GSA Awards $358M Engineering Services Contract to SMARTRONIX, LLC Under Full and Open Competition

Contract Overview

Contract Amount: $358,008,872 ($358.0M)

Contractor: Smartronix, LLC

Awarding Agency: General Services Administration

Start Date: 2018-12-21

End Date: 2022-08-20

Contract Duration: 1,338 days

Daily Burn Rate: $267.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS AWARD FEE

Sector: Other

Official Description: IGF::OT::IGF SETS AWARD

Place of Performance

Location: LEXINGTON PARK, SAINT MARYS County, MARYLAND, 20653

State: Maryland Government Spending

Plain-Language Summary

General Services Administration obligated $358.0 million to SMARTRONIX, LLC for work described as: IGF::OT::IGF SETS AWARD Key points: 1. Contract awarded to SMARTRONIX, LLC for Engineering Services. 2. Significant value of $358M over a 4-year period. 3. Procured via full and open competition, suggesting market availability. 4. Cost Plus Award Fee contract type allows for performance incentives. 5. No small business set-aside noted.

Value Assessment

Rating: good

The contract's Cost Plus Award Fee structure allows for flexibility in pricing based on performance. Benchmarking against similar engineering services contracts is difficult without specific task order details, but the overall value suggests a substantial scope of work.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives best value.

Taxpayer Impact: The use of full and open competition is generally favorable for taxpayers as it drives competitive pricing and potentially lower costs for services rendered.

Public Impact

Citizens benefit from specialized engineering services supporting federal agencies. The award to SMARTRONIX, LLC supports jobs and economic activity. Transparency in procurement through full and open competition builds public trust.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns with Cost Plus Award Fee contracts if not managed closely.
Lack of specific task order details makes granular cost analysis challenging.

Positive Signals

Full and open competition promotes market efficiency.
Performance incentives in contract type can drive better outcomes.

Sector Analysis

This contract falls under Engineering Services (NAICS 541330), a sector critical for government infrastructure and technology development. Spending in this sector can vary widely based on agency needs and project complexity.

Small Business Impact

The contract was not set aside for small businesses. This suggests that the scope or nature of the services required were deemed more suitable for larger, established firms, or that small businesses did not participate in the competition.

Oversight & Accountability

The award was managed by the General Services Administration (GSA), which is responsible for overseeing federal procurement. Oversight would focus on ensuring contract compliance, performance, and adherence to cost controls.

Related Government Programs

Engineering Services
General Services Administration Contracting
Federal Acquisition Service Programs

Risk Flags

Cost Plus Award Fee (CPAF) contract type requires diligent oversight to control costs.
Lack of detailed task order information limits granular performance and cost analysis.
No small business participation noted, potentially limiting broader economic impact.
The contract duration of over 3 years necessitates ongoing monitoring for continued relevance and value.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $358.0 million to SMARTRONIX, LLC. IGF::OT::IGF SETS AWARD

Who is the contractor on this award?

The obligated recipient is SMARTRONIX, LLC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $358.0 million.

What is the period of performance?

Start: 2018-12-21. End: 2022-08-20.

What specific engineering services are being provided under this contract?

The provided data indicates the contract is for 'Engineering Services' under NAICS code 541330. However, the specific nature of these services, such as civil, mechanical, electrical, or specialized technical engineering, is not detailed. Understanding the precise services is crucial for assessing value and performance against industry benchmarks.

How effectively are the performance incentives in the Cost Plus Award Fee structure being utilized?

The effectiveness of the Cost Plus Award Fee (CPAF) structure hinges on well-defined performance metrics and objective evaluation criteria. Without insight into these metrics and the resulting award fees paid, it's difficult to assess if the incentives are driving optimal performance or if costs are being managed efficiently.

What is the competitive landscape for these specific engineering services?

While the contract was awarded under full and open competition, the depth of competition (number of bids received) is not specified. Understanding the competitive landscape, including the number and capabilities of other bidders, would provide further context on the pricing and value achieved for the government.

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

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Address: 44150 SMARTRONIX WAY STE 200, HOLLYWOOD, MD, 20636

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $432,394,982

Exercised Options: $432,394,182

Current Obligation: $358,008,872

Actual Outlays: $70,750,466

Subaward Activity

Number of Subawards: 170

Total Subaward Amount: $234,908,175

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00Q14OADU313

IDV Type: IDC

Timeline