DoD's $205M intelligence support contract awarded without competition to undisclosed domestic firms

Contract Overview

Contract Amount: $205,009,566 ($205.0M)

Contractor: Domestic Awardees (undisclosed)

Awarding Agency: Department of Defense

Start Date: 2016-06-28

End Date: 2019-07-31

Contract Duration: 1,128 days

Daily Burn Rate: $181.7K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIXED PRICE LEVEL OF EFFORT

Sector: Other

Official Description: AFGHANISTAN INTELLIGENCE SUPPORT SERVICES. IGF::CT::IGF

Plain-Language Summary

Department of Defense obligated $205.0 million to DOMESTIC AWARDEES (UNDISCLOSED) for work described as: AFGHANISTAN INTELLIGENCE SUPPORT SERVICES. IGF::CT::IGF Key points: 1. The contract's value of over $205 million raises questions about potential cost efficiencies missed due to the lack of competition. 2. Awarding to undisclosed domestic firms limits transparency and makes it difficult to assess contractor qualifications and past performance. 3. The absence of a competitive bidding process suggests a potential risk of inflated pricing and reduced value for taxpayer money. 4. This contract was awarded as a Fixed Price Level of Effort, which can provide cost certainty but may not incentivize efficiency. 5. The duration of the contract (1128 days) indicates a significant, long-term need for these intelligence support services. 6. The specific services provided under 'All Other Professional, Scientific, and Technical Services' are not detailed, hindering performance assessment.

Value Assessment

Rating: questionable

Benchmarking the value of this $205 million contract is challenging due to the undisclosed nature of the awardees and the specific services rendered. Without comparable contracts or market data for similar intelligence support services, it's difficult to definitively assess if the pricing was competitive or represented good value. The lack of transparency surrounding the awardee and the specific deliverables makes a thorough value-for-money assessment problematic.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not competed. The data indicates it was 'NOT COMPETED.' This approach bypasses the standard procurement process where multiple vendors would bid, potentially leading to lower prices and better terms for the government. The lack of competition limits the government's ability to explore different solutions and potentially find more cost-effective providers.

Taxpayer Impact: Sole-source awards can result in higher costs for taxpayers as the government does not benefit from the price discovery mechanisms inherent in a competitive bidding process.

Public Impact

The primary beneficiaries are the undisclosed domestic contractors who received a significant contract without facing competition. The services delivered are broadly categorized as 'All Other Professional, Scientific, and Technical Services' supporting intelligence operations. The geographic impact is likely domestic, given the award to 'DOMESTIC AWARDEES,' but the specific locations of service delivery are not specified. Workforce implications would involve the employment of personnel by the awarded contractors to fulfill the intelligence support requirements.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition raises concerns about potential overpricing and reduced value for money.
Undisclosed awardees prevent assessment of contractor's past performance and suitability.
Opaque nature of the contract hinders public and congressional oversight.
Broad service category ('All Other Professional, Scientific, and Technical Services') obscures the specific nature and necessity of the work.

Positive Signals

Awarded to domestic firms, potentially supporting the U.S. economy.
Fixed Price Level of Effort contract type provides some cost predictability.
Contract duration suggests a sustained need for critical intelligence support.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, a broad category encompassing a wide range of specialized expertise. The intelligence support services provided are critical for national security. Comparable spending in this sector is substantial across various government agencies, with significant portions allocated to research, development, and specialized technical support. The market for intelligence support services is often characterized by specialized knowledge and security clearances, which can sometimes lead to limited competition.

Small Business Impact

The contract data indicates that small business participation was not a stated requirement or focus ('sb': false). There is no information regarding small business set-asides or subcontracting plans. This suggests that the contract was likely awarded to larger, established firms, potentially limiting opportunities for small businesses to participate in this significant federal spending.

Oversight & Accountability

Oversight mechanisms for this contract are not explicitly detailed in the provided data. As a Department of Defense contract, it would likely fall under the purview of the DoD Inspector General for audits and investigations. However, the lack of transparency regarding the awardee and specific services makes robust oversight challenging. Accountability would primarily rest on the contracting officer and the agency's internal review processes.

