DoD's $14.3M Army Test Command Support Contract Awarded to WESTECH INTERNATIONAL, INC

Contract Overview

Contract Amount: $14,268,471 ($14.3M)

Contractor: Westech International, Inc.

Awarding Agency: Department of Defense

Start Date: 2021-04-01

End Date: 2027-03-31

Contract Duration: 2,190 days

Daily Burn Rate: $6.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: BASE AND TEST SUPPORT SERVICES FOR TAR 100A BASE OPERATIONS SUPPORT THE REQUIREMENT PROVIDES SUPPORT TO THE US ARMY OPERATIONAL TEST COMMAND FOR DATA COLLECTION, DATA MANAGEMENT, LOGISTICAL SUPPORT FOR OPERATIONAL TEST EVENTS AND FIELD TEST SUPPORT

Place of Performance

Location: FORT HOOD, BELL County, TEXAS, 76544

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $14.3 million to WESTECH INTERNATIONAL, INC. for work described as: BASE AND TEST SUPPORT SERVICES FOR TAR 100A BASE OPERATIONS SUPPORT THE REQUIREMENT PROVIDES SUPPORT TO THE US ARMY OPERATIONAL TEST COMMAND FOR DATA COLLECTION, DATA MANAGEMENT, LOGISTICAL SUPPORT FOR OPERATIONAL TEST EVENTS AND FIELD TEST SUPPORT Key points: 1. Contract provides essential data collection, management, and logistical support for Army operational test events. 2. The contract's duration of 2190 days (6 years) indicates a long-term need for these services. 3. Awarded under a full and open competition, suggesting a competitive bidding process. 4. The contract type is Cost Plus Fixed Fee (CPFF), which can incentivize cost control but requires careful oversight. 5. The base and test support services are critical for evaluating new military equipment and strategies. 6. Geographic focus on Texas for operational test command support.

Value Assessment

Rating: good

Benchmarking the value of this contract is challenging without specific comparable contracts for similar operational test support. However, the total value of approximately $14.3 million over six years suggests a moderate annual spend. The Cost Plus Fixed Fee (CPFF) contract type means that costs are reimbursed, plus a fixed fee, which can lead to cost efficiencies if managed well. Further analysis would require comparing the fixed fee percentage and the overall cost structure to industry standards for similar support services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition after Exclusion of Sources,' which implies that while it was competed openly, certain sources may have been excluded for specific reasons, possibly related to specialized capabilities or prior performance. The number of bidders is not specified, but the 'full and open' designation generally suggests a robust competition aimed at achieving the best value. This approach typically leads to more competitive pricing and a wider pool of potential offerors.

Taxpayer Impact: A competitive award process like this generally benefits taxpayers by driving down costs and ensuring that the government receives services at a fair market price. It reduces the risk of overpayment and encourages innovation among contractors.

Public Impact

The U.S. Army Operational Test Command benefits directly through enhanced data collection and logistical support for its testing events. Military personnel involved in operational tests receive crucial logistical and data management assistance, improving test efficiency. The contract supports the development and validation of new military equipment and technologies, ultimately enhancing national defense capabilities. The primary geographic impact is in Texas, where the operational test command is located and where field tests are likely conducted.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee (CPFF) contracts require diligent oversight to ensure costs remain reasonable and the fixed fee is justified.
The exclusion of sources in an otherwise 'full and open' competition warrants understanding the rationale to ensure fairness and optimal competition.
Long-term contracts can sometimes lead to complacency or reduced incentive for innovation if not actively managed and reviewed.

Positive Signals

Awarded through full and open competition, indicating a commitment to competitive sourcing and value for money.
The contract duration suggests a stable and predictable need for these critical support services.
The services provided are essential for the Army's operational testing and evaluation processes, directly supporting readiness and modernization.

Sector Analysis

The Facilities Support Services sector (NAICS 561210) encompasses a broad range of services essential for the operation and maintenance of facilities. This contract falls within the government services segment of this sector, specifically supporting defense-related operational testing. The market for government facility support is substantial, with significant spending allocated annually across various agencies. This contract represents a specific, mission-critical application of these services within the Department of Defense.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, WESTECH INTERNATIONAL, INC., the prime contractor, is likely a large business. There is no explicit information regarding subcontracting plans for small businesses within the provided data. Further investigation into the contract's subcontracting clauses and performance would be needed to assess the impact on the small business ecosystem.

Oversight & Accountability

Oversight for this Cost Plus Fixed Fee (CPFF) contract would typically be managed by the contracting officer and the contract administration office within the Department of the Army. Performance monitoring, cost tracking, and adherence to the fixed fee structure are key oversight areas. Transparency is generally maintained through contract reporting mechanisms, though specific public access to detailed cost breakdowns may be limited. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Army Base Operations Support Services
Operational Test and Evaluation Support
Logistical Support Services for Government Contracts
Facilities Management Contracts
Defense Department IT and Data Management Services

Risk Flags

Cost Plus Fixed Fee (CPFF) contract type requires diligent oversight.
Potential for limited competition due to source exclusions.
Lack of specific performance metrics in provided data.
No explicit small business subcontracting information.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $14.3 million to WESTECH INTERNATIONAL, INC.. BASE AND TEST SUPPORT SERVICES FOR TAR 100A BASE OPERATIONS SUPPORT THE REQUIREMENT PROVIDES SUPPORT TO THE US ARMY OPERATIONAL TEST COMMAND FOR DATA COLLECTION, DATA MANAGEMENT, LOGISTICAL SUPPORT FOR OPERATIONAL TEST EVENTS AND FIELD TEST SUPPORT

Who is the contractor on this award?

The obligated recipient is WESTECH INTERNATIONAL, 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 $14.3 million.

What is the period of performance?

Start: 2021-04-01. End: 2027-03-31.

What is WESTECH INTERNATIONAL, INC.'s track record with similar government contracts, particularly within the Department of Defense?

WESTECH INTERNATIONAL, INC. has a history of performing various services for the U.S. government, including support services. While specific details on past performance for Army Operational Test Command support are not provided in this data snippet, their award suggests they met the requirements for this contract. A deeper dive into their contract history, including past performance evaluations, contract values, and types of services rendered, would be necessary to fully assess their track record. This would involve reviewing federal procurement databases and agency performance reports to understand their reliability, quality of service, and adherence to contract terms on previous engagements.

How does the annual cost of this contract compare to similar operational test support contracts awarded by the DoD or other agencies?

The provided data indicates a total contract value of approximately $14.3 million over six years, averaging around $2.38 million per year. Benchmarking this against similar contracts requires access to a database of comparable services, such as data collection, logistical support, and field test assistance for operational testing commands. Factors like the scope of services, geographic location, duration, and contract type (CPFF) influence costs. Without specific comparable contract data, it's difficult to definitively state if this represents high, low, or average spending. However, the 'full and open competition' aspect suggests an effort to achieve competitive pricing.

What are the primary risks associated with a Cost Plus Fixed Fee (CPFF) contract for these types of services, and how are they mitigated?

The primary risk with CPFF contracts is that the contractor may not be sufficiently incentivized to control costs, as the government reimburses allowable costs plus a fixed fee. If costs escalate, the government pays more, and the contractor's profit margin (the fixed fee) remains constant. Mitigation strategies include robust government oversight of incurred costs, detailed review of the contractor's cost accounting practices, and clear definition of allowable costs in the contract. The fixed fee itself acts as a ceiling on profit, and the contract terms should specify mechanisms for adjusting the fee if scope changes significantly. Effective contract administration and regular performance reviews are crucial.

How effective is the current contract in meeting the Army Operational Test Command's needs for data collection and logistical support?

The effectiveness of this contract in meeting the Army Operational Test Command's needs can be assessed through performance metrics defined within the contract itself, such as timeliness of data delivery, accuracy of collected data, and efficiency of logistical support provided for test events. Regular performance reviews conducted by the government contracting officer's representative (COR) are key indicators. Anecdotal feedback from the operational units utilizing the test results and the test personnel themselves would also provide valuable insights. Without access to these performance reports and feedback mechanisms, a definitive assessment of effectiveness is not possible from the provided data alone.

What has been the historical spending trend for similar operational test support services within the Department of the Army over the past five years?

Analyzing historical spending trends for similar operational test support services requires accessing comprehensive federal procurement data. This would involve searching for contracts with keywords related to 'operational test support,' 'field testing,' 'data collection,' and 'logistical support' within the Department of the Army over the last five fiscal years. Trends could reveal whether spending in this niche area is increasing, decreasing, or remaining stable, potentially influenced by modernization efforts, changes in testing protocols, or budget allocations. Such an analysis would provide context for the current $14.3 million award and help forecast future needs and potential budget requirements.

What specific exclusions were made in the 'full and open competition after exclusion of sources' for this contract, and what was the justification?

The phrase 'full and open competition after exclusion of sources' indicates that the solicitation was broadly advertised, but certain potential offerors were intentionally excluded from bidding. The justification for such exclusions typically relates to specific technical requirements, unique capabilities, past performance issues, or proprietary technology that only a limited number of contractors possess. Without access to the specific contract file or justification documents, the exact reasons for exclusion remain unknown. Understanding these exclusions is important for assessing whether the competition was truly as broad as possible and if the government secured the best possible value by limiting the pool of bidders.

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: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W9115119R0003

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 2500 LA BLVD NE STE 325, ALBUQUERQUE, NM, 87110

Business Categories: Asian Pacific American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $14,268,471

Exercised Options: $14,268,471

Current Obligation: $14,268,471

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W9115121D0003

IDV Type: IDC

Timeline