Army's APS-3 Afloat Mission Contract Exceeds $184M with KBR Wyle Services

Contract Overview

Contract Amount: $184,336,668 ($184.3M)

Contractor: KBR Wyle Services, LLC

Awarding Agency: Department of Defense

Start Date: 2009-09-14

End Date: 2014-09-14

Contract Duration: 1,826 days

Daily Burn Rate: $101.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: COST PLUS AWARD FEE

Sector: Engineering Services

Official Description: ARMY PREPOSISTIONED STOCKS-3 (APS-3) AFLOAT MISSION

Place of Performance

Location: HERNDON, FAIRFAX County, VIRGINIA, 20170

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $184.3 million to KBR WYLE SERVICES, LLC for work described as: ARMY PREPOSISTIONED STOCKS-3 (APS-3) AFLOAT MISSION Key points: 1. The contract value is substantial at over $184 million. 2. KBR Wyle Services, LLC is the sole awardee. 3. The contract type is Cost Plus Award Fee, which can lead to higher costs. 4. Engineering Services (NAICS 541330) is the sector.

Value Assessment

Rating: fair

The Cost Plus Award Fee (CPAF) contract type allows for cost reimbursement plus an award fee, which can incentivize performance but also lead to higher overall spending compared to fixed-price contracts. Benchmarking against similar engineering services contracts is difficult without more detailed cost breakdowns.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the specific award mechanism (Delivery Order) and the CPAF structure may have influenced the final price discovery.

Taxpayer Impact: The substantial contract value indicates significant taxpayer investment. The CPAF structure necessitates careful oversight to ensure award fees are tied to demonstrable performance and value for money.

Public Impact

Supports critical Army prepositioned stocks, ensuring readiness. Long-term contract duration (5 years) indicates ongoing need. Potential for cost overruns due to CPAF structure. Impacts the logistics and sustainment capabilities of the Army.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under Engineering Services, a broad category often involving complex technical support and project management. Spending in this sector can vary widely based on project scope and duration, but large-scale defense logistics contracts represent a significant portion of government engineering expenditures.

Small Business Impact

The data indicates that this contract was not awarded to small businesses, as the 'sb' field is false. Further analysis would be needed to determine if small business participation was sought or if subcontracting opportunities were made available.

Oversight & Accountability

The Cost Plus Award Fee structure requires robust oversight to ensure that award fees are justified by performance and that costs are reasonable. Monitoring the contractor's performance against established metrics and award criteria is crucial for accountability.

Related Government Programs

Risk Flags

Tags

engineering-services, department-of-defense, va, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $184.3 million to KBR WYLE SERVICES, LLC. ARMY PREPOSISTIONED STOCKS-3 (APS-3) AFLOAT MISSION

Who is the contractor on this award?

The obligated recipient is KBR WYLE SERVICES, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $184.3 million.

What is the period of performance?

Start: 2009-09-14. End: 2014-09-14.

What specific engineering services were provided under this contract, and how did they directly contribute to the mission's success?

The contract likely encompassed a range of engineering services essential for managing and maintaining Army Prepositioned Stocks-3 (APS-3) Afloat Mission. This could include technical support, logistics planning, maintenance oversight, and potentially modifications or upgrades to equipment stored on vessels. The success hinges on ensuring these services maintained the readiness and operability of the prepositioned equipment for rapid deployment.

How were the award fees determined and what metrics were used to justify them, given the CPAF structure?

The determination of award fees under a CPAF contract is typically based on pre-defined performance objectives and metrics outlined in the contract. These could include factors like timeliness of support, quality of engineering services, cost control adherence, and overall mission support effectiveness. A thorough review of the contractor's performance against these specific criteria would be necessary to validate the awarded fees.

What is the long-term strategic value of maintaining APS-3 Afloat Mission, and how does this contract support that value?

The APS-3 Afloat Mission provides the Army with strategic depth and rapid deployment capabilities by pre-positioning essential equipment globally. This contract's value lies in ensuring that this critical asset remains mission-ready, maintained, and logistically supported. It underpins the ability to respond to contingencies and sustain operations without immediate resupply from the continental United States.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 6

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Parent Company: KBR, Inc. (UEI: 784072626)

Address: 7000 COLUMBIA GATEWAY DR STE 100, COLUMBIA, MD, 21046

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $184,336,668

Exercised Options: $184,336,668

Current Obligation: $184,336,668

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: W911SE07D0014

IDV Type: IDC

Timeline

Start Date: 2009-09-14

Current End Date: 2014-09-14

Potential End Date: 2014-09-14 12:09:00

Last Modified: 2018-07-24

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