DHS Coast Guard awards $9.4M RF Comms engineering contract to Apogee Engineering, LLC

Contract Overview

Contract Amount: $9,443,970 ($9.4M)

Contractor: Apogee Engineering, LLC

Awarding Agency: Department of Homeland Security

Start Date: 2018-08-30

End Date: 2019-05-29

Contract Duration: 272 days

Daily Burn Rate: $34.7K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: RADIO FREQUENCY COMMUNICATIONS (RF COMMS) ENGINEERING AND TECHNICAL DESIGN SUPPORT

Place of Performance

Location: COLORADO SPRINGS, EL PASO County, COLORADO, 80920

State: Colorado Government Spending

Plain-Language Summary

Department of Homeland Security obligated $9.4 million to APOGEE ENGINEERING, LLC for work described as: RADIO FREQUENCY COMMUNICATIONS (RF COMMS) ENGINEERING AND TECHNICAL DESIGN SUPPORT Key points: 1. Contract value represents a moderate investment in specialized engineering services. 2. Competition was open, suggesting a competitive market for these services. 3. Contract duration of 272 days indicates a focused, short-term project. 4. The firm fixed-price structure shifts performance risk to the contractor. 5. This award falls within the broader engineering services sector for federal procurement. 6. The contract was awarded as a delivery order, implying it's part of a larger indefinite delivery contract.

Value Assessment

Rating: good

The contract value of $9.44 million for approximately 9 months of service appears reasonable given the specialized nature of RF communications engineering. Benchmarking against similar contracts for engineering and technical design support in the defense and homeland security sectors suggests this pricing is within expected ranges. The firm fixed-price contract type indicates that the contractor is responsible for managing costs to deliver the agreed-upon services, which can be an indicator of good value if performance is met.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES'. This indicates that while the competition was intended to be open, specific sources were excluded, potentially narrowing the field of bidders. The number of bidders is not specified, but the exclusion of sources suggests a less broad competition than a purely full and open process. This could impact price discovery and potentially lead to higher prices than if all potential sources were considered.

Taxpayer Impact: Taxpayers may have received slightly less competitive pricing due to the exclusion of certain sources, although the extent of this impact is unknown without knowing which sources were excluded and why.

Public Impact

The U.S. Coast Guard benefits from specialized RF communications engineering and technical design support. Services delivered are critical for maintaining and improving the Coast Guard's communication infrastructure. The geographic impact is likely focused on areas where the Coast Guard operates and requires RF support. Workforce implications include the engagement of skilled engineering professionals in the RF communications field.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for limited competition due to exclusion of sources.
Risk of cost overruns if the firm fixed-price contract is not managed effectively by the contractor.
Dependence on a single contractor for specialized technical design support.

Positive Signals

Firm fixed-price contract shifts risk to the contractor.
Awarded to a single entity, potentially streamlining project management.
Specialized engineering services are crucial for operational effectiveness.

Sector Analysis

The federal government procures a wide array of engineering and technical services to support its diverse missions. This contract for RF communications engineering falls within the broader professional, scientific, and technical services sector, which is a significant area of federal spending. The market for such specialized engineering support is competitive, with numerous firms capable of providing these services. The Department of Homeland Security, and specifically the U.S. Coast Guard, frequently awards contracts for technical design and engineering support to ensure the reliability and advancement of their operational systems.

Small Business Impact

The contract was not set aside for small businesses, and the awardee, Apogee Engineering, LLC, is not explicitly identified as a small business in the provided data. This suggests that the procurement was not specifically aimed at increasing small business participation. There is no information provided regarding subcontracting plans, so the impact on the small business ecosystem is likely minimal unless Apogee Engineering voluntarily engages small businesses as subcontractors.

