is no indication that this contract was specifically set aside for small businesses, nor is there information on subcontracting plans. Given the nature and potential value of the contract, it is possible that larger firms like URS Federal Services Inc. would be the primary awardees. Further investigation into subcontracting opportunities would be needed to assess the impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the contract administration office within the Department of the Army. Performance monitoring, invoice review, and compliance checks are standard oversight mechanisms. The Cost Plus Fixed Fee structure necessitates close scrutiny of incurred costs to ensure they align with the contract's objectives and the fixed fee. Transparency would be enhanced through regular reporting requirements from the contractor.

Related Government Programs

Department of Defense Maintenance and Repair Contracts
Army Logistics Support Services
Vehicle and Equipment Maintenance Contracts
Fort Bragg Support Contracts

Risk Flags

Cost Plus Fixed Fee contract type requires robust oversight to manage costs.
Scope of 'MAINT&REPAIR OF EQ/VEHICLES-TRAILERS-CYCLES' is broad and requires clear performance standards.
Contractor performance history needs thorough review for reliability and quality.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $12.6 million to URS FEDERAL SERVICES INC.. 200411!000676!2100!W911SE!ACA, SOUTH REGION CONTRACTING CT!DAKF1199D0012 !A!N! !N!0036 ! !20040521!20041122!073871048!065262573!043271568!N!LEAR SIEGLER SERVICES INC !900 CLOPPER ROAD !GAITHERSBURG !MD!20878!24260!051!37!FORT BRAGG !CUMBERLAND !N CAROLINA!+000006587082!N!N!000000000000!J023!MAINT&REPAIR OF EQ/VEHICLES-TRAILERS-CYCLES !A4A!COMBAT VEHICLES !000 !* !811111!E! !5!B!M! !A!A!20041122!B! ! !A! !A!N!U!1!001!B! !C!N!Z! ! !N!C!N! ! ! !Z!Z!A!A!000!A!C!N! ! ! !Y!2100!W33FYJ!0001! !

Who is the contractor on this award?

The obligated recipient is URS FEDERAL SERVICES INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $12.6 million.

What is the period of performance?

Start: 2004-05-21. End: 2005-05-20.

What is the historical spending pattern for URS Federal Services Inc. with the Department of Defense, and how does this contract compare?

To assess URS Federal Services Inc.'s historical spending with the Department of Defense (DoD), one would need to analyze contract databases for awards made to this entity over several fiscal years. This analysis should identify the total value of contracts awarded, the types of services rendered (e.g., maintenance, IT, construction), and the specific agencies or branches that awarded these contracts. Comparing the $12.6 million value of the current contract to their historical awards would indicate if this is a typical contract size for them or an outlier. Furthermore, examining past performance reviews or contract close-out data for URS Federal Services Inc. would provide insights into their reliability, quality of work, and adherence to budget and schedule on previous DoD contracts. This historical context is crucial for evaluating the risk associated with awarding them this new contract and for benchmarking the value proposition.

How does the Cost Plus Fixed Fee (CPFF) contract type for this maintenance service compare to other contract types used for similar services within the Army?

The Cost Plus Fixed Fee (CPFF) contract type, used for this $12.6 million maintenance contract, is one of several options available to the Army. CPFF contracts reimburse the contractor for allowable costs incurred and provide a predetermined fixed fee as profit. This type is often used when the scope of work is not precisely defined or when there is uncertainty about the costs involved, such as in research and development or complex services. Compared to other contract types like Firm-Fixed-Price (FFP), which offers the most price certainty for the government but places cost risk on the contractor, or Cost Plus Incentive Fee (CPIF), which incentivizes cost savings, CPFF can lead to higher overall costs if not managed diligently. For routine maintenance services like those described, FFP might be preferred if the scope is well-defined. The Army's choice of CPFF here suggests a perceived need for flexibility or an acknowledgment of potential cost uncertainties in maintaining a wide array of equipment at Fort Bragg. Analyzing the Army's historical use of contract types for similar maintenance requirements would reveal if CPFF is a common choice or an exception.

What are the specific performance metrics and Key Performance Indicators (KPIs) associated with this contract, and how are they measured?

The provided data does not detail the specific performance metrics or Key Performance Indicators (KPIs) for this contract. However, for a contract focused on 'MAINT&REPAIR OF EQ/VEHICLES-TRAILERS-CYCLES,' typical KPIs would likely include metrics such as response time for repair requests, turnaround time for repairs, equipment uptime percentages, quality of workmanship (e.g., defect rates), adherence to maintenance schedules, and cost control within the fixed fee. These metrics are crucial for ensuring the contractor, URS Federal Services Inc., is meeting the Army's requirements for operational readiness at Fort Bragg. Measurement methods could involve contractor self-reporting, government inspections and quality assurance checks, user feedback from military personnel, and analysis of maintenance logs. The effectiveness of oversight heavily relies on the clarity and measurability of these KPIs and the rigor with which they are monitored.

What is the estimated value of the fixed fee component within this Cost Plus Fixed Fee contract, and how was it determined?

The provided data indicates the total award amount is $12,594,965.88 and the contract type is Cost Plus Fixed Fee (CPFF). However, the specific value of the 'fixed fee' component is not explicitly broken out in this summary. In a CPFF contract, the total price paid to the contractor is the sum of allowable costs incurred and the fixed fee. The fixed fee is negotiated separately and represents the contractor's profit. It is typically determined based on factors such as the complexity of the work, the level of risk assumed by the contractor, the estimated duration of the contract, and market rates for similar services. The government aims to negotiate a fee that is fair compensation for the contractor's effort and risk without being excessive. Without the detailed contract schedule, it's impossible to state the exact dollar amount of the fixed fee or the methodology used for its determination in this specific instance.

How does the geographic concentration of this contract at Fort Bragg, North Carolina, impact the overall defense spending landscape for maintenance services?

Concentrating a $12.6 million maintenance contract at a major installation like Fort Bragg, North Carolina, reflects a common strategy in defense spending to ensure localized, responsive support for critical operational needs. This approach allows for tailored services that understand the specific equipment and operational tempo of the units stationed there. From a broader defense spending perspective, such geographically focused contracts contribute to a distributed network of support services across various military bases. While this enhances readiness at individual locations, it also means that significant portions of the defense maintenance budget are allocated to specific bases. Analyzing the total spending on maintenance services across all major Army installations would provide context on how much is dedicated to localized support versus more centralized or regionally managed contracts. This specific award signifies the importance of Fort Bragg as a key operational hub requiring dedicated maintenance resources.

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 12

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: AECOM Global II, LLC (UEI: 043271568)

Address: 175 ADMIRAL COCHRANE DR, ANNAPOLIS, MD, 21401

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Cost or Pricing Data: NO

Timeline