DoD's $237M contract for electronics and communication equipment services awarded to Lear Siegler Services, Inc
Contract Overview
Contract Amount: $23,727,864 ($23.7M)
Contractor: URS Federal Services Inc.
Awarding Agency: Department of Defense
Start Date: 2006-09-13
End Date: 2011-01-30
Contract Duration: 1,600 days
Daily Burn Rate: $14.8K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 14
Pricing Type: TIME AND MATERIALS
Sector: Defense
Official Description: 200612!008090!2100!W15P7T!USA COMMUNICATIONS-ELECTRONICS !DAAB0703DB010 !A!N! !Y!0138 ! !20060913!20110129!834530086!065262573!043271568!N!LEAR SIEGLER SERVICES, INC !595 SHREWSBURY AVE !SHREWSBURY !NJ!07702!37810!029!34!LAKEHURST NAS !OCEAN !NEW JERSEY!+000000197500!N!N!000000000000!R414!SYSTEMS ENGINEERING SERVICES !A7 !ELECTRONICS AND COMMUNICATION EQUIP !000 !NOT DISCERNABLE !541330!E! !5!B!M! !A! !99990909!B! ! !A! !A!N!Y!2!014!B! !C!N!Z! ! !N!C!N! ! ! !C!Z!A!A!000!A!C!N! ! ! ! ! ! !0001! !
Place of Performance
Location: SHREWSBURY, MONMOUTH County, NEW JERSEY, 07702, UNITED STATES OF AMERICA
Plain-Language Summary
Department of Defense obligated $23.7 million to URS FEDERAL SERVICES INC. for work described as: 200612!008090!2100!W15P7T!USA COMMUNICATIONS-ELECTRONICS !DAAB0703DB010 !A!N! !Y!0138 ! !20060913!20110129!834530086!065262573!043271568!N!LEAR SIEGLER SERVICES, INC !595 SHREWSBURY AVE !SHREWSBURY !NJ!07702!37810!029!34!LAKEHURST NAS !OCEA… Key points: 1. Contract awarded for systems engineering services related to electronics and communication equipment. 2. Significant value suggests a critical need for specialized technical support within the Department of Defense. 3. The contract's duration of approximately 4 years indicates a long-term requirement for these services. 4. Awarded under full and open competition, suggesting a robust bidding process. 5. The primary contractor, Lear Siegler Services, Inc., has a substantial contract value, implying significant operational capacity. 6. The North American Industry Classification System (NAICS) code 541710 points to research and development in physical, engineering, and life sciences.
Value Assessment
Rating: good
The contract value of $237,278,635.55 over roughly four years represents a substantial investment in systems engineering services for electronics and communication equipment. Benchmarking this against similar large-scale DoD contracts for R&D and engineering services would be necessary for a precise value-for-money assessment. However, the full and open competition suggests that pricing was likely scrutinized against multiple bids, which generally supports a fair market price.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded under a full and open competition, indicating that all responsible sources were permitted to submit a bid. The presence of 14 bids suggests a healthy level of competition for this significant contract. A higher number of bidders generally leads to more competitive pricing and a wider range of technical solutions being considered.
Taxpayer Impact: The full and open competition likely resulted in a more cost-effective outcome for taxpayers by driving down prices through competitive bidding.
Public Impact
The Department of Defense benefits from advanced systems engineering and technical support for its critical electronics and communication infrastructure. Services delivered likely enhance the operational readiness and effectiveness of military communication systems. The geographic impact is primarily within the Department of Defense's operational theaters, supporting national security objectives. Workforce implications include employment for specialized engineers and technical personnel within Lear Siegler Services, Inc. and potentially its subcontractors.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns if project scope expands beyond initial estimates.
- Reliance on a single prime contractor for critical systems engineering could pose a risk if performance falters.
- Ensuring continued technological relevance in a rapidly evolving electronics and communications landscape.
Positive Signals
- Awarded through full and open competition, indicating a competitive pricing environment.
- The substantial contract value suggests the contractor possesses the capacity and expertise to handle complex requirements.
- Long contract duration implies a stable and ongoing need for these services, potentially leading to efficiencies through sustained effort.
Sector Analysis
This contract falls within the broader defense sector, specifically focusing on systems engineering for electronics and communication equipment. The market for such services is characterized by high technical barriers to entry and significant government spending. Comparable spending benchmarks would involve analyzing other large-scale R&D and engineering services contracts awarded by the DoD and other federal agencies for similar technological domains.
Small Business Impact
While the contract was awarded to Lear Siegler Services, Inc., the provided data does not specify the extent of small business participation through subcontracting. Further analysis would be needed to determine if small businesses were effectively utilized and if there were specific set-aside goals for this contract. The impact on the small business ecosystem depends heavily on the subcontracting plan and its execution.
Oversight & Accountability
Oversight for this contract would typically be managed by the contracting agency within the Department of Defense, likely the Department of the Army given the sub-agency information. Accountability measures would include performance reviews, milestone tracking, and adherence to contract terms. Transparency is facilitated through contract award databases, though detailed performance metrics are often not publicly disclosed.
Related Government Programs
- Department of Defense Research and Development
- Military Communications Systems
- Systems Engineering Services
- Electronics and Communication Equipment Procurement
Risk Flags
- Potential for cost overruns due to Time and Materials contract type.
- Risk of technological obsolescence in a rapidly changing field.
- Dependence on a single prime contractor for critical systems.
Tags
defense, department-of-defense, department-of-the-army, systems-engineering, electronics-and-communication-equipment, time-and-materials, full-and-open-competition, large-contract, research-and-development, new-jersey, lear-siegler-services-inc
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $23.7 million to URS FEDERAL SERVICES INC.. 200612!008090!2100!W15P7T!USA COMMUNICATIONS-ELECTRONICS !DAAB0703DB010 !A!N! !Y!0138 ! !20060913!20110129!834530086!065262573!043271568!N!LEAR SIEGLER SERVICES, INC !595 SHREWSBURY AVE !SHREWSBURY !NJ!07702!37810!029!34!LAKEHURST NAS !OCEAN !NEW JERSEY!+000000197500!N!N!000000000000!R414!SYSTEMS ENGINEERING SERVICES !A7 !ELECTRONICS AND COMMUNICATION EQUIP !000 !NOT DISCERNABLE !541330!E! !5!B!M! !A! !999
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 $23.7 million.
What is the period of performance?
Start: 2006-09-13. End: 2011-01-30.
What is the track record of Lear Siegler Services, Inc. in performing similar large-scale defense contracts?
Lear Siegler Services, Inc. has a history of performing significant contracts within the defense sector. While specific details on past performance for contracts of this exact nature and magnitude require deeper investigation into contract databases and performance reports, their ability to secure a $237 million award suggests a demonstrated capability. Analyzing their past performance on contracts related to systems engineering, electronics, and communication equipment would reveal their reliability, adherence to schedule, and quality of deliverables. It's important to review any past performance issues, such as contract disputes or terminations, to fully assess their track record.
How does the per-unit cost or hourly rate for this contract compare to industry benchmarks for systems engineering services?
Determining a precise per-unit cost or hourly rate benchmark for this contract is challenging without more granular data on the specific services rendered and the labor categories involved. The contract type is 'Time and Materials,' which can lead to variable costs. However, the overall value of $237 million spread over approximately 1600 days (duration) suggests an average daily burn rate of roughly $148,300. To benchmark effectively, one would need to compare the average hourly rates for different labor skill levels (e.g., senior engineers, technicians) against government-wide or industry-specific surveys for similar defense-related systems engineering tasks. The full and open competition provides some assurance that the rates were deemed competitive at the time of award.
What are the primary risks associated with this contract, and what mitigation strategies are in place?
Key risks for this contract include potential scope creep, technological obsolescence in the fast-evolving electronics and communications field, and contractor performance issues. Scope creep could lead to cost overruns if not managed tightly through change control processes. Technological obsolescence is a risk inherent in long-term contracts for electronics; mitigation involves regular technology refresh cycles and adaptive engineering. Contractor performance risks are managed through contract oversight, performance metrics, and potential penalties or incentives. The Department of Defense likely has established protocols for risk management, including regular reviews and reporting requirements from Lear Siegler Services, Inc.
How effective has the Department of the Army been in managing similar large-scale systems engineering contracts in the past?
The effectiveness of the Department of the Army in managing large-scale systems engineering contracts can be assessed by examining historical contract performance data, including on-time delivery, budget adherence, and mission success rates. Agencies often face challenges with complex, long-duration contracts due to evolving requirements and technological advancements. Reviews by the Government Accountability Office (GAO) and the DoD's Inspector General (IG) can provide insights into the Army's contract management practices. While specific performance metrics for this particular contract are not publicly detailed, the Army's extensive experience in procuring complex defense systems suggests a mature, albeit sometimes bureaucratic, approach to contract oversight.
What has been the historical spending trend for systems engineering and electronics/communication equipment services within the Department of Defense?
Historical spending trends within the Department of Defense for systems engineering and electronics/communication equipment services have generally been substantial and increasing, driven by modernization efforts and evolving geopolitical threats. The DoD consistently allocates significant portions of its budget to research, development, testing, and evaluation (R&DTE), as well as procurement of advanced technologies. Spending in these areas is influenced by technological advancements, strategic priorities, and the need to maintain a qualitative edge over potential adversaries. Analyzing annual budget requests and outlays for relevant defense appropriations accounts would provide a clearer picture of these spending trends over time.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences
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: 14
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Parent Company: AECOM (UEI: 153561212)
Address: 20501 SENECA MEADOWS PKWY STE 300, GERMANTOWN, MD, 20876
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business
Contract Characteristics
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: DAAB0703DB010
IDV Type: IDC
Timeline
Start Date: 2006-09-13
Current End Date: 2011-01-30
Potential End Date: 2011-01-30 00:00:00
Last Modified: 2015-05-20
More Contracts from URS Federal Services Inc.
- Federal Contract — $282.0M (Department of Defense)
- Federal Contract — $255.4M (Department of Defense)
- Rotary Wing Flight Training Services, Fort Rucker, AL — $254.4M (Department of Defense)
- THE Award of a Time and Materials Task Order Under ITS Multiple Award Schedule Contract Number Gs-10f-0038m for Aircraft Maintenance and Modification Services — $142.3M (General Services Administration)
- Request for Proposal for Logistics Support A-76 Study — $114.6M (Department of the Treasury)
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)