DOT's FAA awarded $22.3M for SE-2020 support, with CSSI, LLC as prime contractor

Contract Overview

Contract Amount: $22,280,852 ($22.3M)

Contractor: Cssi, LLC

Awarding Agency: Department of Transportation

Start Date: 2010-09-28

End Date: 2015-11-13

Contract Duration: 1,872 days

Daily Burn Rate: $11.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: SE-2020 (SE2020) SUPPORT CONTRACTS TAS::69 8107::TAS

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20024

State: District of Columbia Government Spending

Plain-Language Summary

Department of Transportation obligated $22.3 million to CSSI, LLC for work described as: SE-2020 (SE2020) SUPPORT CONTRACTS TAS::69 8107::TAS Key points: 1. Contract value represents a significant investment in research and development for the Federal Aviation Administration. 2. The contract was awarded through full and open competition, suggesting a competitive bidding process. 3. Performance period spanned over five years, indicating a long-term need for the services. 4. The contract type (Cost Plus Fixed Fee) can sometimes lead to cost overruns if not managed carefully. 5. The North American Industry Classification System (NAICS) code 541712 points to R&D in physical and engineering sciences. 6. The prime contractor, CSSI, LLC, has experience in this domain, as evidenced by this award. 7. Geographic location of performance was Washington D.C.

Value Assessment

Rating: fair

The total award amount of $22.3 million over approximately five years for SE-2020 support suggests a substantial investment. Benchmarking this against similar R&D support contracts for aviation agencies is difficult without more specific service details. The Cost Plus Fixed Fee (CPFF) contract type, while allowing for flexibility in research, can present challenges in cost control compared to fixed-price contracts. The number of bids (3) is on the lower side for a full and open competition, which might indicate less aggressive pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, meaning all responsible sources were permitted to submit a bid. However, only three bids were received. This level of competition, while technically open, is relatively low and could suggest potential limitations in the market for these specialized services or perhaps a lack of aggressive bidding from potential competitors. A higher number of bidders typically leads to more competitive pricing for the government.

Taxpayer Impact: A low number of bids, even in an open competition, may mean taxpayers did not benefit from the most competitive pricing achievable. This could translate to higher costs for the services rendered.

Public Impact

The Federal Aviation Administration (FAA) benefits from specialized support for its SE-2020 program. Services delivered likely contribute to advancements in aviation research and development. The primary geographic impact is within the District of Columbia, where the contract was performed. The contract supports a specialized workforce in research and engineering fields.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Low number of bids (3) in a full and open competition may indicate limited market interest or aggressive pricing.
Cost Plus Fixed Fee contract type can pose risks for cost control if not diligently managed.
The contract duration of over five years requires sustained oversight to ensure continued value.

Positive Signals

Awarded through full and open competition, allowing for broad market participation.
Prime contractor CSSI, LLC has a track record with this specific award.
The contract addresses a clear need for R&D support within the FAA.

Sector Analysis

The Federal Aviation Administration (FAA) operates within the broader aerospace and defense sector, which heavily relies on research and development to maintain technological superiority and safety standards. This contract, classified under NAICS 541712 (Research and Development in the Physical, Engineering, and Life Sciences), fits within the significant government spending on R&D. Comparable spending benchmarks would involve looking at other large-scale R&D support contracts awarded by agencies like the Department of Defense or NASA, considering the specialized nature of aviation research.

Small Business Impact

This contract was not set aside for small businesses, and there is no indication of specific subcontracting requirements for small businesses in the provided data. Therefore, the direct impact on the small business ecosystem appears minimal for this particular award. However, the prime contractor, CSSI, LLC, may engage small businesses as subcontractors, which would indirectly benefit them.

Oversight & Accountability

Oversight for this contract would typically fall under the Federal Aviation Administration's contracting officers and program managers. Given the Cost Plus Fixed Fee structure, rigorous financial oversight and performance monitoring are crucial to ensure costs remain reasonable and deliverables are met. Transparency is generally maintained through contract reporting mechanisms, and any significant issues could be subject to review by the Department of Transportation's Office of Inspector General.

Related Government Programs

Federal Aviation Administration Research and Development Programs
Department of Transportation Support Contracts
Aerospace Engineering Services
Scientific and Technical Consulting Services

Risk Flags

Low number of bidders for a full and open competition.
Cost Plus Fixed Fee contract type requires diligent oversight to manage costs.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $22.3 million to CSSI, LLC. SE-2020 (SE2020) SUPPORT CONTRACTS TAS::69 8107::TAS

Who is the contractor on this award?

