DoD Awards $54.7M Range Support Contract to Call Henry Inc. for 5 Years
Contract Overview
Contract Amount: $54,669,923 ($54.7M)
Contractor: Call Henry Inc
Awarding Agency: Department of Defense
Start Date: 2012-02-01
End Date: 2017-01-31
Contract Duration: 1,826 days
Daily Burn Rate: $29.9K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 7
Pricing Type: FIXED PRICE INCENTIVE
Sector: Defense
Official Description: "NEW AWARD" LAUNCH OPERATIONS SUPPORT CONTRACT (LOSC) - RANGE SUPPORT SERVICES - FY12 THROUGH FY17.
Place of Performance
Location: LOMPOC, SANTA BARBARA County, CALIFORNIA, 93437
Plain-Language Summary
Department of Defense obligated $54.7 million to CALL HENRY INC for work described as: "NEW AWARD" LAUNCH OPERATIONS SUPPORT CONTRACT (LOSC) - RANGE SUPPORT SERVICES - FY12 THROUGH FY17. Key points: 1. Contract awarded to Call Henry Inc. for $54.7 million over five years. 2. Full and open competition after exclusion of sources was used. 3. The contract falls under Facilities Support Services. 4. This award represents a significant investment in launch operations support.
Value Assessment
Rating: fair
The contract's fixed-price incentive structure aims to control costs, but the total value of $54.7 million over five years requires careful monitoring to ensure it aligns with market rates for similar launch support services.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The competition method, 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' suggests a limited initial pool, potentially impacting price discovery. The final price is subject to incentive clauses.
Taxpayer Impact: Taxpayers are funding essential launch operations support, with the fixed-price incentive structure intended to balance cost control with performance.
Public Impact
Ensures continued support for critical launch operations. Supports national security and space exploration initiatives. Provides long-term stability for a key defense contractor.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition method may not yield the best price.
- Fixed-price incentive contracts can lead to cost overruns if not managed closely.
- Contract duration of five years limits flexibility for future needs.
Positive Signals
- Ensures continuity of essential services.
- Awarded to a single entity for streamlined operations.
- Supports critical national defense infrastructure.
Sector Analysis
This contract falls within the Facilities Support Services sector, which is crucial for maintaining operational readiness of defense installations. Benchmarks for similar contracts are difficult to ascertain without more specific service details.
Small Business Impact
The data indicates that this contract was not awarded to a small business, as 'sb' is false. Further analysis would be needed to determine if small businesses were subcontracted.
Oversight & Accountability
The use of a definitive contract and the specified competition method suggest a structured oversight process. However, the effectiveness of this oversight in ensuring value for money depends on ongoing performance monitoring and compliance checks.
Related Government Programs
- Facilities Support Services
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Limited competition may impact price.
- Potential for cost overruns in FPI contracts.
- Lack of transparency in source exclusion.
- Contract duration may not align with evolving needs.
Tags
facilities-support-services, department-of-defense, ca, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $54.7 million to CALL HENRY INC. "NEW AWARD" LAUNCH OPERATIONS SUPPORT CONTRACT (LOSC) - RANGE SUPPORT SERVICES - FY12 THROUGH FY17.
Who is the contractor on this award?
The obligated recipient is CALL HENRY INC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Air Force).
What is the total obligated amount?
The obligated amount is $54.7 million.
What is the period of performance?
Start: 2012-02-01. End: 2017-01-31.
What specific services are included in 'Range Support Services' and how do they compare to industry standards?
Range Support Services likely encompass a broad spectrum of activities necessary for the safe and effective operation of a launch range. This could include facility maintenance, logistics, safety protocols, communication systems, and potentially specialized technical support. A direct comparison to industry standards is challenging without a detailed breakdown of the service requirements and performance metrics outlined in the contract.
What are the potential risks associated with the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' method for this contract?
This procurement method implies that while the competition was intended to be open, certain sources were excluded, possibly due to specific qualifications or prior relationships. This exclusion could limit the number of potential bidders, potentially reducing competitive pressure and leading to a less favorable price for the government compared to a truly unrestricted full and open competition.
How effectively does the Fixed Price Incentive (FPI) contract type ensure value for taxpayer money in this context?
The FPI structure aims to incentivize the contractor to control costs by sharing savings or overruns with the government. For taxpayer value, its effectiveness hinges on realistic target costs and sharing ratios, coupled with robust government oversight to prevent contractor complacency or manipulation of performance metrics to achieve higher profits without commensurate value.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services
Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: ALTERNATIVE SOURCES
Solicitation ID: FA461008R0016
Offers Received: 7
Pricing Type: FIXED PRICE INCENTIVE (L)
Evaluated Preference: NONE
Contractor Details
Address: 308 PINE ST, TITUSVILLE, FL, 32796
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $64,057,243
Exercised Options: $64,057,243
Current Obligation: $54,669,923
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2012-02-01
Current End Date: 2017-01-31
Potential End Date: 2017-01-31 00:00:00
Last Modified: 2022-07-25
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