DoD's $19.8M Materiel Management Contract Awarded to Akima Facilities Operations LLC

Contract Overview

Contract Amount: $19,824,356 ($19.8M)

Contractor: Akima Facilities Operations LLC

Awarding Agency: Department of Defense

Start Date: 2021-02-13

End Date: 2026-05-12

Contract Duration: 1,914 days

Daily Burn Rate: $10.4K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: MATERIEL MANAGEMENT PERSONNEL

Place of Performance

Location: TAMPA, HILLSBOROUGH County, FLORIDA, 33621

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $19.8 million to AKIMA FACILITIES OPERATIONS LLC for work described as: MATERIEL MANAGEMENT PERSONNEL Key points: 1. Contract focuses on logistics and distribution consulting services. 2. Awarded under full and open competition, indicating a competitive bidding process. 3. The contract duration of 1914 days suggests a long-term need for these services. 4. Firm Fixed Price contract type aims to control costs and provide predictability. 5. The contractor, Akima Facilities Operations LLC, is a significant player in government contracting. 6. Services are primarily located in Florida, impacting the local economy and workforce.

Value Assessment

Rating: good

Benchmarking the value of this contract requires detailed comparison to similar logistics consulting services. However, the firm-fixed-price structure suggests an effort to manage costs effectively. The absence of specific performance metrics in the provided data makes a definitive value assessment challenging, but the competitive award process implies a reasonable price was sought.

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 while the competition was open, certain sources were initially excluded before the final award. The presence of multiple bidders (implied by 'full and open') generally leads to better price discovery and potentially lower costs for the government.

Taxpayer Impact: A competitive bidding process helps ensure taxpayer dollars are used efficiently by driving down prices and encouraging innovative solutions from multiple vendors.

Public Impact

U.S. Special Operations Command benefits from improved materiel management and logistics. Services include process, physical distribution, and logistics consulting. The contract's geographic impact is concentrated in Florida. Potential workforce implications in the logistics and consulting sectors within Florida.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep in consulting services if not tightly managed.
Dependence on a single contractor for critical logistics functions.
Ensuring effective knowledge transfer from contractor to government personnel.

Positive Signals

Firm Fixed Price contract provides cost certainty.
Long-term contract allows for stable service provision.
Awarded through full and open competition, suggesting a vetted and capable contractor.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically focusing on logistics and supply chain management consulting. This is a critical area for defense agencies, impacting operational readiness and efficiency. The market for such services is competitive, with numerous firms offering specialized expertise. Comparable spending benchmarks would involve analyzing other large-scale logistics support contracts awarded by federal agencies.

Small Business Impact

The provided data indicates that small business participation (ss: false, sb: false) was not a primary set-aside criterion for this contract. This suggests that the primary focus was on securing the best technical solution and price through open competition, rather than specifically targeting small businesses. Subcontracting opportunities for small businesses may exist but are not explicitly detailed in this award information.

Oversight & Accountability

Oversight for this contract would typically be managed by the U.S. Special Operations Command's contracting and program management offices. Accountability measures are embedded within the contract's performance work statement and reporting requirements. Transparency is facilitated through contract award databases, though detailed performance data may be less publicly accessible.

Related Government Programs

Defense Logistics Agency Contracts
Special Operations Forces Support Contracts
Government Logistics Consulting Services
Materiel Management Support Contracts

Risk Flags

Potential for limited competition due to 'exclusion of sources'.
Long contract duration may increase risk of cost escalation or performance degradation.
Reliance on external consultants for critical logistics functions.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $19.8 million to AKIMA FACILITIES OPERATIONS LLC. MATERIEL MANAGEMENT PERSONNEL

Who is the contractor on this award?

The obligated recipient is AKIMA FACILITIES OPERATIONS LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (U.S. Special Operations Command).

What is the total obligated amount?

The obligated amount is $19.8 million.

What is the period of performance?

Start: 2021-02-13. End: 2026-05-12.

