DoD's $7.68M Personnel Recovery Software Contract Awarded to Cayuse Federal Services LLC

Contract Overview

Contract Amount: $7,678,185 ($7.7M)

Contractor: Cayuse Federal Services LLC

Awarding Agency: Department of Defense

Start Date: 2024-01-15

End Date: 2026-12-31

Contract Duration: 1,081 days

Daily Burn Rate: $7.1K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: THIS CONTRACT PROVIDES PERSONNEL RECOVERY MISSION SOFTWARE (PRMS) SUSTAINMENT SUPPORT SERVICES TO ACC/A3J.

Place of Performance

Location: HARRISON TOWNSHIP, MACOMB County, MICHIGAN, 48045

State: Michigan Government Spending

Plain-Language Summary

Department of Defense obligated $7.7 million to CAYUSE FEDERAL SERVICES LLC for work described as: THIS CONTRACT PROVIDES PERSONNEL RECOVERY MISSION SOFTWARE (PRMS) SUSTAINMENT SUPPORT SERVICES TO ACC/A3J. Key points: 1. Contract focuses on sustainment support for critical Personnel Recovery Mission Software (PRMS). 2. Awarded to Cayuse Federal Services LLC, indicating a specific vendor relationship. 3. The contract duration spans over three years, suggesting a need for ongoing support. 4. The definitive contract type implies a clear scope and pricing structure. 5. The 'Other Computer Related Services' NAICS code points to a specialized IT support function. 6. The contract is not competitively procured, raising questions about price discovery. 7. The fixed-price nature of the contract aims to control costs for the government.

Value Assessment

Rating: fair

Benchmarking the value of this $7.68 million contract is challenging without comparable sustainment support contracts for similar software. The fixed-price structure provides some cost certainty, but the lack of competition means there's no direct market comparison to assess if the pricing is optimal. Further analysis would require understanding the scope of 'sustainment support' and comparing it to industry standards for similar IT services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not open to competition from other vendors. This approach is typically used when a specific vendor possesses unique capabilities or when the need is urgent and only one source can fulfill it. The lack of competition limits the government's ability to leverage market forces to achieve the best possible price and terms.

Taxpayer Impact: Taxpayers may not be receiving the best value due to the absence of competitive bidding, which typically drives down costs and encourages innovation.

Public Impact

Personnel in the Air Force who rely on the Personnel Recovery Mission Software (PRMS) will benefit from continued operational support. The contract ensures the ongoing functionality and maintenance of critical software used in recovery missions. The services delivered are essential for maintaining readiness and effectiveness in personnel recovery operations. The geographic impact is likely centered around Air Force installations where PRMS is utilized, primarily within Michigan where the contractor is based.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may lead to inflated pricing.
Sole-source award raises concerns about vendor lock-in and future pricing.
Limited transparency into the justification for sole-source procurement.

Positive Signals

Fixed-price contract type helps manage cost overruns.
Contract duration indicates a stable, ongoing need for the service.
Focus on sustainment suggests a commitment to maintaining critical capabilities.

Sector Analysis

This contract falls within the broader IT services sector, specifically focusing on software sustainment and support. The market for specialized software support, particularly for defense applications, is often characterized by niche providers and long-term relationships. Comparable spending benchmarks would typically involve analyzing other sustainment contracts for mission-critical software within the Department of Defense, which can vary significantly based on complexity and user base.

Small Business Impact

There is no indication that this contract includes a small business set-aside. As a sole-source award, it is unlikely that subcontracting opportunities for small businesses were a primary consideration during the procurement process. This contract does not appear to directly impact the small business ecosystem in a significant way, beyond potential indirect contributions if Cayuse Federal Services LLC utilizes small business subcontractors.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of the Air Force contracting and program management offices. Accountability measures are inherent in the firm-fixed-price structure, requiring the contractor to deliver specified services. Transparency is limited due to the sole-source nature of the award; the justification for this procurement method would be the primary document for understanding oversight rationale.

Related Government Programs

Personnel Recovery Systems
Mission Support Software
Defense IT Sustainment
Air Force Software Maintenance

Risk Flags

Sole-source award lacks competitive pricing.
Limited transparency into procurement justification.
Potential for vendor lock-in.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $7.7 million to CAYUSE FEDERAL SERVICES LLC. THIS CONTRACT PROVIDES PERSONNEL RECOVERY MISSION SOFTWARE (PRMS) SUSTAINMENT SUPPORT SERVICES TO ACC/A3J.

Who is the contractor on this award?

The obligated recipient is CAYUSE FEDERAL SERVICES LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $7.7 million.

What is the period of performance?

Start: 2024-01-15. End: 2026-12-31.

What is the specific scope of 'sustainment support services' for the PRMS software?

The provided data does not detail the specific scope of 'sustainment support services.' Typically, such services can encompass a range of activities including software maintenance, bug fixes, updates, patches, technical support, help desk operations, and potentially minor enhancements or configuration changes. For the Personnel Recovery Mission Software (PRMS), these services are critical to ensuring the software remains operational, secure, and effective for its intended users within the Department of Defense. A thorough understanding of the Statement of Work (SOW) would be necessary to fully define the scope and assess the value of the contract.

What was the justification for awarding this contract on a sole-source basis?

The provided data indicates the contract was 'NOT AVAILABLE FOR COMPETITION,' which is synonymous with a sole-source award. The specific justification for this sole-source determination is not included in the abbreviated data. Common reasons for sole-source awards include unique capabilities possessed by the contractor, urgent and compelling needs where only one source can reasonably fulfill the requirement, or when the acquisition is a follow-on effort to a previous competition where the original contractor is the only viable option. A formal Justification for Other Than Full and Open Competition (JOFOC) document would typically exist within the agency to support this decision.

How does the $7.68 million contract value compare to historical spending on PRMS sustainment?

The provided data does not include historical spending figures for PRMS sustainment, making a direct comparison impossible. To assess if $7.68 million over approximately three years (January 2024 to December 2026) represents an increase or decrease in spending, one would need to access historical contract awards for similar sustainment services for the PRMS. Analyzing past contract values, durations, and the scope of work would reveal trends and help determine if current spending is in line with historical patterns or if there are significant deviations.

What are the key performance indicators (KPIs) for this sustainment support contract?

The abbreviated data does not specify the Key Performance Indicators (KPIs) for this contract. In a typical IT sustainment contract, KPIs are crucial for measuring the contractor's performance and ensuring the government receives the expected value. Common KPIs for software sustainment might include response times for technical support requests, resolution times for reported issues, uptime/availability of the software, successful application of patches and updates, and user satisfaction ratings. These metrics would be detailed in the contract's Statement of Work (SOW) and used for performance monitoring and evaluation.

What is the track record of Cayuse Federal Services LLC in providing similar IT sustainment services to the DoD?

The provided data identifies Cayuse Federal Services LLC as the contractor but does not offer details on their track record for providing similar IT sustainment services to the DoD. To assess their capabilities and past performance, one would need to consult federal procurement databases (like SAM.gov or FPDS) for previous contracts awarded to Cayuse Federal Services LLC, particularly those involving software sustainment or mission-critical IT support for defense agencies. Performance evaluations from prior contracts would offer insights into their reliability, quality of service, and ability to meet contractual obligations.

Industry Classification

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

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

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: FA489024R0005

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 72632 COYOTE RD, PENDLETON, OR, 97801

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Tax Exempt, DoT Certified Disadvantaged Business Enterprise, HUBZone Firm, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Tribally Owned Firm, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $12,548,861

Exercised Options: $7,748,185

Current Obligation: $7,678,185

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline