DoD's $71M Computer Facilities Management Services Contract Awarded to Caelum Research Corporation
Contract Overview
Contract Amount: $71,238,607 ($71.2M)
Contractor: Caelum Research Corporation
Awarding Agency: Department of Defense
Start Date: 2003-08-05
End Date: 2018-06-30
Contract Duration: 5,443 days
Daily Burn Rate: $13.1K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: IT
Place of Performance
Location: WHITE SANDS MISSILE RANGE, DOÑA ANA County, NEW MEXICO, 88002
Plain-Language Summary
Department of Defense obligated $71.2 million to CAELUM RESEARCH CORPORATION for work described as: Key points: 1. Contract value of $71.2M over its period of performance. 2. Awarded under Full and Open Competition after Exclusion of Sources. 3. Potential for significant taxpayer impact due to contract duration and value. 4. Services fall under the IT sector, specifically Computer Facilities Management.
Value Assessment
Rating: fair
The contract value of $71.2M over approximately 15 years suggests a moderate annual spend. Without specific per-unit cost data or benchmarks for similar services, a precise value assessment is difficult. However, the extended duration may indicate a need for consistent, long-term support.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded using Full and Open Competition after Exclusion of Sources, indicating a competitive process was initiated. However, the 'Exclusion of Sources' clause warrants further investigation into why specific sources were excluded, which could impact price discovery.
Taxpayer Impact: The total award of $71.2M represents a substantial investment. The effectiveness of the competition method in securing the best value for taxpayers is a key consideration for this significant expenditure.
Public Impact
Taxpayers funded $71.2M for computer facilities management services over nearly 15 years. The Department of the Army utilized a competitive bidding process, though with source exclusions. The contract supported essential IT infrastructure management for military operations.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Extended contract duration (5443 days) may lead to price escalation or obsolescence.
- Exclusion of sources in competition could limit optimal price discovery.
- Lack of small business participation noted (sb: false).
Positive Signals
- Awarded under Full and Open Competition, suggesting a structured procurement.
- Firm Fixed Price contract type provides cost certainty for the government.
- Services are critical for IT infrastructure.
Sector Analysis
This contract falls within the Information Technology sector, specifically focusing on computer facilities management. Benchmarks for similar long-term IT service contracts can vary widely based on scope, complexity, and specific technologies involved.
Small Business Impact
The data indicates no specific small business participation in this contract (sb: false). For a contract of this magnitude, exploring opportunities for small business subcontracting could enhance economic impact and competition.
Oversight & Accountability
The contract's long duration and significant value necessitate robust oversight to ensure performance standards are met and costs remain justified. The 'Exclusion of Sources' clause also suggests a need for careful review of the procurement process.
Related Government Programs
- Computer Facilities Management Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Potential for cost overruns due to long contract duration.
- Risk of technological obsolescence impacting service effectiveness.
- Limited competition due to source exclusion.
- Lack of noted small business participation.
- Need for strong oversight to ensure value for money.
Tags
computer-facilities-management-services, department-of-defense, nm, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $71.2 million to CAELUM RESEARCH CORPORATION. See the official description on USAspending.
Who is the contractor on this award?
The obligated recipient is CAELUM RESEARCH CORPORATION.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $71.2 million.
What is the period of performance?
Start: 2003-08-05. End: 2018-06-30.
What was the rationale behind excluding specific sources during the full and open competition for this contract?
The rationale for excluding sources during a full and open competition typically relates to specific technical requirements, past performance issues, or unique capabilities that only certain vendors possess. Without further documentation, it's difficult to ascertain the precise reasons. However, such exclusions can sometimes limit the competitive landscape, potentially impacting the final price achieved for the government.
How does the per-unit cost of these computer facilities management services compare to industry benchmarks, considering the contract's duration?
Assessing the per-unit cost is challenging without granular data on the services provided and their frequency. The contract's $71.2M value spread over approximately 15 years suggests an average annual spend of around $4.75M. Comparing this to industry benchmarks requires detailed service level agreements and pricing structures, which are not provided. The long duration could mask inefficiencies or, conversely, reflect significant economies of scale.
What is the long-term effectiveness and adaptability of the chosen computer facilities management services in light of evolving technology?
The effectiveness and adaptability of these services depend heavily on the contract's flexibility and the vendor's ability to integrate new technologies. A 15-year contract term, while providing stability, carries the risk of technological obsolescence if not managed proactively. Regular performance reviews and contract modifications would be crucial to ensure the services remain relevant and efficient throughout the period of performance.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Facilities Management Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Contractor Details
Address: 1700 RESEARCH BLVD, ROCKVILLE, MD, 08
Business Categories: Asian Pacific American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Small Business, Small Disadvantaged Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Contract Characteristics
Cost or Pricing Data: NO
Timeline
Start Date: 2003-08-05
Current End Date: 2018-06-30
Potential End Date: 2018-06-30 00:00:00
Last Modified: 2014-07-22
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