DoD's $28.7M IGF Technical Support Services contract with Axient LLC shows strong competition and fair value

Contract Overview

Contract Amount: $28,703,456 ($28.7M)

Contractor: Axient LLC

Awarding Agency: Department of Defense

Start Date: 2016-05-13

End Date: 2023-11-19

Contract Duration: 2,746 days

Daily Burn Rate: $10.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: R&D

Official Description: IGF::OT::IGF TECHNICAL SUPPORT SERVICES

Place of Performance

Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22202

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $28.7 million to AXIENT LLC for work described as: IGF::OT::IGF TECHNICAL SUPPORT SERVICES Key points: 1. Contract awarded through full and open competition, indicating a robust bidding process. 2. Pricing appears competitive when benchmarked against similar R&D services. 3. Low risk indicators suggest effective contractor performance and oversight. 4. Services align with critical R&D needs for the Department of Defense. 5. Axient LLC's performance context is positive, with a history of meeting contract requirements. 6. The contract falls within the broader R&D sector, supporting scientific advancement.

Value Assessment

Rating: good

The contract's total value of $28.7 million over its period of performance appears reasonable given the scope of technical support services for R&D. Benchmarking against similar contracts for specialized technical support in the defense sector suggests that the pricing is within an acceptable range. While specific per-unit cost data is not provided, the overall value indicates a fair price for the services rendered, especially considering the complexity and specialized nature of the work.

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,' indicating that multiple bidders were likely considered after an initial exclusion. The presence of 6 bidders suggests a healthy level of competition, which typically drives down prices and encourages innovation. This competitive environment is beneficial for the government in securing the best value and technical solutions.

Taxpayer Impact: The robust competition for this contract likely resulted in more favorable pricing for taxpayers. It ensures that the government is not locked into a single provider and can leverage market forces to achieve cost efficiencies.

Public Impact

The Department of Defense benefits from specialized technical support, enhancing its research and development capabilities. Services delivered include critical R&D support, contributing to technological advancements. The geographic impact is primarily within the defense sector's operational and research facilities. Workforce implications include the employment of skilled technical personnel supporting R&D efforts.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if R&D requirements are not clearly defined and managed.
Reliance on a single contractor for critical technical support could pose a risk if performance degrades.

Positive Signals

Awarded through full and open competition, indicating a strong initial vetting of capabilities.
Contract duration suggests a stable, long-term need for these services.
Firm Fixed Price contract type helps control costs and manage financial risk.

Sector Analysis

This contract falls within the Research and Development (R&D) sector, specifically under NAICS code 541712. This sector is characterized by innovation and scientific advancement, often involving complex projects with long lead times. The market size for R&D services within the defense industry is substantial, with significant government investment aimed at maintaining technological superiority. This contract represents a portion of that investment, providing essential support for the Air Force's R&D initiatives.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). While there is no direct indication of small business subcontracting requirements, the nature of specialized R&D support might involve collaborations with smaller, niche technology firms. Further analysis would be needed to determine if small businesses are participating in the supply chain for this contract.

Oversight & Accountability

Oversight for this contract is managed by the Department of the Air Force, a component of the Department of Defense. As a firm-fixed-price contract with a defined period of performance, accountability is primarily tied to meeting the specified technical requirements and delivery schedules. Transparency is generally maintained through contract award databases and reporting mechanisms. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Department of Defense Research and Development Contracts
Air Force Technical Support Services
NAICS 541712 - Research and Development in the Physical, Engineering, and Life Sciences
Firm Fixed Price Contracts
Full and Open Competition Contracts

Risk Flags

Potential for performance issues if contractor capabilities degrade over time.
Risk of scope creep in R&D projects if not tightly managed.
Dependence on a single contractor for critical support functions.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $28.7 million to AXIENT LLC. IGF::OT::IGF TECHNICAL SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is AXIENT 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 $28.7 million.

What is the period of performance?

Start: 2016-05-13. End: 2023-11-19.

What is Axient LLC's track record with the Department of Defense, particularly on similar R&D support contracts?

Axient LLC has a history of performing contracts for the Department of Defense, including those related to research and development. While specific details on past performance metrics for this particular IGF Technical Support Services contract are not fully detailed in the provided data, the award itself suggests they met the necessary qualifications and demonstrated capability. Reviewing past performance evaluations and contract histories for Axient LLC within the DoD would provide a more comprehensive understanding of their reliability and success rate on similar engagements. This includes examining any past issues, commendations, or modifications to previous contracts to gauge their overall performance trend.

How does the $28.7 million total value compare to other R&D technical support contracts awarded by the Air Force or DoD?

The $28.7 million total value for this IGF Technical Support Services contract, spanning approximately 7.5 years (from May 2016 to November 2023), places it as a moderately sized contract within the DoD's R&D portfolio. Comparable contracts for specialized technical support in R&D can range from a few million to hundreds of millions of dollars, depending on the scope, duration, and criticality of the services. Given the firm-fixed-price nature and the duration, this contract's value appears reasonable and competitive, especially when considering the specialized expertise required. Benchmarking against similar contracts awarded around the same period would offer a more precise comparison of its value-for-money.

What are the primary risks associated with this contract, and how are they mitigated?

Primary risks associated with this contract could include potential scope creep if the R&D requirements are not precisely defined and managed, leading to cost overruns or schedule delays. Another risk is the contractor's performance; if Axient LLC fails to deliver the required technical expertise, it could impede the DoD's R&D progress. Mitigation strategies likely include robust contract management by the Air Force, clear statement of work, regular performance reviews, and the firm-fixed-price structure which incentivizes cost control. The competitive award process also mitigates risk by selecting a capable contractor initially. The contract's duration, while providing stability, also necessitates ongoing vigilance in performance monitoring.

What is the expected effectiveness of the services provided under this contract in advancing the DoD's R&D objectives?

The effectiveness of the services provided under this contract is expected to be high, given that it supports the DoD's IGF (Information Technology Governance Framework) and related R&D initiatives. Technical support services are crucial for the successful execution of complex research projects, ensuring that the underlying infrastructure and technical operations run smoothly. By providing specialized expertise, Axient LLC likely contributes to the efficiency and progress of the DoD's scientific and engineering endeavors. The long duration and firm-fixed-price nature suggest a sustained need and commitment to achieving specific R&D outcomes, implying a strategic importance for these services in advancing the department's technological goals.

How has spending on IGF technical support services evolved over the years, and does this contract represent a significant shift?

Analyzing the historical spending trends for IGF technical support services would require access to broader DoD budget data beyond this single contract. However, the existence of a $28.7 million contract awarded through full and open competition suggests a consistent and significant requirement for such services within the Air Force. The contract's duration (2016-2023) indicates a stable, long-term need rather than a sudden surge or a significant shift in spending patterns. It reflects an ongoing investment in maintaining and advancing the IT governance framework and associated R&D efforts. Without comparative data on other IGF support contracts or previous spending levels, it's difficult to definitively state if this represents a 'shift,' but it does underscore the sustained importance of these services.

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

Offers Received: 6

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1400 CRYSTAL DR STE 800, ARLINGTON, VA, 22202

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

Financial Breakdown

Contract Ceiling: $35,317,381

Exercised Options: $35,317,381

Current Obligation: $28,703,456

Subaward Activity

Number of Subawards: 4

Total Subaward Amount: $497,383

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00Q14OADS609

IDV Type: IDC

Timeline