DoD Awards $22.8M for IT Application Support to Viatech, Inc. Under Full and Open Competition

Contract Overview

Contract Amount: $22,827,367 ($22.8M)

Contractor: Viatech, Inc.

Awarding Agency: Department of Defense

Start Date: 2008-09-26

End Date: 2012-01-31

Contract Duration: 1,222 days

Daily Burn Rate: $18.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: TASK ORDER AWARDED FOR "CECOM LCMC SOFTWARE ENGIEERING CENTER (SEC) ITED APPLICATION SUPPORT DIVISION / ENTERPRISE INFRASTRUCTURE SERVICES (EIS)

Place of Performance

Location: EATONTOWN, MONMOUTH County, NEW JERSEY, 07724, UNITED STATES OF AMERICA

State: New Jersey Government Spending

Plain-Language Summary

Department of Defense obligated $22.8 million to VIATECH, INC. for work described as: TASK ORDER AWARDED FOR "CECOM LCMC SOFTWARE ENGIEERING CENTER (SEC) ITED APPLICATION SUPPORT DIVISION / ENTERPRISE INFRASTRUCTURE SERVICES (EIS) Key points: 1. Contract awarded for critical IT application support services to the Army's CECOM. 2. Viatech, Inc. secured the contract through a full and open competition. 3. The contract spans over three years, indicating a significant need for ongoing support. 4. The Time and Materials pricing structure warrants close monitoring for cost efficiency.

Value Assessment

Rating: good

The contract value of $22.8M over 1222 days suggests a reasonable daily rate for specialized IT engineering services. Benchmarking against similar DoD IT support contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically fosters competitive pricing and ensures the government receives the best value. The specific price discovery mechanisms within this competition are not detailed.

Taxpayer Impact: The use of full and open competition is generally beneficial for taxpayers as it promotes market competition and can lead to cost savings.

Public Impact

Ensures continued operation and support for critical Army IT applications. Supports the Enterprise Infrastructure Services (EIS) program within the Department of the Army. Provides specialized engineering services crucial for maintaining technological readiness.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials pricing can lead to cost overruns if not managed carefully.
Contract duration is substantial, requiring ongoing performance monitoring.
Small business participation is not indicated.

Positive Signals

Awarded through full and open competition, suggesting competitive pricing.
Supports a critical function within the Department of Defense.
Long-term contract provides stability for essential services.

Sector Analysis

This contract falls within the Engineering Services sector, specifically supporting IT infrastructure for the Department of Defense. Spending in this area is substantial, driven by the need for advanced technological capabilities and cybersecurity.

Small Business Impact

The data indicates this contract was not awarded to a small business (ss: false, sb: false). Further analysis would be needed to determine if small business subcontracting opportunities were pursued or mandated.

Oversight & Accountability

Awarded by the Department of the Army, oversight would likely fall under CECOM LCMC. The Time and Materials contract type necessitates robust oversight to control costs and ensure performance aligns with requirements.

Related Government Programs

Engineering Services
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Potential for cost overruns due to Time and Materials pricing.
Lack of small business participation indicated.
Contract duration requires sustained performance monitoring.
Limited transparency on specific applications supported and their criticality.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $22.8 million to VIATECH, INC.. TASK ORDER AWARDED FOR "CECOM LCMC SOFTWARE ENGIEERING CENTER (SEC) ITED APPLICATION SUPPORT DIVISION / ENTERPRISE INFRASTRUCTURE SERVICES (EIS)

Who is the contractor on this award?

The obligated recipient is VIATECH, 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 $22.8 million.

What is the period of performance?

Start: 2008-09-26. End: 2012-01-31.

What specific IT applications are covered under this contract, and what is their criticality to Army operations?

The contract specifies support for the 'ITED Application Support Division' within the CECOM LCMC. While the exact applications are not detailed, their inclusion under Enterprise Infrastructure Services (EIS) suggests they are fundamental to the Army's IT backbone, likely encompassing mission-critical systems, communication platforms, or logistical software essential for operational readiness and administrative functions.

How effectively was the Time and Materials pricing structure managed to control costs and ensure value for the taxpayer?

The effectiveness of Time and Materials (T&M) pricing hinges on stringent oversight, clear task definitions, and efficient resource utilization. Without detailed performance reports or cost variance analyses, it's difficult to definitively assess cost control. However, the substantial contract value over its duration suggests a need for continuous monitoring to prevent scope creep and ensure labor hours and material costs remained justified and competitive.

What was the competitive landscape like for this full and open solicitation, and did it result in demonstrably better pricing than other contracting methods?

A full and open competition theoretically maximizes the number of potential bidders, driving down prices through market forces. While the award suggests Viatech, Inc. offered a competitive price, the specific number of bids received and the price spread among them would be needed to quantify the benefit. The 'br' (bid received) value of 18680 might represent a benchmark or target, but its precise meaning in relation to the awarded value isn't clear without further context.

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

Offers Received: 2

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: D & S Consultants Inc. (UEI: 792244097)

Address: 615 HOPE RD STE 3A, EATONTOWN, NJ, 07724

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $30,341,730

Exercised Options: $22,827,367

Current Obligation: $22,827,367

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W15P7T06DE407

IDV Type: IDC

Timeline