DoD's $12.1M contract for secure shipping parts awarded to FCN, Inc. shows limited duration
Contract Overview
Contract Amount: $12,127,613 ($12.1M)
Contractor: FCN, Inc.
Awarding Agency: Department of Defense
Start Date: 2007-09-19
End Date: 2008-01-31
Contract Duration: 134 days
Daily Burn Rate: $90.5K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 1
Pricing Type: NOT REPORTED
Sector: Other
Official Description: SHIPPING, SE SECURE NEXT BUS DAY PARTS,
Place of Performance
Location: NORTH CHARLESTON, CHARLESTON County, SOUTH CAROLINA, 29419
Plain-Language Summary
Department of Defense obligated $12.1 million to FCN, INC. for work described as: SHIPPING, SE SECURE NEXT BUS DAY PARTS, Key points: 1. Contract value of $12.1M for secure shipping parts. 2. Awarded to FCN, Inc. under full and open competition. 3. Contract duration of 134 days. 4. Service category is 'Other Computer Related Services'. 5. Geographic focus on South Carolina. 6. Award type 'AW' indicates 'Awarded'.
Value Assessment
Rating: fair
The contract value of $12.1 million for a 134-day period for shipping parts appears high on a per-day basis. Without specific details on the nature and quantity of 'secure next bus day parts,' it is difficult to benchmark against similar contracts. The pricing structure and value for money are not readily apparent from the provided data.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that while competition was sought, certain sources were excluded. The number of bidders is not specified, but the 'full and open' designation suggests an intent to maximize competition. This approach generally leads to better price discovery.
Taxpayer Impact: Taxpayers benefit from the potential for competitive pricing, although the exclusion of sources might limit the full extent of cost savings.
Public Impact
The Department of Defense benefits from the timely delivery of secure shipping parts. Supports military logistics and operational readiness. The contract has a geographic impact primarily in South Carolina. Potential workforce implications for FCN, Inc. and its suppliers.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- High per-day cost suggests potential for overspending if not carefully managed.
- Limited contract duration may indicate a short-term need or a pilot program, raising questions about long-term strategy.
- The 'Exclusion of Sources' clause warrants further investigation into the rationale and impact on competition.
- Lack of detailed service description makes it hard to assess true value.
- Unclear if the 'secure' aspect of the parts justifies the overall cost.
Positive Signals
- Awarded through full and open competition, suggesting a structured procurement process.
- FCN, Inc. is a known entity in government contracting.
- The contract addresses a specific need for secure shipping parts.
- Clear award date and period of performance.
Sector Analysis
This contract falls within the broader category of logistics and supply chain services, often supporting defense operations. The market for specialized shipping and parts can be competitive, with various providers offering solutions tailored to government requirements. Benchmarking this specific award against other defense logistics contracts would require more granular data on the types of parts and services procured.
Small Business Impact
The provided data does not indicate if this contract included small business set-asides or subcontracting plans. Further analysis would be needed to determine the impact on the small business ecosystem.
Oversight & Accountability
Oversight would typically be managed by the Department of the Navy contracting officers and potentially the Defense Contract Management Agency (DCMA). Transparency is limited by the available data, but the contract award itself is a matter of public record. Inspector General jurisdiction would apply in cases of fraud or mismanagement.
Related Government Programs
- Defense Logistics Agency (DLA) contracts
- Military Sealift Command (MSC) procurements
- General Services Administration (GSA) Schedule contracts for logistics
Risk Flags
- Vague service description
- Potentially high per-day cost
- Short contract duration
- Exclusion of sources in competition
Tags
defense, department-of-defense, fcn-inc, full-and-open-competition, other-computer-related-services, south-carolina, logistics, supply-chain, expedited-delivery, secure-parts
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $12.1 million to FCN, INC.. SHIPPING, SE SECURE NEXT BUS DAY PARTS,
Who is the contractor on this award?
The obligated recipient is FCN, INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $12.1 million.
