DOE awards $2.6M for nuclear materials positions, extending contract to 2026

Contract Overview

Contract Amount: $2,626,954 ($2.6M)

Contractor: S & K Logistics Services LLC

Awarding Agency: Department of Energy

Start Date: 2020-12-30

End Date: 2026-03-19

Contract Duration: 1,905 days

Daily Burn Rate: $1.4K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: INCREMENTALLY FUND NEW CONTRACT (12/30/2020 - 12/29/2021) FOR 2XNUCLEAR MATERIALS POSITIONS ON THE TECH CONTRACT

Place of Performance

Location: AIKEN, AIKEN County, SOUTH CAROLINA, 29802

State: South Carolina Government Spending

Plain-Language Summary

Department of Energy obligated $2.6 million to S & K LOGISTICS SERVICES LLC for work described as: INCREMENTALLY FUND NEW CONTRACT (12/30/2020 - 12/29/2021) FOR 2XNUCLEAR MATERIALS POSITIONS ON THE TECH CONTRACT Key points: 1. Contract value represents incremental funding for ongoing services. 2. Services are critical for nuclear materials management and safety. 3. Limited competition raises questions about optimal pricing. 4. Contract duration extends significantly beyond initial award. 5. Geographic focus on South Carolina for specialized services. 6. Firm-fixed-price structure aims to control costs.

Value Assessment

Rating: fair

The incremental funding of $2.6 million for this delivery order appears to be for specialized nuclear materials positions. Without a clear baseline for the total contract value or the specific deliverables tied to this funding increment, a direct comparison to similar contracts is challenging. The firm-fixed-price structure is a positive indicator for cost control, but the lack of competitive bidding limits the ability to benchmark pricing against market rates.

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 often used when a specific contractor possesses unique capabilities or when there is a compelling reason to avoid full and open competition. The lack of multiple bidders means there was no opportunity for price discovery through a competitive process, potentially leading to higher costs for the government.

Taxpayer Impact: Taxpayers may not be receiving the best possible price due to the absence of competitive bidding. The government's ability to negotiate favorable terms is reduced when only one vendor is considered.

Public Impact

The Department of Energy benefits from continued specialized expertise in nuclear materials management. Services ensure the safe handling, storage, and disposition of nuclear materials. The contract supports critical national security and environmental protection missions. Workforce implications include the need for highly specialized personnel in nuclear science and engineering. Geographic impact is concentrated in South Carolina, where the services are likely performed.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Engineering Services sector, specifically supporting the Department of Energy's complex mission related to nuclear materials. The market for such specialized services is often limited due to stringent security clearances, technical expertise, and regulatory requirements. Comparable spending benchmarks are difficult to establish without more detail on the specific tasks and deliverables, but government spending on nuclear materials management is substantial and critical for national security and environmental safety.

Small Business Impact

The contract was not awarded to a small business, nor does it appear to have specific small business set-aside provisions. There is no information available regarding subcontracting plans for small businesses. This contract does not seem to directly impact the small business ecosystem, as it is a sole-source award to a larger entity.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of Energy's internal procurement and program management offices. Accountability measures would be tied to the performance requirements outlined in the contract. Transparency is limited due to the sole-source nature of the award and the specific details of the services provided, which may involve sensitive nuclear materials information. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Risk Flags

Tags

engineering-services, department-of-energy, nuclear-materials, south-carolina, delivery-order, sole-source, firm-fixed-price, ongoing-services, national-security

Frequently Asked Questions

What is this federal contract paying for?

Department of Energy awarded $2.6 million to S & K LOGISTICS SERVICES LLC. INCREMENTALLY FUND NEW CONTRACT (12/30/2020 - 12/29/2021) FOR 2XNUCLEAR MATERIALS POSITIONS ON THE TECH CONTRACT

Who is the contractor on this award?

The obligated recipient is S & K LOGISTICS SERVICES LLC.

Which agency awarded this contract?

Awarding agency: Department of Energy (Department of Energy).

What is the total obligated amount?

The obligated amount is $2.6 million.

What is the period of performance?

Start: 2020-12-30. End: 2026-03-19.

What is the total value of the contract, including all potential options and exercised periods?

The provided data indicates an incremental funding amount of $2,626,953.63 for the period of 12/30/2020 to 12/29/2021. The contract's end date is listed as 2026-03-19, suggesting a longer overall period of performance. However, the total value of the contract, encompassing all potential future funding and options beyond this specific delivery order, is not explicitly stated in the provided data. Further investigation into the contract's award details and modification history would be necessary to ascertain the full contract ceiling and obligated amounts over its entire duration.

What specific nuclear materials positions are being filled under this contract?

The provided data specifies '2XNUCLEAR MATERIALS POSITIONS ON THE TECH CONTRACT' as the service description for this incremental funding. This suggests the contract is intended to fund personnel or roles directly involved in managing, handling, or overseeing nuclear materials. The 'TECH CONTRACT' likely refers to a broader technical services agreement. Without more detailed documentation, the precise nature of these positions (e.g., scientists, engineers, safety officers, technicians) and their specific responsibilities within the nuclear materials lifecycle (e.g., processing, storage, transport, disposal, security) remains unspecified. Accessing the contract statement of work would provide clarity.

Why was this contract awarded on a sole-source basis?

The data explicitly states the contract type as 'NOT AVAILABLE FOR COMPETITION,' which typically signifies a sole-source or limited-source award. The justification for such an award usually stems from unique capabilities, specialized knowledge, or urgent needs that only a specific contractor can meet. For contracts involving nuclear materials, this could be due to highly specialized technical expertise, existing infrastructure, security clearances, or proprietary processes held by the contractor. The Department of Energy would have a formal justification document outlining the rationale for not pursuing full and open competition, often requiring approval from higher authorities.

What is the performance history of S & K LOGISTICS SERVICES LLC with the Department of Energy?

The provided data does not include specific performance metrics or a detailed history of S & K LOGISTICS SERVICES LLC's performance on this or other contracts with the Department of Energy. While the contract is active and receiving funding, this does not inherently indicate satisfactory performance. A comprehensive assessment would require reviewing past performance evaluations, any documented issues or commendations, and the contractor's track record on similar projects. Information on past performance is often available through government databases like the Contractor Performance Assessment Reporting System (CPARS), but is not included in this dataset.

How does the firm-fixed-price structure benefit taxpayers in this context?

A firm-fixed-price (FFP) contract structure is generally beneficial for taxpayers because it shifts the risk of cost overruns from the government to the contractor. Under an FFP agreement, the contractor is obligated to complete the work for a predetermined price, regardless of their actual costs. This provides cost certainty for the government and encourages the contractor to manage their expenses efficiently. In the context of specialized services like nuclear materials management, where unforeseen technical challenges can arise, the FFP structure incentivizes the contractor to proactively identify and mitigate risks to maintain profitability, ultimately protecting taxpayer funds from unexpected cost increases.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 89303720REM0000017

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 138 PEACHTREE PKWY, BYRON, GA, 31008

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

Financial Breakdown

Contract Ceiling: $2,626,954

Exercised Options: $2,626,954

Current Obligation: $2,626,954

Actual Outlays: $2,111,429

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 89303721DEM000010

IDV Type: IDC

Timeline

Start Date: 2020-12-30

Current End Date: 2026-03-19

Potential End Date: 2026-03-19 00:00:00

Last Modified: 2026-03-19

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