DoD's $101.5M Army Contract for ACAP Operations Awarded to SERCO INC Under Full and Open Competition
Contract Overview
Contract Amount: $101,462,794 ($101.5M)
Contractor: Serco Inc
Awarding Agency: Department of Defense
Start Date: 2011-08-16
End Date: 2014-09-15
Contract Duration: 1,126 days
Daily Burn Rate: $90.1K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 16
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: OPERATE ACAP, IMCOM
Place of Performance
Location: FORT KNOX, HARDIN County, KENTUCKY, 40121
State: Kentucky Government Spending
Plain-Language Summary
Department of Defense obligated $101.5 million to SERCO INC for work described as: OPERATE ACAP, IMCOM Key points: 1. Significant investment in human resources consulting services for Army personnel. 2. SERCO INC secured a large contract, indicating strong performance or competitive advantage. 3. The contract's duration and value present potential long-term financial commitments. 4. Focus on operational support suggests a critical, ongoing need within the Army.
Value Assessment
Rating: good
The contract value of $101.5 million over approximately three years suggests a substantial but potentially reasonable price for comprehensive operational support services. Benchmarking against similar large-scale HR consulting contracts would provide a clearer picture of its cost-effectiveness.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which typically fosters competitive pricing and ensures the government receives the best value. The existence of 16 delivery orders suggests a structured procurement process that allowed for multiple competitive bids.
Taxpayer Impact: Full and open competition generally leads to more efficient use of taxpayer funds by driving down costs through market forces.
Public Impact
Impacts Army personnel by ensuring continuity of critical ACAP services. Supports the operational readiness and well-being of soldiers and their families. Demonstrates government commitment to providing essential support programs.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for scope creep in long-term operational contracts.
- Reliance on a single contractor for critical personnel services.
- Ensuring consistent service quality across all delivery orders.
Positive Signals
- Awarded through full and open competition.
- Clear contract structure with multiple delivery orders.
- Long-term commitment indicates a recognized need for services.
Sector Analysis
This contract falls within the professional, scientific, and technical services sector, specifically HR consulting. Spending in this area is common for large government agencies needing specialized support for personnel management and readiness programs.
Small Business Impact
The data indicates this contract was not awarded to small businesses (sb: false). This suggests the scale and complexity of the requirement favored larger, established contracting firms.
Oversight & Accountability
The use of multiple delivery orders under a single contract allows for phased execution and potentially closer oversight of specific tasks. However, the long duration necessitates ongoing monitoring to ensure performance and cost control.
Related Government Programs
- Human Resources Consulting Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Contract duration and value
- Lack of small business participation
- Potential for service quality variations across delivery orders
- Reliance on a single prime contractor for critical services
Tags
human-resources-consulting-services, department-of-defense, ky, delivery-order, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $101.5 million to SERCO INC. OPERATE ACAP, IMCOM
Who is the contractor on this award?
The obligated recipient is SERCO 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 $101.5 million.
What is the period of performance?
Start: 2011-08-16. End: 2014-09-15.
What specific ACAP services are being provided, and how do they align with current military needs?
The contract focuses on operating the Army's ACAP (Army Career and Alumni Program), which provides transition assistance services to soldiers preparing for civilian life. This includes career counseling, job search assistance, and benefits education. The alignment with current needs is high, as robust transition support is crucial for maintaining morale and facilitating successful reintegration of service members into the workforce.
What are the key performance indicators (KPIs) used to measure SERCO INC's success in delivering these services?
While specific KPIs are not detailed in the provided data, typical metrics for such contracts include participant satisfaction rates, successful job placement percentages, the number of veterans accessing benefits information, and timely delivery of required training modules. Effective oversight would involve regular performance reviews against these or similar benchmarks.
How does the $101.5 million contract value compare to historical spending on similar ACAP operational support?
Without historical spending data for ACAP operations, a direct comparison is difficult. However, the value suggests a significant and sustained investment in the program. Benchmarking against contracts for similar transition assistance or HR support services for other branches or large organizations could provide context on whether this represents a typical or outlier cost.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Human Resources Consulting Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 16
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Serco Group PLC (UEI: 298452707)
Address: 1818 LIBRARY ST STE 1000, RESTON, VA, 20190
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $101,462,794
Exercised Options: $101,462,794
Current Obligation: $101,462,794
Subaward Activity
Number of Subawards: 4
Total Subaward Amount: $1,130,916
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W91WAW11D0024
IDV Type: IDC
Timeline
Start Date: 2011-08-16
Current End Date: 2014-09-15
Potential End Date: 2014-09-15 00:00:00
Last Modified: 2016-06-09
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