State Dept. Spends $147M on Engineering Services via Full & Open Competition, Ending Feb 2023
Contract Overview
Contract Amount: $146,811,259 ($146.8M)
Contractor: Miracle Systems LLC
Awarding Agency: Department of State
Start Date: 2017-09-01
End Date: 2023-02-28
Contract Duration: 2,006 days
Daily Burn Rate: $73.2K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 3
Pricing Type: TIME AND MATERIALS
Sector: Other
Official Description: ATA TECHNICAL STAFFING SERVICES IGF::CL::IGF
Place of Performance
Location: DUNN LORING, FAIRFAX County, VIRGINIA, 22027
State: Virginia Government Spending
Plain-Language Summary
Department of State obligated $146.8 million to MIRACLE SYSTEMS LLC for work described as: ATA TECHNICAL STAFFING SERVICES IGF::CL::IGF Key points: 1. Significant contract value of $147M over 5.5 years. 2. Competition method was 'Full and Open Competition After Exclusion of Sources'. 3. Contract type is Time and Materials, which can pose cost risks. 4. Engineering Services sector (NAICS 541330) is broad and essential for government operations.
Value Assessment
Rating: fair
The contract's Time and Materials pricing structure, while flexible, can lead to higher costs compared to fixed-price contracts if not managed closely. Benchmarking against similar engineering services contracts is difficult without more granular data on labor categories and rates.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract utilized 'Full and Open Competition After Exclusion of Sources,' indicating an initial exclusion followed by a broader competition. This method aims for competitive pricing but the exclusion phase might limit the initial pool of bidders.
Taxpayer Impact: The competitive nature of the award suggests efforts to secure fair pricing, but the T&M structure warrants ongoing vigilance to ensure taxpayer funds are used efficiently.
Public Impact
Ensures continued engineering support for critical Department of State functions. Supports government infrastructure and operational needs through specialized technical services. Potential for cost overruns due to Time and Materials pricing model. Contract duration of over 5 years suggests long-term reliance on these services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Time and Materials pricing model
- Potential for scope creep
- Limited transparency on specific labor rates
Positive Signals
- Full and open competition utilized
- Long contract duration indicates sustained need
- Services essential for agency operations
Sector Analysis
This contract falls within the Engineering Services sector, which is vital for government infrastructure projects and technical support. Spending in this sector can vary widely based on agency needs and project complexity. Benchmarks are difficult without specific service details.
Small Business Impact
The data does not indicate if small businesses were involved in this contract, either as prime contractors or subcontractors. Further analysis would be needed to determine the extent of small business participation.
Oversight & Accountability
The contract's duration and value suggest a need for robust oversight to manage costs, ensure performance, and prevent potential waste, fraud, or abuse, particularly given the Time and Materials pricing.
Related Government Programs
- Engineering Services
- Department of State Contracting
- Department of State Programs
Risk Flags
- Time and Materials pricing risk
- Lack of detailed performance metrics
- Initial exclusion of sources raises questions about competition breadth
- Potential for cost overruns without strict management
Tags
engineering-services, department-of-state, va, delivery-order, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of State awarded $146.8 million to MIRACLE SYSTEMS LLC. ATA TECHNICAL STAFFING SERVICES IGF::CL::IGF
Who is the contractor on this award?
The obligated recipient is MIRACLE SYSTEMS LLC.
Which agency awarded this contract?
Awarding agency: Department of State (Department of State).
What is the total obligated amount?
The obligated amount is $146.8 million.
What is the period of performance?
Start: 2017-09-01. End: 2023-02-28.
What was the specific justification for excluding sources initially before opening the competition?
The justification for excluding sources initially is not provided in the data. This exclusion could have been based on specific technical requirements, past performance, or other criteria deemed necessary by the agency. Understanding this rationale is key to assessing the fairness and competitiveness of the procurement process.
How were the 'Time and Materials' rates negotiated and benchmarked against industry standards?
The data does not detail the negotiation process for the Time and Materials rates. Effective oversight would involve comparing these rates against government-wide contract vehicles, industry surveys, and historical data for similar engineering services to ensure they are fair and reasonable.
What performance metrics were used to evaluate the effectiveness of ATA Technical Staffing Services?
Performance metrics are not detailed in the provided data. Effective evaluation would require tracking key performance indicators related to project completion, quality of deliverables, adherence to timelines, and client satisfaction to ensure the services met the Department of State's needs.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering 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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 3
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Address: 1621 N KENT STREET SUITE 1000, ARLINGTON, VA, 22209
Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $404,344,570
Exercised Options: $350,101,574
Current Obligation: $146,811,259
Actual Outlays: $36,423,557
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: GS00Q14OADS128
IDV Type: IDC
Timeline
Start Date: 2017-09-01
Current End Date: 2023-02-28
Potential End Date: 2023-02-28 00:00:00
Last Modified: 2025-04-04
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