GSA's $24.7M contract for counter-IED technical support awarded to Truestone, LLC

Contract Overview

Contract Amount: $24,678,081 ($24.7M)

Contractor: Truestone, LLC

Awarding Agency: General Services Administration

Start Date: 2012-02-24

End Date: 2017-08-23

Contract Duration: 2,007 days

Daily Burn Rate: $12.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: COST PLUS AWARD FEE

Sector: R&D

Official Description: THE PURPOSE OF THIS TASK ORDER IS TO PROVIDE THE JOINT IMPROVISED EXPLOSIVE DEVICE (IED) DEFEAT ORGANIZATION (JIEDDO) COUNTER-IED OPERATIONS INTELLIGENCE INTEGRATION CENTER (COIC) WITH TECHNICAL ENGINEERING ANALYSIS AND APPLIED TECHNOLOGY SUPPORT, ENTERPRISE AND STRATEGIC ENGINEERING SUPPORT, PROGRAM ACQUISITION SUPPORT, TECHNICAL DELIVERABLE REVIEW SUPPORT, AND ARCHITECTURAL DESIGN AND REQUIREMENTS/ALTERNATIVES/RISK ANALYSIS SUPPORT FOR THE NETCENTRIC INNOVATION DIVISION (NID), UNDER THE SYSTEMS ENGINEERING AND TECHNICAL ASSISTANCE (SETA) INDEFINITE DELIVERY, INDEFINITE QUANTITY (IDIQ) CONTRACT.

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20005

State: District of Columbia Government Spending

Plain-Language Summary

General Services Administration obligated $24.7 million to TRUESTONE, LLC for work described as: THE PURPOSE OF THIS TASK ORDER IS TO PROVIDE THE JOINT IMPROVISED EXPLOSIVE DEVICE (IED) DEFEAT ORGANIZATION (JIEDDO) COUNTER-IED OPERATIONS INTELLIGENCE INTEGRATION CENTER (COIC) WITH TECHNICAL ENGINEERING ANALYSIS AND APPLIED TECHNOLOGY SUPPORT, ENTERPRISE AND STRATEGIC ENGINEE… Key points: 1. Contract provides critical technical engineering and acquisition support for counter-IED operations. 2. The contract was awarded under a full and open competition. 3. The contract duration is over 5 years, indicating a long-term need for these services. 4. The North American Industry Classification System (NAICS) code 541712 suggests a focus on R&D in physical and engineering sciences. 5. The contract type is Cost Plus Award Fee (CPAF), which incentivizes contractor performance. 6. The contract was awarded as a Delivery Order under an existing IDIQ contract, suggesting a streamlined acquisition process.

Value Assessment

Rating: good

The contract's value of approximately $24.7 million over five years for specialized technical engineering and acquisition support appears reasonable given the critical nature of counter-IED operations. Benchmarking against similar R&D and technical support contracts within the defense and intelligence sectors would provide a more precise value-for-money assessment. The Cost Plus Award Fee (CPAF) structure allows for performance-based incentives, which can drive efficiency and effectiveness, but also requires robust oversight to ensure costs remain justified.

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 sources were considered and allowed to compete. The presence of two bids suggests a moderate level of competition for this specialized service. While not a sole-source award, the limited number of bidders might warrant further investigation into market dynamics to ensure optimal price discovery and prevent potential price inflation over the contract's life.

Taxpayer Impact: The full and open competition, even with a limited number of bidders, is generally favorable for taxpayers as it allows for a broader range of potential solutions and pricing, fostering a more competitive environment.

Public Impact

The primary beneficiaries are the Joint Improvised Explosive Device (IED) Defeat Organization (JIEDDO) and its Counter-IED Operations Intelligence Integration Center (COIC), receiving essential technical and strategic support. Services delivered include technical engineering analysis, applied technology support, enterprise and strategic engineering support, program acquisition support, and architectural design. The contract supports critical national security missions related to countering improvised explosive devices. The geographic impact is primarily national, supporting U.S. military and intelligence operations, with potential implications for deployed personnel.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'Cost Plus Award Fee' contract type requires diligent oversight to ensure that award fees are justified by exceptional performance and that costs are controlled.
The limited number of bidders (2) in a full and open competition could indicate potential barriers to entry or a specialized market, which might impact long-term competition.
The contract's duration of over 5 years necessitates ongoing monitoring to ensure continued value and alignment with evolving counter-IED strategies.

Positive Signals

Awarded under a full and open competition, suggesting a fair and accessible process for qualified contractors.
The contract type (CPAF) incentivizes high performance and successful outcomes for critical counter-IED missions.
The contract supports a vital national security mission, contributing to the safety of military personnel and civilians.

Sector Analysis

This contract falls within the Research and Development (R&D) sector, specifically NAICS code 541712, which covers physical, engineering, and life sciences R&D. This sector is characterized by innovation, specialized expertise, and often long-term project cycles. The market for counter-IED technology and support is a niche within defense and national security, requiring highly skilled personnel and advanced technical capabilities. Comparable spending benchmarks would likely be found within other defense-related R&D contracts for specialized technical services and intelligence support.

Small Business Impact

This contract was not set aside for small businesses, and the data does not indicate any subcontracting requirements for small businesses. The prime contractor, Truestone, LLC, is likely a mid-to-large-sized business given the contract value and specialized nature of the services. 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 would primarily fall under the General Services Administration (GSA) and the specific agency utilizing the services (JIEDDO/COIC). The Cost Plus Award Fee (CPAF) structure necessitates robust performance monitoring and evaluation by the contracting officer's representative (COR) to ensure that award fees are earned based on demonstrated performance against established criteria. Transparency is generally maintained through contract award databases, but detailed performance metrics and cost breakdowns may be subject to security or proprietary restrictions.

