DOJ's $58.3M contract for reentry services awarded to NTT DATA FEDERAL SERVICES, INC. via BPA Call

Contract Overview

Contract Amount: $58,334,386 ($58.3M)

Contractor: NTT Data Federal Services, Inc.

Awarding Agency: Department of Justice

Start Date: 2020-09-28

End Date: 2023-09-27

Contract Duration: 1,094 days

Daily Burn Rate: $53.3K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: REENTRY INNOVATIONS IN CORRECTIONS CONTENT AND PLATFORM SERVICES

Place of Performance

Location: HERNDON, FAIRFAX County, VIRGINIA, 20171

State: Virginia Government Spending

Plain-Language Summary

Department of Justice obligated $58.3 million to NTT DATA FEDERAL SERVICES, INC. for work described as: REENTRY INNOVATIONS IN CORRECTIONS CONTENT AND PLATFORM SERVICES Key points: 1. Value for money appears fair, with a significant investment in correctional reentry technology. 2. Competition dynamics indicate a full and open competition, suggesting a healthy market. 3. Risk indicators are moderate, given the firm-fixed-price contract type and established contractor. 4. Performance context is within the Federal Prison System's need for digital content and platform services. 5. Sector positioning is within IT services, specifically custom computer programming for government agencies.

Value Assessment

Rating: fair

The contract's value of $58.3 million over three years for custom computer programming services is substantial. Benchmarking against similar IT services contracts for federal agencies, the pricing appears within a reasonable range, though specific per-unit cost data is not readily available. The firm-fixed-price structure provides cost certainty for the government, but the overall value proposition depends heavily on the effectiveness and adoption of the reentry content and platform services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a full and open competition, indicating that multiple vendors had the opportunity to bid. The specific number of bidders is not provided, but the 'full and open' designation suggests a competitive process that likely led to a more favorable price for the government compared to limited or sole-source procurements.

Taxpayer Impact: A full and open competition generally benefits taxpayers by fostering a competitive environment that can drive down costs and encourage innovation from a wider pool of contractors.

Public Impact

Incarcerated individuals will benefit from enhanced digital content and platform services aimed at facilitating their reentry into society. The Bureau of Prisons will receive a modernized platform to deliver educational, vocational, and rehabilitative programs. The geographic impact is nationwide, serving federal correctional facilities across the United States. Workforce implications include potential for IT professionals involved in developing and maintaining the platform, as well as correctional staff utilizing the new services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if the platform becomes deeply integrated without clear exit strategies.
Dependence on contractor performance for timely updates and maintenance of critical reentry services.
Risk of scope creep if requirements are not clearly defined and managed throughout the contract lifecycle.

Positive Signals

Firm-fixed-price contract type mitigates cost overrun risks for the government.
Full and open competition suggests a competitive market and potentially better pricing.
Contract awarded to a known entity (NTT DATA FEDERAL SERVICES, INC.) may indicate a level of trust in their capabilities.

Sector Analysis

This contract falls within the Information Technology sector, specifically custom computer programming services. The market for government IT services is vast and highly competitive, with significant spending allocated to software development, platform integration, and digital solutions. Comparable spending benchmarks for similar large-scale IT development projects within federal agencies can vary widely based on complexity and duration, but this contract represents a substantial investment in a niche area of correctional technology.

Small Business Impact

The provided data indicates that small business participation (sb) was false, and there is no explicit mention of small business set-asides for this specific contract. This suggests that the primary award was not directed towards small businesses, and subcontracting opportunities for small businesses would depend on NTT DATA FEDERAL SERVICES, INC.'s internal policies and the specific needs of the project. Further investigation into subcontracting plans would be necessary to assess the impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would primarily reside with the contracting officers and program managers within the Federal Prison System / Bureau of Prisons. The firm-fixed-price nature of the contract provides a degree of accountability regarding cost. Transparency is facilitated by the contract being awarded through full and open competition, with its details likely available through federal procurement databases. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Federal Offender Reentry Programs
Bureau of Prisons Information Technology Modernization
Correctional Education and Training Services
Digital Services for Incarcerated Individuals

Risk Flags

Potential for underutilization if reentry services are not effectively adopted by the target population.
Risk of data breaches or privacy violations given the sensitive nature of offender information.
Dependence on contractor for ongoing maintenance and updates, posing a risk if contractor performance degrades.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $58.3 million to NTT DATA FEDERAL SERVICES, INC.. REENTRY INNOVATIONS IN CORRECTIONS CONTENT AND PLATFORM SERVICES

Who is the contractor on this award?

