Department of Energy's $127.6M contract for specialized support services awarded to Unwin Co. shows fair value
Contract Overview
Contract Amount: $127,605,296 ($127.6M)
Contractor: Unwin CO
Awarding Agency: Department of Energy
Start Date: 2007-07-12
End Date: 2013-09-11
Contract Duration: 2,253 days
Daily Burn Rate: $56.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: COST PLUS AWARD FEE
Sector: Other
Official Description: SPECIALIZED TECHNICAL AND ADMINSTRATIVE SUPPORT SERVICES TO THE OFFICE OF HEALTH, SAFETY AND SECURITY.
Place of Performance
Location: COLUMBUS, FRANKLIN County, OHIO, 43212
State: Ohio Government Spending
Plain-Language Summary
Department of Energy obligated $127.6 million to UNWIN CO for work described as: SPECIALIZED TECHNICAL AND ADMINSTRATIVE SUPPORT SERVICES TO THE OFFICE OF HEALTH, SAFETY AND SECURITY. Key points: 1. The contract provided essential technical and administrative support, indicating a need for specialized expertise. 2. Competition was robust, suggesting a competitive pricing environment for these services. 3. The contract's duration and cost indicate a significant, long-term engagement. 4. Performance was managed under a Cost Plus Award Fee structure, incentivizing contractor performance. 5. The services supported the Office of Health, Safety and Security, highlighting a critical function. 6. The contract was awarded to Unwin Co., a single entity, for the duration of the period.
Value Assessment
Rating: fair
The total award amount of $127.6 million over approximately 6 years suggests a substantial investment. Benchmarking against similar specialized technical and administrative support contracts is challenging without more granular data on the specific services provided. However, the Cost Plus Award Fee structure implies that the government sought to control costs while incentivizing high performance, which can be a reasonable approach for complex services. The final cost appears to be within a reasonable range for the scope and duration, though a more precise value-for-money assessment would require detailed performance metrics and comparison to industry standards for similar support functions.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating that multiple bidders were likely considered. This competitive process is generally favorable for price discovery and ensuring the government receives competitive pricing. The fact that it was a definitive contract awarded to a single entity suggests that after the competition, Unwin Co. was selected as the best value provider. The number of bids received would provide further insight into the intensity of the competition.
Taxpayer Impact: Full and open competition generally leads to better pricing for taxpayers by fostering a competitive environment where contractors vie for the business based on both price and technical merit.
Public Impact
The Office of Health, Safety and Security benefited from specialized technical and administrative support, enhancing its operational capabilities. The services delivered likely contributed to maintaining safety and security standards within the Department of Energy. The geographic impact is primarily within the Department of Energy's operational areas, likely concentrated in Ohio where the contract was managed. The contract supported a specific contractor, Unwin Co., and its workforce, contributing to employment in the consulting services sector.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- The Cost Plus Award Fee structure, while incentivizing, can sometimes lead to higher costs if award fees are consistently maximized without strict cost controls.
- The long duration of the contract (over 6 years) could present risks related to evolving needs and potential for cost creep if not actively managed.
- Lack of specific performance metrics makes it difficult to fully assess the contractor's effectiveness and value delivered.
Positive Signals
- Awarded under full and open competition, suggesting a competitive process that likely yielded fair pricing.
- The Cost Plus Award Fee structure aims to align contractor performance with government objectives.
- The contract supported critical health, safety, and security functions within the Department of Energy.
Sector Analysis
This contract falls within the 'Other Scientific and Technical Consulting Services' sector, a broad category encompassing specialized advisory and support functions. The market for such services is competitive, with numerous firms offering expertise across various government agencies. The Department of Energy, like other large federal agencies, frequently procures these types of services to supplement internal capabilities, particularly in areas requiring specialized knowledge or temporary surge support. Benchmarking requires comparison to similar support contracts within the federal government, often categorized under professional services or management and consulting.
Small Business Impact
There is no indication that this contract involved small business set-asides or significant subcontracting opportunities for small businesses. The contract was awarded to a single entity, Unwin Co., and the 'sb' field is false, suggesting it was not specifically targeted towards small businesses. Further analysis would be needed to determine if Unwin Co. utilized small business subcontractors, which is common practice for larger prime contractors.
Oversight & Accountability
Oversight for this contract would have been managed by the Department of Energy's contracting officers and program managers responsible for the Office of Health, Safety and Security. The Cost Plus Award Fee structure implies performance monitoring and evaluation to determine award fee amounts. Transparency is generally facilitated through contract databases like FPDS, which provide basic award information. Specific Inspector General (IG) jurisdiction would depend on the nature of any potential issues or investigations related to the contract's performance or financial integrity.
Related Government Programs
- Department of Energy Administrative Support Contracts
- Federal Consulting Services
- Health and Safety Program Support
- Office of Security Services Contracts
Risk Flags
- Cost Plus Award Fee structure requires careful monitoring to ensure value for money.
- Long contract duration may pose risks if not actively managed against evolving requirements.
