FAA's $2.5M IT management support contract awarded to RIGIL CORPORATION for enterprise program management

Contract Overview

Contract Amount: $2,512,150 ($2.5M)

Contractor: Rigil Corporation

Awarding Agency: Department of Transportation

Start Date: 2023-12-22

End Date: 2025-09-30

Contract Duration: 648 days

Daily Burn Rate: $3.9K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: FEDERAL AVIATION ADMINISTRATION (FAA) TECHNICAL MANAGEMENT SUPPORT (TMS) SERVICES FOR THE OFFICE OF INFORMATION AND TECHNOLOGY (AIT) ENTERPRISE PROGRAM MANAGEMENT SERVICE (EPMS) OPERATIONS (OPS)

Place of Performance

Location: CHANTILLY, FAIRFAX County, VIRGINIA, 20151

State: Virginia Government Spending

Plain-Language Summary

Department of Transportation obligated $2.5 million to RIGIL CORPORATION for work described as: FEDERAL AVIATION ADMINISTRATION (FAA) TECHNICAL MANAGEMENT SUPPORT (TMS) SERVICES FOR THE OFFICE OF INFORMATION AND TECHNOLOGY (AIT) ENTERPRISE PROGRAM MANAGEMENT SERVICE (EPMS) OPERATIONS (OPS) Key points: 1. Contract provides essential technical management support for FAA's IT operations. 2. RIGIL CORPORATION, a known entity in government contracting, secured this award. 3. The contract duration extends over 2 years, indicating a need for sustained support. 4. Awarded under full and open competition, suggesting a competitive bidding process. 5. The contract type is Time and Materials, which can pose cost control challenges. 6. This award falls within the administrative management and consulting services sector.

Value Assessment

Rating: fair

The contract value of approximately $2.5 million over two years for IT management support appears reasonable for the scope of services. Benchmarking against similar contracts for enterprise program management support within federal agencies is necessary for a definitive value assessment. The Time and Materials (T&M) pricing model, while flexible, requires diligent oversight to ensure costs remain within expected parameters and do not escalate due to inefficiencies or scope creep. Without specific performance metrics or detailed cost breakdowns, a precise value-for-money judgment is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The specific number of bidders is not provided, but this procurement method generally fosters a competitive environment, which is beneficial for price discovery and ensuring the government receives competitive pricing. The FAA's decision to use full and open competition suggests confidence in the market's ability to provide qualified contractors for these specialized IT management services.

Taxpayer Impact: Full and open competition is the most taxpayer-friendly approach, as it maximizes the pool of potential bidders, driving down prices and encouraging innovation. This method ensures that taxpayer dollars are used efficiently by selecting the best value offer.

Public Impact

Benefits the Federal Aviation Administration's Office of Information and Technology (AIT) by ensuring effective program management. Delivers critical technical management support services for AIT's Enterprise Program Management Service (EPMS) Operations. Enhances the operational efficiency and strategic execution of IT programs within the FAA. Supports the modernization and maintenance of FAA's IT infrastructure and services. Indirectly benefits air travelers and the aviation industry through improved IT system reliability and performance.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The Time and Materials (T&M) contract type can lead to cost overruns if not closely monitored for labor hours and rates.
Lack of specific details on the number of bidders limits the assessment of the true competitive landscape.
Performance metrics and deliverables are not detailed, making it difficult to assess the contractor's effectiveness upfront.

Positive Signals

Awarded through full and open competition, suggesting a robust and fair bidding process.
The contract supports critical IT functions within a vital federal agency (FAA).
The contractor, RIGIL CORPORATION, likely has prior experience in government IT services.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically focusing on administrative management and general management consulting. The IT management support market within the federal government is substantial, with agencies like the FAA investing heavily in maintaining and modernizing their technological infrastructure. Comparable spending benchmarks would involve analyzing other large federal IT support contracts, particularly those focused on enterprise program management and IT operations within transportation or similar large federal organizations.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). As a result, small businesses were likely not the primary focus of this specific award, although they may participate as subcontractors. The absence of a small business set-aside means larger, established companies were eligible and likely competed. Further analysis would be needed to determine if subcontracting opportunities exist for small businesses within the scope of this contract.

Oversight & Accountability

Oversight for this contract will likely be managed by the Federal Aviation Administration's contracting officers and program managers within the Office of Information and Technology (AIT). Accountability measures would be tied to the contract's performance work statement and delivery schedules. Transparency is generally facilitated through contract award databases like FPDS, where basic information is publicly available. The extent of Inspector General (IG) jurisdiction would depend on any specific audit triggers or performance issues that arise during the contract's lifecycle.

