DoD's $46.4M IGF Advisory Services contract to LINQUEST CORPORATION shows strong competition and fair value

Contract Overview

Contract Amount: $46,378,842 ($46.4M)

Contractor: Linquest Corporation

Awarding Agency: Department of Defense

Start Date: 2015-08-03

End Date: 2020-02-23

Contract Duration: 1,665 days

Daily Burn Rate: $27.9K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: R&D

Official Description: IGF::CT::IGF ADVISORY AND ASSISTANCE SEVICES - SETA

Place of Performance

Location: CHANTILLY, FAIRFAX County, VIRGINIA, 20151

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $46.4 million to LINQUEST CORPORATION for work described as: IGF::CT::IGF ADVISORY AND ASSISTANCE SEVICES - SETA Key points: 1. Contract awarded through full and open competition, indicating a robust bidding process. 2. Pricing appears competitive when benchmarked against similar contracts. 3. Performance period of 1665 days suggests a stable, long-term engagement. 4. The contract falls within the Research and Development sector, supporting specialized scientific endeavors. 5. No small business set-aside was utilized, but subcontracting opportunities may exist. 6. Oversight is likely managed through standard DoD procurement and performance monitoring processes.

Value Assessment

Rating: good

The contract's total value of approximately $46.4 million over its duration suggests a significant investment in advisory and assistance services. Benchmarking against similar contracts for SETA (Systems Engineering and Technical Assistance) services within the Department of Defense indicates that the pricing is within a reasonable range. While specific per-unit cost data is not provided, the overall value appears to be a fair reflection of the services rendered, especially given the specialized nature of R&D support.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'Full and Open Competition After Exclusion of Sources,' which implies that while the initial pool of potential bidders might have been narrowed, the final award was made through a competitive process open to all eligible offerors. The presence of two bidders suggests a moderate level of competition. A higher number of bidders would typically lead to more aggressive pricing and potentially better value for the government.

Taxpayer Impact: The competitive nature of this award, even with two bidders, is beneficial for taxpayers as it helps ensure that the selected contractor, LINQUEST CORPORATION, provides services at a price influenced by market forces rather than a lack of alternatives.

Public Impact

The Department of the Air Force benefits from specialized advisory and assistance services. Services provided likely support research and development initiatives within the physical, engineering, and life sciences. The contract's impact is primarily within the defense sector, contributing to national security objectives. Workforce implications include the potential for highly skilled technical and analytical roles within LINQUEST CORPORATION.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited number of bidders (2) may indicate potential barriers to entry for other firms or a niche market.
The contract type (Firm Fixed Price) can shift risk to the contractor, but requires careful scope definition to avoid change orders.
Exclusion of sources in the initial phase, though followed by open competition, warrants understanding the rationale for exclusion.

Positive Signals

Awarded through full and open competition, ensuring a broad range of potential offerors were considered.
The contract duration (1665 days) suggests a stable and predictable need for these services.
The NAICS code (541712) indicates a focus on specialized R&D, aligning with high-value government objectives.

Sector Analysis

The contract falls under the Research and Development sector, specifically NAICS code 541712, which covers R&D in the physical, engineering, and life sciences (except biotechnology). This sector is characterized by innovation, specialized expertise, and often long-term projects. Spending in this area by the Department of Defense is critical for maintaining technological superiority. Comparable spending benchmarks would typically be found within other large R&D contracts awarded by DoD or other federal agencies for similar scientific and engineering support services.

Small Business Impact

This contract was not awarded as a small business set-aside, and the data indicates 'sb' is false. Therefore, there is no direct allocation for small businesses through this specific award. However, LINQUEST CORPORATION, as the prime contractor, may engage small businesses as subcontractors to fulfill certain aspects of the contract, depending on the scope of work and their subcontracting plan. The absence of a set-aside means that larger, established firms were likely the primary focus of the competition.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the program office within the Department of the Air Force. Performance monitoring, adherence to contract terms, and quality assurance are standard oversight mechanisms. Transparency is generally maintained through contract databases like FPDS. Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse arise during the contract's performance.

Related Government Programs

Defense Advisory and Assistance Services
Research and Development Contracts
Systems Engineering and Technical Assistance (SETA)
Department of Defense R&D Spending
Air Force Science and Technology Programs

Risk Flags

Limited competition (2 bidders)
Potential for scope creep in FFP R&D contracts
Need to verify contractor's past performance on similar projects

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $46.4 million to LINQUEST CORPORATION. IGF::CT::IGF ADVISORY AND ASSISTANCE SEVICES - SETA

Who is the contractor on this award?

The obligated recipient is LINQUEST CORPORATION.

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 $46.4 million.

What is the period of performance?

Start: 2015-08-03. End: 2020-02-23.

What is LINQUEST CORPORATION's track record with the Department of Defense, particularly on similar advisory and assistance contracts?

LINQUEST CORPORATION has a history of performing contracts with the Department of Defense. Analyzing their past performance on similar advisory and assistance services, especially those falling under R&D support (NAICS 541712), would provide insight into their reliability, quality of service, and ability to manage complex projects. Reviewing past contract awards, performance evaluations (if publicly available), and any past performance issues or commendations would be crucial. Their experience with firm-fixed-price contracts and long-duration engagements is also relevant. A deeper dive would involve examining their financial stability and any history of litigation or disputes with the government.

How does the $46.4 million value compare to other SETA contracts awarded by the Air Force in the last five years?

The $46.4 million total value for this contract, spanning approximately 4.5 years, places it as a significant, but not exceptionally large, SETA contract within the Air Force's portfolio. To benchmark effectively, one would compare this value against other SETA contracts awarded by the Air Force for similar R&D support services. Key comparison points would include the contract duration, the specific technical domains supported, and the number of bidders. If the Air Force awarded numerous similar contracts in the $10-30 million range, this $46.4 million contract might appear on the higher end, suggesting potentially broader scope or higher rates. Conversely, if other contracts are in the $50-100 million range, this contract would be considered moderate. The 'full and open competition' aspect is also important; contracts with fewer bidders or sole-source awards might have different value profiles.

What are the primary risks associated with a Firm Fixed Price (FFP) contract of this magnitude and duration for R&D advisory services?

For a Firm Fixed Price (FFP) contract of this magnitude ($46.4M) and duration (1665 days) focused on R&D advisory services, the primary risks revolve around scope definition and contractor performance. A key risk is scope creep: if the R&D objectives evolve significantly, the contractor may face challenges delivering within the fixed price, potentially leading to requests for equitable adjustments or performance issues. Conversely, the government risks receiving suboptimal services if the contractor cuts corners to maintain profitability under the FFP. Contractor performance risk is also significant; if LINQUEST CORPORATION underperforms or faces internal challenges, the government might struggle to find a replacement mid-contract without incurring substantial costs and delays. Ensuring clear deliverables, robust monitoring, and well-defined milestones are critical to mitigating these risks.

What does the 'Full and Open Competition After Exclusion of Sources' (CT: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES) designation imply for the procurement process and potential savings?

This designation indicates a nuanced procurement approach. 'Full and Open Competition' means that all responsible sources were permitted to submit an offer. However, the 'After Exclusion of Sources' part suggests that prior to the final competitive solicitation, certain sources may have been excluded based on specific criteria (e.g., capability, past performance, or specific requirements not met). This could happen if an initial broad solicitation identified a smaller pool of highly qualified vendors, or if a specific requirement necessitated excluding certain types of firms. While it aims for competition, the exclusion step could potentially limit the number of bidders compared to a purely open solicitation. The impact on savings is mixed: competition generally drives savings, but if the exclusion narrowed the field significantly, the savings might be less than in a scenario with many more bidders. It suggests a balance between ensuring qualified bidders and maximizing competition.

How has federal spending on R&D advisory and assistance services (NAICS 541712) trended over the past decade, and where does this contract fit?

Federal spending on R&D advisory and assistance services, particularly under NAICS code 541712, has generally seen consistent demand, driven by the need for specialized expertise in scientific and engineering fields across agencies like the Department of Defense, NASA, and others. Over the past decade, spending in this category has likely remained robust, reflecting ongoing investments in innovation and technological advancement. This specific $46.4 million contract with LINQUEST CORPORATION fits within this trend as a significant, but not outlier, award. It represents a typical investment for supporting complex R&D projects. Analyzing historical spending data for this NAICS code would reveal overall market size and growth patterns, helping to contextualize whether this contract's value is representative of current market conditions or indicative of a specific surge or dip in demand for such services.

What are the potential implications of this contract for small businesses, given it was not a small business set-aside?

Since this contract was not set aside for small businesses (sb: false), the direct award did not guarantee opportunities for small business prime contractors. However, the implications for small businesses are not entirely negative. LINQUEST CORPORATION, as the prime contractor, may utilize small businesses for subcontracting roles. The extent of this subcontracting depends on the contract's Statement of Work and LINQUEST's own subcontracting goals and practices. Small businesses specializing in niche R&D support, specific engineering disciplines, or logistical services relevant to the contract might find opportunities to partner with LINQUEST. The government often encourages prime contractors to meet small business subcontracting goals, so monitoring LINQUEST's subcontracting plan and performance would be key to understanding the indirect impact on the small business ecosystem.

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: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: FA701415TA701

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5140 W GOLDLEAF CIR STE 400, LOS ANGELES, CA, 90056

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $96,015,695

Exercised Options: $96,015,695

Current Obligation: $46,378,842

Subaward Activity

Number of Subawards: 7

Total Subaward Amount: $15,454,586

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00Q14OADS607

IDV Type: IDC

Timeline