DoD awards $27.5M engineering services contract to Valiant Global Defense Services Inc
Contract Overview
Contract Amount: $27,544,665 ($27.5M)
Contractor: Valiant Global Defense Services Inc.
Awarding Agency: Department of Defense
Start Date: 2022-08-01
End Date: 2023-08-11
Contract Duration: 375 days
Daily Burn Rate: $73.5K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: COST NO FEE
Sector: Defense
Official Description: EXERCISE OPTION YEAR AND ADD FUNDING
Place of Performance
Location: SAN DIEGO, SAN DIEGO County, CALIFORNIA, 92123
Plain-Language Summary
Department of Defense obligated $27.5 million to VALIANT GLOBAL DEFENSE SERVICES INC. for work described as: EXERCISE OPTION YEAR AND ADD FUNDING Key points: 1. Contract value represents a significant investment in engineering services for the Department of the Army. 2. Full and open competition suggests a robust market for these specialized services. 3. The contract's duration and option exercise indicate ongoing need and potential for sustained engagement. 4. Engineering services are critical for defense infrastructure and operational readiness. 5. The award to a single entity highlights the importance of specialized capabilities in this sector.
Value Assessment
Rating: good
The contract value of $27.5 million for engineering services appears reasonable given the scope and duration. Benchmarking against similar Department of the Army contracts for engineering services would provide a more precise value-for-money assessment. The 'COST NO FEE' pricing structure suggests that the government is reimbursing the contractor for allowable costs, which can be efficient if costs are well-managed and controlled. However, without detailed cost breakdowns, a definitive assessment of pricing efficiency is challenging.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded under full and open competition, indicating that multiple qualified bidders had the opportunity to submit proposals. The specific number of bidders is not provided, but this procurement method generally fosters competitive pricing and encourages contractors to offer their best value. The open competition suggests a healthy market for engineering services within the defense sector.
Taxpayer Impact: Full and open competition is beneficial for taxpayers as it typically leads to more competitive pricing and a wider range of innovative solutions, maximizing the value of federal dollars spent.
Public Impact
The Department of the Army benefits from specialized engineering expertise to support its missions. Services delivered likely include design, analysis, and technical support for military systems or infrastructure. The contract's geographic impact is primarily tied to the Army's operational needs, potentially nationwide or global. The award supports a workforce of skilled engineers and technical professionals.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific performance metrics makes it difficult to assess the quality and effectiveness of services rendered.
- The 'COST NO FEE' pricing structure requires diligent oversight to ensure cost control and prevent overruns.
- Limited information on the specific engineering disciplines required makes it hard to gauge the complexity and risk.
- The duration of the contract and option exercise could lead to vendor lock-in if not managed carefully.
Positive Signals
- Awarded through full and open competition, suggesting a competitive process that should yield good value.
- The contract's option exercise indicates satisfaction with the contractor's performance and the continued need for services.
- Valiant Global Defense Services Inc. is a known entity in the defense contracting space, implying some level of established capability.
- The 'COST NO FEE' structure, while requiring oversight, can be effective for complex projects where costs are difficult to predict upfront.
Sector Analysis
The engineering services sector is a vital component of the broader defense industrial base, providing essential technical expertise for military readiness and modernization. This contract falls within the professional, scientific, and technical services category, which is a significant area of federal spending. The market for defense engineering services is competitive, with numerous firms offering specialized capabilities. Comparable spending benchmarks would involve analyzing other large-scale engineering support contracts awarded by the Department of Defense and other federal agencies.
Small Business Impact
This contract was awarded under full and open competition and does not indicate a small business set-aside. Therefore, there are no direct implications for small business set-asides. However, the prime contractor, Valiant Global Defense Services Inc., may engage small businesses as subcontractors to fulfill specific aspects of the contract, contributing to the small business ecosystem.
Oversight & Accountability
Oversight for this contract would typically be managed by the contracting officer and the contract administration office within the Department of the Army. Performance monitoring, cost tracking (especially under the 'COST NO FEE' structure), and adherence to contract terms are key oversight functions. Transparency is facilitated through contract award databases and reporting requirements. Inspector General jurisdiction may apply if fraud, waste, or abuse is suspected.
Related Government Programs
- Department of Defense Engineering Services
- Professional, Scientific, and Technical Services
- Defense Support Services
- Army Logistics and Readiness Support
Risk Flags
- Cost Control Risk (Cost No Fee)
- Performance Monitoring Complexity
- Scope Definition Clarity
Tags
defense, department-of-defense, department-of-the-army, engineering-services, professional-scientific-and-technical-services, full-and-open-competition, delivery-order, cost-no-fee, california, large-contract
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $27.5 million to VALIANT GLOBAL DEFENSE SERVICES INC.. EXERCISE OPTION YEAR AND ADD FUNDING
Who is the contractor on this award?
The obligated recipient is VALIANT GLOBAL DEFENSE SERVICES INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $27.5 million.
What is the period of performance?
Start: 2022-08-01. End: 2023-08-11.
What is the track record of Valiant Global Defense Services Inc. in performing similar engineering services contracts for the Department of Defense?
Valiant Global Defense Services Inc. has a history of performing various defense-related contracts, including those involving technical and engineering support. Analyzing their past performance ratings, any past performance issues or awards, and the scale of previous similar contracts would provide insight into their capabilities and reliability. Specific details on their experience with the particular type of engineering services required for this contract, such as the complexity, duration, and technical challenges, are crucial for a comprehensive assessment. Reviewing their contract history for any significant disputes, terminations, or performance-related penalties would also be informative.
How does the awarded value of $27.5 million compare to similar engineering services contracts awarded by the Department of the Army in the past year?
To benchmark the $27.5 million award, we would compare it against other Department of the Army contracts for engineering services awarded within the last 12-24 months. Key comparison points include the contract type (e.g., cost-plus, fixed-price), duration, scope of work, and the specific engineering disciplines involved. If this contract is for a similar scope and duration as others, and awarded under full and open competition, the price is likely competitive. However, if comparable contracts were significantly lower in value for similar services, or if this contract is for a more complex or extended period, it might warrant further scrutiny regarding value for money.
What are the primary risks associated with this 'COST NO FEE' contract structure for the government?
The primary risk for the government with a 'COST NO FEE' contract is the potential for cost overruns if the contractor does not manage expenses effectively. Unlike fixed-price contracts, the government bears the risk of actual costs incurred. This necessitates robust government oversight, including detailed cost audits and performance monitoring, to ensure that costs are reasonable, allocable, and allowable. Without stringent controls, the final cost could exceed initial estimates or what might have been achieved under a different contract type. Contractor efficiency and cost-consciousness are paramount.
What specific engineering services are being procured under this contract, and how critical are they to the Army's mission?
The provided data indicates 'Engineering Services' (NAICS 541330) without specifying the exact nature of these services. These could range from design and development of new systems, technical support for existing platforms, infrastructure engineering, or specialized analysis. The criticality to the Army's mission would depend on the specific application. For instance, engineering services supporting weapon system upgrades are directly critical to combat effectiveness, while those for base infrastructure might be essential for operational readiness and troop support. Understanding the precise deliverables is key to assessing their mission impact.
What is the historical spending trend for engineering services by the Department of the Army over the last five fiscal years?
Analyzing the historical spending trend for engineering services by the Department of the Army over the last five fiscal years would reveal patterns in investment in this area. This includes identifying fluctuations in annual spending, major contract awards, and shifts in the types of engineering services being procured. Such analysis helps contextualize the current $27.5 million award within the broader budgetary landscape and strategic priorities of the Army. It can also highlight periods of increased or decreased demand for these services, potentially linked to major acquisition programs or operational tempo.
How does the competition level (full and open) for this contract potentially influence the quality of engineering solutions provided?
A full and open competition generally encourages a wider pool of potential offerors, including established firms and potentially innovative newcomers. This increased competition can drive higher quality solutions as contractors strive to differentiate themselves through technical merit, innovative approaches, and superior past performance. The government benefits from a broader range of technical expertise and potentially more tailored solutions to meet its specific engineering needs. The selection process under full and open competition typically emphasizes both technical approach and cost, aiming to secure the best overall value, which often translates to higher quality outcomes.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
Product/Service Code: EDUCATION AND TRAINING › EDUCATION AND TRAINING SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: W900KK19R0003
Pricing Type: COST NO FEE (S)
Evaluated Preference: NONE
Contractor Details
Parent Company: Valiant Integrated Services LLC
Address: 3940 RUFFIN RD STE C, SAN DIEGO, CA, 92123
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $28,391,522
Exercised Options: $27,891,522
Current Obligation: $27,544,665
Subaward Activity
Number of Subawards: 1
Total Subaward Amount: $108,540
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W900KK20D0013
IDV Type: IDC
Timeline
Start Date: 2022-08-01
Current End Date: 2023-08-11
Potential End Date: 2023-08-11 00:00:00
Last Modified: 2024-09-16
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