DoD awards $171M engineering services task order to ManTech Advanced Systems International, Inc

Contract Overview

Contract Amount: $171,016,438 ($171.0M)

Contractor: Mantech Advanced Systems International, Inc.

Awarding Agency: Department of Defense

Start Date: 2010-09-23

End Date: 2012-11-14

Contract Duration: 783 days

Daily Burn Rate: $218.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: TIME AND MATERIALS

Sector: Defense

Official Description: AWARD OF NEW TASK ORDER FROM S3R-0348

Place of Performance

Location: FAIRFAX, FAIRFAX County, VIRGINIA, 22033

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $171.0 million to MANTECH ADVANCED SYSTEMS INTERNATIONAL, INC. for work described as: AWARD OF NEW TASK ORDER FROM S3R-0348 Key points: 1. The contract was awarded under full and open competition, suggesting a competitive bidding process. 2. The task order has a duration of 783 days, indicating a medium-term engagement. 3. The contract type is Time and Materials, which can carry cost escalation risks if not managed closely. 4. The award is a delivery order against a larger contract (S3R-0348), implying it's part of an existing framework. 5. The North American Industry Classification System (NAICS) code 541330 points to engineering services, a critical sector for defense. 6. The contractor, ManTech Advanced Systems International, Inc., has a significant presence in the defense sector. 7. The award value of $171M is substantial, requiring careful performance monitoring. 8. The contract was awarded to a single entity, ManTech Advanced Systems International, Inc.

Value Assessment

Rating: fair

The award value of $171,016,438.46 for engineering services over approximately two years requires careful scrutiny. Without specific deliverables or performance metrics, it's challenging to benchmark the value for money. The Time and Materials (T&M) contract type, while flexible, can lead to higher costs if not tightly managed, especially with a duration of 783 days. Comparing this to similar large-scale engineering support contracts within the Department of Defense would be necessary to assess if the pricing is competitive and reflects fair market value for the services rendered.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This task order was awarded under a full and open competition, indicating that all responsible sources were permitted to submit a bid. The presence of 3 bidders (no) suggests a degree of competition, though the exact number of proposals received and their quality are not detailed. A competitive process is generally favorable for price discovery and ensuring the government receives the best value. However, the effectiveness of this competition in driving down costs depends on the specific requirements and the number of truly capable bidders.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it theoretically leads to more competitive pricing and a wider pool of qualified contractors, reducing the risk of overpayment and encouraging innovation.

Public Impact

The primary beneficiaries are the Department of the Army and potentially other Department of Defense entities requiring specialized engineering services. The services delivered are likely to include design, analysis, testing, and technical support for various defense systems and projects. The geographic impact is likely concentrated around the contractor's facilities and the military installations they support, primarily in Virginia (SN: VIRGINIA). The contract supports a workforce of engineers, technicians, and support staff employed by ManTech Advanced Systems International, Inc.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The Time and Materials (T&M) contract type can lead to cost overruns if not meticulously monitored and controlled, especially over a long duration.
The lack of specific performance metrics or deliverables in the provided data makes it difficult to assess the contractor's performance and the true value received.
The award is a delivery order against a larger contract (S3R-0348), which might indicate a pre-existing relationship or framework that could limit fresh competitive opportunities for similar future work.
The contractor's track record with previous T&M contracts would be crucial to evaluate their ability to manage costs effectively.
The specific nature of the engineering services is not detailed, making it hard to gauge potential risks associated with specialized or novel technical challenges.

Positive Signals

The contract was awarded through full and open competition, suggesting a robust selection process that considered multiple bidders.
The contractor, ManTech Advanced Systems International, Inc., is a known entity in the defense sector, implying experience and established capabilities.
The award is a delivery order against an existing contract, which can streamline the acquisition process and potentially leverage pre-negotiated terms.
The duration of 783 days allows for sustained support and project continuity.
The award value of $171M indicates a significant level of trust and perceived capability from the Department of the Army.

Sector Analysis

This contract falls within the Engineering Services sector (NAICS 541330), a critical component of the broader professional, scientific, and technical services industry. This sector is vital for national defense, infrastructure development, and technological advancement. The market for defense engineering services is substantial, with significant government spending allocated annually. This specific award represents a portion of the Department of Defense's ongoing investment in maintaining and advancing its technological capabilities. Comparable spending benchmarks would involve analyzing other large engineering support contracts awarded by the DoD or other federal agencies for similar services.

Small Business Impact

The provided data indicates that small business participation (SS: false, SB: false) was not a primary set-aside consideration for this specific task order. This suggests that the contract was not specifically targeted towards small businesses, and the prime contractor, ManTech Advanced Systems International, Inc., is likely a large business. There is no explicit information on subcontracting plans for small businesses. The impact on the small business ecosystem would depend on whether ManTech intends to subcontract portions of this work to small businesses, which is a common practice for large prime contractors to meet broader socioeconomic goals.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of the Army contracting officers and program managers. Given the significant award value, it is likely subject to regular performance reviews and financial audits. Transparency would be enhanced through contract reporting mechanisms like the Federal Procurement Data System (FPDS). Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected. The Time and Materials nature of the contract necessitates stringent oversight of labor hours and material costs to ensure accountability.

Related Government Programs

Department of Defense Engineering Services
Army Combat Systems Support
Defense Technology Development
Professional, Scientific, and Technical Services Contracts
Large Prime Contractor Awards

Risk Flags

Potential for cost overruns due to Time and Materials contract type.
Lack of detailed performance metrics in provided data.
Limited visibility into the specific engineering services required.
Potential for scope creep without stringent oversight.
Contract duration of over two years requires sustained monitoring.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $171.0 million to MANTECH ADVANCED SYSTEMS INTERNATIONAL, INC.. AWARD OF NEW TASK ORDER FROM S3R-0348

Who is the contractor on this award?