The obligated recipient is CSSI, LLC.

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Aviation Administration).

What is the total obligated amount?

The obligated amount is $22.3 million.

What is the period of performance?

Start: 2010-09-28. End: 2015-11-13.

What was the specific nature of the SE-2020 support provided by CSSI, LLC?

The provided data indicates the contract was for 'SE-2020 SUPPORT CONTRACTS TAS'. While the specific tasks are not detailed, the NAICS code 541712 suggests the support was related to Research and Development in the Physical, Engineering, and Life Sciences. This could encompass a wide range of activities such as systems engineering, technical analysis, program management support, data analysis, and potentially specialized research efforts aimed at improving aviation safety, efficiency, or technology for the Federal Aviation Administration (FAA). The 'TAS' designation might refer to a specific technical area or program within the FAA.

How does the number of bids (3) compare to typical full and open competitions for similar R&D contracts?

For large federal contracts, especially those awarded under full and open competition, receiving only three bids can be considered on the lower side. Typical expectations for such procurements might range from five to ten or even more bids, depending on the market's competitiveness and the specificity of the requirement. A lower number of bidders can sometimes indicate a niche market, high barriers to entry for potential competitors, or that the solicitation was not widely known or attractive to a broader range of firms. This limited competition could potentially impact price discovery and lead to less favorable pricing for the government compared to a more robustly bid contract.

What are the potential risks associated with a Cost Plus Fixed Fee (CPFF) contract type for R&D services?

Cost Plus Fixed Fee (CPFF) contracts are often used when the scope of work is not precisely defined, common in research and development. The primary risk for the government is that the contractor is reimbursed for all allowable costs plus a fixed fee representing profit. If costs escalate beyond initial projections due to inefficiencies, scope creep, or unforeseen challenges, the government bears the brunt of these increases. While the fixed fee provides some cost certainty for the contractor's profit, it doesn't cap the total contract cost. Effective oversight, detailed cost tracking, and strong performance management are essential to mitigate the risk of cost overruns and ensure value for taxpayer money.

What is the significance of the contract being performed in Washington D.C. (DC)?

The performance location being Washington D.C. (DC) is significant primarily for logistical and administrative reasons. It indicates that the primary work under this contract was conducted in the nation's capital, likely in close proximity to the Federal Aviation Administration's headquarters or relevant research facilities. This could facilitate direct collaboration between the contractor and government personnel. From an economic perspective, it means that a portion of the federal spending flowed into the D.C. metropolitan area, supporting local jobs and businesses. However, for R&D contracts, the location is often less critical than the expertise and deliverables provided.

How does CSSI, LLC's performance on this contract inform future assessments of the contractor?

This award represents a significant contract for CSSI, LLC, valued at approximately $22.3 million over five years. As the prime contractor for 'SE-2020 SUPPORT CONTRACTS TAS' with the FAA, their performance on this contract would be a key data point in assessing their capabilities, reliability, and past performance. Future contracting officers evaluating CSSI, LLC would likely review records related to this award, including on-time delivery, quality of services, cost control (especially relevant for CPFF), and overall customer satisfaction. Successful completion would bolster their reputation and increase their chances for future awards, while any significant issues could negatively impact their prospects.

What does the NAICS code 541712 imply about the type of research conducted?

The North American Industry Classification System (NAICS) code 541712, 'Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology),' indicates that the research supported by this contract falls within fundamental and applied scientific inquiry and experimentation. This includes fields like physics, chemistry, mathematics, computer science, and various engineering disciplines. For the FAA, this likely translates to research aimed at advancing aviation technology, improving air traffic control systems, enhancing aircraft safety, developing new materials, or exploring innovative operational procedures. It excludes biological and biotechnological research.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)

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: 3

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 400 VIRGINIA AVE SW STE 710, WASHINGTON, DC, 20024

Business Categories: Category Business, Hispanic American Owned Business, Minority Owned Business, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business

Financial Breakdown

Contract Ceiling: $52,055,538

Exercised Options: $46,313,120

Current Obligation: $22,280,852

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DTFAWA10D00016

IDV Type: IDC

Timeline