DOE's $31M+ consulting contract with Dependable Global Solutions, LLC shows fair value despite limited competition
Contract Overview
Contract Amount: $31,075,766 ($31.1M)
Contractor: Dependable Global Solutions, LLC
Awarding Agency: Department of Energy
Start Date: 2019-03-12
End Date: 2025-12-31
Contract Duration: 2,486 days
Daily Burn Rate: $12.5K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Pricing Type: TIME AND MATERIALS
Sector: Other
Official Description: TASK ORDER 8
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20585
Plain-Language Summary
Department of Energy obligated $31.1 million to DEPENDABLE GLOBAL SOLUTIONS, LLC for work described as: TASK ORDER 8 Key points: 1. The contract's value appears reasonable when benchmarked against similar consulting services. 2. Competition was limited, raising questions about optimal price discovery for taxpayer funds. 3. Performance risk appears low given the nature of consulting services and contractor experience. 4. The contract duration is substantial, indicating a long-term need for these services. 5. This contract falls within the broad category of scientific and technical consulting. 6. The use of Time and Materials pricing introduces some cost uncertainty.
Value Assessment
Rating: fair
The total award amount of over $31 million for consulting services over approximately 6.5 years suggests a moderate annual spend. Benchmarking against similar 'Other Scientific and Technical Consulting Services' contracts indicates that this pricing is within a reasonable range, though specific service details would allow for a more precise comparison. The Time and Materials (T&M) pricing structure, while common for consulting, can lead to cost overruns if not carefully managed, but the duration and scope suggest a negotiated rate that aims for value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' which implies that while initially open, certain sources were excluded, leading to a limited competition scenario. The specific reasons for exclusion are not detailed here but could impact the number of bidders and the ultimate price competitiveness. A limited competition environment may result in higher prices compared to full and open competition with multiple bidders.
Taxpayer Impact: Limited competition can mean taxpayers may not be getting the absolute lowest price achievable if a broader pool of bidders were allowed to compete. This necessitates strong oversight to ensure fair pricing.
Public Impact
The Department of Energy benefits from specialized consulting services to support its mission. Services likely include technical analysis, research support, and strategic planning. The contract's impact is primarily national, supporting DOE's federal operations. Workforce implications are likely related to specialized technical and analytical roles.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Time and Materials pricing can lead to cost escalation if not closely monitored.
- Limited competition may result in less favorable pricing for the government.
- The long contract duration increases the risk of scope creep or changing requirements.
Positive Signals
- The contract is with a single entity, suggesting a focused relationship.
- The duration implies a stable, ongoing need for the services provided.
- The award is to a specific LLC, indicating a potentially specialized provider.
Sector Analysis
This contract falls under the 'Other Scientific and Technical Consulting Services' NAICS code (541690). This sector encompasses a wide range of advisory and analytical services supporting scientific and technical endeavors. Federal spending in this area is substantial, often supporting research, development, policy analysis, and program management across various agencies. Benchmarking is difficult without specific service details, but consulting services are a common expenditure for agencies like the Department of Energy to augment internal expertise.
Small Business Impact
The data indicates this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications or specific benefits to the small business ecosystem stemming from this particular award. The focus is likely on larger, established firms capable of handling the scope and duration of the services required.
Oversight & Accountability
Oversight for this contract would primarily reside within the Department of Energy's contracting and program management offices. Accountability measures would be tied to performance metrics outlined in the contract's Statement of Work and delivery schedules. Transparency is generally facilitated through federal procurement databases like FPDS, where basic contract information is available, though detailed performance reviews are typically internal.
Related Government Programs
- Department of Energy Consulting Services
- Scientific and Technical Consulting Contracts
- Federal Professional Services Contracts
- Time and Materials Contracts
Risk Flags
- Limited competition may impact price.
- Time and Materials pricing introduces cost uncertainty.
- Long contract duration increases risk.
Tags
department-of-energy, consulting-services, scientific-and-technical-consulting, time-and-materials, limited-competition, federal-contract, district-of-columbia, task-order, delivery-order, other-scientific-and-technical-consulting-services
Frequently Asked Questions
What is this federal contract paying for?
Department of Energy awarded $31.1 million to DEPENDABLE GLOBAL SOLUTIONS, LLC. TASK ORDER 8
Who is the contractor on this award?
The obligated recipient is DEPENDABLE GLOBAL SOLUTIONS, LLC.
Which agency awarded this contract?
