DoD's $43.4M Engineering Services Contract with Parsons Government Services Faces Scrutiny
Contract Overview
Contract Amount: $43,386,599 ($43.4M)
Contractor: Parsons Government Services Inc.
Awarding Agency: Department of Defense
Start Date: 2008-09-19
End Date: 2012-09-18
Contract Duration: 1,460 days
Daily Burn Rate: $29.7K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 5
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: PROGRAM AND ENGINEERING SUPPORT
Place of Performance
Location: NORFOLK, NORFOLK CITY County, VIRGINIA, 23511
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $43.4 million to PARSONS GOVERNMENT SERVICES INC. for work described as: PROGRAM AND ENGINEERING SUPPORT Key points: 1. Significant contract value of $43.4 million for engineering services. 2. Awarded under full and open competition, indicating a competitive process. 3. Contract duration of 4 years (1460 days) suggests a substantial project. 4. The 'VA' status code and 'VIRGINIA' location may warrant further investigation into regional spending patterns.
Value Assessment
Rating: fair
The contract's total value is $43.4 million. Without specific per-unit cost data or benchmarks for similar engineering services contracts, a precise value assessment is difficult. The fixed-price nature provides some cost certainty.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, suggesting a robust price discovery process. This method typically aims to secure the best value for the government by allowing all eligible contractors to bid.
Taxpayer Impact: The competitive nature of the award is positive for taxpayers, as it likely led to a more favorable price than a sole-source or limited competition contract.
Public Impact
Taxpayers funded a significant engineering support program for the Department of the Navy. The contract supported the Department of Defense's operational capabilities. The duration of the contract implies a long-term need for these engineering services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific performance metrics or outcomes.
- Potential for cost overruns if scope changes significantly.
- Limited insight into the specific engineering services provided.
Positive Signals
- Awarded through full and open competition.
- Firm fixed price contract type offers cost predictability.
- Long-term engagement suggests a critical need.
Sector Analysis
This contract falls under Engineering Services (NAICS 541330), a sector crucial for defense and infrastructure projects. Spending in this area is often substantial, driven by complex government requirements and the need for specialized expertise.
Small Business Impact
The data does not indicate whether small businesses were involved as subcontractors. Further analysis would be needed to determine the extent of small business participation in this contract.
Oversight & Accountability
The contract was awarded by the Department of the Navy, a component of the Department of Defense, which has established oversight mechanisms. However, the specific oversight applied to this delivery order is not detailed in the provided data.
Related Government Programs
- Engineering Services
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Lack of detailed service description.
- No information on performance metrics.
- Potential for scope creep in long-term contracts.
- Limited insight into small business participation.
Tags
engineering-services, department-of-defense, va, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $43.4 million to PARSONS GOVERNMENT SERVICES INC.. PROGRAM AND ENGINEERING SUPPORT
Who is the contractor on this award?
The obligated recipient is PARSONS GOVERNMENT SERVICES INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $43.4 million.
What is the period of performance?
Start: 2008-09-19. End: 2012-09-18.
What specific engineering services were provided under this contract, and how did they contribute to the Department of the Navy's mission?
The provided data identifies the contract as 'PROGRAM AND ENGINEERING SUPPORT' but lacks specifics on the exact services rendered. These services likely encompassed technical analysis, design, testing, or system integration crucial for naval operations. Understanding the precise nature of the support is key to evaluating its contribution to the Navy's overall mission effectiveness and readiness.
Given the $43.4 million value and 4-year duration, were there any performance issues or contract modifications that impacted the final cost or delivery?
The data does not detail any performance issues or modifications. A firm fixed price contract generally aims to cap costs, but significant scope changes or unforeseen challenges could lead to modifications. Investigating contract modification history and performance reviews would reveal if the initial $43.4 million was the final expenditure and if the project met its objectives on time and within budget.
How does the awarded price of $43.4 million compare to industry benchmarks for similar engineering support contracts of this scale and duration?
Without access to a comprehensive database of comparable contracts, a direct benchmark comparison is challenging. However, $43.4 million over four years for specialized engineering services suggests a substantial investment. Further analysis would require identifying contracts with similar NAICS codes, scope, and agency, factoring in inflation and specific technical requirements to determine if the price was competitive.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: N0002408R3338
Offers Received: 5
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Parsons Corporation
Address: 100 W WALNUT ST, PASADENA, CA, 91124
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $43,391,399
Exercised Options: $43,386,599
Current Obligation: $43,386,599
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N0017805D4487
IDV Type: IDC
Timeline
Start Date: 2008-09-19
Current End Date: 2012-09-18
Potential End Date: 2012-09-18 00:00:00
Last Modified: 2022-07-27
More Contracts from Parsons Government Services Inc.
- Salt Waste Processing Facility Conceptual Design — $2.3B (Department of Energy)
- THE Contractor Must Furnish ALL Professional, Technical and Support Labor, Material, Supplies, Management Services, Data, and Facilities Required to Accomplish the Work to BE Ordered Under Technical F Igf::ot::igf — $1.5B (Department of Transportation)
- EO14042 Teams-Next Missile Defense Systems Engineering — $1.1B (Department of Defense)
- Federal Contract — $1.1B (Department of Defense)
- THE Purpose of This Action IS to Execute an Administrative Continuance of the Task Order, and Transfers the Administration From Region 1 to Fedsim — $612.4M (General Services Administration)
View all Parsons Government Services Inc. federal contracts →
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)