GSA awards $2.66M for manned asset network engineering and satellite relay facility maintenance to Sigma Defense Systems

Contract Overview

Contract Amount: $2,664,794 ($2.7M)

Contractor: Sigma Defense Systems LLC

Awarding Agency: General Services Administration

Start Date: 2023-06-07

End Date: 2026-06-06

Contract Duration: 1,095 days

Daily Burn Rate: $2.4K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: MANNED ASSET NETWORK ENGINEERING AND SATELLITE RELAY FACILITY MAINTENANCE SUPPORT

Place of Performance

Location: TAMPA, HILLSBOROUGH County, FLORIDA, 33621

State: Florida Government Spending

Plain-Language Summary

General Services Administration obligated $2.7 million to SIGMA DEFENSE SYSTEMS LLC for work described as: MANNED ASSET NETWORK ENGINEERING AND SATELLITE RELAY FACILITY MAINTENANCE SUPPORT Key points: 1. Contract value represents a moderate investment in critical infrastructure support. 2. Competition dynamics suggest a potentially competitive bidding environment for this service. 3. Performance period of three years allows for sustained support and evaluation. 4. The fixed-price contract type shifts risk to the contractor. 5. Geographic focus on Florida indicates specific operational needs. 6. The award is for a delivery order under a larger contract vehicle.

Value Assessment

Rating: good

The contract value of $2.66 million over three years for engineering and maintenance services appears reasonable given the specialized nature of manned asset networks and satellite relay facilities. Benchmarking against similar contracts for complex engineering and facility support is challenging without more specific service details. However, the firm fixed-price structure suggests that the contractor has adequately assessed risks and costs, which can lead to better value if performance is met.

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 were likely solicited and allowed to bid. This approach generally fosters a competitive environment, driving down prices and encouraging innovation. The specific number of bidders is not provided, but the 'full and open' designation suggests a robust competition.

Taxpayer Impact: Taxpayers benefit from full and open competition as it typically leads to more favorable pricing and ensures that the government is receiving services at a fair market value.

Public Impact

The primary beneficiaries are likely military or intelligence agencies relying on manned asset networks and satellite communications. Services delivered include engineering support and maintenance for critical communication infrastructure. The geographic impact is concentrated in Florida, suggesting a specific operational theater or facility. Workforce implications may include the need for specialized engineers and technicians employed by Sigma Defense Systems.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if initial requirements are not clearly defined.
Reliance on a single contractor for critical infrastructure maintenance could pose a risk if performance falters.

Positive Signals

Firm fixed-price contract aligns contractor incentives with cost control.
Awarded under full and open competition, suggesting competitive pricing.
Three-year duration allows for stable service provision and performance monitoring.

Sector Analysis

This contract falls within the Engineering Services sector, specifically supporting complex communication and asset management systems. The market for such specialized services is often characterized by a limited number of highly qualified contractors. Spending in this area is critical for national security and operational readiness, with comparable contracts often involving significant investment in technology and skilled personnel.

Small Business Impact

The contract data indicates that small business participation was not a specific set-aside requirement for this award (ss: false, sb: false). Therefore, the direct impact on small businesses is likely limited unless Sigma Defense Systems engages them as subcontractors. Further analysis would be needed to determine if subcontracting opportunities were pursued or offered.

Oversight & Accountability

Oversight for this contract would typically be managed by the General Services Administration (GSA) and the specific program office within the agency that benefits from the services. Accountability measures are inherent in the firm fixed-price contract type, requiring the contractor to deliver specified services within the agreed budget. Transparency is generally maintained through contract award databases, though detailed performance metrics may be internal.

Related Government Programs

Defense Communications Infrastructure
Satellite Network Operations
Engineering Services for Federal Agencies
Facility Maintenance Contracts
Information Technology Support Services

Risk Flags

Potential for performance issues due to specialized technical requirements.
Reliance on a single contractor for critical infrastructure support.
Need for clear definition of scope to avoid cost overruns or unmet expectations.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $2.7 million to SIGMA DEFENSE SYSTEMS LLC. MANNED ASSET NETWORK ENGINEERING AND SATELLITE RELAY FACILITY MAINTENANCE SUPPORT

Who is the contractor on this award?