The obligated recipient is NTT DATA FEDERAL SERVICES, INC..

Which agency awarded this contract?

Awarding agency: Department of Justice (Federal Prison System / Bureau of Prisons).

What is the total obligated amount?

The obligated amount is $58.3 million.

What is the period of performance?

Start: 2020-09-28. End: 2023-09-27.

What is the track record of NTT DATA FEDERAL SERVICES, INC. with the Department of Justice and similar reentry-focused IT projects?

NTT DATA FEDERAL SERVICES, INC. is a large federal contractor with a significant history of performing IT services for various government agencies, including the Department of Justice. While specific details on their past performance on reentry-focused IT projects are not immediately available from the provided data, their extensive experience in custom computer programming and platform development suggests a capacity to handle such requirements. A deeper dive into their contract history with DOJ and other agencies would reveal their success rates, any past performance issues, and their expertise in delivering complex software solutions within government environments. Their overall federal contracting performance, often rated in past performance evaluations, would provide further insight into their reliability and capability for this specific contract.

How does the per-unit cost of this contract compare to industry benchmarks for similar digital content and platform services?

The provided data does not include specific per-unit cost breakdowns, making a direct comparison to industry benchmarks challenging. The total contract value of $58.3 million covers a broad scope of 'content and platform services' over three years, encompassing custom programming. To assess per-unit value, one would need to identify specific deliverables or user metrics (e.g., cost per user, cost per module developed, cost per content hour). Without such granular data, it's difficult to benchmark against industry standards for SaaS platforms or custom software development. However, the firm-fixed-price nature suggests the government has negotiated a total price for the defined scope, implying that the contractor has factored in their expected costs and profit margins based on their understanding of market rates and their own cost structure.

What are the key performance indicators (KPIs) used to measure the success of this reentry platform and content?

The provided contract data does not explicitly list the Key Performance Indicators (KPIs) for this contract. Typically, for a reentry platform and content service, KPIs would focus on user engagement, content accessibility, program completion rates, and ultimately, the impact on recidivism rates or successful reintegration metrics. Other potential KPIs could include system uptime, response times for technical support, and the successful deployment of new features or content modules. The Bureau of Prisons would have established these KPIs in the contract's Statement of Work (SOW) to ensure the contractor is meeting the objectives of providing effective reentry services. Monitoring these KPIs would be crucial for assessing the value and effectiveness of the awarded contract.

What is the historical spending trend for reentry technology and digital services within the Federal Prison System?

The provided data focuses on a single contract awarded in 2020. To understand historical spending trends for reentry technology and digital services within the Federal Prison System, one would need to analyze procurement data over several preceding years. This would involve identifying similar contracts, their values, durations, and the types of services procured. Trends might indicate an increasing investment in digital solutions for rehabilitation and reentry, a shift from traditional methods, or a consistent but evolving approach. Analyzing this historical context would help determine if the $58.3 million awarded to NTT DATA FEDERAL SERVICES, INC. represents a significant increase, a continuation of existing investment levels, or a new strategic direction for the Bureau of Prisons in leveraging technology for offender reentry.

Are there any known risks associated with the specific technologies or platforms being developed under this contract?

The provided data does not specify the exact technologies or platforms being developed. However, general risks associated with custom IT development projects include potential cybersecurity vulnerabilities, integration challenges with existing systems, scalability issues as user numbers grow, and the risk of technological obsolescence if the platform is not designed with future adaptability in mind. For a reentry platform, specific risks could involve data privacy concerns related to sensitive offender information, ensuring accessibility across various devices and user technical proficiencies, and the reliability of the platform in providing critical support services. A thorough review of the contract's technical specifications and the contractor's proposed architecture would be necessary to identify and assess these specific technological risks.

Industry Classification

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

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 15BNAS20RRCA00028

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Nippon Telegraph and Telephone Corporation

Address: 2551 DULLES VIEW DR, HERNDON, VA, 20171

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

Financial Breakdown

Contract Ceiling: $124,217,300

Exercised Options: $73,084,064

Current Obligation: $58,334,386

Actual Outlays: $27,495,966

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 15DDHQ19A00000002

IDV Type: BPA

Timeline