Related Government Programs

FAA IT Modernization Programs
Department of Transportation Enterprise IT Services
Federal IT Consulting and Management Services
Air Traffic Control System Modernization

Risk Flags

Potential for cost overruns due to Time and Materials pricing model.
Need for robust oversight to ensure efficient performance and prevent scope creep.
Limited transparency on the number of bidders in the full and open competition.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $2.5 million to RIGIL CORPORATION. FEDERAL AVIATION ADMINISTRATION (FAA) TECHNICAL MANAGEMENT SUPPORT (TMS) SERVICES FOR THE OFFICE OF INFORMATION AND TECHNOLOGY (AIT) ENTERPRISE PROGRAM MANAGEMENT SERVICE (EPMS) OPERATIONS (OPS)

Who is the contractor on this award?

The obligated recipient is RIGIL CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Aviation Administration).

What is the total obligated amount?

The obligated amount is $2.5 million.

What is the period of performance?

Start: 2023-12-22. End: 2025-09-30.

What is RIGIL CORPORATION's track record with the FAA and other federal agencies for similar IT management support contracts?

RIGIL CORPORATION has a history of providing IT and management consulting services to various federal agencies, including the FAA. Their contract portfolio often includes support for program management, systems engineering, and technical services. For the FAA specifically, RIGIL has been involved in various IT-related efforts. A deeper dive into their past performance ratings, any past performance issues, and the scale of previous contracts with the FAA would provide a clearer picture of their suitability and reliability for this specific Technical Management Support (TMS) contract. Examining their performance on similar Enterprise Program Management Service (EPMS) operations contracts would be particularly relevant.

How does the $2.51 million contract value compare to similar IT management support contracts awarded by the FAA or other agencies?

The $2.51 million contract value for approximately two years of IT management support for enterprise program management operations is within a typical range for such services within a large federal agency like the FAA. However, a precise comparison requires benchmarking against contracts with similar scopes of work, duration, and complexity. Factors such as the specific IT systems supported, the level of technical expertise required, and the geographic location of services can influence pricing. Without detailed scope information, it's difficult to definitively state if this represents excellent or questionable value. Generally, contracts for specialized IT program management support can range from hundreds of thousands to several million dollars annually, depending on the agency's needs and the contractor's proposed solution.

What are the primary risks associated with a Time and Materials (T&M) contract for IT management support, and how are they mitigated?

The primary risk with Time and Materials (T&M) contracts is the potential for cost overruns, as the government pays for the actual labor hours and materials used, rather than a fixed price. This can be exacerbated if work is inefficiently performed or if the scope is not clearly defined and managed, leading to scope creep. For IT management support, risks include inflated labor hours, excessive use of higher-than-necessary labor categories, and uncontrolled material costs. Mitigation strategies employed by the FAA would typically include establishing ceiling prices, requiring detailed timesheets and justifications for hours worked, closely monitoring labor mix and rates, and implementing robust oversight by contracting officers and technical monitors to ensure efficient performance and adherence to the SOW. Regular progress reviews and performance metrics are crucial.

What is the expected impact of this contract on the FAA's IT program management effectiveness and efficiency?

This contract is expected to enhance the FAA's IT program management effectiveness and efficiency by providing specialized technical management support to the Office of Information and Technology (AIT) Enterprise Program Management Service (EPMS) Operations. The contractor, RIGIL CORPORATION, will likely assist in areas such as project planning, execution, monitoring, and control, ensuring that IT programs align with FAA objectives and regulatory requirements. This support can lead to better resource allocation, improved risk management, more timely delivery of IT projects, and overall enhanced operational performance of AIT's systems. Ultimately, this should contribute to a more robust and reliable IT infrastructure supporting the FAA's critical aviation safety and operational missions.

How has FAA's spending on IT management support services evolved over the past five years, and does this contract align with historical trends?

Analyzing FAA's historical spending on IT management support services over the past five years would reveal trends in their investment in this area. This $2.51 million contract award for a duration of approximately two years is a specific instance within that broader spending pattern. If the FAA has consistently awarded similar-sized contracts for IT management support, this award aligns with historical trends. Conversely, a significant increase or decrease in spending on such services could indicate a shift in strategic priorities, budget allocations, or contracting approaches. Understanding the historical context helps assess whether this contract represents a continuation of established practices or a deviation requiring further explanation.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 4800 WESTFIELDS BLVD, CHANTILLY, VA, 20151

Business Categories: Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Economically Disadvantaged Women Owned Small Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, Indian (Subcontinent) American Owned Business, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $4,550,789

Exercised Options: $2,512,150

Current Obligation: $2,512,150

Actual Outlays: $2,512,150

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 692M1518D00026

IDV Type: IDC

Timeline