GSA awards $51.8M engineering services contract to Linquest Corporation, a sole-source delivery order

Contract Overview

Contract Amount: $51,840,880 ($51.8M)

Contractor: Linquest Corporation

Awarding Agency: General Services Administration

Start Date: 2023-08-04

End Date: 2026-08-03

Contract Duration: 1,095 days

Daily Burn Rate: $47.3K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: SBIR PHASE III IDEAAS TASK ORDER 1

Place of Performance

Location: BEAVERCREEK, GREENE County, OHIO, 45431

State: Ohio Government Spending

Plain-Language Summary

General Services Administration obligated $51.8 million to LINQUEST CORPORATION for work described as: SBIR PHASE III IDEAAS TASK ORDER 1 Key points: 1. Contract awarded on a sole-source basis, limiting price competition. 2. Delivery order under an existing contract, suggesting a pre-established relationship. 3. Engineering services are critical for federal infrastructure and technology development. 4. Contract duration of 1095 days indicates a medium-term commitment. 5. The 'NOT AVAILABLE FOR COMPETITION' status warrants scrutiny of justification. 6. Time and Materials pricing structure can pose cost control challenges.

Value Assessment

Rating: questionable

Benchmarking the value of this specific delivery order is challenging without knowing the original contract's terms and competition. However, the sole-source nature raises concerns about potential overpayment compared to a competitively bid scenario. The Time and Materials (T&M) pricing model, while flexible, can lead to higher costs if not managed diligently, especially for engineering services where scope creep is possible. Without comparable T&M rates for similar engineering services under competitive contracts, assessing true value-for-money is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded as a sole-source delivery order, meaning it was not competed. The justification for 'NOT AVAILABLE FOR COMPETITION' needs to be thoroughly reviewed to understand why full and open competition was not feasible. A sole-source award typically results in less competitive pricing and potentially limits the government's access to the full range of innovative solutions available in the market.

Taxpayer Impact: Sole-source awards mean taxpayers may not benefit from the cost savings typically achieved through competitive bidding, potentially leading to higher overall expenditure for these engineering services.

Public Impact

Federal agencies requiring specialized engineering expertise will benefit from the services provided. The contract supports the delivery of engineering services, crucial for various government projects. The geographic impact is primarily in Ohio, where the contractor is located, but services may extend to federal operations nationwide. The contract supports skilled engineering jobs within the contractor's organization.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competitive pressure on pricing.
Time and Materials pricing can lead to cost overruns if not tightly managed.
Lack of competition may reduce innovation and access to broader market capabilities.
The specific justification for sole-source award requires detailed examination for adequacy.

Positive Signals

Contract awarded to a specific entity (Linquest Corporation) suggesting a known capability.
Delivery order under an existing contract may indicate a streamlined process for essential services.
Engineering services are vital for government operations and infrastructure.

Sector Analysis

Engineering services represent a significant segment of the federal contracting market, encompassing a wide range of specialized expertise from civil and mechanical to electrical and aerospace engineering. This contract falls within the broader professional, scientific, and technical services sector. The federal government is a major consumer of these services, utilizing them for everything from designing infrastructure and developing new technologies to providing technical consulting and program management. Comparable spending benchmarks are difficult to establish without specific service details, but the overall federal spend on engineering services runs into billions annually.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). As a sole-source award, there are no explicit subcontracting requirements for small businesses mandated by the competition type. The impact on the small business ecosystem is therefore indirect, as opportunities that might have arisen from a competitive bidding process are not present.

Oversight & Accountability

Oversight for this contract would primarily fall under the General Services Administration (GSA), specifically the Federal Acquisition Service. The contract's performance and adherence to terms, especially given the Time and Materials structure, would be subject to GSA's contract management and oversight. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected. Transparency is limited by the sole-source nature and the lack of publicly available detailed justification.

