Army Awards $75.9M C4ISR Systems Support Contract to Leidos, Inc
Contract Overview
Contract Amount: $75,936,225 ($75.9M)
Contractor: Leidos, Inc.
Awarding Agency: General Services Administration
Start Date: 2017-10-10
End Date: 2023-06-20
Contract Duration: 2,079 days
Daily Burn Rate: $36.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: TIME AND MATERIALS
Sector: IT
Official Description: US ARMY CERDEC PITD C4ISR SYSTEMS PROTOTYPING INTEGRATION TESTING SUPPORT
Place of Performance
Location: FORT MONMOUTH, MONMOUTH County, NEW JERSEY, 07703
Plain-Language Summary
General Services Administration obligated $75.9 million to LEIDOS, INC. for work described as: US ARMY CERDEC PITD C4ISR SYSTEMS PROTOTYPING INTEGRATION TESTING SUPPORT Key points: 1. Contract awarded to Leidos, Inc. for C4ISR systems prototyping and integration. 2. Significant duration of 2079 days indicates a long-term need for these services. 3. The contract value of $75.9M is substantial, requiring careful oversight. 4. Engineering services sector, NAICS 541330, is critical for defense modernization.
Value Assessment
Rating: fair
The contract value of $75.9M over nearly 6 years suggests a significant investment. Benchmarking against similar large-scale engineering support contracts is necessary to assess value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which generally promotes competitive pricing. However, the Time and Materials (T&M) pricing structure can sometimes lead to cost overruns if not managed closely.
Taxpayer Impact: Full and open competition is intended to secure the best value for taxpayers. The T&M structure necessitates robust oversight to ensure costs remain reasonable.
Public Impact
Supports critical C4ISR systems for the US Army. Potential impact on military readiness and technological advancement. Long-term contract may indicate stable demand for specialized engineering services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Time and Materials contract type can inflate costs without strict controls.
- Long contract duration increases risk of scope creep and price escalation.
- Lack of specific small business participation noted.
Positive Signals
- Awarded under full and open competition, suggesting a competitive process.
- Supports critical defense infrastructure and modernization efforts.
Sector Analysis
This contract falls within the Engineering Services sector, specifically supporting C4ISR (Command, Control, Communications, Computers, Intelligence, Surveillance, and Reconnaissance) systems. Spending in this area is crucial for maintaining and advancing military technological capabilities.
Small Business Impact
The data indicates this contract was not awarded to small businesses (sb: false). Further analysis would be needed to determine if small business subcontracting opportunities were pursued or mandated.
Oversight & Accountability
The General Services Administration (GSA) awarded this contract through its Federal Acquisition Service. Oversight would involve monitoring contract performance, expenditures, and adherence to the Time and Materials pricing structure.
Related Government Programs
- Engineering Services
- General Services Administration Contracting
- Federal Acquisition Service Programs
Risk Flags
- Potential for cost overruns due to Time and Materials contract type.
- Long contract duration increases risk of scope creep and price escalation.
- Lack of specific small business participation noted.
- Need for detailed benchmarking of labor rates and services.
- Ensuring alignment with evolving C4ISR modernization strategies.
Tags
engineering-services, general-services-administration, nj, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
General Services Administration awarded $75.9 million to LEIDOS, INC.. US ARMY CERDEC PITD C4ISR SYSTEMS PROTOTYPING INTEGRATION TESTING SUPPORT
Who is the contractor on this award?
The obligated recipient is LEIDOS, INC..
Which agency awarded this contract?
Awarding agency: General Services Administration (Federal Acquisition Service).
What is the total obligated amount?
The obligated amount is $75.9 million.
What is the period of performance?
Start: 2017-10-10. End: 2023-06-20.
What is the estimated total cost per labor hour and how does it compare to industry benchmarks for similar engineering support services?
The Time and Materials (T&M) contract type makes it difficult to assess a fixed per-unit cost without detailed labor categories and rates. A thorough review of the contract's ceiling, estimated hours, and negotiated labor rates against industry benchmarks for C4ISR engineering support is crucial to determine if the government is receiving fair value.
What are the specific performance metrics and deliverables for this contract, and how are they being monitored to mitigate risks associated with a T&M contract?
The contract's long duration and T&M structure necessitate robust performance monitoring. Key performance indicators (KPIs) and clearly defined deliverables are essential. The contracting officer's representative (COR) must diligently track progress against milestones and ensure that all hours billed are directly related to contract requirements to prevent cost overruns and ensure effective service delivery.
How does the technological advancement and integration supported by this contract align with current and future US Army C4ISR modernization strategies?
This contract supports prototyping and integration of C4ISR systems, which is vital for keeping the Army's communication and intelligence capabilities current. Understanding the specific technologies being developed and integrated, and how they fit into the Army's broader modernization roadmap, is key to assessing the long-term effectiveness and strategic value of this significant investment.
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: ID07170015
Offers Received: 3
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Address: 1750 PRESIDENTS ST FL 4, RESTON, VA, 20190
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $238,760,628
Exercised Options: $178,958,045
Current Obligation: $75,936,225
Actual Outlays: $-44,692
Subaward Activity
Number of Subawards: 259
Total Subaward Amount: $37,047,991
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: GS00Q14OADU322
IDV Type: IDC
Timeline
Start Date: 2017-10-10
Current End Date: 2023-06-20
Potential End Date: 2023-06-20 00:00:00
Last Modified: 2024-09-30
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