An Evaluation of Better Pricing Under Competitive Contracting Procedures for NAVWAR and NIWC Pacific Advisory and Assistance Services

Abstract

A goal of the Naval Information Warfare Systems Command and the Naval Information Warfare Center Pacific is to acquire advisory and assistance services (A&AS) on time and at fair and reasonable prices. Although these organizations employ a range of competitive and non-competitive contracting procedures, the efficacy is unclear toward this end. This research project uses quantitative data analysis of FY20 and FY21 Federal Procurement Data System outputs totaling $3.4B, emphasizing Indefinite Delivery/Indefinite Quantity Multiple Award Contracts (IDIQ/MACs). The results indicate that both organizations achieve better pricing under competitive procedures instead of an exception to fair opportunity or when the organizations do not have a reasonable expectation of receiving multiple offers. Recommendations include maximizing competition under MACs, provided multiple offers can be expected and exceptions to fair opportunity are not applicable. In these situations, the government may want to consider single award IDIQ contract vehicles to satisfy procurement requirements. These vehicles may result in better pricing compared to using an exception to fair opportunity under a MAC.