State Department awards $3.8M contract for logistics consulting to Chenega Naswik International LLC

Contract Overview

Contract Amount: $3,849,828 ($3.8M)

Contractor: Chenega Naswik International LLC

Awarding Agency: Department of State

Start Date: 2023-09-01

End Date: 2026-08-31

Contract Duration: 1,095 days

Daily Burn Rate: $3.5K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: LABOR HOURS

Sector: Other

Official Description: PCS PORTAL SPECIALIST SERVICES SUPPORTING A/LM/OPS

Place of Performance

Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22209

State: Virginia Government Spending

Plain-Language Summary

Department of State obligated $3.8 million to CHENEGA NASWIK INTERNATIONAL LLC for work described as: PCS PORTAL SPECIALIST SERVICES SUPPORTING A/LM/OPS Key points: 1. Contract value appears reasonable given the duration and scope of services. 2. Limited competition may have impacted overall value for money. 3. Potential risks include contractor performance and adherence to delivery schedules. 4. Services support critical A/LM/OPS functions within the State Department. 5. This contract falls within the professional services sector, specifically logistics consulting. 6. The contract is structured as a delivery order under a larger IDIQ, indicating potential for future task orders.

Value Assessment

Rating: good

The total contract value of $3.85 million over three years for logistics consulting services seems within a reasonable range for specialized support. Benchmarking against similar contracts for process, physical distribution, and logistics consulting services (NAICS 541614) suggests that the average annual cost of approximately $1.28 million is competitive, especially considering the specialized nature of supporting A/LM/OPS functions. Without more granular data on specific deliverables and labor rates, a precise value-for-money assessment is challenging, but the overall award appears fair.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning there was no open competition. This approach is typically used when a specific contractor possesses unique capabilities or when circumstances necessitate a rapid award. The lack of competition means that the government did not benefit from a range of proposals and potentially lower pricing that could arise from a competitive bidding process. The justification for this sole-source award would need to be thoroughly reviewed to understand the necessity.

Taxpayer Impact: Sole-source awards can lead to higher costs for taxpayers as the government may not secure the most competitive pricing available in the market. It also limits opportunities for other qualified businesses to compete for federal dollars.

Public Impact

The Department of State's A/LM/OPS (Administration, Logistics, and Operations) directorates are the primary beneficiaries, receiving specialized support for their logistical operations. The services delivered are expected to enhance the efficiency and effectiveness of the department's internal processes and physical distribution. The geographic impact is primarily within the United States, supporting the administrative functions of the State Department. Workforce implications are likely to involve the contractor's personnel providing expert consulting, potentially augmenting the government's internal capabilities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competitive pricing and potentially increases costs for taxpayers.
Lack of transparency in the justification for sole-source procurement.
Performance risks associated with a single contractor without competitive pressure.
Potential for scope creep if not managed tightly.

Positive Signals

Contract awarded to a known entity, potentially reducing onboarding time.
Focus on specialized logistics support suggests a need for specific expertise.
Clear contract duration provides a defined period for service delivery.

Sector Analysis

The professional services sector, particularly consulting related to logistics and operational support, is a significant area of federal spending. This contract fits within the broader category of management and technical consulting services. The market for such services is competitive, with numerous firms offering expertise in process optimization, supply chain management, and distribution. Federal agencies frequently contract for these services to improve efficiency and manage complex operations, with spending benchmarks varying widely based on the specific agency needs and scope of work.

Small Business Impact

This contract does not appear to have a small business set-aside component, as indicated by 'ss': false and 'sb': false. The prime contractor, Chenega Naswik International LLC, is likely a large business. There is no explicit information regarding subcontracting plans for small businesses within this award. Therefore, the direct impact on the small business ecosystem from this specific contract is likely minimal, unless the prime contractor voluntarily engages small businesses for subcontracting opportunities.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of State's contracting officers and program managers responsible for the A/LM/OPS functions. Accountability measures would be defined by the contract's performance work statement and delivery requirements. Transparency is limited due to the sole-source nature of the award, with the justification for this procurement method being a key area for review. Inspector General jurisdiction would apply if any issues of fraud, waste, or abuse arise.

Related Government Programs

Department of State Logistics Management
Federal Professional Services Contracts
Supply Chain Management Consulting
Operations Support Services

Risk Flags

Sole-source award may limit competition and potentially increase costs.
Lack of detailed performance metrics in the provided data.
Contractor's past performance history is not available for review.

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $3.8 million to CHENEGA NASWIK INTERNATIONAL LLC. PCS PORTAL SPECIALIST SERVICES SUPPORTING A/LM/OPS

Who is the contractor on this award?

The obligated recipient is CHENEGA NASWIK INTERNATIONAL LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $3.8 million.

What is the period of performance?

Start: 2023-09-01. End: 2026-08-31.

What is the specific justification for awarding this contract on a sole-source basis?

The provided data indicates the contract was awarded as 'NOT AVAILABLE FOR COMPETITION,' which typically signifies a sole-source justification. Common reasons for sole-source awards include the existence of only one responsible source, urgent and compelling needs, or specific government requirements that only one contractor can meet. Without the official justification document (e.g., a Justification and Approval - J&A), the precise rationale remains unknown. Understanding this justification is crucial for assessing whether the government adequately explored competitive options and obtained fair value.

How does the contractor's past performance compare to similar contracts?

Information on Chenega Naswik International LLC's past performance on similar contracts is not provided in the data. A comprehensive assessment would require reviewing their performance history, including any past issues, successes, and client feedback on previous logistics consulting engagements. Agencies typically maintain performance records and ratings for contractors. Without this specific data, it's difficult to definitively assess their track record and reliability for this particular State Department requirement.

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

The provided data does not specify the key performance indicators (KPIs) or the measurement methods for this contract. Typically, a Performance Work Statement (PWS) or Statement of Work (SOW) would detail these metrics, which could include timeliness of deliverables, accuracy of logistical analyses, efficiency improvements achieved, or adherence to budget. Effective oversight relies on clearly defined and measurable KPIs to ensure the contractor meets the government's objectives and provides value.

What is the historical spending pattern for similar logistics consulting services at the Department of State?

Historical spending data for similar logistics consulting services at the Department of State is not included in the provided data. Analyzing past expenditures on NAICS code 541614 or related service categories would provide context for the current $3.85 million award. Understanding trends in spending, average contract values, and the number of competitive versus sole-source awards in this domain would help determine if this contract represents a significant deviation or aligns with historical patterns.

What is the potential risk associated with the 'Process, Physical Distribution, and Logistics Consulting Services' category for the State Department?

The primary risks associated with 'Process, Physical Distribution, and Logistics Consulting Services' for the State Department often revolve around the criticality of these functions to diplomatic and operational missions. Risks include disruptions to supply chains, inefficient resource allocation, security vulnerabilities in distribution, and failure to adapt to evolving geopolitical or operational demands. If the consulting services fail to identify and mitigate these risks effectively, it could impact the department's ability to function smoothly, particularly in overseas operations or during crises.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Process, Physical Distribution, and Logistics Consulting Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 19AQMM23R0177

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 14420 ALBEMARLE POINT PL, CHANTILLY, VA, 20151

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $7,367,312

Exercised Options: $4,351,103

Current Obligation: $3,849,828

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 19AQMM23D0089

IDV Type: IDC

Timeline