DOE's $23.3M Contract for NETL Admin Support Awarded to Performance Results Corp
Contract Overview
Contract Amount: $23,364,436 ($23.4M)
Contractor: Performance Results Corporation
Awarding Agency: Department of Energy
Start Date: 2005-04-08
End Date: 2011-01-07
Contract Duration: 2,100 days
Daily Burn Rate: $11.1K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 5
Pricing Type: COST PLUS AWARD FEE
Sector: Other
Official Description: PROVIDE ADMINISTRATIVE SUPPORT SERVICES TO NETL
Place of Performance
Location: MORGANTOWN, MONONGALIA County, WEST VIRGINIA, 26508
Plain-Language Summary
Department of Energy obligated $23.4 million to PERFORMANCE RESULTS CORPORATION for work described as: PROVIDE ADMINISTRATIVE SUPPORT SERVICES TO NETL Key points: 1. The contract value of $23.3 million over approximately 7 years indicates a significant investment in administrative support. 2. Performance Results Corporation secured this contract through full and open competition, suggesting a competitive bidding process. 3. The contract type, Cost Plus Award Fee, allows for flexibility but requires careful monitoring of costs and performance. 4. The sector is administrative services, a common area of government spending, with potential for efficiency gains.
Value Assessment
Rating: fair
The contract value of $23.3 million over 7 years averages roughly $3.3 million annually. Without specific benchmarks for similar administrative support contracts at NETL or comparable agencies, assessing the pricing's excellence is difficult. However, the duration and scope suggest a substantial, but not necessarily exorbitant, investment.
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 competitive process where multiple sources were considered after an initial exclusion. This method generally promotes price discovery and potentially better value for the government.
Taxpayer Impact: The competitive nature of the award suggests that taxpayers likely benefited from a fair market price, although the Cost Plus Award Fee structure requires diligent oversight to ensure cost control.
Public Impact
Ensures continuity of essential administrative operations at the National Energy Technology Laboratory (NETL). Supports the Department of Energy's mission by providing necessary back-office functions. The contract's duration implies a long-term need for these services, impacting workforce planning and resource allocation.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Award Fee contracts can incentivize cost overruns if not managed tightly.
- Long contract duration (7 years) may reduce flexibility to adapt to changing needs or market conditions.
- Exclusion of sources in the initial phase, even with subsequent full and open competition, warrants scrutiny.
Positive Signals
- Awarded through full and open competition, suggesting a robust selection process.
- Contract supports critical administrative functions for a key research laboratory.
- Performance Results Corporation has a contract to fulfill.
Sector Analysis
Administrative support services are crucial for the efficient functioning of government agencies like the Department of Energy. Spending in this area is generally benchmarked against private sector service providers and other government contracts for similar functions. The $23.3 million over 7 years represents a steady, long-term investment in operational continuity.
Small Business Impact
The data indicates this contract was not awarded to small businesses (sb: false). This suggests that the scope or nature of the required administrative support services favored larger, established contractors capable of handling the contract's scale and complexity.
Oversight & Accountability
The contract was awarded by the Department of Energy, with oversight likely falling under the NETL's administrative and contracting divisions. The Cost Plus Award Fee structure necessitates robust performance monitoring and financial oversight to ensure value for money and prevent potential cost escalations.
Related Government Programs
- Office Administrative Services
- Department of Energy Contracting
- Department of Energy Programs
Risk Flags
- Potential for cost overruns inherent in Cost Plus Award Fee contracts.
- Lack of small business participation.
- Long contract duration may limit adaptability.
- Initial exclusion of sources warrants further investigation into the justification.
Tags
office-administrative-services, department-of-energy, wv, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Energy awarded $23.4 million to PERFORMANCE RESULTS CORPORATION. PROVIDE ADMINISTRATIVE SUPPORT SERVICES TO NETL
Who is the contractor on this award?
The obligated recipient is PERFORMANCE RESULTS CORPORATION.
Which agency awarded this contract?
Awarding agency: Department of Energy (Department of Energy).
What is the total obligated amount?
The obligated amount is $23.4 million.
What is the period of performance?
Start: 2005-04-08. End: 2011-01-07.
What specific administrative functions are covered under this contract, and how do they align with NETL's core research and development mission?
The contract covers general office administrative services. While not directly R&D, these functions are vital for supporting NETL's scientists, engineers, and management. This includes tasks like record keeping, scheduling, communication support, and potentially human resources or procurement assistance, enabling the core mission to proceed without administrative bottlenecks.
How effectively were costs managed under the Cost Plus Award Fee structure, and were award fees consistently earned based on performance metrics?
Assessing cost management and award fee attainment requires access to performance reports and financial data beyond this summary. Cost Plus Award Fee contracts aim to incentivize performance, but require diligent oversight to prevent overspending. Without specific audit findings or performance reviews, it's difficult to definitively state the effectiveness of cost control and award fee achievement.
Given the 7-year duration, what mechanisms were in place to ensure the services remained relevant and cost-effective throughout the contract period?
Long-term contracts typically include provisions for contract modifications, periodic reviews, and potential adjustments to scope or pricing based on evolving needs and market conditions. The 'Award Fee' component also incentivizes the contractor to adapt and improve services to maintain high performance ratings, indirectly ensuring relevance and cost-effectiveness over time.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Office Administrative Services › Office Administrative Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › ADMINISTRATIVE SUPPORT SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: DE-RP26-04NT41819
Offers Received: 5
Pricing Type: COST PLUS AWARD FEE (R)
Evaluated Preference: NONE
Contractor Details
Address: 2605 CRANBERRY SQUARE, MORGANTOWN, WV, 02
Business Categories: 8(a) Program Participant, Category Business, Minority Owned Business, Other Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, U.S.-Owned Business, Woman Owned Business
Financial Breakdown
Contract Ceiling: $25,000,000
Exercised Options: $25,000,000
Current Obligation: $23,364,436
Contract Characteristics
Multi-Year Contract: Yes
Timeline
Start Date: 2005-04-08
Current End Date: 2011-01-07
Potential End Date: 2011-01-07 00:00:00
Last Modified: 2011-09-21
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