DoD's Navy Awards $14.1M Engineering Services Contract to M.C. Dean, Inc. Under Full and Open Competition
Contract Overview
Contract Amount: $14,149,141 ($14.1M)
Contractor: M. C. Dean, Inc.
Awarding Agency: Department of Defense
Start Date: 2009-04-22
End Date: 2009-12-31
Contract Duration: 253 days
Daily Burn Rate: $55.9K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 5
Pricing Type: COST PLUS INCENTIVE
Sector: Other
Official Description: LOT III - OPTION YEAR II
Place of Performance
Location: STERLING, LOUDOUN County, VIRGINIA, 20166
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $14.1 million to M. C. DEAN, INC. for work described as: LOT III - OPTION YEAR II Key points: 1. Contract value of $14.1M for Option Year II. 2. Awarded to M.C. Dean, Inc. through full and open competition. 3. Services fall under Engineering Services (NAICS 541330). 4. Contract type is Cost Plus Incentive. 5. Performance period is 253 days.
Value Assessment
Rating: fair
The Cost Plus Incentive contract type can lead to cost overruns if not managed carefully. The benchmark of $55,925 per day seems reasonable for specialized engineering services, but a deeper analysis of scope and deliverables is needed for a definitive assessment.
Cost Per Unit: $55,925
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally promotes price discovery and potentially better pricing for the government.
Taxpayer Impact: Full and open competition aims to ensure taxpayer funds are used efficiently by fostering a competitive environment for contract awards.
Public Impact
Ensures continued engineering support for Department of the Navy operations. Supports critical infrastructure and technical requirements. Potential for innovation through incentive-based contract structure.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Incentive contract type risk
- Limited data on specific deliverables for value assessment
Positive Signals
- Full and open competition
- Established contractor with prior performance
Sector Analysis
Engineering services are crucial for government operations, encompassing design, development, and maintenance of complex systems. Spending benchmarks vary widely based on specialization and project scale. This contract's value is moderate within the broader federal engineering services landscape.
Small Business Impact
This award was made to M.C. Dean, Inc., a large business. There is no indication of small business participation in this specific option year award, which could be an area for future consideration.
Oversight & Accountability
The Department of the Navy is responsible for oversight. The contract type and performance period will require diligent monitoring to ensure cost control and timely delivery of services.
Related Government Programs
- Engineering Services
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Cost Plus Incentive contract type can lead to cost overruns.
- Lack of specific service details limits value assessment.
- Potential for contractor to maximize profit through incentive clauses.
- No explicit mention of small business subcontracting goals.
Tags
engineering-services, department-of-defense, va, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $14.1 million to M. C. DEAN, INC.. LOT III - OPTION YEAR II
Who is the contractor on this award?
The obligated recipient is M. C. DEAN, INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $14.1 million.
What is the period of performance?
Start: 2009-04-22. End: 2009-12-31.
What specific engineering services are included in this option year, and how do they align with the Navy's current strategic needs?
The provided data does not detail the specific engineering services covered under Option Year II. A thorough review of the contract's Statement of Work (SOW) is necessary to understand the scope, deliverables, and their alignment with the Department of the Navy's operational and strategic objectives. This information is crucial for assessing the true value and necessity of the $14.1M expenditure.
What are the key performance metrics and incentive structures within the Cost Plus Incentive contract, and how are they monitored?
The Cost Plus Incentive (CPI) contract structure implies that both the contractor's profit and the final price are subject to adjustments based on performance against agreed-upon targets. Specific metrics and incentive clauses would be detailed in the contract's terms and conditions. Effective government oversight is critical to monitor performance, ensure adherence to cost ceilings, and fairly administer incentives.
How does the $55,925 daily rate compare to industry benchmarks for similar specialized engineering services provided to the Department of Defense?
The daily rate of $55,925 needs to be benchmarked against comparable contracts for specialized engineering services within the Department of Defense and the broader federal government. Factors such as the level of expertise required, security clearances, geographic location, and the complexity of the tasks performed significantly influence these rates. Without a detailed comparison, it is difficult to definitively assess if this rate represents excellent value or is inflated.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: N6523606R0759
Offers Received: 5
Pricing Type: COST PLUS INCENTIVE (V)
Evaluated Preference: NONE
Contractor Details
Address: 22461 SHAW ROAD, DULLES, VA, 10
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $14,149,141
Exercised Options: $14,149,141
Current Obligation: $14,149,141
Contract Characteristics
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N6523607D5884
IDV Type: IDC
Timeline
Start Date: 2009-04-22
Current End Date: 2009-12-31
Potential End Date: 2009-12-31 00:00:00
Last Modified: 2013-05-08
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