DHS Coast Guard awards $2.9M contract for wiring harness support to OLH Technical Services, LLC

Contract Overview

Contract Amount: $2,920,176 ($2.9M)

Contractor: OLH Technical Services, LLC

Awarding Agency: Department of Homeland Security

Start Date: 2024-08-06

End Date: 2025-08-05

Contract Duration: 364 days

Daily Burn Rate: $8.0K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: LABOR HOURS

Sector: Other

Official Description: WIRING HARNESS SUPPORT SERVICES OPTION PERIOD ONE.

Place of Performance

Location: ELIZABETH CITY, PASQUOTANK County, NORTH CAROLINA, 27909

State: North Carolina Government Spending

Plain-Language Summary

Department of Homeland Security obligated $2.9 million to OLH TECHNICAL SERVICES, LLC for work described as: WIRING HARNESS SUPPORT SERVICES OPTION PERIOD ONE. Key points: 1. Contract awarded for wiring harness support services, indicating a need for specialized technical assistance. 2. The contract is a delivery order under a larger agreement, suggesting a phased approach to procurement. 3. The awardee, OLH Technical Services, LLC, will provide services for a period of one year. 4. The North Carolina location for service delivery may have implications for local workforce and economic impact. 5. The contract type is 'Labor Hours', which can offer flexibility but requires careful monitoring of hours worked. 6. The absence of a specific Product Service Code (PSC) might indicate a unique or specialized service requirement.

Value Assessment

Rating: fair

The contract value of $2.92 million for one year of wiring harness support services appears to be within a reasonable range for specialized technical support. However, without specific details on the scope of work, labor categories, and hours, a precise value-for-money assessment is challenging. Benchmarking against similar contracts for specialized aviation support services would be necessary for a more definitive evaluation. The 'Labor Hours' contract type, while flexible, can sometimes lead to cost overruns if not managed diligently.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not competed. This approach is typically used when only one responsible source is available or when there is a compelling justification for not seeking competition. The lack of competition means that the government did not benefit from potential price reductions or innovative solutions that might have emerged from a competitive bidding process.

Taxpayer Impact: Taxpayers may not have received the best possible price due to the absence of competitive bidding. The government's ability to negotiate favorable terms is also limited in a sole-source scenario.

Public Impact

The U.S. Coast Guard benefits from specialized wiring harness support, crucial for maintaining aviation readiness and operational capabilities. Services delivered are essential for the upkeep and potential repair of aviation systems, ensuring the safety and effectiveness of Coast Guard aircraft. The geographic impact is centered in North Carolina, potentially supporting local technical jobs and businesses within the state. The contract may indirectly impact the aviation maintenance workforce by creating demand for skilled technicians specializing in wiring harness systems.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits price competition and potential for cost savings.
Labor hours contract type requires robust oversight to prevent scope creep and ensure efficient use of resources.
Lack of detailed performance metrics in the provided data makes it difficult to assess the contractor's track record or potential risks.

Positive Signals

Award to OLH Technical Services, LLC indicates a recognized capability in specialized support services.
The contract duration of one year provides a defined period for service delivery and performance evaluation.
The specific nature of wiring harness support suggests a critical need being met for aviation operations.

Sector Analysis

The aviation support services sector is a critical component of national defense and homeland security, encompassing a wide range of maintenance, repair, and operational support for aircraft. This contract for wiring harness support falls within the broader category of specialized technical services for aviation, which is a significant market driven by the need for high-reliability components and expert maintenance. Spending in this sector is often characterized by long-term contracts, specialized expertise, and a focus on mission-critical systems. Comparable spending benchmarks would typically involve analyzing contracts for similar technical support services provided to military or civilian aviation fleets.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses, nor does it explicitly mention subcontracting requirements for small businesses. Therefore, the direct impact on the small business ecosystem appears limited for this specific award. However, the prime contractor, OLH Technical Services, LLC, may engage small businesses as subcontractors if it aligns with their operational needs and the contract's flexibility.

Oversight & Accountability

Oversight for this contract will likely be managed by the U.S. Coast Guard contracting and program officials. As a sole-source award, there is an increased emphasis on ensuring the necessity of the service and the reasonableness of the price. Transparency may be limited due to the non-competitive nature, but contract performance will be monitored through established reporting mechanisms. The Department of Homeland Security's Office of Inspector General may conduct audits or investigations if concerns regarding waste, fraud, or abuse arise.

Related Government Programs

Department of Homeland Security Aviation Maintenance Contracts
U.S. Coast Guard Aircraft Support Services
Federal Contracts for Specialized Technical Services
Wiring Harness and Electrical System Maintenance Contracts

Risk Flags

Sole-source award may limit cost savings.
Labor hours contract requires robust oversight to manage costs.
Lack of detailed scope of work hinders comprehensive value assessment.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $2.9 million to OLH TECHNICAL SERVICES, LLC. WIRING HARNESS SUPPORT SERVICES OPTION PERIOD ONE.

Who is the contractor on this award?

The obligated recipient is OLH TECHNICAL SERVICES, LLC.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Coast Guard).

What is the total obligated amount?

The obligated amount is $2.9 million.

What is the period of performance?

Start: 2024-08-06. End: 2025-08-05.

What is the specific scope of work for 'wiring harness support services' under this contract?

The provided data does not detail the specific scope of work for 'wiring harness support services.' Typically, such services could encompass inspection, repair, replacement, fabrication, testing, and maintenance of electrical wiring harnesses used in aircraft. This might include troubleshooting electrical system issues, ensuring compliance with aviation standards, and providing technical documentation. A comprehensive understanding of the scope is crucial for evaluating the contract's value and performance, and would usually be detailed in the contract's Statement of Work (SOW).

What is OLH Technical Services, LLC's track record with the Department of Homeland Security or similar agencies?

Information regarding OLH Technical Services, LLC's specific track record with the Department of Homeland Security (DHS) or similar agencies is not provided in the data. A thorough assessment would require reviewing past performance evaluations, contract history, and any reported issues or successes with government contracts. Agencies often maintain performance databases (like the Contractor Performance Assessment Reporting System - CPARS) that provide insights into a contractor's reliability, quality of work, and adherence to schedule and cost constraints.

How does the $2.92 million contract value compare to similar wiring harness support contracts?

Benchmarking the $2.92 million contract value against similar wiring harness support contracts is challenging without more specific data on the scope of work, labor rates, and duration. However, for a one-year contract providing specialized technical support for aviation systems, this amount appears to be within a plausible range. A detailed comparison would involve analyzing contract databases for awards with similar service descriptions, agency, and contract types to identify average pricing and identify any outliers that might warrant further investigation into cost reasonableness.

What are the primary risks associated with a sole-source award for these services?

The primary risks associated with a sole-source award for wiring harness support services include a lack of price competition, potentially leading to higher costs for the government. There's also a reduced incentive for the contractor to innovate or provide exceptional value, as there are no competing offers. Furthermore, the government's negotiating leverage is diminished. Ensuring the necessity of the sole-source justification and conducting thorough price analysis are critical risk mitigation strategies.

What is the historical spending pattern for wiring harness support services by the U.S. Coast Guard?

Historical spending patterns for wiring harness support services by the U.S. Coast Guard are not detailed in the provided data. To analyze this, one would need to access historical contract databases and filter for similar services, agencies, and potentially the same contractor over several fiscal years. Understanding past spending can reveal trends, identify periods of increased or decreased investment, and highlight any recurring needs or issues that may have led to this specific sole-source award.

What are the implications of the 'Labor Hours' contract type for cost control and oversight?

The 'Labor Hours' contract type offers flexibility by allowing the government to pay for the actual time spent by contractor personnel. This is often used when the scope of work is not precisely defined or is expected to vary. However, it carries risks related to cost control, as the total cost is directly tied to the hours worked. Effective oversight is crucial, requiring diligent monitoring of labor hours, verification of work performed, and strict adherence to pre-negotiated labor rates to prevent cost overruns and ensure efficient resource utilization.

Industry Classification

NAICS: Transportation and Warehousing › Support Activities for Air Transportation › Other Support Activities for Air Transportation

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 2702 DENALI ST, ANCHORAGE, AK, 99503

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $2,920,176

Exercised Options: $2,920,176

Current Obligation: $2,920,176

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 70Z03823DK0000001

IDV Type: IDC

Timeline