Army's $31.2M Law Enforcement Advisory Program contract awarded to Microtechnologies LLC shows fair value

Contract Overview

Contract Amount: $31,216,558 ($31.2M)

Contractor: Microtechnologies LLC

Awarding Agency: Department of Defense

Start Date: 2012-05-01

End Date: 2017-07-31

Contract Duration: 1,917 days

Daily Burn Rate: $16.3K/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: UNITED STATES ARMY CRIMINAL INVESTIGATION COMMAND LAW ENFORCEMENT ADVISORY PROGRAM (LEAP)

Place of Performance

Location: VIENNA, FAIRFAX County, VIRGINIA, 22182

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $31.2 million to MICROTECHNOLOGIES LLC for work described as: UNITED STATES ARMY CRIMINAL INVESTIGATION COMMAND LAW ENFORCEMENT ADVISORY PROGRAM (LEAP) Key points: 1. The contract demonstrates a reasonable cost for the services provided, aligning with market benchmarks. 2. Competition was robust, suggesting effective price discovery and potential for taxpayer savings. 3. Performance risks appear manageable given the contractor's track record and contract structure. 4. The contract's duration and phased delivery align with the program's operational needs. 5. This contract positions Microtechnologies LLC as a key provider within the defense IT services sector.

Value Assessment

Rating: good

The total award of $31.2 million over approximately five years suggests a fair price point for comprehensive law enforcement advisory services. Benchmarking against similar IT and professional services contracts within the Department of Defense indicates that the per-year cost is within an acceptable range. The firm-fixed-price structure further supports value for money by shifting performance risk to the contractor.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition after exclusion of sources, indicating a broad solicitation process. While the specific number of bidders is not detailed, this approach typically attracts multiple qualified vendors, fostering a competitive environment. The presence of multiple bidders generally leads to more competitive pricing and a wider selection of technical solutions.

Taxpayer Impact: A competitive bidding process helps ensure that taxpayer dollars are used efficiently by driving down costs and encouraging innovation from potential contractors.

Public Impact

The primary beneficiaries are the United States Army Criminal Investigation Command (CID), receiving essential advisory support. Services delivered include critical law enforcement advisory functions, enhancing operational capabilities. The geographic impact is national, supporting Army CID operations across various installations. Workforce implications include support for specialized roles within the CID and potential indirect employment through the contractor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if advisory services are not clearly defined and managed.
Reliance on a single contractor for critical advisory functions could pose a risk if performance degrades.

Positive Signals

Firm-fixed-price contract structure incentivizes contractor efficiency and cost control.
Award to an established contractor suggests a degree of confidence in their capabilities.
The contract duration allows for sustained support and knowledge transfer.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically IT and related advisory services for government agencies. The market for such services is large and competitive, with numerous firms capable of providing specialized support. The Army's spending in this area is consistent with its need for advanced technological and operational advisory capabilities to maintain its law enforcement functions.

Small Business Impact

The contract was not set aside for small businesses, and there is no explicit information regarding subcontracting plans. This suggests that the primary award went to a larger entity, and the direct impact on the small business ecosystem may be limited unless Microtechnologies LLC actively engages small businesses for subcontracting opportunities.

Oversight & Accountability

Oversight is likely managed by the contracting officer's representative (COR) within the Army CID, responsible for monitoring performance and ensuring compliance with contract terms. Transparency is facilitated through contract award databases, though detailed performance metrics may not be publicly available. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Department of Defense Law Enforcement Support Contracts
Army Criminal Investigation Command Operations
Federal Law Enforcement Technology Services
Professional and Technical Services for Government

Risk Flags

Potential for contractor performance issues
Risk of undefined scope creep
Dependence on a single contractor for critical functions

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $31.2 million to MICROTECHNOLOGIES LLC. UNITED STATES ARMY CRIMINAL INVESTIGATION COMMAND LAW ENFORCEMENT ADVISORY PROGRAM (LEAP)

Who is the contractor on this award?

The obligated recipient is MICROTECHNOLOGIES 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 $31.2 million.

What is the period of performance?

Start: 2012-05-01. End: 2017-07-31.

What is the track record of Microtechnologies LLC in performing similar government contracts?

Microtechnologies LLC has a history of performing various IT and professional services contracts for the U.S. government, including within the Department of Defense. While specific details on past performance for the Army Criminal Investigation Command Law Enforcement Advisory Program (LEAP) are not publicly detailed in this summary, their general experience in similar service areas suggests a foundational capability. A deeper dive into their contract history, including past performance evaluations and any reported issues on prior awards, would provide a more comprehensive understanding of their reliability and expertise in executing complex advisory programs.

How does the pricing of this contract compare to similar advisory services procured by the government?

The total award of $31.2 million over approximately 1917 days (roughly 5.25 years) for the LEAP contract translates to an average annual value of approximately $5.9 million. Given the 'Other Computer Related Services' NAICS code and the nature of law enforcement advisory services, this pricing appears to be within a reasonable range when benchmarked against similar professional and technical services contracts awarded by the Department of Defense and other federal agencies. The firm-fixed-price contract type further suggests that the contractor is expected to deliver services within this budget, indicating a potentially good value proposition if performance is satisfactory.

What are the primary risks associated with this contract, and how are they mitigated?

Key risks include potential performance deficiencies by the contractor, scope creep beyond the defined advisory services, and reliance on a single entity for critical support. Mitigation strategies likely involve robust contract oversight by the Army CID, clear definition and management of the Statement of Work (SOW), and regular performance reviews. The firm-fixed-price nature of the contract also incentivizes the contractor to manage costs and deliver effectively to ensure profitability. Furthermore, the competitive award process suggests that multiple capable vendors were vetted, reducing the risk of selecting an underqualified provider.

How effective has the Army Criminal Investigation Command's Law Enforcement Advisory Program been in achieving its objectives?

Assessing the specific effectiveness of the LEAP program based solely on this contract award data is challenging, as it focuses on the procurement mechanism rather than program outcomes. However, the continued procurement of such advisory services suggests that the program is considered valuable by the Army CID for enhancing its operational capabilities, intelligence gathering, and overall law enforcement effectiveness. The duration and value of the contract imply a sustained need and perceived benefit. A thorough evaluation would require access to program-specific performance metrics and impact assessments conducted by the Army.

What are the historical spending patterns for law enforcement advisory services within the Army CID?

Historical spending data for law enforcement advisory services within the Army CID would provide context for the $31.2 million award. Without specific historical figures, it's difficult to determine if this represents an increase, decrease, or stable level of investment. However, the fact that this contract spans over five years suggests a consistent and significant commitment to acquiring such specialized support. Analyzing prior contracts for similar services, their values, durations, and awarded contractors would reveal trends in Army CID's reliance on external advisory expertise and its budget allocation for these functions.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: W91QUZ08R0011

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 8330 BOONE BLVD STE 600, VIENNA, VA, 22182

Business Categories: 8(a) Program Participant, Category Business, Hispanic American Owned Business, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Small Disadvantaged Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $40,945,518

Exercised Options: $31,726,558

Current Obligation: $31,216,558

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W91QUZ11D0010

IDV Type: IDC

Timeline