Tags
department-of-energy, specialized-technical-support, administrative-support, office-of-health-safety-security, unwin-co, cost-plus-award-fee, full-and-open-competition, definitive-contract, consulting-services, ohio, professional-services, long-term-contract
Frequently Asked Questions
What is this federal contract paying for?
Department of Energy awarded $127.6 million to UNWIN CO. SPECIALIZED TECHNICAL AND ADMINSTRATIVE SUPPORT SERVICES TO THE OFFICE OF HEALTH, SAFETY AND SECURITY.
Who is the contractor on this award?
The obligated recipient is UNWIN CO.
Which agency awarded this contract?
Awarding agency: Department of Energy (Department of Energy).
What is the total obligated amount?
The obligated amount is $127.6 million.
What is the period of performance?
Start: 2007-07-12. End: 2013-09-11.
What was the specific nature of the 'specialized technical and administrative support services' provided under this contract?
The contract description indicates 'SPECIALIZED TECHNICAL AND ADMINSTRATIVE SUPPORT SERVICES TO THE OFFICE OF HEALTH, SAFETY AND SECURITY.' While the exact nature of these services is not detailed in the provided data, such contracts typically involve a range of activities including policy development support, program management assistance, data analysis, regulatory compliance support, safety assessments, security protocol development, and general administrative functions necessary for the effective operation of the Office of Health, Safety and Security. These services are often procured to augment the agency's internal workforce with specialized expertise or to handle fluctuating workloads.
How does the total contract value of $127.6 million compare to similar contracts for specialized support services within the Department of Energy or other federal agencies?
The total contract value of $127.6 million over approximately 6 years (2253 days) represents a significant investment. To benchmark this value, one would typically compare it to other contracts providing similar 'Other Scientific and Technical Consulting Services' (NAICS 541690) or related professional services. Federal procurement data shows a wide range in contract values for support services, depending on scope, duration, and criticality. A contract of this magnitude suggests a comprehensive, long-term need for specialized support. Without specific details on the deliverables and performance metrics, a precise comparison is difficult, but it falls within the upper range for significant, multi-year support contracts awarded through full and open competition.
What were the key performance indicators (KPIs) or metrics used to determine the award fees under the Cost Plus Award Fee (CPAF) structure?
The provided data does not specify the key performance indicators (KPIs) or metrics used for determining award fees under this Cost Plus Award Fee (CPAF) contract. In a CPAF arrangement, the government typically establishes specific performance objectives, quality standards, and delivery schedules. The contractor's achievement against these metrics directly influences the 'award fee' portion of the contract. Common KPIs for such support services might include timeliness of deliverables, accuracy of analysis, effectiveness of recommendations, adherence to safety protocols, and overall client satisfaction. The contracting officer's representative (COR) would be responsible for monitoring performance and recommending the award fee amount.
What is the track record of Unwin Co. in performing similar federal contracts, particularly those involving health, safety, and security support?
Information on Unwin Co.'s specific track record for this contract is limited to its award. To assess their performance, one would need to examine past federal contract awards and performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS) for Unwin Co. Federal agencies often maintain internal records and utilize government-wide systems to track contractor performance. A review of their history would reveal their experience in delivering technical and administrative support, especially within sensitive areas like health, safety, and security. Without access to these detailed performance records, it's difficult to definitively assess their track record beyond the fact that they were selected through a competitive process for this significant contract.
Were there any significant challenges or disputes encountered during the performance of this contract?
The provided data does not contain information regarding challenges or disputes encountered during the performance of this contract. Federal contract performance can sometimes involve issues such as scope changes, schedule delays, quality concerns, or payment disputes. Agencies typically have formal processes for addressing and resolving such issues, which may involve contract modifications, negotiations, or alternative dispute resolution. Information on significant challenges or disputes is often documented in contract files, performance reviews, or legal filings, none of which are included in the summary data.
How did the final cost of $127.6 million compare to the initial estimated cost or ceiling of the contract?
The provided data indicates a total award amount of $127,605,296.26. For a Cost Plus Award Fee (CPAF) contract, there is typically a cost ceiling and an estimated cost. The total award amount represents the actual costs incurred by the contractor plus the award fee earned. Without knowing the initial cost estimate or the cost ceiling established at the time of award, it is impossible to definitively state how the final cost compared. However, the fact that it was awarded and completed suggests that the final costs, including the award fee, were deemed acceptable by the Department of Energy within the contractual framework.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Other Scientific and Technical Consulting Services
Product/Service Code: SPECIAL STUDIES/ANALYSIS, NOT R&D › SPECIAL STUDIES - NOT R and D
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 2
Pricing Type: COST PLUS AWARD FEE (R)
Evaluated Preference: NONE
Contractor Details
Address: 1920 NORTHWEST BLVD STE 201, COLUMBUS, OH, 43212
Business Categories: Category Business, Small Business
Financial Breakdown
Contract Ceiling: $142,065,381
Exercised Options: $142,065,381
Current Obligation: $127,605,296
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Timeline
Start Date: 2007-07-12
Current End Date: 2013-09-11
Potential End Date: 2017-03-13 00:00:00
Last Modified: 2017-03-13
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