DHS TSA Awards $210.6M IT Task Order to Peraton for Systems Design Services

Contract Overview

Contract Amount: $210,617,252 ($210.6M)

Contractor: Peraton Enterprise Solutions LLC

Awarding Agency: Department of Homeland Security

Start Date: 2022-11-16

End Date: 2027-02-15

Contract Duration: 1,552 days

Daily Burn Rate: $135.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: IT MANAGEMENT, PERFORMANCE ANALYSIS, AND COLLABORATIVE TECHNOLOGIES (IMPACT) II TASK ORDER 2 STOP WORK ORDERS ISSUES, POP START DATE IS 11/16/22.

Place of Performance

Location: HERNDON, FAIRFAX County, VIRGINIA, 20171

State: Virginia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $210.6 million to PERATON ENTERPRISE SOLUTIONS LLC for work described as: IT MANAGEMENT, PERFORMANCE ANALYSIS, AND COLLABORATIVE TECHNOLOGIES (IMPACT) II TASK ORDER 2 STOP WORK ORDERS ISSUES, POP START DATE IS 11/16/22. Key points: 1. Significant contract value of $210.6 million for IT management and collaborative technologies. 2. Competition was full and open, suggesting a competitive bidding process. 3. Risk is moderate, given the fixed-price contract type and duration. 4. The sector is Information Technology, specifically computer systems design.

Value Assessment

Rating: good

The contract value of $210.6 million appears reasonable for a 4-year task order focused on IT management and collaborative technologies. Benchmarking against similar large-scale IT service contracts would provide further context.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and allows the government to select the best value.

Taxpayer Impact: The competitive award process is expected to yield fair pricing, maximizing taxpayer value for the IT services procured.

Public Impact

Enhances critical IT management and collaborative capabilities for the TSA. Supports the operational efficiency and technological advancement of a key federal agency. Ensures continuity of essential IT services through a long-term contract.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep over the 4-year duration.
Reliance on a single vendor for critical IT functions.

Positive Signals

Full and open competition drives value.
Firm fixed-price contract provides cost certainty.
Long-term award ensures service stability.

Sector Analysis

This contract falls within the IT sector, specifically computer systems design services. Spending in this area is substantial across government, supporting agency operations and modernization efforts. Benchmarks vary widely based on scope and complexity.

Small Business Impact

While the contract was awarded under full and open competition, there is no explicit indication of small business participation in this specific task order. Future analysis could explore subcontracting opportunities.

Oversight & Accountability

The award process under full and open competition suggests a degree of oversight. However, ongoing monitoring of performance and adherence to contract terms will be crucial for accountability.

Related Government Programs

Computer Systems Design Services
Department of Homeland Security Contracting
Transportation Security Administration Programs

Risk Flags

Contract duration of over 4 years.
Potential for vendor lock-in.
Dependence on a single contractor for critical IT services.
Scope creep risk over the contract's life.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $210.6 million to PERATON ENTERPRISE SOLUTIONS LLC. IT MANAGEMENT, PERFORMANCE ANALYSIS, AND COLLABORATIVE TECHNOLOGIES (IMPACT) II TASK ORDER 2 STOP WORK ORDERS ISSUES, POP START DATE IS 11/16/22.

Who is the contractor on this award?

The obligated recipient is PERATON ENTERPRISE SOLUTIONS LLC.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (Transportation Security Administration).

What is the total obligated amount?

The obligated amount is $210.6 million.

What is the period of performance?

Start: 2022-11-16. End: 2027-02-15.

What specific IT management and collaborative technologies are included in this task order, and how do they align with TSA's strategic goals?

The task order focuses on 'IT MANAGEMENT, PERFORMANCE ANALYSIS, AND COLLABORATIVE TECHNOLOGIES (IMPACT) II'. While specific details are not provided, it likely encompasses services such as system integration, network management, cybersecurity support, and the implementation or enhancement of collaborative platforms to improve communication and workflow within the TSA. Alignment with strategic goals would involve assessing how these technologies contribute to TSA's mission of ensuring security and facilitating travel.

What are the key performance indicators (KPIs) for this contract, and how will Peraton's performance be measured?

Key performance indicators are crucial for measuring the success of this IT task order. While not detailed here, typical KPIs for such contracts include system uptime, response times for technical support, successful implementation of new technologies, user satisfaction rates, and adherence to security protocols. The TSA will likely establish specific, measurable, achievable, relevant, and time-bound (SMART) goals against which Peraton's performance will be regularly assessed and reported.

How does the firm fixed-price contract type mitigate risks associated with potential cost overruns for the government?

A firm fixed-price (FFP) contract shifts the majority of the cost risk to the contractor, Peraton Enterprise Solutions LLC. Under an FFP agreement, the total price is fixed and not subject to adjustment based on the contractor's cost experience. This provides the TSA with significant cost certainty, as they know the maximum amount they will pay. Any cost overruns incurred by Peraton would reduce their profit margin, incentivizing efficient project management and cost control.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 70T03020R3BCIO309

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Veritas Capital Fund Management, L.L.C.

Address: 13600 EDS DR A3S, HERNDON, VA, 20171

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $332,961,651

Exercised Options: $261,136,694

Current Obligation: $210,617,252

Actual Outlays: $138,845,169

Subaward Activity

Number of Subawards: 52

Total Subaward Amount: $250,006,177

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47QTCK18D0030

IDV Type: GWAC

Timeline