Oversight & Accountability

Oversight for this contract would typically be managed by the U.S. Coast Guard contracting officer and program managers. Accountability measures are embedded in the firm fixed-price contract terms, requiring the contractor to deliver specified services within the agreed price. Transparency is generally maintained through federal procurement databases like FPDS, where contract awards are reported. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Department of Homeland Security - U.S. Coast Guard Procurement
Engineering Services Contracts
Radio Frequency Communications Support
Technical Design Services

Risk Flags

Limited competition due to source exclusion.
Potential for contractor cost overruns impacting quality.
Reliance on specialized technical expertise.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $9.4 million to APOGEE ENGINEERING, LLC. RADIO FREQUENCY COMMUNICATIONS (RF COMMS) ENGINEERING AND TECHNICAL DESIGN SUPPORT

Who is the contractor on this award?

The obligated recipient is APOGEE ENGINEERING, 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 $9.4 million.

What is the period of performance?

Start: 2018-08-30. End: 2019-05-29.

What is Apogee Engineering, LLC's track record with federal contracts, particularly within DHS or the USCG?

Apogee Engineering, LLC has a history of receiving federal contracts, primarily within the defense and homeland security sectors. Data from federal procurement databases indicates they have been awarded contracts by various agencies, including the Department of Defense and the Department of Homeland Security. Their awards often relate to engineering services, technical support, and specialized technical solutions. While specific details on past performance on similar RF communications contracts would require deeper analysis, their consistent presence in federal contracting suggests a level of established capability and experience in serving government needs. Further review of their contract history would reveal specific performance ratings and any past issues.

How does the $9.44 million contract value compare to similar RF communications engineering contracts awarded by the USCG or DHS?

The $9.44 million contract value for approximately nine months of RF communications engineering and technical design support appears to be within a reasonable range for specialized federal contracts of this nature. Benchmarking against similar awards for engineering services, particularly those involving complex communication systems within defense or homeland security agencies, suggests that this figure is not exceptionally high or low. The specific scope of work, required expertise, and duration are key factors influencing cost. Without a direct comparison of identical scopes, it's difficult to provide a precise benchmark, but the value aligns with the specialized and critical nature of the services provided to the U.S. Coast Guard.

What are the primary risks associated with this firm fixed-price contract for RF communications engineering?

The primary risks associated with this firm fixed-price (FFP) contract lie with the contractor, Apogee Engineering, LLC. If the contractor underestimates the costs, resources, or time required to complete the project, they risk reduced profit margins or even financial losses. Conversely, the government's risk is that the contractor may cut corners on quality or scope to maintain profitability, potentially impacting the effectiveness of the RF communications systems. Another risk is the potential for scope creep if the requirements are not clearly defined or if changes are introduced without proper contract modification, which could lead to disputes or cost increases if not managed carefully.

How effective is the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' approach in ensuring competitive pricing for specialized engineering services?

The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' approach aims to balance broad competition with specific agency needs or capabilities. While it allows for a wide range of potential bidders, the exclusion of certain sources inherently limits the competitive pool. The effectiveness in ensuring competitive pricing depends heavily on the rationale for the exclusion and the number of remaining eligible bidders. If the excluded sources represent significant market players or if the remaining pool is small, pricing may be less competitive than a truly unrestricted full and open competition. However, if the exclusions are justified (e.g., based on specific technical requirements or past performance), and a sufficient number of capable bidders remain, it can still yield competitive pricing while ensuring the government procures from qualified sources.

What is the historical spending pattern for RF communications engineering services by the U.S. Coast Guard?

Historical spending patterns for RF communications engineering services by the U.S. Coast Guard indicate a consistent need for such specialized support. The Coast Guard, like other maritime and security agencies, relies heavily on robust and secure communication systems, which require ongoing engineering, design, and technical support. Spending in this category can fluctuate based on modernization efforts, new technology integration, and maintenance requirements. Awards for these services are typically made through various contract vehicles, including indefinite delivery/indefinite quantity (IDIQ) contracts and individual delivery orders or task orders, often competed on a full and open or limited basis. The total annual spending can vary significantly year-to-year depending on major program initiatives.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 70Z04418R18001800

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 8610 EXPLORER DRIVE, SUITE 305, COLORADO SPRINGS, CO, 80920

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

Financial Breakdown

Contract Ceiling: $9,443,970

Exercised Options: $9,443,970

Current Obligation: $9,443,970

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00Q14OADS133

IDV Type: IDC

Timeline