Related Government Programs

Joint Improvised Explosive Device Defeat Organization (JIEDDO) Programs
Counter-Improvised Explosive Device (C-IED) Initiatives
Systems Engineering and Technical Assistance (SETA) Contracts
Department of Defense Intelligence Support Contracts
Research and Development in Defense Technologies

Risk Flags

Potential for cost overruns under CPAF structure.
Ensuring continued relevance of technical support with evolving threats.
Limited competition may impact long-term pricing.
Dependency on contractor performance for critical mission support.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $24.7 million to TRUESTONE, LLC. THE PURPOSE OF THIS TASK ORDER IS TO PROVIDE THE JOINT IMPROVISED EXPLOSIVE DEVICE (IED) DEFEAT ORGANIZATION (JIEDDO) COUNTER-IED OPERATIONS INTELLIGENCE INTEGRATION CENTER (COIC) WITH TECHNICAL ENGINEERING ANALYSIS AND APPLIED TECHNOLOGY SUPPORT, ENTERPRISE AND STRATEGIC ENGINEERING SUPPORT, PROGRAM ACQUISITION SUPPORT, TECHNICAL DELIVERABLE REVIEW SUPPORT, AND ARCHITECTURAL DESIGN AND REQUIREMENTS/ALTERNATIVES/RISK ANALYSIS SUPPORT FOR THE NETCENTRIC INNOVATION DIVISION (NID), UNDER THE SYSTEM

Who is the contractor on this award?

The obligated recipient is TRUESTONE, LLC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $24.7 million.

What is the period of performance?

Start: 2012-02-24. End: 2017-08-23.

What is the track record of Truestone, LLC in delivering similar technical engineering and acquisition support services, particularly within the defense and intelligence sectors?

Truestone, LLC has a history of providing various support services to government agencies, including technical, engineering, and program management support. While specific details on their performance on this particular contract require deeper analysis of performance reviews and award fee determinations, their presence as a prime contractor on this significant task order suggests they possess the requisite capabilities and clearances. Further investigation into past performance evaluations, any contract disputes, or awards received by Truestone, LLC for similar services would provide a more comprehensive understanding of their track record and reliability in executing complex defense-related tasks.

How does the awarded amount of approximately $24.7 million compare to the estimated value or budget for similar counter-IED technical support contracts?

Benchmarking the $24.7 million contract value requires comparing it against similar contracts for technical engineering, intelligence integration, and acquisition support within the counter-IED domain. Contracts of this nature, especially those involving R&D and specialized technical analysis for critical national security missions, can vary significantly based on scope, duration, and the specific expertise required. Without access to a comprehensive database of comparable contract values, it is difficult to definitively state whether this amount represents excellent, fair, or concerning value. However, given the five-year duration and the critical nature of counter-IED efforts, the investment appears aligned with the strategic importance of the services provided.

What are the primary risks associated with this contract, and what mitigation strategies are in place?

Key risks for this contract include potential cost overruns due to the Cost Plus Award Fee (CPAF) structure, performance deficiencies in delivering highly technical analysis, and evolving threats in the counter-IED landscape requiring adaptive solutions. Mitigation strategies likely involve robust oversight by the COR to monitor costs and performance, clearly defined award fee criteria tied to measurable outcomes, and regular communication channels between the government and Truestone, LLC to address emerging challenges. The contract's focus on R&D also carries inherent risks related to the uncertainty of research outcomes, which is typically managed through phased approaches and clear milestones.

How effective has the JIEDDO COIC been in achieving its mission objectives, and how does this contract contribute to that effectiveness?

The effectiveness of the JIEDDO COIC is crucial for national security, aiming to disrupt, defeat, and mitigate the IED threat. This contract directly supports the COIC by providing essential technical engineering analysis, applied technology support, and strategic engineering services. The technical expertise and analytical capabilities furnished under this contract are intended to enhance the COIC's ability to understand and counter evolving IED threats, develop effective countermeasures, and integrate intelligence across operations. The success of the COIC is thus intrinsically linked to the quality and impact of the support provided by contractors like Truestone, LLC.

What are the historical spending patterns for counter-IED technical support services, and how does this contract fit within that trend?

Historical spending on counter-IED (C-IED) technical support has been substantial, reflecting the persistent threat posed by improvised explosive devices to U.S. forces and allies. Significant investments have been made over the past two decades in research, development, and acquisition of C-IED technologies and expertise. This $24.7 million contract with Truestone, LLC appears to be a continuation or component of these ongoing efforts, providing specialized analytical and engineering support. Its value and duration are consistent with the long-term commitment required to address complex, evolving threats in this domain, fitting within the broader trend of sustained federal investment in counter-IED capabilities.

What is the significance of the NAICS code 541712 (Research and Development in the Physical, Engineering, and Life Sciences except Biotechnology) for this contract?

The NAICS code 541712 signifies that the core services procured under this contract involve scientific research and development in physical sciences (e.g., materials science, physics), engineering (e.g., systems engineering, mechanical engineering), and life sciences (excluding biotechnology). For this specific contract, it indicates that the work performed by Truestone, LLC is focused on advancing knowledge and developing new technologies or methodologies related to counter-IED efforts. This often involves experimentation, analysis, and the creation of prototypes or advanced technical solutions, distinguishing it from purely operational or maintenance 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: 2

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Parent Company: Nana Regional Corporation Inc (UEI: 079253761)

Address: 3201 C ST STE 400B, ANCHORAGE, AK, 99503

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

Financial Breakdown

Contract Ceiling: $32,913,705

Exercised Options: $31,737,572

Current Obligation: $24,678,081

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GST0012AJ0054

IDV Type: IDC

Timeline