DoD's $316M MITRE Corp Contract for Technical Services: Full & Open Competition
Contract Overview
Contract Amount: $315,894,974 ($315.9M)
Contractor: THE Mitre Corporation
Awarding Agency: Department of Defense
Start Date: 2007-10-01
End Date: 2008-09-30
Contract Duration: 365 days
Daily Burn Rate: $865.5K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: Other
Official Description: "M"
Place of Performance
Location: BEDFORD, MIDDLESEX County, MASSACHUSETTS, 01730
Plain-Language Summary
Department of Defense obligated $315.9 million to THE MITRE CORPORATION for work described as: "M" Key points: 1. The contract awarded to THE MITRE CORPORATION for 'All Other Professional, Scientific, and Technical Services' represents a significant investment. 2. The use of 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' suggests a deliberate but potentially complex procurement process. 3. The Cost Plus Fixed Fee (CPFF) pricing structure requires careful monitoring to ensure cost control and value for money. 4. The specific sector for 'All Other Professional, Scientific, and Technical Services' needs further context to assess broader industry benchmarks.
Value Assessment
Rating: fair
The contract's Cost Plus Fixed Fee (CPFF) structure can lead to cost overruns if not managed diligently. Benchmarking this specific service category against similar contracts is challenging due to its broad nature, but the fixed fee component aims to provide some cost predictability.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' indicates a competitive process but with specific limitations. This method can sometimes result in higher prices than unrestricted full and open competition if the exclusion criteria are too narrow or if the pool of eligible bidders is small.
Taxpayer Impact: While competition was utilized, the exclusion of certain sources may have limited the potential for the lowest possible price, impacting taxpayer value.
Public Impact
This contract supports critical technical services for the Department of the Air Force, likely impacting national security or operational capabilities. The significant dollar amount suggests a substantial reliance on external expertise for specialized services. The procurement method raises questions about the breadth of competition and potential barriers to entry for other qualified firms.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee (CPFF) pricing can incentivize cost escalation.
- Limited competition due to source exclusion may reduce price competitiveness.
- Broad service category ('All Other...') makes specific performance and cost benchmarking difficult.
Positive Signals
- Full and open competition, even with exclusions, indicates an attempt at a competitive process.
- The contract duration suggests a need for sustained, specialized services.
Sector Analysis
This contract falls under 'All Other Professional, Scientific, and Technical Services,' a broad category. Benchmarking requires detailed understanding of the specific services rendered, but generally, such services can range widely in cost depending on specialization and demand.
Small Business Impact
The data indicates the award was made to THE MITRE CORPORATION, a large entity. There is no explicit information suggesting specific provisions or set-asides for small businesses in this particular award.
Oversight & Accountability
The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' implies a structured procurement process. However, the effectiveness of oversight would depend on the agency's diligence in monitoring the CPFF contract and ensuring adherence to the fixed fee and scope.
Related Government Programs
- All Other Professional, Scientific, and Technical Services
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Potential for cost overruns due to CPFF structure.
- Limited competition may have resulted in a suboptimal price.
- Broad service category hinders specific performance and cost analysis.
- Lack of transparency on the rationale for excluding sources.
Tags
all-other-professional-scientific-and-te, department-of-defense, ma, dca, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $315.9 million to THE MITRE CORPORATION. "M"
Who is the contractor on this award?
The obligated recipient is THE MITRE 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 $315.9 million.
What is the period of performance?
Start: 2007-10-01. End: 2008-09-30.
What specific technical services were procured under this contract, and how do they align with the agency's mission needs?
The contract covers 'All Other Professional, Scientific, and Technical Services.' Without further detail, it's difficult to ascertain the exact nature of these services. However, given the Department of the Air Force as the awarding agency, these likely relate to areas such as systems engineering, research and development support, cybersecurity, or advanced technological analysis crucial for defense operations.
How did the exclusion of sources impact the final price and the range of technical solutions available to the Department of Defense?
Excluding sources can limit the competitive pool, potentially leading to higher prices than if all qualified vendors could bid. The impact on available solutions depends on why sources were excluded; if for valid security or capability reasons, the impact might be minimal. If arbitrary, it could restrict innovation and access to diverse expertise.
What mechanisms were in place to ensure cost control and value realization under the Cost Plus Fixed Fee (CPFF) structure?
With a CPFF contract, oversight is critical. Mechanisms likely included detailed cost tracking, regular performance reviews, and strict adherence to the defined scope of work. The fixed fee provides a ceiling for the contractor's profit, but the 'cost plus' portion requires vigilant auditing to prevent unnecessary expenditures and ensure the government pays only for allowable costs.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical Services
Product/Service Code: RESEARCH AND DEVELOPMENT › OTHER RESEARCH/DEVELOPMENT
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 202 BURLINGTON RD, BEDFORD, MA, 06
Business Categories: Category Business, Corporate Entity Tax Exempt, Federally Funded Research and Development Corp, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $8,856,444,460
Exercised Options: $4,593,400,239
Current Obligation: $315,894,974
Contract Characteristics
Cost or Pricing Data: NOT OBTAINED - WAIVED
Timeline
Start Date: 2007-10-01
Current End Date: 2008-09-30
Potential End Date: 2008-09-30 00:00:00
Last Modified: 2012-01-03
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