Related Government Programs

Intelligence Community Support Services
Department of Defense Professional Services
Technical and Scientific Support Contracts
National Security Services
All Other Professional, Scientific, and Technical Services

Risk Flags

Sole-source award
Lack of transparency in awardee
Broad service description
High contract value without competition

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $205.0 million to DOMESTIC AWARDEES (UNDISCLOSED). AFGHANISTAN INTELLIGENCE SUPPORT SERVICES. IGF::CT::IGF

Who is the contractor on this award?

The obligated recipient is DOMESTIC AWARDEES (UNDISCLOSED).

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $205.0 million.

What is the period of performance?

Start: 2016-06-28. End: 2019-07-31.

What specific intelligence support services were provided under this contract?

The contract is broadly categorized under NAICS code 541990, 'All Other Professional, Scientific, and Technical Services.' This designation is very general and does not specify the exact nature of the intelligence support rendered. It could encompass a wide range of activities, such as data analysis, research, technical consulting, or operational support related to intelligence gathering and processing. Without further details from the contracting agency (Department of the Army, under the Department of Defense), the precise services remain undisclosed, making it difficult to assess their necessity, effectiveness, or alignment with specific intelligence requirements.

Why was this contract awarded on a sole-source basis instead of being competed?

The provided data states the contract was 'NOT COMPETED,' indicating a sole-source award. Specific justifications for sole-source awards typically involve reasons such as urgency, unique capabilities of a single provider, or national security concerns that preclude competition. However, without official documentation or agency explanations, the exact rationale for bypassing the competitive bidding process for this $205 million contract remains unknown. This lack of transparency is a significant concern, as competitive procurement is generally preferred to ensure the best value for taxpayer dollars.

What is the track record of the undisclosed domestic awardees for similar contracts?

Since the awardees are listed as 'DOMESTIC AWARDEES (UNDISCLOSED)', it is impossible to ascertain their specific track record. Federal procurement databases typically allow for searching contractor performance history based on their unique identifiers. The anonymity of the awardees in this case prevents any analysis of their past performance, experience with similar intelligence support services, or history of successful contract completion. This lack of information raises concerns about due diligence and the vetting process for such a substantial contract.

How does the $205 million contract value compare to similar intelligence support contracts?

Direct comparison of the $205 million contract value to similar intelligence support contracts is difficult due to the 'undisclosed' nature of the awardees and the broad categorization of services ('All Other Professional, Scientific, and Technical Services'). To perform a meaningful benchmark, one would need to identify comparable contracts awarded by the Department of Defense or other intelligence agencies for similar scope and duration, and ideally, those awarded through a competitive process. The sole-source nature of this award further complicates value assessment, as competitive contracts often yield lower prices due to market forces.

What are the potential risks associated with awarding a large contract without competition?

Awarding a contract of this magnitude ($205 million) without competition presents several risks. Firstly, there's a significant risk of paying a higher price than necessary, as the government misses out on potential cost savings driven by competitive bidding. Secondly, the lack of competition may lead to reduced innovation and service quality, as the awarded contractor faces less pressure to excel. Thirdly, it raises concerns about fairness and equal opportunity for other qualified businesses. Finally, the opacity surrounding the awardee and justification can undermine public trust and accountability.

What is the historical spending pattern for 'All Other Professional, Scientific, and Technical Services' by the Department of the Army?

Analyzing historical spending patterns for NAICS code 541990 ('All Other Professional, Scientific, and Technical Services') by the Department of the Army would require accessing and processing extensive federal procurement data over multiple fiscal years. This specific contract, valued at approximately $205 million over three years (2016-2019), represents a significant expenditure within this category. Understanding the historical trend would involve looking at the total annual spending on this NAICS code, the number of contracts awarded, the average contract value, and whether these awards were typically competed or sole-sourced. Such analysis could reveal if this contract is an anomaly or part of a larger pattern of sole-source awards for these types of services.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical Services

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

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: W911W416R0008

Offers Received: 1

Pricing Type: FIXED PRICE LEVEL OF EFFORT (B)

Evaluated Preference: NONE

Contractor Details

Address: 1800 F ST NW, WASHINGTON, DC, 20405

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

Financial Breakdown

Contract Ceiling: $402,084,230

Exercised Options: $319,657,854

Current Obligation: $205,009,566

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline