State Department awards $6M+ engineering services contract to Cherokee Nation Strategic Programs

Contract Overview

Contract Amount: $6,035,393 ($6.0M)

Contractor: Cherokee Nation Strategic Programs, L.L.C.

Awarding Agency: Department of State

Start Date: 2023-03-22

End Date: 2027-03-21

Contract Duration: 1,460 days

Daily Burn Rate: $4.1K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: LABOR HOURS

Sector: R&D

Official Description: RESEARCH AND DEVELOPMENT PROFESSION SERVICES

Place of Performance

Location: TULSA, TULSA County, OKLAHOMA, 74116

State: Oklahoma Government Spending

Plain-Language Summary

Department of State obligated $6.0 million to CHEROKEE NATION STRATEGIC PROGRAMS, L.L.C. for work described as: RESEARCH AND DEVELOPMENT PROFESSION SERVICES Key points: 1. Contract focuses on critical research and development professional services. 2. Competition was full and open after exclusion of sources, indicating a broad search for qualified vendors. 3. The contract duration of 1460 days suggests a long-term need for these engineering services. 4. The award value of over $6 million signifies a substantial investment in specialized expertise. 5. Performance is expected in Oklahoma, potentially benefiting the local economy and workforce. 6. The North American Industry Classification System (NAICS) code 541330 points to a specialized engineering services market.

Value Assessment

Rating: good

The contract value of approximately $6 million over four years for engineering services appears reasonable given the specialized nature of R&D professional services. Benchmarking against similar contracts for engineering support within the State Department or other federal agencies would provide a more precise value-for-money assessment. However, the duration and scope suggest a significant undertaking that justifies this investment.

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 suggests that while the competition was intended to be broad, specific sources may have been excluded based on predefined criteria. The number of bidders is not specified, but the 'full and open' nature implies a competitive process aimed at achieving fair market prices.

Taxpayer Impact: This competitive approach is generally favorable for taxpayers as it aims to secure the best value by allowing multiple qualified vendors to bid, driving down costs through market forces.

Public Impact

The primary beneficiaries are likely the Department of State, which will receive essential engineering and R&D support. The services delivered will contribute to the advancement of research and development initiatives within the agency. The contract's performance location in Oklahoma may lead to job creation and economic activity in that region. Specialized engineering professionals will be engaged, potentially enhancing the skills and capabilities within the contractor's workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if initial R&D objectives are not clearly defined.
Reliance on a single contractor for a multi-year period could pose risks if performance falters.
Ensuring continued alignment with evolving State Department needs throughout the contract's duration.

Positive Signals

Award to a company with 'OK' status in Oklahoma suggests a stable business operation.
The 'full and open competition' process indicates a structured approach to vendor selection.
A multi-year contract term allows for continuity of services and potential for economies of scale.

Sector Analysis

This contract falls within the Engineering Services sector, specifically supporting research and development activities. The market for federal engineering services is substantial, with agencies like the Department of State frequently procuring specialized expertise for a wide range of projects. Comparable spending benchmarks would typically be found within the broader professional services category, often exceeding billions annually across the federal government.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, the primary impact on the small business ecosystem would be indirect, through potential subcontracting opportunities if Cherokee Nation Strategic Programs, L.L.C. chooses to engage them. Without specific subcontracting plans, the direct benefit to small businesses from this particular award is uncertain.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and program managers within the Department of State. Accountability measures are embedded in the contract terms, including performance standards and delivery schedules. Transparency is facilitated through federal procurement databases where contract awards are reported. Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse arise.

Related Government Programs

Department of State Professional Services Contracts
Federal Research and Development Support Services
Engineering Consulting Services
Government Contracting - Oklahoma

Risk Flags

Potential for limited competition due to source exclusion.
Long contract duration may require careful performance monitoring.
Reliance on specific R&D expertise could be a bottleneck if not managed well.

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $6.0 million to CHEROKEE NATION STRATEGIC PROGRAMS, L.L.C.. RESEARCH AND DEVELOPMENT PROFESSION SERVICES

Who is the contractor on this award?

The obligated recipient is CHEROKEE NATION STRATEGIC PROGRAMS, L.L.C..

Which agency awarded this contract?

Awarding agency: Department of State (Department of State).

What is the total obligated amount?

The obligated amount is $6.0 million.

What is the period of performance?

Start: 2023-03-22. End: 2027-03-21.

What is the track record of Cherokee Nation Strategic Programs, L.L.C. with the Department of State and similar federal agencies?

A thorough review of federal procurement data would be necessary to fully assess Cherokee Nation Strategic Programs, L.L.C.'s track record. This would involve examining past performance on contracts with the Department of State and other agencies, looking for indicators of successful project completion, adherence to timelines and budgets, and any history of disputes or contract terminations. Positive past performance is a strong predictor of future success, while negative performance could signal potential risks for this new award. Understanding their experience in R&D professional services specifically would be crucial.

How does the awarded price compare to market rates for similar engineering services?

Determining the precise value for money requires benchmarking the awarded price against market rates for comparable engineering services. This involves analyzing the contract's labor categories, hours, and overhead rates against industry standards and pricing data from similar federal contracts. Factors such as the specific technical expertise required, the geographic location of service delivery, and the complexity of the R&D tasks will influence these rates. Without access to detailed pricing breakdowns and comparative contract data, a definitive assessment of whether this contract represents excellent, good, or fair value is challenging.

What are the key performance indicators (KPIs) for this contract, and how will they be measured?

The specific Key Performance Indicators (KPIs) for this contract are not detailed in the provided summary. However, typical KPIs for R&D professional services contracts include milestones related to research progress, successful development of prototypes or solutions, adherence to technical specifications, timely delivery of reports and documentation, and overall client satisfaction. The Department of State's contracting officer and technical monitors would be responsible for establishing and measuring these KPIs throughout the contract's duration to ensure the contractor is meeting performance expectations and delivering the required value.

What is the historical spending pattern of the Department of State on engineering and R&D professional services?

Analyzing the Department of State's historical spending on engineering and R&D professional services would provide context for this $6 million award. This involves examining trends over the past several fiscal years to understand the typical contract values, the number of awards, and the primary service categories procured. Significant increases or decreases in spending could indicate shifts in agency priorities or budget allocations. Understanding this historical context helps in assessing whether the current award is consistent with past procurement strategies or represents a new direction.

What are the potential risks associated with the 'full and open competition after exclusion of sources' method?

While 'full and open competition' generally promotes broad participation, the 'after exclusion of sources' qualifier suggests that certain potential bidders were preemptively removed from consideration. This exclusion could be based on specific technical requirements, security clearances, or other criteria deemed necessary by the agency. The risk lies in whether these exclusions inadvertently limited the pool of highly qualified bidders, potentially impacting the competitiveness of the pricing or the range of innovative solutions proposed. A thorough justification for the exclusions is important to ensure fair competition.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 19AQMM23R0061

Offers Received: 1

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Parent Company: Cherokee Nation

Address: 2 W. 2ND ST., STE 1500-28, TULSA, OK, 74103

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Tribally Owned Firm, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $15,647,881

Exercised Options: $12,358,895

Current Obligation: $6,035,393

Actual Outlays: $824,087

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $154,720

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47QRAD20D8141

IDV Type: IDC

Timeline