What is the period of performance?
Start: 2007-09-19. End: 2008-01-31.
What is the specific nature of the 'secure next bus day parts' being procured, and how does this define the service?
The data provided is limited and does not specify the exact nature of the 'secure next bus day parts.' This phrase suggests components or materials that require secure handling and expedited delivery, likely for critical defense systems or operations. The 'next bus day' implies a rapid fulfillment requirement. Without further details, it's challenging to ascertain the technical specifications, quantity, or criticality of these parts, which directly impacts the assessment of the contract's value and necessity. The 'secure' aspect could refer to physical security, data security if the parts are electronic, or chain-of-custody requirements.
How does the $12.1 million contract value compare to similar procurements for expedited shipping parts within the Department of Defense?
Benchmarking this $12.1 million contract against similar procurements is difficult without more specific information on the types of parts, their quantities, and the exact delivery requirements. However, the contract's duration of 134 days (approximately 4.5 months) suggests a significant daily expenditure. If the parts are standard logistical components, this value might be considered high. If they are highly specialized, classified, or require unique security protocols and extremely rapid delivery, the cost could be justified. A comparative analysis would require access to databases detailing similar expedited parts procurements, including their scope, duration, and total cost, to determine if FCN, Inc.'s award represents a competitive market rate.
What are the potential risks associated with a 134-day contract for 'secure next bus day parts' awarded to FCN, Inc.?
Several risks are associated with this contract. Firstly, the short duration (134 days) might indicate a reactive procurement rather than strategic planning, potentially leading to higher costs due to urgency. Secondly, the term 'secure' is vague and could mask requirements that inflate costs without proportional benefit. Thirdly, while awarded under 'Full and Open Competition After Exclusion of Sources,' the exclusion itself presents a risk if it unnecessarily limits the pool of qualified vendors, potentially impacting price and innovation. Finally, the lack of detailed performance metrics in the provided data makes it difficult to assess the contractor's track record and the risk of non-performance or subpar delivery.
What is FCN, Inc.'s track record with the Department of Defense, particularly in logistics and secure supply chain services?
FCN, Inc. is a known government contractor, often serving various federal agencies including the Department of Defense. Their portfolio typically includes IT solutions, cybersecurity, and professional services. While they have experience with DoD contracts, specific details regarding their performance in niche areas like 'secure next bus day parts' procurement and secure logistics are not immediately available from this summary data. A deeper dive into their contract history, past performance evaluations, and any reported issues or successes related to similar services would be necessary to fully assess their suitability and reliability for this specific requirement.
How does the 'Other Computer Related Services' classification (NAICS 541519) align with the procurement of shipping parts?
The classification of 'Other Computer Related Services' (NAICS 541519) for a contract involving 'shipping parts' appears incongruous at first glance. Typically, procurement of physical parts and logistics would fall under different NAICS codes related to wholesale trade, transportation, or warehousing. This suggests that the contract might involve more than just the physical parts themselves. It could encompass the IT systems, software, or services required to manage, track, secure, or deploy these parts, or perhaps the parts themselves are IT-related components for secure systems. Clarification on how computer-related services are integrated into the delivery or management of these shipping parts is needed.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services
Product/Service Code: ELECTRICAL/ELECTRONIC EQPT COMPNTS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 1
Pricing Type: NOT REPORTED (NO)
Evaluated Preference: NONE
Contractor Details
Address: 12315 WILKINS AVE, ROCKVILLE, MD, 08
Business Categories: Category Business, Small Business, Woman Owned Business
Financial Breakdown
Contract Ceiling: $12,127,613
Exercised Options: $12,127,613
Current Obligation: $12,127,613
Parent Contract
Parent Award PIID: NNG07DA26B
IDV Type: GWAC
Timeline
Start Date: 2007-09-19
Current End Date: 2008-01-31
Potential End Date: 2008-01-31 00:00:00
Last Modified: 2012-12-11
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