BIG SAFARI contract awarded to Sierra Nevada Company, LLC for $93.7M, utilizing a non-competitive process

Contract Overview

Contract Amount: $93,677,184 ($93.7M)

Contractor: Sierra Nevada Company, LLC

Awarding Agency: Department of Defense

Start Date: 2020-09-26

End Date: 2023-07-31

Contract Duration: 1,038 days

Daily Burn Rate: $90.2K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: BIG SAFARI

Place of Performance

Location: ENGLEWOOD, DENVER County, COLORADO, 80112

State: Colorado Government Spending

Plain-Language Summary

Department of Defense obligated $93.7 million to SIERRA NEVADA COMPANY, LLC for work described as: BIG SAFARI Key points: 1. The contract's value of $93.7 million over approximately three years suggests a significant investment in specialized services. 2. The 'NOT COMPETED' award type raises questions about the justification for foregoing a competitive bidding process. 3. The duration of 1038 days (approx. 3 years) indicates a long-term need for the services provided. 4. The contract falls under 'All Other Professional, Scientific, and Technical Services,' a broad category that warrants further detail on specific deliverables. 5. The fixed price contract type offers cost certainty but relies heavily on accurate initial scope definition. 6. The award to a single contractor without competition may limit opportunities for price discovery and innovation.

Value Assessment

Rating: questionable

Benchmarking the value of this contract is challenging without specific details on the services rendered. However, a $93.7 million award for 'All Other Professional, Scientific, and Technical Services' over three years suggests a substantial investment. The lack of competition makes it difficult to assess if the pricing is competitive or represents fair market value. Without comparable contracts or detailed service breakdowns, it's hard to definitively determine value for money.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded using a 'NOT COMPETED' strategy, indicating that a full and open competition was not conducted. The data shows only one award was made, and the contract type is listed as 'NOT COMPETED,' suggesting a sole-source or limited competition scenario. This approach bypasses the standard process of soliciting bids from multiple vendors, which can impact price negotiation and the range of solutions considered.

Taxpayer Impact: The absence of competition means taxpayers may not benefit from the cost savings typically achieved through a bidding process. It also limits the government's ability to explore a wider array of innovative solutions from various providers.

Public Impact

The primary beneficiaries are likely the Department of the Air Force and potentially other entities within the Department of Defense requiring the specialized technical services. The services delivered are broadly categorized as 'All Other Professional, Scientific, and Technical Services,' implying support for complex operations or research and development. The contract is associated with the state of Colorado, suggesting a potential geographic concentration of work or contractor presence. The contract's impact on the workforce is not explicitly detailed but could involve specialized technical personnel employed by the contractor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition limits price discovery and potential cost savings for taxpayers.
The broad service category ('All Other Professional, Scientific, and Technical Services') lacks specificity, making it difficult to assess performance and value.
The 'NOT COMPETED' award raises concerns about the justification and potential for alternative solutions being overlooked.

Positive Signals

The firm fixed price contract type provides cost certainty for the government, assuming the scope was well-defined.
The contract is awarded to a specific entity, Sierra Nevada Company, LLC, indicating a known provider for these services.
The contract duration suggests a sustained need and commitment to the services provided.

Sector Analysis

The contract falls under the broad 'Professional, Scientific, and Technical Services' sector, specifically NAICS code 541990. This sector encompasses a wide range of specialized services, including research and development, engineering, and technical consulting. The total federal spending in this sector is substantial, with many contracts awarded through various competition levels. This particular contract, valued at $93.7 million, represents a significant portion of spending within its specific niche, especially given its non-competitive nature.

Small Business Impact

This contract was not competed and there is no indication of small business set-asides or subcontracting plans. The award to Sierra Nevada Company, LLC, a single entity without a competitive process, suggests that opportunities for small businesses to participate either as prime contractors or subcontractors may have been limited in this specific procurement. Further analysis would be needed to determine if any small business goals were established or met through subcontracting.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of the Air Force, the awarding agency. As a 'NOT COMPETED' award, the justification for this approach would be subject to review by agency contracting officers and potentially oversight bodies like the Government Accountability Office (GAO) if a protest were filed. Transparency is limited due to the non-competitive nature, making detailed public assessment of accountability challenging without further documentation on the procurement rationale.

Related Government Programs

Department of Defense IT Services
Professional and Technical Services
Air Force Research and Development Contracts
Sole Source IT Procurements

Risk Flags

Non-competitive award
Lack of detailed service description
Potential for higher costs due to lack of competition

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $93.7 million to SIERRA NEVADA COMPANY, LLC. BIG SAFARI

Who is the contractor on this award?

The obligated recipient is SIERRA NEVADA COMPANY, LLC.

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 $93.7 million.

What is the period of performance?

Start: 2020-09-26. End: 2023-07-31.

What specific services are included under the 'All Other Professional, Scientific, and Technical Services' category for this contract?

The provided data categorizes this contract under NAICS code 541990, 'All Other Professional, Scientific, and Technical Services.' This is a broad classification that can encompass a wide array of activities, including but not limited to, research and development support, specialized engineering consulting, technical analysis, and other scientific or technical services not elsewhere classified. Without access to the contract's statement of work (SOW) or detailed task orders, it is impossible to ascertain the precise nature of the services rendered. This lack of specificity makes it difficult to evaluate the contract's true purpose, its alignment with agency needs, and the value delivered.

What was the justification for awarding this contract on a sole-source basis ('NOT COMPETED')?

The justification for awarding the BIG SAFARI contract to Sierra Nevada Company, LLC on a sole-source basis ('NOT COMPETED') is not provided in the summary data. Typically, sole-source awards require a formal justification, such as the existence of only one responsible source capable of providing the required services, or in certain emergency situations. The Department of the Air Force would have had to document and approve such a justification, often citing unique capabilities, proprietary technology, or specific program requirements that only the selected contractor could meet. Without this documentation, it is difficult to assess the validity of the non-competitive award.

How does the $93.7 million contract value compare to similar contracts for 'All Other Professional, Scientific, and Technical Services' within the Department of Defense?

Comparing the $93.7 million value of the BIG SAFARI contract to similar contracts within the 'All Other Professional, Scientific, and Technical Services' (NAICS 541990) category for the Department of Defense (DoD) is challenging without more specific service details. However, $93.7 million over approximately three years is a substantial sum, indicating a significant scope of work. Federal procurement databases often show a wide range of values for this broad category, from small, specialized task orders to multi-year, multi-million dollar programs. Given the non-competitive nature of this award, it is difficult to benchmark its pricing against market rates derived from competitive bids. Further analysis would require identifying comparable sole-source or competed contracts with similar service descriptions and durations within the DoD.

What are the potential risks associated with a large, non-competed contract like BIG SAFARI?

A significant risk associated with a large, non-competed contract like BIG SAFARI is the potential for inflated pricing due to the lack of competitive pressure. Without multiple bidders vying for the contract, the government may not achieve the most cost-effective solution. Another risk is the potential for a less innovative solution, as competition often drives contractors to propose novel approaches. Furthermore, the absence of a competitive process can raise concerns about fairness and equal opportunity for other capable businesses. Finally, if the justification for the sole-source award is weak or later found to be invalid, it could lead to protests, delays, and potential rework, impacting program timelines and budgets.

What is Sierra Nevada Company, LLC's track record with the Department of the Air Force and for similar services?

Sierra Nevada Company, LLC (SNC) is a known entity within the aerospace and defense industry, often involved in complex systems, intelligence, surveillance, and reconnaissance (ISR), and electronic warfare. Their track record with the Department of the Air Force (DAF) likely includes numerous contracts, though the specifics of their performance on 'All Other Professional, Scientific, and Technical Services' would require a deeper dive into procurement history. SNC is generally recognized for its technical capabilities. However, the 'NOT COMPETED' status of this particular $93.7 million contract suggests a specific, perhaps unique, requirement that led to their selection, rather than a broad competitive evaluation of their past performance against other potential providers for this specific scope.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES

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: Sierra Nevada Corporation

Address: 444 SALOMON CIR, SPARKS, NV, 89434

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business

Financial Breakdown

Contract Ceiling: $139,667,834

Exercised Options: $93,962,499

Current Obligation: $93,677,184

Subaward Activity

Number of Subawards: 24

Total Subaward Amount: $1,541,070

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: FA862016G3013

IDV Type: BOA

Timeline