DoD Awards $37.7M Facilities Support Contract to Vectrus Systems LLC for Qatar Base Operations
Contract Overview
Contract Amount: $37,731,962 ($37.7M)
Contractor: Vectrus Systems LLC
Awarding Agency: Department of Defense
Start Date: 2008-04-01
End Date: 2009-03-30
Contract Duration: 363 days
Daily Burn Rate: $103.9K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: COST PLUS AWARD FEE
Sector: Defense
Official Description: BRIDGE CONTRACT FOR CONTINUITY OF QATAR BASE OPERATION SUPPORT SERVICES.
Place of Performance
Location: COLORADO SPRINGS, EL PASO County, COLORADO, 80919
State: Colorado Government Spending
Plain-Language Summary
Department of Defense obligated $37.7 million to VECTRUS SYSTEMS LLC for work described as: BRIDGE CONTRACT FOR CONTINUITY OF QATAR BASE OPERATION SUPPORT SERVICES. Key points: 1. Contract awarded to a single vendor, Vectrus Systems LLC, for essential base support. 2. The contract value of $37.7M covers a 363-day period, indicating significant operational costs. 3. Lack of competition raises questions about potential overpricing and limited market exploration. 4. Facilities Support Services (NAICS 561210) are critical for maintaining military infrastructure and operations.
Value Assessment
Rating: questionable
The contract's cost-plus award fee structure can incentivize performance but may also lead to higher costs if not tightly managed. Without competitive benchmarks, assessing the pricing's fairness against similar contracts is difficult.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed, indicating a sole-source award. This limits price discovery and potentially leads to higher costs for taxpayers as there is no market pressure to offer competitive pricing.
Taxpayer Impact: The lack of competition for this significant contract may result in taxpayers paying more than necessary for essential base support services.
Public Impact
Ensures continuity of critical operations at Qatar Base, supporting military readiness. Vectrus Systems LLC is responsible for a wide range of facilities support services. Taxpayer funds are allocated for essential infrastructure maintenance and operational support abroad.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award limits competition and price discovery.
- Cost-plus award fee structure can lead to cost overruns if not managed effectively.
- Contract duration is long, increasing exposure to potential inefficiencies.
Positive Signals
- Ensures critical base operations continuity.
- Awarded to an established contractor with experience in the sector.
Sector Analysis
This contract falls under Facilities Support Services, a sector crucial for government operations, particularly in defense. Spending benchmarks for such services can vary widely based on location, scope, and security requirements.
Small Business Impact
The contract was awarded to Vectrus Systems LLC, a large business. There is no indication of subcontracting opportunities for small businesses within this award notice.
Oversight & Accountability
The contract is managed by the Defense Contract Management Agency, which is responsible for oversight. However, the sole-source nature of the award warrants close scrutiny to ensure fair pricing and effective service delivery.
Related Government Programs
- Facilities Support Services
- Department of Defense Contracting
- Defense Contract Management Agency Programs
Risk Flags
- Lack of competition.
- Potential for cost overruns due to CPAF structure.
- Long contract duration.
- No indication of small business participation.
Tags
facilities-support-services, department-of-defense, co, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $37.7 million to VECTRUS SYSTEMS LLC. BRIDGE CONTRACT FOR CONTINUITY OF QATAR BASE OPERATION SUPPORT SERVICES.
Who is the contractor on this award?
The obligated recipient is VECTRUS SYSTEMS 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 $37.7 million.
What is the period of performance?
Start: 2008-04-01. End: 2009-03-30.
What was the justification for awarding this contract on a sole-source basis, and were alternative competitive strategies considered?
The justification for a sole-source award is critical for understanding why competition was bypassed. Agencies typically cite reasons such as urgency, unique capabilities, or lack of market availability. Without this justification, it's difficult to assess if taxpayers received the best value or if a more competitive approach could have yielded cost savings or better performance.
How effectively is the cost-plus award fee structure being managed to control costs and incentivize performance for this contract?
The effectiveness of the cost-plus award fee (CPAF) structure hinges on robust oversight and clear performance metrics. Agencies must diligently monitor incurred costs and ensure award fees are tied to demonstrable achievements. Without transparent reporting and strict adherence to performance standards, CPAF contracts risk escalating costs beyond initial projections, diminishing overall value for the government.
What specific performance metrics are in place to measure the success of Vectrus Systems LLC in providing facilities support services?
Specific performance metrics are essential for evaluating the contractor's success and justifying award fees. These should include quantifiable measures related to response times, service quality, infrastructure maintenance, and operational uptime. Regular performance reviews and clear reporting mechanisms are necessary to ensure accountability and identify areas for improvement.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support 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: COST PLUS AWARD FEE (R)
Evaluated Preference: NONE
Contractor Details
Parent Company: Vectrus, Inc.
Address: 2424 GARDEN OF THE GODS RD STE 300, COLORADO SPRINGS, CO, 80919
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $37,731,962
Exercised Options: $37,731,962
Current Obligation: $37,731,962
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Timeline
Start Date: 2008-04-01
Current End Date: 2009-03-30
Potential End Date: 2009-03-30 00:00:00
Last Modified: 2024-01-27
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