DoD's $62.9M Administrative Support Contract with Teya Enterprises LLC Faces Scrutiny Over Competition and Value
Contract Overview
Contract Amount: $62,877,921 ($62.9M)
Contractor: Teya Enterprises LLC
Awarding Agency: Department of Defense
Start Date: 2021-05-02
End Date: 2026-10-31
Contract Duration: 2,008 days
Daily Burn Rate: $31.3K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 21
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: ADMINISTRATIVE SUPPORT SERVICES
Place of Performance
Location: ANCHORAGE, ANCHORAGE County, ALASKA, 99501
State: Alaska Government Spending
Plain-Language Summary
Department of Defense obligated $62.9 million to TEYA ENTERPRISES LLC for work described as: ADMINISTRATIVE SUPPORT SERVICES Key points: 1. Contract awarded to Teya Enterprises LLC for administrative support services. 2. Significant contract value of $62.9 million over its period of performance. 3. Competition method raises questions about potential price discovery limitations. 4. Sector context involves general management consulting services, a common area for federal spending.
Value Assessment
Rating: questionable
The contract's value of $62.9 million for administrative support services needs further benchmarking against similar contracts. Without detailed performance metrics and comparison data, assessing the true value for money is difficult.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' which suggests a limited competition approach. This method may restrict the pool of potential bidders and could impact the government's ability to secure the most competitive pricing.
Taxpayer Impact: The limited competition raises concerns about whether taxpayers received the best possible price for these administrative support services.
Public Impact
Taxpayers may not have received the most competitive pricing due to limited competition. The Department of Defense is spending nearly $63 million on administrative support. The contract duration extends to October 2026, indicating a long-term commitment.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition may lead to higher costs.
- Lack of clear performance metrics makes value assessment difficult.
- No small business participation noted.
Positive Signals
- Definitive contract structure provides flexibility.
- Firm Fixed Price contract type offers cost certainty.
Sector Analysis
Administrative Management and General Management Consulting Services are crucial for operational efficiency within federal agencies. Benchmarks for this sector vary widely based on scope and complexity, but significant contracts like this warrant close examination for cost-effectiveness.
Small Business Impact
The contract data indicates that small business participation was not a factor in this award (sb: false). This suggests that the prime contractor is not a small business, and there is no explicit indication of subcontracting to small businesses.
Oversight & Accountability
The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' clause requires careful oversight to ensure that the exclusion was justified and that the competition, though limited, was conducted fairly and effectively to achieve best value.
Related Government Programs
- Administrative Management and General Management Consulting Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Limited competition may result in suboptimal pricing.
- Lack of transparency in the 'exclusion of sources' justification.
- Potential for cost overruns if performance is not rigorously monitored.
- No clear indication of small business utilization.
Tags
administrative-management-and-general-ma, department-of-defense, ak, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $62.9 million to TEYA ENTERPRISES LLC. ADMINISTRATIVE SUPPORT SERVICES
Who is the contractor on this award?
The obligated recipient is TEYA ENTERPRISES 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 $62.9 million.
What is the period of performance?
Start: 2021-05-02. End: 2026-10-31.
What specific administrative management and general management consulting services are being provided under this contract, and how do they align with the Department of the Army's core mission requirem
The contract falls under NAICS code 541611, 'Administrative Management and General Management Consulting Services.' These services typically encompass areas like organizational planning, business process improvement, and management analysis. A detailed breakdown of the specific tasks and deliverables would be necessary to assess their direct alignment with the Army's strategic objectives and operational needs, ensuring the significant expenditure directly supports mission-critical functions.
Given the limited competition, what measures were in place to ensure robust price discovery and achieve a fair and reasonable price for the government?
The contract's limited competition raises concerns about price discovery. While a Firm Fixed Price contract offers cost certainty, the method of competition ('FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES') needs scrutiny. Agencies must demonstrate that sufficient market research was conducted to justify the limited competition and that the resulting price was rigorously negotiated and validated against benchmarks or other available data to ensure it represents fair value.
How will the effectiveness and impact of Teya Enterprises LLC's administrative support services be measured throughout the contract's duration to ensure accountability and optimal use of taxpayer fund
Measuring the effectiveness of administrative support services is critical for accountability. The contract type (Firm Fixed Price) implies defined deliverables, but the specific performance metrics, Key Performance Indicators (KPIs), and quality assurance surveillance plans are essential. Without these, it's challenging to objectively assess whether the services are meeting expectations, contributing to efficiency, and justifying the $62.9 million investment over the contract's lifespan.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › ADMINISTRATIVE SUPPORT SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: W9124D19R0031
Offers Received: 21
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 101 E 9TH AVE STE 9B MS-04, ANCHORAGE, AK, 99501
Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $63,292,619
Exercised Options: $63,292,619
Current Obligation: $62,877,921
Actual Outlays: $5,708,085
Subaward Activity
Number of Subawards: 15
Total Subaward Amount: $16,673,923
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Timeline
Start Date: 2021-05-02
Current End Date: 2026-10-31
Potential End Date: 2026-10-31 00:00:00
Last Modified: 2026-01-15
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