Teom Bridge Contract Awarded to Peraton Inc. for Over $30.4M by the FAA
Contract Overview
Contract Amount: $30,428,266 ($30.4M)
Contractor: Peraton Inc.
Awarding Agency: Department of Transportation
Start Date: 2011-02-19
End Date: 2011-12-18
Contract Duration: 302 days
Daily Burn Rate: $100.8K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: TEOM BRIDGE CONTRACT
Place of Performance
Location: HERNDON, FAIRFAX County, VIRGINIA, 20170
State: Virginia Government Spending
Plain-Language Summary
Department of Transportation obligated $30.4 million to PERATON INC. for work described as: TEOM BRIDGE CONTRACT Key points: 1. Contract awarded on a sole-source basis, limiting price competition. 2. The contract duration of 302 days suggests a short-term need. 3. Firm Fixed Price contract type aims to control costs. 4. No small business set-aside was utilized. 5. The contract falls under Engineering Services (NAICS 541330). 6. Awarded by the Federal Aviation Administration, a division of the Department of Transportation.
Value Assessment
Rating: fair
Benchmarking the value of this contract is challenging without more detailed scope of work and comparison to similar bridge engineering services. The firm fixed price structure is a positive indicator for cost control. However, the lack of competition raises concerns about whether the government achieved the best possible price.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed, indicating a sole-source award. The absence of a competitive bidding process means that multiple vendors were not given the opportunity to offer their services and pricing. This can lead to higher costs for the government as there is no market pressure to drive down prices.
Taxpayer Impact: Taxpayers may have paid a premium due to the lack of competition, as the government did not benefit from the potential cost savings that a competitive bidding process could have yielded.
Public Impact
Benefits the Department of Transportation by providing necessary engineering services. Services delivered are related to bridge engineering, crucial for infrastructure maintenance and safety. Geographic impact is likely concentrated in the region where the bridge is located. Workforce implications include employment for engineers and related technical staff at PERATON INC.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition may result in suboptimal pricing.
- Sole-source awards can indicate potential single points of failure in market analysis or vendor relationships.
Positive Signals
- Firm Fixed Price contract type provides cost certainty.
- Awarded to a single contractor, potentially streamlining management and execution.
Sector Analysis
The engineering services sector is a critical component of federal infrastructure spending. This contract, specifically for bridge engineering, falls within the broader construction and engineering services market. Federal spending in this area is often driven by the need to maintain and upgrade aging infrastructure, with significant annual outlays across various agencies.
Small Business Impact
This contract was not set aside for small businesses, nor does it appear to have specific subcontracting requirements for small businesses mentioned in the provided data. The award to a single entity without a small business focus means that opportunities for small businesses in this specific contract are likely limited.
Oversight & Accountability
Oversight for this contract would typically fall under the Department of Transportation's internal review processes and potentially the Federal Aviation Administration's contracting oversight. Transparency is limited due to the sole-source nature of the award. Inspector General jurisdiction would apply if any fraud or mismanagement were suspected.
Related Government Programs
- Federal Aviation Administration Contracts
- Department of Transportation Engineering Services
- Bridge Construction and Maintenance Contracts
Risk Flags
- Sole-source award lacks competitive pricing pressure.
- Limited public information on specific scope of work.
Tags
engineering-services, transportation, federal-aviation-administration, definitive-contract, firm-fixed-price, sole-source, large-contract, infrastructure, bridge-engineering, virginia
Frequently Asked Questions
What is this federal contract paying for?
Department of Transportation awarded $30.4 million to PERATON INC.. TEOM BRIDGE CONTRACT
Who is the contractor on this award?
The obligated recipient is PERATON INC..
Which agency awarded this contract?
Awarding agency: Department of Transportation (Federal Aviation Administration).
What is the total obligated amount?
The obligated amount is $30.4 million.
What is the period of performance?
Start: 2011-02-19. End: 2011-12-18.
What is the track record of PERATON INC. with the federal government, particularly in engineering services?
PERATON INC. has a history of federal contracts, though specific details on their engineering services track record require deeper analysis of contract databases. Their performance on past contracts, including adherence to schedule, budget, and quality standards, would be crucial for assessing their reliability on the TEOM BRIDGE CONTRACT. A review of past performance evaluations and any contract disputes or terminations would provide further insight into their capabilities and potential risks associated with this award.
How does the $30.4M contract value compare to similar bridge engineering contracts awarded by the FAA or DOT?
Comparing the $30.4M value requires identifying comparable bridge engineering contracts by the FAA or DOT based on scope, complexity, and duration. Without specific details on the TEOM BRIDGE CONTRACT's scope (e.g., design, construction oversight, repair), direct comparison is difficult. However, general benchmarks for large-scale bridge projects can indicate if this value is within expected ranges. A sole-source award, as in this case, might suggest a unique requirement or a pre-existing relationship, potentially influencing the price compared to competitively bid projects of similar scale.
What are the primary risks associated with a sole-source award for engineering services?
The primary risk of a sole-source award for engineering services is the potential for inflated pricing due to the absence of competitive pressure. This can lead to the government not achieving the best value for its expenditure. Other risks include a lack of innovation that might arise from multiple bidders, and potential over-reliance on a single contractor, which could create vulnerabilities if that contractor underperforms or faces issues. Ensuring robust oversight and clear performance metrics becomes even more critical in sole-source situations.
What is the expected effectiveness of this contract in addressing the FAA's bridge infrastructure needs?
The effectiveness of this contract hinges on the specific engineering services required for the TEOM BRIDGE and PERATON INC.'s ability to deliver on the contract's objectives within the defined scope and timeline. As a bridge contract, its effectiveness is directly tied to ensuring the structural integrity, safety, and operational capacity of the bridge infrastructure it pertains to. Successful completion, as measured by project milestones and final deliverables, will indicate its contribution to the FAA's broader infrastructure maintenance and development goals.
What has been the historical spending pattern for engineering services by the Federal Aviation Administration?
Historical spending by the FAA on engineering services has been substantial, reflecting the agency's vast infrastructure needs, including air traffic control systems, airports, and related facilities. Annual outlays fluctuate based on infrastructure investment cycles, modernization programs, and specific project requirements. Analyzing trends in FAA's engineering services spending can reveal patterns of investment in areas like bridge maintenance, runway upgrades, and technological advancements, providing context for individual contract awards like the TEOM BRIDGE CONTRACT.
Are there any specific performance metrics or deliverables outlined for this contract that can be used to assess its success?
The provided data does not specify the performance metrics or deliverables for the TEOM BRIDGE CONTRACT. Typically, for engineering services, these would include detailed design documents, inspection reports, feasibility studies, construction oversight plans, or final engineering assessments, all subject to review and approval by the FAA. The success of the contract would be measured against the timely and accurate completion of these defined deliverables, meeting all technical specifications and quality standards outlined in the contract.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
Product/Service Code: UTILITIES AND HOUSEKEEPING › UTILITIES
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Veritas Capital Fund Management, L.L.C. (UEI: 078628925)
Address: 12975 WORLDGATE DR, HERNDON, VA, 20170
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $37,070,266
Exercised Options: $30,491,193
Current Obligation: $30,428,266
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2011-02-19
Current End Date: 2011-12-18
Potential End Date: 2011-12-18 00:00:00
Last Modified: 2019-11-13
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