What is the track record of Akima Facilities Operations LLC in performing similar government contracts?

Akima Facilities Operations LLC, a subsidiary of Akima LLC, has a substantial history of performing government contracts, particularly within the defense and federal sectors. They specialize in a range of services including facilities management, logistics, IT, and mission support. Their past performance often includes large-scale contracts with agencies like the Department of Defense, NASA, and others. Reviews of their contract history would reveal their experience in managing complex operations, adherence to schedules, and quality of service delivery. While specific details for this particular contract's performance are not yet available, their broader portfolio suggests a capacity to handle significant logistical challenges. Assessing their performance on similar contracts would involve examining past award data, any reported contract disputes or terminations, and client feedback where available.

How does the awarded amount compare to similar logistics consulting contracts?

Comparing the $19.8 million award for materiel management and logistics consulting requires identifying contracts with similar scope, duration, and agency. Logistics consulting can vary widely in price depending on the complexity of the supply chain, the specific services required (e.g., process optimization, technology implementation, physical distribution), and the level of expertise needed. Contracts for large-scale, long-term support, like this 1914-day definitive contract, often represent significant investments. Benchmarking would involve looking at contracts awarded by the Department of Defense or other major federal agencies for similar services. Factors such as the number of bidders, the contractor's proposed pricing structure, and the specific deliverables will influence the perceived value. Without direct comparable data, it's challenging to definitively state if this award represents a premium or a discount, but the firm-fixed-price nature and competitive award suggest an effort to achieve a fair market price.

What are the primary risks associated with this contract?

Primary risks associated with this contract include potential contractor performance issues, such as failing to meet delivery timelines or quality standards for logistics consulting. Given the long duration, there's also a risk of cost overruns if the firm-fixed-price model is not adequately managed or if unforeseen circumstances arise. Dependence on a single contractor for critical materiel management functions poses an operational risk if the contractor experiences financial instability or significant personnel turnover. Furthermore, ensuring effective knowledge transfer and maintaining government oversight throughout the contract's lifecycle are crucial to mitigate risks related to institutional knowledge loss and contractor overreach. The 'after exclusion of sources' aspect of the competition also warrants scrutiny to ensure the exclusion criteria were justified and did not unduly limit competition.

How effective is this contract likely to be in improving U.S. Special Operations Command's logistics?

The effectiveness of this contract hinges on the specific expertise Akima Facilities Operations LLC brings to the U.S. Special Operations Command (SOCOM) and the clarity of the performance work statement. If the consulting services lead to optimized supply chains, improved inventory management, and more efficient distribution processes, the contract can be highly effective in enhancing SOCOM's operational readiness. The long-term nature suggests SOCOM anticipates significant, sustained improvements. However, effectiveness is also dependent on SOCOM's internal capacity to implement the consultants' recommendations and provide necessary support. The firm-fixed-price structure incentivizes efficiency, but the ultimate measure of success will be tangible improvements in logistics performance metrics, which are not detailed in the award information.

What are the historical spending patterns for materiel management and logistics consulting within the Department of Defense?

The Department of Defense (DoD) historically spends billions of dollars annually on logistics, supply chain management, and related consulting services. This spending is distributed across various agencies and commands, supporting a wide range of operational and administrative functions. Materiel management and logistics consulting are critical components of defense spending, essential for maintaining readiness and ensuring the efficient flow of goods and services. Spending patterns can fluctuate based on geopolitical events, modernization efforts, and budget allocations. Contracts like this one, awarded through competitive processes, represent a portion of that overall expenditure. Analyzing historical DoD spending data would reveal trends in contract types, service providers, and the overall investment in logistics support capabilities.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Process, Physical Distribution, and Logistics Consulting 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: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: H9240021R0001

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2553 DULLES VIEW DR STE 700, HERNDON, VA, 20171

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, 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: $19,828,022

Exercised Options: $19,828,022

Current Obligation: $19,824,356

Subaward Activity

Number of Subawards: 2

Total Subaward Amount: $7,136,197

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline