DoD's $37M Army Staff Augmentation Contract with Sevatec LLC: Engineering Services Under Full and Open Competition

Contract Overview

Contract Amount: $36,926,161 ($36.9M)

Contractor: Sevatec LLC

Awarding Agency: Department of Defense

Start Date: 2014-08-30

End Date: 2017-02-28

Contract Duration: 913 days

Daily Burn Rate: $40.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: STAFF AUGMENTATION

Place of Performance

Location: CHANTILLY, FAIRFAX County, VIRGINIA, 20151

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $36.9 million to SEVATEC LLC for work described as: STAFF AUGMENTATION Key points: 1. Significant contract value of over $36.9 million for staff augmentation services. 2. Awarded to Sevatec LLC, indicating a specific vendor's role in supporting the Department of the Army. 3. Procured under full and open competition, suggesting a competitive bidding process. 4. The contract spans over three years, from August 2014 to February 2017. 5. Classified under Engineering Services (NAICS 541330), highlighting the technical nature of the support.

Value Assessment

Rating: good

The contract's value of $36.9 million for staff augmentation over three years appears reasonable given the scope of engineering services. Benchmarking against similar large-scale staff augmentation contracts within the Department of Defense would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically fosters competitive pricing and ensures the government receives the best value. The use of a delivery order under a larger contract structure suggests a streamlined procurement process.

Taxpayer Impact: Full and open competition generally leads to more favorable pricing for taxpayers by encouraging multiple bids and driving down costs.

Public Impact

Ensures the Department of the Army has access to specialized engineering expertise. Supports critical defense operations through dedicated staff augmentation. Demonstrates the government's ability to procure complex services competitively. Provides a stable vendor relationship for essential engineering support over a defined period.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically engineering services. Spending in this area is crucial for government agencies requiring specialized expertise for complex projects and operations. Benchmarks for similar staff augmentation contracts in defense engineering services would be valuable for comparative analysis.

Small Business Impact

The data indicates this contract was not set aside for small businesses and was awarded under full and open competition. Therefore, small businesses were likely not the primary focus of this specific award, though they may have participated in the broader competitive process.

Oversight & Accountability

The contract's structure as a delivery order under a larger award, coupled with its firm fixed-price nature, suggests a degree of oversight in defining scope and cost. However, ongoing monitoring of performance and adherence to the engineering services scope is crucial for accountability.

Related Government Programs

Risk Flags

Tags

engineering-services, department-of-defense, va, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $36.9 million to SEVATEC LLC. STAFF AUGMENTATION

Who is the contractor on this award?

The obligated recipient is SEVATEC LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $36.9 million.

What is the period of performance?

Start: 2014-08-30. End: 2017-02-28.

What was the specific nature of the engineering services provided under this staff augmentation contract, and how did they contribute to the Department of the Army's mission objectives?

The contract provided staff augmentation for engineering services, implying that Sevatec LLC supplied personnel with specialized engineering skills to support the Department of the Army. These services likely contributed to various defense projects, infrastructure development, or technical support functions, directly aiding the Army's operational readiness and strategic goals by filling critical expertise gaps.

Given the $36.9 million value and firm fixed-price structure, what were the primary risk mitigation strategies employed to ensure cost control and prevent scope creep?

The firm fixed-price (FFP) contract type itself is a primary risk mitigation tool for cost control, as it shifts cost overrun risk to the contractor. Additional strategies likely included detailed statement of work (SOW), rigorous performance monitoring, change control processes to manage scope adjustments, and regular progress reviews to ensure alignment with initial objectives and prevent unauthorized expansion of services.

How effective was the full and open competition in achieving value for money for these engineering services compared to other procurement methods?

Full and open competition is generally considered highly effective in achieving value for money by fostering a competitive environment that drives down prices and encourages innovation. For these engineering services, it likely resulted in a more competitive bid landscape, allowing the Department of the Army to select a vendor offering the best combination of technical capability and cost-effectiveness, thereby maximizing taxpayer return.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2815 OLD LEE HWY, FAIRFAX, VA, 22031

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Not Designated a Small Business, Special Designations, Subchapter S Corporation, Indian (Subcontinent) American Owned Business, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $36,926,161

Exercised Options: $36,926,161

Current Obligation: $36,926,161

Subaward Activity

Number of Subawards: 4

Total Subaward Amount: $247,037

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Parent Contract

Parent Award PIID: GS10F0142W

IDV Type: FSS

Timeline

Start Date: 2014-08-30

Current End Date: 2017-02-28

Potential End Date: 2017-02-28 12:02:00

Last Modified: 2021-07-06

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