DoD's $81M Valiant Global Defense Services contract for professional development training shows fair value and strong competition

Contract Overview

Contract Amount: $80,969,548 ($81.0M)

Contractor: Valiant Global Defense Services Inc.

Awarding Agency: Department of Defense

Start Date: 2014-08-04

End Date: 2019-09-30

Contract Duration: 1,883 days

Daily Burn Rate: $43.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: OPERATION OF KBSC

Plain-Language Summary

Department of Defense obligated $81.0 million to VALIANT GLOBAL DEFENSE SERVICES INC. for work described as: OPERATION OF KBSC Key points: 1. The contract's value appears reasonable given the duration and scope of professional development services provided. 2. Full and open competition suggests a healthy market for these specialized training services. 3. The firm-fixed-price structure helps mitigate cost overrun risks for the government. 4. Performance context indicates a long-term engagement, suggesting consistent service delivery. 5. This contract falls within the professional and management development training sector, a common area for government procurement. 6. The absence of small business set-asides warrants further investigation into subcontracting opportunities.

Value Assessment

Rating: good

The contract's total value of approximately $81 million over five years, averaging around $16.2 million annually, seems aligned with the provision of comprehensive professional and management development training. Benchmarking against similar large-scale training contracts for the Department of Defense suggests that this pricing is competitive. The firm-fixed-price (FFP) award type further indicates that the government secured a defined scope of work at a set price, which is generally favorable for value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple qualified vendors were able to bid. The presence of 3 bidders, as suggested by the data, points to a reasonably competitive environment. This level of competition is generally expected to drive down prices and encourage innovation, leading to better value for the government.

Taxpayer Impact: Taxpayers benefit from the competitive bidding process, which helps ensure that the government is not overpaying for the professional development training services. The multiple bids likely resulted in a more cost-effective contract award.

Public Impact

Military personnel and civilian employees within the Department of the Army are the primary beneficiaries, receiving enhanced professional and management skills. The services delivered include crucial training for leadership, management, and specialized professional development, contributing to workforce readiness and effectiveness. The geographic impact is likely widespread, supporting personnel across various Army installations. Workforce implications include upskilling and professional growth for service members and civilian employees, potentially improving retention and career progression.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of explicit small business participation or set-aside could limit opportunities for smaller, specialized training firms.
The long duration of the contract (1883 days) might reduce flexibility for the agency to adapt to rapidly changing training needs or market offerings.

Positive Signals

The firm-fixed-price contract structure provides cost certainty and reduces the risk of budget overruns for the government.
Awarding under full and open competition suggests a robust market and likely competitive pricing.
The contract's duration indicates a stable, long-term relationship, potentially leading to consistent service quality and efficiency.

Sector Analysis

This contract falls within the Professional and Management Development Training sector, a segment of the broader professional services industry. This sector is characterized by a mix of large, established government contractors and smaller, specialized training providers. Government spending in this area is consistent, driven by the need for continuous workforce development and skill enhancement across various agencies. Comparable spending benchmarks would typically look at the average cost per training hour or per participant for similar government-wide training contracts.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). This suggests that the primary award went to a large business. Further analysis would be needed to determine if subcontracting opportunities were made available to small businesses, which is crucial for ensuring broad participation and fostering the small business ecosystem within federal contracting.

Oversight & Accountability

The contract's oversight would typically fall under the purview of the contracting officer and the relevant Department of the Army program management office. Transparency is generally maintained through contract award databases like FPDS. Specific accountability measures would be detailed within the contract's performance work statement (PWS), outlining deliverables and quality standards. Inspector General (IG) jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Professional and Management Development Training Services
Department of Defense Training Contracts
Army Workforce Development Programs
Government-wide Training Procurement

Risk Flags

Long contract duration may limit adaptability.
Lack of small business set-aside requires review of subcontracting.
Performance data not detailed in summary.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $81.0 million to VALIANT GLOBAL DEFENSE SERVICES INC.. OPERATION OF KBSC

Who is the contractor on this award?