The obligated recipient is MANTECH ADVANCED SYSTEMS INTERNATIONAL, 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 $171.0 million.

What is the period of performance?

Start: 2010-09-23. End: 2012-11-14.

What is ManTech Advanced Systems International, Inc.'s track record with Time and Materials (T&M) contracts, particularly with the Department of Defense?

ManTech Advanced Systems International, Inc. has a substantial history of performing on T&M contracts, especially within the defense sector. Analyzing their past performance on similar contracts would reveal their ability to manage costs, adhere to schedules, and deliver quality engineering services. Key indicators to examine include any reported cost overruns, contract modifications, or performance deficiencies on previous T&M awards. A review of their contract history in the Federal Procurement Data System (FPDS) or other contract databases could provide insights into their success rate and any recurring issues. Understanding their historical approach to managing T&M work is crucial for assessing the risk associated with this new $171M task order, as T&M contracts inherently carry a higher risk of cost escalation if not diligently overseen by both the contractor and the government.

How does the $171M award value compare to similar engineering services contracts awarded by the Department of the Army or DoD in the past two years?

The $171,016,438.46 award value for engineering services is a significant sum, placing it among larger task orders or contract awards. To benchmark its value, one would compare it against other engineering services contracts awarded by the Department of the Army and the broader DoD for similar scope and duration. For instance, contracts for systems engineering, technical support, or research and development services within the defense sector could serve as comparators. Analyzing the average award value, the number of bidders, and the contract types (e.g., FFP vs. T&M) for these comparable contracts would provide context. If this award is at the higher end of the spectrum without a clear justification (e.g., highly specialized services, unique requirements), it might indicate potential pricing concerns or a less competitive outcome. Conversely, if it aligns with or is below benchmarks for similar services, it suggests a more reasonable valuation.

What are the primary risks associated with a Time and Materials (T&M) contract of this magnitude and duration (783 days)?

The primary risks associated with a $171M T&M contract spanning 783 days revolve around cost control and scope creep. T&M contracts reimburse the contractor for direct labor hours at specified hourly rates and for the cost of materials used. This structure inherently lacks a fixed ceiling on total cost, making it susceptible to cost overruns if labor hours are not efficiently utilized or if material costs escalate unexpectedly. For a contract of this duration, the potential for cumulative cost increases is substantial. Effective risk mitigation requires robust government oversight, including detailed tracking of labor hours, verification of material costs, and strict management of any changes to the scope of work. Without vigilant monitoring, the government could end up paying significantly more than initially anticipated, diminishing the overall value proposition of the contract.

What specific engineering services are being procured under this task order, and how do they align with current Army modernization priorities?

The provided data identifies the contract as 'Engineering Services' under NAICS code 541330, but it does not specify the exact nature of these services. To assess alignment with Army modernization priorities, further details are needed. These services could range from conceptual design and prototyping for new weapon systems to sustainment engineering for existing platforms, or research and development in areas like artificial intelligence, cyber warfare, or advanced materials. If the services directly support initiatives like Project Convergence, Future Vertical Lift, or next-generation ground vehicles, then the contract would be highly aligned. Conversely, if the services are primarily for legacy systems or general support, the alignment might be less direct. Understanding the specific technical domains and project objectives is crucial to determine the strategic importance and modernization relevance of this $171M award.

What is the historical spending pattern for engineering services by the Department of the Army, and how does this award fit into that trend?

The Department of the Army consistently allocates substantial funds towards engineering services, reflecting the complexity and technological demands of modern military operations. Historical spending data, often available through sources like the Federal Procurement Data System (FPDS) or agency budget reports, would show trends in contract awards for services categorized under NAICS 541330. This $171M award represents a significant single task order, but within the context of the Army's overall annual budget for engineering support, it might be a typical or slightly above-average award for a major project. Analyzing the historical trend would reveal whether spending in this category has been increasing, decreasing, or remaining stable, and whether this award aligns with those patterns. It also helps contextualize the contractor's role and the importance of the services procured relative to the Army's broader engineering needs over time.

What are the implications of awarding a large T&M task order to a single contractor (ManTech) versus potentially breaking it down into smaller, fixed-price components?

Awarding a large Time and Materials (T&M) task order to a single contractor like ManTech has several implications compared to breaking it into smaller, fixed-price components. T&M offers flexibility, allowing the scope of work to evolve as requirements become clearer or as unforeseen technical challenges arise, which can be advantageous in R&D or complex system integration projects. However, it shifts much of the cost risk to the government. Fixed-price contracts, conversely, provide cost certainty for the government but require a well-defined scope of work upfront and can be less adaptable to changing requirements. Breaking down a large requirement into smaller fixed-price contracts could foster more competition among specialized firms and potentially yield lower prices for well-defined tasks. However, it might also increase administrative overhead for the government in managing multiple contracts and could lead to integration challenges if the components need to work together seamlessly. The choice between T&M and fixed-price, and between a single large award versus multiple smaller ones, depends heavily on the nature of the services, the clarity of requirements, and the government's risk tolerance.

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: 3

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Mantech International Corporation (UEI: 053518312)

Address: 12015 LEE JACKSON MEMORIAL HWY, FAIRFAX, VA, 22033

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

Financial Breakdown

Contract Ceiling: $171,016,438

Exercised Options: $171,016,438

Current Obligation: $171,016,438

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W15P7T06DE403

IDV Type: IDC

Timeline