Air Force awards $59M contract for battle management support, with 14 bids received

Contract Overview

Contract Amount: $59,026,495 ($59.0M)

Contractor: Credence Management Solutions Limited Liability Company

Awarding Agency: Department of Defense

Start Date: 2014-10-28

End Date: 2019-12-05

Contract Duration: 1,864 days

Daily Burn Rate: $31.7K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 14

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: IGF::CL::IGF SCAT 1 ADMINISTRATIVE SUPPORT SERVICES (EPASS) ADVISORY AND ASSISTANCE SERVICES (A&AS) SUPPORT OF BATTLE MANAGEMENT DIRECTORATE C2ISR DIVISION: AIR FORCE DISTRIBUTED COMMON GROUND SYSTEM (AF DCGS) BRANCH (AFLCMC/HBGB) EPASS RFP# 01 DCGS PROGRAM AT ROBINS AFB GA

Place of Performance

Location: VIENNA, FAIRFAX County, VIRGINIA, 22182

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $59.0 million to CREDENCE MANAGEMENT SOLUTIONS LIMITED LIABILITY COMPANY for work described as: IGF::CL::IGF SCAT 1 ADMINISTRATIVE SUPPORT SERVICES (EPASS) ADVISORY AND ASSISTANCE SERVICES (A&AS) SUPPORT OF BATTLE MANAGEMENT DIRECTORATE C2ISR DIVISION: AIR FORCE DISTRIBUTED COMMON GROUND SYSTEM (AF DCGS) BRANCH (AFLCMC/HBGB) EPASS RFP# 01 DCGS PROGRAM AT ROBINS AFB GA Key points: 1. Contract awarded through full and open competition, indicating a competitive bidding process. 2. The contract type is Cost Plus Fixed Fee, which can present cost control challenges. 3. Performance period spans over 1800 days, suggesting a long-term need for these services. 4. The contractor, Credence Management Solutions LLC, is based in Virginia. 5. The contract supports the Air Force Distributed Common Ground System (AF DCGS) program. 6. The award value of approximately $59 million reflects significant investment in C2ISR capabilities.

Value Assessment

Rating: fair

The contract's value of $59 million for advisory and assistance services over nearly five years requires careful benchmarking against similar support contracts within the Department of Defense. The Cost Plus Fixed Fee (CPFF) contract type, while allowing for flexibility, necessitates robust oversight to manage costs effectively and ensure value for money. Without specific performance metrics or detailed cost breakdowns, a definitive value assessment is challenging, but the competitive nature of the award suggests a degree of price discovery.

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 competition was broad, certain sources may have been excluded based on specific criteria. With 14 bids received, the competition level appears robust, suggesting that multiple capable contractors vied for this work. This level of competition is generally favorable for price discovery and achieving a fair market price.

Taxpayer Impact: The high number of bidders indicates that taxpayers likely benefited from competitive pricing, as contractors aimed to offer the most attractive proposals to secure the award.

Public Impact

The primary beneficiaries are the Air Force's C2ISR Division and the Battle Management Directorate, receiving critical advisory and assistance services. Services delivered are essential for the operational effectiveness and sustainment of the Air Force Distributed Common Ground System (AF DCGS). The contract's geographic impact is centered around Robins AFB, Georgia, where the AF DCGS Branch is located. Workforce implications include the potential for direct employment by Credence Management Solutions and its subcontractors, supporting specialized technical and administrative roles.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contract type can lead to cost overruns if not managed tightly.
The 'Exclusion of Sources' clause in the competition type warrants further investigation into the rationale.
Long contract duration (1864 days) requires sustained oversight to ensure continued value and performance.

Positive Signals

Awarded under full and open competition, indicating a broad field of potential bidders.
A significant number of bids (14) suggests strong market interest and competition.
Contract supports a critical Air Force program (AF DCGS), aligning with strategic defense needs.

Sector Analysis

This contract falls within the Engineering Services sector, specifically supporting command, control, communications, intelligence, surveillance, and reconnaissance (C4ISR) systems. The market for such specialized advisory and assistance services is driven by defense spending and the continuous need to upgrade and maintain complex military technology. Comparable spending benchmarks would involve analyzing other A&AS contracts for large-scale defense systems within the DoD, particularly those related to ground systems and battle management.

Small Business Impact

The provided data indicates that small business participation was not a primary set-aside factor for this contract (ss: false, sb: false). While the prime contractor is a Limited Liability Company, its size status relative to small business definitions is not specified. Subcontracting opportunities for small businesses may exist, but they are not explicitly detailed in this award summary. The impact on the small business ecosystem would depend on the extent to which Credence Management Solutions engages them for specialized support.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of the Air Force contracting and program management offices responsible for the AF DCGS program. Accountability measures are typically embedded within the contract's performance work statement and reporting requirements. Transparency is facilitated through contract award databases, though detailed cost performance reports may be internal. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Air Force Distributed Common Ground System (AF DCGS)
Command and Control (C2) Systems
Intelligence, Surveillance, and Reconnaissance (ISR) Support
Defense Advisory and Assistance Services
Robins Air Force Base Contracts

Risk Flags

Potential for cost overruns due to CPFF contract type.
Need to verify justification for 'Exclusion of Sources' in competition.
Requires robust oversight due to long contract duration.
Performance history of contractor needs thorough review.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $59.0 million to CREDENCE MANAGEMENT SOLUTIONS LIMITED LIABILITY COMPANY. IGF::CL::IGF SCAT 1 ADMINISTRATIVE SUPPORT SERVICES (EPASS) ADVISORY AND ASSISTANCE SERVICES (A&AS) SUPPORT OF BATTLE MANAGEMENT DIRECTORATE C2ISR DIVISION: AIR FORCE DISTRIBUTED COMMON GROUND SYSTEM (AF DCGS) BRANCH (AFLCMC/HBGB) EPASS RFP# 01 DCGS PROGRAM AT ROBINS AFB GA

Who is the contractor on this award?