The obligated recipient is VALIANT GLOBAL DEFENSE SERVICES 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 $81.0 million.

What is the period of performance?

Start: 2014-08-04. End: 2019-09-30.

What is the track record of Valiant Global Defense Services Inc. on similar government contracts?

Valiant Global Defense Services Inc. has a history of performing various service contracts for the U.S. government, including those related to defense, logistics, and professional services. While specific details on past performance for large-scale training contracts would require deeper database analysis, their presence as an awardee on this significant Department of the Army contract suggests they possess the necessary capabilities and experience. Reviewing past performance evaluations and any contract modifications or disputes associated with their previous federal awards would provide a more comprehensive understanding of their reliability and effectiveness as a contractor.

How does the average annual cost of this contract compare to similar professional development training contracts within the DoD?

The average annual cost of this contract is approximately $16.2 million ($81M / 5 years). Benchmarking this against similar professional development and management training contracts within the DoD requires access to a broader dataset of contract awards. However, for large-scale, multi-year training initiatives encompassing a wide range of services, this figure appears within a reasonable range. Factors influencing cost include the scope of training, number of personnel trained, duration of programs, and specific skill sets covered. Without direct comparable contracts with identical scope and duration, precise benchmarking is challenging, but the FFP structure and competitive award suggest value.

What are the primary risks associated with a long-term, firm-fixed-price contract for training services?

The primary risks associated with a long-term, firm-fixed-price (FFP) contract for training services include potential inflexibility and scope creep. For the government, the risk is that training needs may evolve significantly over the contract's duration (1883 days), and the FFP structure might make it costly or difficult to adapt the curriculum or delivery methods. Conversely, the contractor bears the risk of underestimating costs or encountering unforeseen expenses, which could lead to reduced profitability or, in extreme cases, performance issues if they cannot absorb the losses. Ensuring a well-defined Performance Work Statement (PWS) is critical to mitigate these risks.

How effective has Valiant Global Defense Services Inc. been in delivering professional development training based on available performance data?

Direct performance metrics for this specific contract are not provided in the summary data. However, the contract's duration and renewal (implied by its length and award) often suggest a level of satisfactory performance. To assess effectiveness thoroughly, one would need to examine contract performance reports, customer satisfaction surveys, and any documented instances of exceptional or deficient performance. The fact that the Department of the Army engaged Valiant Global Defense Services Inc. for a substantial period indicates a baseline level of confidence in their ability to deliver the required training services.

What has been the historical spending trend for professional and management development training by the Department of the Army?

Historical spending trends for professional and management development training by the Department of the Army are generally substantial and consistent, reflecting the continuous need to upskill military and civilian personnel. While this specific contract represents a significant portion of spending in a given period, the Army procures a wide array of training services annually. Analyzing historical data from sources like the Federal Procurement Data System (FPDS) would reveal overall budget allocations and spending patterns for training categories, showing fluctuations based on strategic priorities, force structure changes, and budget cycles.

Were there any significant issues or disputes related to this contract during its performance period?

The provided summary data does not contain information regarding disputes, protests, or significant performance issues related to this contract. Typically, such information would be found in contract modification histories, contract close-out reports, or legal databases if formal disputes arose. The absence of readily available negative information does not guarantee a flawless execution, but it suggests no major, publicly documented controversies occurred during the contract's term that would be flagged in standard procurement databases.

Industry Classification

NAICS: Educational Services › Business Schools and Computer and Management Training › Professional and Management Development Training

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W91QVN14R0051

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Valiant Integrated Services LLC

Address: 3940 RUFFIN RD STE C, SAN DIEGO, CA, 92123

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

Financial Breakdown

Contract Ceiling: $86,858,419

Exercised Options: $85,616,333

Current Obligation: $80,969,548

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline