DoD awards $87.4M for Engineering Services to CACI Technologies, LLC, a sole-source contract
Contract Overview
Contract Amount: $87,405,389 ($87.4M)
Contractor: CACI Technologies, LLC
Awarding Agency: Department of Defense
Start Date: 2010-09-29
End Date: 2013-12-31
Contract Duration: 1,189 days
Daily Burn Rate: $73.5K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: LABOR HOURS
Sector: Defense
Official Description: ENGINEERING SERVICES
Place of Performance
Location: CHANTILLY, FAIRFAX County, VIRGINIA, 20151
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $87.4 million to CACI TECHNOLOGIES, LLC for work described as: ENGINEERING SERVICES Key points: 1. Contract awarded to CACI Technologies, LLC for engineering services. 2. Total award value is $87.4 million. 3. Contract type is definitive, labor hours, and was not competed. 4. The contract spans from September 2010 to December 2013.
Value Assessment
Rating: questionable
The contract was awarded on a sole-source basis, making direct price comparison difficult. The benchmark of $7,351,200 for similar contracts suggests potential overpayment given the $87.4M award.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed, indicating a lack of competitive bidding. This sole-source award may have limited price discovery and potentially led to a higher cost for the government.
Taxpayer Impact: The sole-source nature of this contract raises concerns about taxpayer value, as competition was bypassed, potentially increasing the overall cost.
Public Impact
Taxpayers may have paid a premium due to the lack of competition. The long duration of the contract (over 3 years) means sustained potential for overspending. Lack of transparency in the sole-source award process hinders public scrutiny.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award
- Lack of competition
- Potential for overpayment
Positive Signals
- Contract awarded to a known entity (CACI)
Sector Analysis
Engineering services are crucial for defense projects, but the lack of competition in this $87.4M award is a concern. Benchmarks for administrative management and general management consulting services (NAICS 541611) are typically lower when competed.
Small Business Impact
The contract was awarded to CACI Technologies, LLC, and there is no indication that small businesses were involved as subcontractors or partners in this sole-source award.
Oversight & Accountability
The sole-source nature of this contract warrants further oversight to ensure the pricing was fair and reasonable, despite the absence of competition. Accountability for the decision not to compete is essential.
Related Government Programs
- Administrative Management and General Management Consulting Services
- Department of Defense Contracting
- Defense Contract Management Agency Programs
Risk Flags
- Sole-source award bypasses competition.
- Significant cost difference compared to benchmark.
- Lack of transparency in procurement.
- Potential for inflated pricing.
- Long contract duration increases risk exposure.
Tags
administrative-management-and-general-ma, department-of-defense, va, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $87.4 million to CACI TECHNOLOGIES, LLC. ENGINEERING SERVICES
Who is the contractor on this award?
The obligated recipient is CACI TECHNOLOGIES, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Contract Management Agency).
What is the total obligated amount?
The obligated amount is $87.4 million.
What is the period of performance?
Start: 2010-09-29. End: 2013-12-31.
What was the justification for awarding this contract on a sole-source basis instead of seeking competitive bids?
The justification for a sole-source award typically involves specific circumstances such as the urgency of the requirement, the unique capabilities of a single contractor, or national security concerns. Without detailed documentation from the Department of Defense, it is difficult to ascertain the precise reasons. However, the absence of competition raises questions about whether alternative solutions were adequately explored or if the justification was robust enough to warrant bypassing the standard competitive procurement process.
How does the $87.4 million award compare to the benchmark of $7.35 million for similar contracts, and what does this imply about potential overspending?
The award of $87.4 million is significantly higher than the benchmark of $7.35 million for similar contracts. This substantial difference, especially in the context of a sole-source award, strongly suggests a potential for overspending. It indicates that the government may have paid a considerably higher price than it would have in a competitive environment, raising concerns about the efficient use of taxpayer funds.
What measures were in place to ensure the effectiveness and quality of engineering services provided by CACI Technologies, LLC under this sole-source contract?
While the data does not specify oversight mechanisms, contracts typically include performance standards, reporting requirements, and quality assurance surveillance plans. For a sole-source award, robust oversight is even more critical to ensure the contractor delivers the required services effectively and that the government receives value for its investment. The Defense Contract Management Agency (DCMA) would likely have been responsible for monitoring performance and ensuring compliance with contract terms.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: LABOR HOURS (Z)
Evaluated Preference: NONE
Contractor Details
Parent Company: CACI International Inc (UEI: 045534641)
Address: 14370 NEWBROOK DRIVE, CHANTILLY, VA, 20151
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $87,719,169
Exercised Options: $87,719,169
Current Obligation: $87,405,389
Subaward Activity
Number of Subawards: 12
Total Subaward Amount: $17,428,305
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: YES
Timeline
Start Date: 2010-09-29
Current End Date: 2013-12-31
Potential End Date: 2013-12-31 00:00:00
Last Modified: 2020-06-16
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