DoD awards $26.6M contract for Command Control Facility maintenance, with M.C. Dean Inc. securing the deal

Contract Overview

Contract Amount: $26,617,544 ($26.6M)

Contractor: M. C. Dean, Inc.

Awarding Agency: Department of Defense

Start Date: 2022-09-19

End Date: 2026-09-18

Contract Duration: 1,460 days

Daily Burn Rate: $18.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: MAINTENANCE & SERVICES (M&S) AT COMMAND CONTROL FACILITY (C2F) BLDG. 600, FT SHAFTER, OAHU, HI

Place of Performance

Location: FORT SHAFTER, HONOLULU County, HAWAII, 96858

State: Hawaii Government Spending

Plain-Language Summary

Department of Defense obligated $26.6 million to M. C. DEAN, INC. for work described as: MAINTENANCE & SERVICES (M&S) AT COMMAND CONTROL FACILITY (C2F) BLDG. 600, FT SHAFTER, OAHU, HI Key points: 1. Contract focuses on essential maintenance and services for a critical Command Control Facility. 2. The award was made under full and open competition, suggesting a competitive bidding process. 3. The contract duration of approximately four years provides a stable period for service delivery. 4. The fixed-price nature of the contract shifts performance risk to the contractor. 5. The services are categorized under Computer Systems Design, indicating a technology-centric focus. 6. The geographic location in Hawaii may present unique logistical considerations for service delivery.

Value Assessment

Rating: good

The contract value of $26.6 million over four years appears reasonable for specialized facility maintenance and IT services. Benchmarking against similar contracts for Command Control Facilities in similar geographic regions would provide a more precise value assessment. The fixed-price structure suggests the government has negotiated a set cost, which can be advantageous if the contractor manages costs effectively. However, without detailed breakdowns of the services included, a definitive value-for-money judgment 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 all responsible sources were permitted to submit bids. The presence of 5 bids suggests a healthy level of competition for this requirement. A competitive process generally leads to better price discovery and potentially more favorable terms for the government compared to sole-source or limited competition scenarios.

Taxpayer Impact: The full and open competition ensures that taxpayer dollars are likely being used efficiently, as multiple companies vied to offer the best value, driving down costs and improving service quality.

Public Impact

The primary beneficiaries are the Department of Defense and its personnel who rely on the Command Control Facility for operational readiness. The contract ensures the continued functionality and maintenance of critical infrastructure at Building 600, Fort Shafter. The services delivered are essential for maintaining the operational integrity of command and control systems. The geographic impact is localized to Oahu, Hawaii, supporting military operations in the region. Workforce implications include potential employment opportunities for skilled technicians and support staff in Hawaii.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen technical issues arise in the aging facility.
Ensuring consistent service quality across the four-year contract term.
Logistical challenges associated with operating in a remote island location like Hawaii.

Positive Signals

Award to an established contractor, M.C. Dean, Inc., suggests a degree of confidence in their capabilities.
Fixed-price contract structure incentivizes contractor efficiency and cost control.
Full and open competition indicates a robust market response and potential for competitive pricing.

Sector Analysis

This contract falls within the broader IT services and facility maintenance sector, specifically supporting critical defense infrastructure. The market for specialized facility management and IT support for government installations is substantial, with numerous contractors capable of performing such work. The size and nature of this contract are typical for maintaining essential operational capabilities within military bases. Comparable spending benchmarks would involve looking at other contracts for similar facility types and service scopes across different military branches.

Small Business Impact

The data indicates this contract was awarded under full and open competition and does not specify a small business set-aside. While M.C. Dean, Inc. is a large business, there is no information provided on subcontracting plans for small businesses. Further analysis would be needed to determine if small businesses are being utilized in the subcontracting chain, which is crucial for fostering the small business ecosystem within federal contracting.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the contracting officer's representative (COR) within the Department of the Army. Performance monitoring, quality assurance checks, and invoice reviews are standard accountability measures. Transparency is generally maintained through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Base Operations Support (BOS)
Information Technology Support Services
Facilities Engineering and Maintenance
Command and Control Systems Maintenance
Defense Infrastructure Modernization

Risk Flags

Potential for scope creep if not clearly defined in the PWS.
Dependency on contractor's specialized knowledge for critical systems.
Logistical challenges in Hawaii impacting service delivery timelines.
Risk of outdated technology if upgrades are not incorporated.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $26.6 million to M. C. DEAN, INC.. MAINTENANCE & SERVICES (M&S) AT COMMAND CONTROL FACILITY (C2F) BLDG. 600, FT SHAFTER, OAHU, HI

Who is the contractor on this award?

The obligated recipient is M. C. DEAN, 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 $26.6 million.

What is the period of performance?

Start: 2022-09-19. End: 2026-09-18.

What is the track record of M.C. Dean, Inc. with the Department of Defense for similar IT and facility maintenance contracts?

M.C. Dean, Inc. has a significant history of contracting with the Department of Defense, often securing large-value contracts for complex IT, cybersecurity, and facility management services. Their portfolio includes work on critical infrastructure, secure facilities, and advanced technological systems across various military branches. Analyzing their past performance on similar fixed-price contracts, particularly those involving facility maintenance and IT integration in secure environments, would reveal their ability to deliver within budget and schedule. Past performance reviews and any documented disputes or contract terminations would be key indicators of their reliability and capability in fulfilling such requirements.

How does the awarded price compare to industry benchmarks for Command Control Facility maintenance in Hawaii?

Benchmarking the $26.6 million contract value against industry standards for Command Control Facility maintenance in Hawaii requires detailed service scope comparison. Factors such as the specific systems maintained (e.g., HVAC, power, IT infrastructure, security), the size of the facility, and the required service levels (e.g., 24/7 support, response times) significantly influence costs. Given Hawaii's unique logistical challenges and higher cost of living, services there may command a premium. A comprehensive benchmark would involve analyzing data from similar DoD or civilian facility contracts in the region, considering the contractor's overhead, labor rates, and profit margins to assess if the awarded price represents good value for money.

What are the primary risks associated with this contract, and how are they being mitigated?

Primary risks include potential cost overruns due to unforeseen facility issues, contractor underperformance impacting critical C2F operations, and logistical challenges unique to Hawaii. As this is a Firm Fixed Price (FFP) contract, the financial risk of cost overruns is largely borne by M.C. Dean, Inc., incentivizing efficient management. Mitigation strategies likely involve robust performance work statements, clear quality assurance surveillance plans (QASP), regular progress reviews, and defined penalties for non-performance. The contractor's experience and the competitive bidding process also serve as risk mitigation factors, suggesting a capable entity was selected.

How effective has M.C. Dean, Inc. been in delivering similar services under previous fixed-price contracts with the government?

Assessing M.C. Dean, Inc.'s effectiveness requires reviewing their past performance data, including contract completion records, customer satisfaction surveys, and any documented instances of disputes or contract modifications. Their extensive history with the DoD suggests a generally positive track record, but specific performance metrics on prior fixed-price contracts for similar services are crucial. Analyzing the number and nature of change orders, the timeliness of delivery, and adherence to quality standards on comparable projects would provide insight into their operational efficiency and reliability. Government performance evaluations (e.g., CPARS) are the primary source for this information.

What is the historical spending trend for Command Control Facility maintenance at Fort Shafter or similar facilities within the Department of the Army?

Analyzing historical spending trends for Command Control Facility maintenance at Fort Shafter or comparable Army installations provides context for the current $26.6 million award. This involves examining prior contracts for similar services, noting their values, durations, and the contractors involved. Significant year-over-year increases or decreases in spending could indicate changes in facility needs, technological upgrades, or shifts in contracting strategies. Understanding the historical budget allocation for such maintenance can reveal patterns of investment and identify potential areas where spending may have been unusually high or low, informing the assessment of the current contract's value.

What specific IT systems and infrastructure are covered under the 'Computer Systems Design Services' classification for this contract?

The classification 'Computer Systems Design Services' (NAICS 541512) for this contract implies a scope beyond simple hardware maintenance. It likely encompasses the design, integration, and potentially ongoing support of the IT infrastructure that underpins the Command Control Facility's operations. This could include network architecture, server management, cybersecurity systems, communication platforms, and the integration of various software and hardware components to ensure seamless command and control functions. The specific systems would be detailed in the Performance Work Statement (PWS), outlining requirements for system availability, performance, and security crucial for military operations.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services

Product/Service Code: INSTALLATION OF EQUIPMENT › INSTALLATION OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: W912DY17R0014

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1765 GREENSBORO STATION PLACE SUITE 1400, TYSONS, VA, 22102

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

Financial Breakdown

Contract Ceiling: $62,340,330

Exercised Options: $40,123,445

Current Obligation: $26,617,544

Subaward Activity

Number of Subawards: 40

Total Subaward Amount: $5,108,481

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W912DY20D0034

IDV Type: IDC

Timeline