The obligated recipient is CREDENCE MANAGEMENT SOLUTIONS LIMITED LIABILITY COMPANY.

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 $59.0 million.

What is the period of performance?

Start: 2014-10-28. End: 2019-12-05.

What is the specific nature of the 'Advisory and Assistance Services' provided under this contract?

The 'Advisory and Assistance Services' (A&AS) provided under this contract are crucial for supporting the Battle Management Directorate's C2ISR Division, specifically for the Air Force Distributed Common Ground System (AF DCGS) Branch. These services likely encompass a range of expertise, including technical advice, program management support, systems engineering, operational analysis, and potentially training development or documentation. The goal is to enhance the effectiveness, efficiency, and modernization of the AF DCGS, a critical intelligence gathering and processing system for the Air Force. The specific tasks would be detailed in the Performance Work Statement (PWS) and would aim to provide specialized knowledge and support that may not be available internally within the government.

How does the Cost Plus Fixed Fee (CPFF) contract type compare to other pricing structures for similar defense support services?

The Cost Plus Fixed Fee (CPFF) contract type is common for services where the scope of work is not precisely defined at the outset or is expected to evolve, such as research and development or complex advisory roles. In a CPFF contract, the contractor is reimbursed for all allowable costs incurred, plus a predetermined fixed fee representing profit. This contrasts with Fixed Price contracts, where the price is set regardless of actual costs, offering more cost certainty to the government but potentially higher risk for the contractor. Cost Plus Incentive Fee (CPIF) contracts offer shared savings or cost overruns, incentivizing efficiency. For defense support services like A&AS, CPFF provides flexibility but requires stringent government oversight to control costs and prevent scope creep, as the contractor has less financial incentive to minimize expenses compared to a fixed-price arrangement.

What are the potential risks associated with a 'Full and Open Competition After Exclusion of Sources' award?

The 'Full and Open Competition After Exclusion of Sources' (F&O CAEoS) award type presents a nuanced risk profile. While it aims for broad competition, the 'exclusion of sources' implies that specific potential bidders were intentionally disqualified or not solicited. The risk lies in understanding the justification for these exclusions. If the exclusions were based on arbitrary or overly restrictive criteria, it could limit the pool of qualified contractors, potentially leading to higher prices or less optimal solutions than true full and open competition. Conversely, if the exclusions were based on legitimate technical requirements, security clearances, or past performance issues, it could be a prudent measure to ensure a capable and suitable contractor is selected. Thorough documentation of the exclusion rationale is critical for transparency and mitigating risk.

What is the historical spending trend for advisory and assistance services within the Air Force's C2ISR domain?

Historical spending on advisory and assistance services (A&AS) within the Air Force's C2ISR domain has generally been substantial, reflecting the complexity and evolving nature of these systems. Programs like AF DCGS, which are central to intelligence gathering and processing, consistently require specialized expertise for sustainment, modernization, and operational support. Spending in this area often fluctuates based on major program milestones, technological shifts, and evolving threat landscapes. While specific historical data for this exact contract's lineage isn't provided, broader trends show a consistent demand for A&AS to bridge capability gaps, provide strategic insights, and manage intricate defense programs. This $59 million award is indicative of the ongoing investment required to maintain and advance critical C2ISR capabilities.

How does the performance of Credence Management Solutions LLC on previous contracts inform the risk assessment for this award?

Assessing the performance of Credence Management Solutions LLC on previous contracts is crucial for a comprehensive risk evaluation of this $59 million award. A review of their past performance history, including any past performance questionnaires (PPQs) submitted during the bidding process or available through government databases like the Contractor Performance Assessment Reporting System (CPARS), would reveal their track record. Key indicators include on-time delivery, adherence to budget, quality of work, and responsiveness to issues. Any history of significant performance deficiencies, contract disputes, or quality control problems would elevate the risk associated with this contract. Conversely, a strong history of successful contract completion and positive client feedback would mitigate risks and suggest a higher likelihood of successful performance.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

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

Offers Received: 14

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 8609 WESTWOOD CTR DR STE 300, VIENNA, VA, 22182

Business Categories: 8(a) Program Participant, Category Business, DoT Certified Disadvantaged Business Enterprise, Limited Liability Corporation, Minority Owned Business, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $78,677,705

Exercised Options: $65,165,392

Current Obligation: $59,026,495

Subaward Activity

Number of Subawards: 3

Total Subaward Amount: $2,213,246

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00Q14OADS315

IDV Type: IDC

Timeline