Related Government Programs

Engineering Services
Professional, Scientific, and Technical Services
Delivery Orders
Time and Materials Contracts

Risk Flags

Sole-source award requires justification review.
Time and Materials pricing necessitates robust oversight.
Potential for limited competition impacting value.
Contract duration and value warrant performance monitoring.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $51.8 million to LINQUEST CORPORATION. SBIR PHASE III IDEAAS TASK ORDER 1

Who is the contractor on this award?

The obligated recipient is LINQUEST CORPORATION.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $51.8 million.

What is the period of performance?

Start: 2023-08-04. End: 2026-08-03.

What is the specific justification provided by GSA for awarding this contract on a sole-source basis to Linquest Corporation?

The provided data indicates the contract was awarded under 'NOT AVAILABLE FOR COMPETITION' (ct). A detailed review of the Federal Procurement Data System (FPDS) or agency-specific contract files would be necessary to ascertain the precise justification. Common reasons for sole-source awards include: the existence of only one responsible source (e.g., proprietary technology, unique expertise), urgent and compelling needs where competition is not feasible, or specific statutory authorities. Without the official justification, it's impossible to definitively state why full and open competition was bypassed. This lack of transparency is a key area for further investigation.

How does the Time and Materials (T&M) pricing structure for this $51.8M contract compare to industry benchmarks for similar engineering services?

Benchmarking T&M rates for engineering services is complex as rates vary significantly based on skill level, experience, geographic location, and the specific technical domain. The provided data does not include the specific labor categories or rates. However, T&M contracts are generally considered higher risk for the government regarding cost control compared to fixed-price contracts. To assess value, one would need to compare Linquest's billed labor rates and indirect cost markups against GSA schedules, other government contracts for similar services, or industry surveys. A high number of labor hours billed without clear deliverables or milestones can indicate potential inefficiencies or scope creep, making oversight critical.

What is Linquest Corporation's track record with the federal government, particularly with GSA, for engineering services?

Linquest Corporation has a history of federal contracting, including work with agencies like the Department of Defense and GSA. Their portfolio often includes engineering, IT, and professional services. To assess their track record specifically for this type of engineering service and contract vehicle, a deeper dive into their past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), prior contract values, and any past issues or successes would be necessary. The fact that this is a delivery order under an existing contract suggests a prior relationship and potentially a positive performance history that led to this award, but specific details are not in the provided data.

What are the potential risks associated with a sole-source award of this magnitude for engineering services?

The primary risks associated with a sole-source award of this magnitude ($51.8M) are related to cost and performance. Without competition, there is less incentive for the contractor to offer the most competitive pricing, potentially leading to higher costs for taxpayers. Furthermore, the government may not be exposed to the full range of innovative solutions or the most efficient service providers available in the market. There's also a risk that the justification for sole-source could be weak, indicating potential issues with acquisition planning or a lack of market research. Effective contract management and oversight become even more critical to mitigate these risks.

How does this contract fit into the broader landscape of federal spending on engineering services, and are there historical spending patterns with Linquest Corporation?

Federal spending on engineering services is substantial, often running into tens of billions of dollars annually across various agencies. This $51.8M contract represents a moderate-sized award within that vast ecosystem. Historical spending patterns with Linquest Corporation would require analyzing past contract awards to them. If this delivery order is part of a larger, existing contract, it suggests a continuing relationship. Analyzing trends in their awards (e.g., increasing or decreasing contract values, shifts in service types, agency focus) could reveal patterns in their federal business. Without access to historical contract databases, specific patterns cannot be identified from the provided data alone.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - NETWORK

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 47QFLA23R0018

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 2551 DULLES VIEW DR STE 200, HERNDON, VA, 20171

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

Financial Breakdown

Contract Ceiling: $120,188,002

Exercised Options: $74,582,792

Current Obligation: $51,840,880

Actual Outlays: $-1,948

Subaward Activity

Number of Subawards: 9

Total Subaward Amount: $31,778,935

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: 47QFLA23D0007

IDV Type: IDC

Timeline