DoD Awards $29.4M Engineering Services Contract to Engility Services, LLC
Contract Overview
Contract Amount: $29,425,490 ($29.4M)
Contractor: Engility Services, LLC
Awarding Agency: Department of Defense
Start Date: 2013-05-01
End Date: 2024-01-25
Contract Duration: 3,921 days
Daily Burn Rate: $7.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: COST PLUS FIXED FEE
Sector: Engineering Services
Official Description: COST ESTIMATING
Place of Performance
Location: ANDOVER, ESSEX County, MASSACHUSETTS, 01810
Plain-Language Summary
Department of Defense obligated $29.4 million to ENGILITY SERVICES, LLC for work described as: COST ESTIMATING Key points: 1. Contract value of $29.4M for engineering services. 2. Awarded under full and open competition. 3. Long contract duration of 3921 days. 4. Potential for cost overruns with Cost Plus Fixed Fee structure.
Value Assessment
Rating: fair
The contract's Cost Plus Fixed Fee (CPFF) structure can lead to cost overruns if not managed tightly. Benchmarking against similar engineering service contracts is difficult without detailed scope and performance data.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, suggesting a competitive bidding process. However, the CPFF pricing type may limit price discovery and incentivize cost escalation.
Taxpayer Impact: Taxpayer funds are utilized for engineering services. The CPFF structure necessitates careful oversight to ensure cost efficiency and prevent unnecessary spending.
Public Impact
Ensures continued engineering support for Department of Defense operations. Supports a large federal agency's technical requirements. Long-term nature of the contract provides stability for the contractor and consistent service for the agency.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long contract duration increases risk of scope creep and cost escalation.
- CPFF contract type can incentivize higher costs.
- Lack of specific performance metrics makes value assessment difficult.
Positive Signals
- Awarded via full and open competition.
- Contract supports critical defense functions.
Sector Analysis
This contract falls within the Engineering Services sector, which is crucial for government infrastructure and defense projects. Spending in this sector can vary significantly based on agency needs and project complexity.
Small Business Impact
No specific information is provided regarding small business participation in this contract. Further analysis would be needed to determine if small businesses were involved as subcontractors or if opportunities were missed.
Oversight & Accountability
The long duration and CPFF structure of this contract warrant close oversight from the Defense Contract Management Agency to ensure cost control and adherence to the contract's objectives.
Related Government Programs
- Engineering Services
- Department of Defense Contracting
- Defense Contract Management Agency Programs
Risk Flags
- Cost Plus Fixed Fee (CPFF) pricing structure.
- Long contract duration (3921 days).
- Lack of specific performance metrics.
- Potential for cost escalation.
- Limited insight into specific services provided.
Tags
engineering-services, department-of-defense, ma, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $29.4 million to ENGILITY SERVICES, LLC. COST ESTIMATING
Who is the contractor on this award?
The obligated recipient is ENGILITY SERVICES, 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 $29.4 million.
What is the period of performance?
Start: 2013-05-01. End: 2024-01-25.
What specific engineering services are being provided under this contract, and how do they align with current DoD priorities?
The provided data indicates 'Engineering Services' (NAICS 541330) but lacks specifics on the exact nature of these services. Understanding if they support critical defense modernization, infrastructure, or operational needs is key to assessing their value and alignment with current DoD priorities.
How effectively has the Defense Contract Management Agency managed the Cost Plus Fixed Fee aspect to control costs over the contract's long duration?
The long duration (3921 days) and CPFF structure present inherent risks for cost control. Effective management would involve rigorous monitoring of costs, regular audits, and proactive identification of potential inefficiencies or scope creep to ensure the fixed fee remains appropriate and taxpayer funds are used efficiently.
What is the estimated cost per year or per unit of service, and how does it compare to industry benchmarks for similar engineering support?
Calculating a precise per-unit cost is challenging due to the CPFF structure and the lack of defined units of service. The total award of $29.4M over approximately 10.7 years yields an average annual cost of roughly $2.75M. Benchmarking this requires detailed comparison with similar long-term, complex engineering support contracts.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: N0002412R3226
Offers Received: 3
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Science Applications International Corporation
Address: 35 NEW ENGLAND BUSINESS CENTER DR STE 200, ANDOVER, MA, 01810
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $44,001,803
Exercised Options: $44,001,803
Current Obligation: $29,425,490
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N0017810D6332
IDV Type: IDC
Timeline
Start Date: 2013-05-01
Current End Date: 2024-01-25
Potential End Date: 2024-01-25 00:00:00
Last Modified: 2024-03-01
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