The obligated recipient is SIGMA DEFENSE SYSTEMS LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $2.7 million.

What is the period of performance?

Start: 2023-06-07. End: 2026-06-06.

What is Sigma Defense Systems' track record with similar GSA contracts?

Sigma Defense Systems LLC has a history of performing contracts for various federal agencies, including those involving engineering and technical support. While specific details on their performance with GSA for manned asset network engineering and satellite relay facility maintenance are not immediately available in this summary, their presence as a contractor suggests they possess the necessary qualifications. A deeper dive into their contract history, past performance reviews, and any reported issues or commendations would provide a more comprehensive understanding of their reliability and expertise in this specialized domain. Examining their portfolio of work with similar complex systems would also be beneficial.

How does the $2.66 million contract value compare to similar engineering and maintenance contracts for satellite facilities?

Benchmarking the $2.66 million contract value requires a detailed comparison with contracts for similar services, considering factors like contract duration, scope of work, geographic location, and the specific technologies involved. Contracts for manned asset network engineering and satellite relay facility maintenance can vary significantly in cost due to the highly specialized nature of the equipment and the required expertise. Without specific data on comparable contracts, it's difficult to definitively state whether this value is high or low. However, for a three-year period supporting critical infrastructure, this amount suggests a focused scope of work rather than a large-scale, multi-year program.

What are the primary risks associated with this contract for the government?

The primary risks for the government in this contract revolve around performance and contractor viability. Given the specialized nature of manned asset network engineering and satellite relay facility maintenance, a key risk is the contractor's ability to consistently deliver high-quality services and technical expertise. The firm fixed-price structure shifts cost risk to the contractor, but performance risk remains. If Sigma Defense Systems fails to meet performance standards, it could lead to disruptions in critical communication networks. Another risk is the potential for vendor lock-in or difficulty in transitioning to a new provider if issues arise, especially given the specialized knowledge required.

How effective is the firm fixed-price contract type in ensuring value for money in this context?

The firm fixed-price (FFP) contract type is generally effective in ensuring value for money when the scope of work is well-defined and risks can be reasonably estimated. In this case, for engineering and maintenance services, FFP incentivizes the contractor to manage costs efficiently and deliver the specified services within the agreed-upon price. This shifts the financial risk of cost overruns to Sigma Defense Systems. However, the effectiveness hinges on the clarity and completeness of the contract's statement of work. If unforeseen technical challenges arise that were not adequately scoped, the government might not receive the full benefit of the FFP structure, or the contractor might face undue hardship.

What is the historical spending trend for manned asset network engineering and satellite relay facility maintenance under GSA?

Analyzing historical spending trends for manned asset network engineering and satellite relay facility maintenance under GSA requires access to comprehensive federal procurement data. This specific contract is a delivery order, implying it's part of a larger contract vehicle. To understand trends, one would need to examine spending patterns for similar service categories (e.g., engineering services, IT support, facility maintenance) awarded by GSA or other relevant agencies over several fiscal years. Factors influencing trends include evolving technology, changes in defense or intelligence priorities, and overall federal budget allocations for infrastructure and operational support.

Are there any specific performance metrics or KPIs associated with this contract?

The provided data does not specify the performance metrics or Key Performance Indicators (KPIs) associated with this contract. Typically, for engineering and maintenance services, especially those related to critical infrastructure like satellite relay facilities, contracts will include detailed performance standards. These might cover aspects such as system uptime, response times for maintenance requests, successful completion of engineering tasks, adherence to security protocols, and quality of deliverables. The effectiveness of the contract and the value received by the government are directly tied to how well these metrics are defined, monitored, and enforced by the contracting officer's representative (COR).

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: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 47QFLA23Q0130

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1812 MACON RD, PERRY, GA, 31069

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

Financial Breakdown

Contract Ceiling: $3,758,046

Exercised Options: $2,853,480

Current Obligation: $2,664,794

Actual Outlays: $-92,080

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $361,584

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NOT OBTAINED - WAIVED

Parent Contract

Parent Award PIID: 47QFLA21D0007

IDV Type: IDC

Timeline