Awarding agency: Department of Energy (Department of Energy).
What is the total obligated amount?
The obligated amount is $31.1 million.
What is the period of performance?
Start: 2019-03-12. End: 2025-12-31.
What is the track record of Dependable Global Solutions, LLC with federal contracts?
Dependable Global Solutions, LLC has a history of receiving federal contracts, primarily with the Department of Energy. While this specific task order represents a significant award, a comprehensive review would involve examining their performance on previous contracts, including any reported issues, contract modifications, or successful completions. Analyzing past performance data, if available, would provide insight into their reliability, quality of service, and ability to manage complex projects within budget and schedule. Without access to detailed performance reviews or past contract histories beyond this award, it's difficult to definitively assess their overall track record.
How does the value of this contract compare to similar consulting services procured by the Department of Energy?
The total award of over $31 million for consulting services over approximately 6.5 years translates to an average annual value of roughly $4.8 million. This figure needs to be contextualized within the specific nature of the 'Other Scientific and Technical Consulting Services' being procured. If these services involve highly specialized technical analysis, strategic planning, or support for complex energy projects, this annual value might be considered moderate. However, without a detailed breakdown of the services rendered and comparison to contracts with identical or highly similar scopes of work, a precise value-for-money assessment is challenging. General benchmarks for consulting services suggest this falls within a plausible range for significant federal engagements.
What are the primary risks associated with this Time and Materials contract?
The primary risk with a Time and Materials (T&M) contract, like this one, is the potential for cost overruns. Unlike fixed-price contracts, T&M agreements reimburse the contractor for direct labor hours at specified rates and for the cost of materials. If project scope is not tightly managed, or if efficiency is low, the total cost can exceed initial estimates. For the Department of Energy, this means diligent oversight is crucial to ensure that hours billed are reasonable and necessary, and that material costs are fair. The long duration of this contract (over 2 years) amplifies this risk, as requirements and market rates can change over time.
How effective is the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' method in ensuring competitive pricing?
The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' method is intended to balance the need for broad competition with specific agency requirements that might necessitate excluding certain potential offerors. While it starts with an open approach, the subsequent exclusion means the pool of competitors is smaller than in a purely full and open competition. This reduction in bidders can lessen the pressure on pricing, potentially leading to higher costs for the government compared to a scenario with maximum feasible competition. The effectiveness hinges on the justification for excluding sources; if valid, it may still yield competitive pricing, but if arbitrary, it could be detrimental to taxpayer value.
What is the historical spending trend for 'Other Scientific and Technical Consulting Services' at the Department of Energy?
Historical spending on 'Other Scientific and Technical Consulting Services' (NAICS 541690) by the Department of Energy (DOE) has been substantial and generally consistent, reflecting the agency's reliance on external expertise for complex scientific, technical, and policy-related tasks. While specific year-over-year figures fluctuate based on program needs and budget allocations, consulting services remain a critical component of DOE's operational framework. This contract, valued at over $31 million, aligns with the agency's typical investment in such services to support its diverse mission areas, from energy research and development to national security and environmental management. Analyzing trends would require a multi-year dataset to identify patterns and significant deviations.
Are there any specific performance metrics or KPIs associated with this contract that indicate success?
The provided data does not include specific performance metrics or Key Performance Indicators (KPIs) for this contract. Typically, such metrics would be detailed within the contract's Statement of Work (SOW) or Performance Work Statement (PWS). For a consulting services contract, KPIs might include adherence to project timelines, quality of deliverables (e.g., reports, analyses), responsiveness to requests, and achievement of specific project milestones. The effectiveness of the contract is judged against these unstated metrics. Without access to the SOW/PWS, assessing the contractor's performance and the overall success of the engagement beyond the award amount and duration is not possible.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Other Scientific and Technical Consulting Services
Product/Service Code: RESEARCH AND DEVELOPMENT › DEFENSE (OTHER) R&D
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Parent Company: Brown & Root Industrial Services Holdings, LLC
Address: 3110 FAIRVIEW PK DR STE 950, FALLS CHURCH, VA, 22042
Business Categories: 8(a) Program Participant, Asian Pacific American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $35,306,350
Exercised Options: $35,306,350
Current Obligation: $31,075,766
Actual Outlays: $24,088,052
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: DEET0000001
IDV Type: IDC
Timeline
Start Date: 2019-03-12
Current End Date: 2025-12-31
Potential End Date: 2025-12-31 00:00:00
Last Modified: 2025-12-18
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