DoD's $51.9M labor support contract to Amentum Technology, Inc. awarded under full and open competition

Contract Overview

Contract Amount: $51,902,421 ($51.9M)

Contractor: Amentum Technology, Inc.

Awarding Agency: Department of Defense

Start Date: 2024-06-28

End Date: 2026-04-30

Contract Duration: 671 days

Daily Burn Rate: $77.4K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: HTASC 111TH MI BDE LABOR SUPPORT

Place of Performance

Location: FORT HUACHUCA, COCHISE County, ARIZONA, 85613

State: Arizona Government Spending

Plain-Language Summary

Department of Defense obligated $51.9 million to AMENTUM TECHNOLOGY, INC. for work described as: HTASC 111TH MI BDE LABOR SUPPORT Key points: 1. Contract awarded for professional and management development training services. 2. Amentum Technology, Inc. is the sole awardee for this delivery order. 3. The contract has a duration of 671 days, ending April 30, 2026. 4. The contract type is Cost Plus Fixed Fee, indicating potential for cost overruns. 5. The contract was awarded under full and open competition, suggesting a competitive process. 6. The North American Industry Classification System (NAICS) code is 611430, related to professional and management development training.

Value Assessment

Rating: fair

Benchmarking the value for this specific delivery order is challenging without comparable contract data for identical labor support services. The Cost Plus Fixed Fee (CPFF) contract type can sometimes lead to higher overall costs compared to fixed-price contracts if not managed carefully. However, CPFF is often used when the scope of work is not fully defined, allowing for flexibility. Further analysis would require comparing the labor rates and overhead applied to similar government training contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit a bid. The specific number of bidders is not provided, but the designation suggests a robust competitive environment. A competitive award process generally leads to better price discovery and potentially lower costs for the government.

Taxpayer Impact: Full and open competition is favorable for taxpayers as it maximizes the potential for receiving the best value through a wide range of offers and competitive pricing.

Public Impact

The primary beneficiaries are likely military personnel requiring professional and management development training. Services delivered include labor support for training programs, potentially encompassing instructors, curriculum development, and administrative functions. The geographic impact is concentrated in Arizona (AZ), where the contract is being performed. Workforce implications may include the creation or sustainment of jobs for training professionals and support staff.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The professional and management development training sector within the federal government is diverse, supporting various agencies and their personnel needs. This contract falls under the broader professional services category, which includes a wide array of specialized expertise. Comparable spending benchmarks would typically involve analyzing other training and development contracts awarded across different branches of the military and civilian agencies, considering factors like contract size, duration, and service scope.

Small Business Impact

The provided data does not indicate any small business set-aside provisions for this contract, nor does it specify subcontracting goals for small businesses. Therefore, the direct impact on the small business ecosystem from this specific award is not evident. Further investigation into the prime contractor's subcontracting plan would be necessary to assess any indirect benefits to small businesses.

Oversight & Accountability

Oversight mechanisms for this contract would typically involve the contracting officer and their representatives within the Department of the Army. Accountability measures are inherent in the CPFF structure, requiring detailed cost reporting and justification. Transparency is facilitated by the contract award notice, but detailed performance reports and cost breakdowns are usually internal. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Risk Flags

Tags

defense, department-of-defense, department-of-the-army, delivery-order, professional-services, training, cost-plus-fixed-fee, full-and-open-competition, arizona, management-development

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $51.9 million to AMENTUM TECHNOLOGY, INC.. HTASC 111TH MI BDE LABOR SUPPORT

Who is the contractor on this award?

The obligated recipient is AMENTUM TECHNOLOGY, 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 $51.9 million.

What is the period of performance?

Start: 2024-06-28. End: 2026-04-30.

What is Amentum Technology, Inc.'s track record with similar government contracts, particularly in professional development and labor support?

Amentum Technology, Inc. has a significant history of performing government contracts, including those related to technical services, logistics, and professional support. While specific details on their past performance in professional and management development training are not immediately available from this data alone, their broader experience suggests a capacity to handle complex service requirements. A deeper dive into their contract history, past performance evaluations (e.g., CPARS), and any reported issues would provide a more comprehensive understanding of their suitability for this specific role. Their established presence in the government contracting space indicates a familiarity with federal acquisition regulations and operational demands.

How does the Cost Plus Fixed Fee (CPFF) structure for this $51.9M contract compare to typical contract types for similar training services?

The CPFF structure is often employed when the scope of work is not precisely defined at the outset or is expected to evolve, which can be common in training development and delivery. While it offers flexibility, it also carries a higher risk of cost overruns for the government compared to fixed-price contracts, as the contractor is reimbursed for all allowable costs plus a fixed fee. For routine or well-defined training programs, fixed-price contracts might be preferred for better cost control. However, for specialized or evolving management development needs, CPFF can be justified if the government maintains strong oversight of costs and performance. Benchmarking against similar training contracts would reveal the prevalence of CPFF versus other types for comparable services.

What are the key performance indicators (KPIs) or metrics used to assess the success and value of the labor support provided under this contract?

The provided data does not specify the key performance indicators (KPIs) or metrics used to assess the success and value of the labor support. Typically, for professional and management development training, KPIs might include trainee satisfaction scores, knowledge retention rates, application of learned skills in the workplace, completion rates, and instructor effectiveness ratings. The effectiveness of the 'labor support' itself would likely be measured by the reliability, responsiveness, and quality of the personnel provided to facilitate the training. Without these defined metrics, it is difficult to quantitatively evaluate the contract's performance and value for money.

What is the historical spending pattern for professional and management development training within the Department of the Army or Department of Defense?

Historical spending on professional and management development training within the Department of the Army and the broader Department of Defense is substantial, reflecting the continuous need to upskill military and civilian personnel. While specific aggregate figures for this NAICS code (611430) across the DoD are not provided here, it is a significant category supporting leadership development, technical skills enhancement, and strategic planning initiatives. Annual spending can fluctuate based on evolving military needs, budget allocations, and strategic priorities. Analyzing past contract awards for similar services would reveal trends in contract values, durations, and the types of training prioritized over time.

Are there any specific risks associated with Amentum Technology, Inc. or the nature of labor support for military training that warrant attention?

Potential risks associated with Amentum Technology, Inc. would typically be identified through their past performance record, financial stability, and any history of contract disputes or performance issues. For labor support in military training, risks can include the need for personnel with specific security clearances, the challenge of retaining qualified instructors or support staff, adapting training content to evolving military doctrine, and ensuring the training directly translates to operational effectiveness. The CPFF contract type itself introduces a financial risk if costs are not meticulously managed and justified. Furthermore, the geographic concentration in Arizona might pose logistical challenges if personnel need to travel extensively or if local labor market conditions are unfavorable.

Industry Classification

NAICS: Educational ServicesBusiness Schools and Computer and Management TrainingProfessional and Management Development Training

Product/Service Code: EDUCATION AND TRAININGEDUCATION AND TRAINING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W900KK17R0014

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Pae-Parsons Global Logistics Services, LLC

Address: 5401 W KENNEDY BLVD STE 900, TAMPA, FL, 33609

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $151,729,654

Exercised Options: $59,459,005

Current Obligation: $51,902,421

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W900KK19D0004

IDV Type: IDC

Timeline

Start Date: 2024-06-28

Current End Date: 2026-04-30

Potential End Date: 2029-04-30 00:00:00

Last Modified: 2025-12-08

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