DoD Awards $9.8M for HRMS in Iraq, Limiting Competition
Contract Overview
Contract Amount: $9,805,734 ($9.8M)
Contractor: Eleks, Inc
Awarding Agency: Department of Defense
Start Date: 2025-07-23
End Date: 2028-03-24
Contract Duration: 975 days
Daily Burn Rate: $10.1K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: TWO ENTERPRISE-SCALE HUMAN RESOURCE MANAGEMENT SYSTEMS (HRMSS) - ONE FOR THE GOVERNMENT OF IRAQ (GOI) MINISTRY OF DEFENSE (MOD) IN BAGHDAD AND ONE FOR THE KURDISH REGIONAL GOVERNMENT (KRG) MINISTRY OF PESHMERGA AFFAIRS (MOPA) IN ERBIL
Place of Performance
Location: TAMPA, HILLSBOROUGH County, FLORIDA, 33621
State: Florida Government Spending
Plain-Language Summary
Department of Defense obligated $9.8 million to ELEKS, INC for work described as: TWO ENTERPRISE-SCALE HUMAN RESOURCE MANAGEMENT SYSTEMS (HRMSS) - ONE FOR THE GOVERNMENT OF IRAQ (GOI) MINISTRY OF DEFENSE (MOD) IN BAGHDAD AND ONE FOR THE KURDISH REGIONAL GOVERNMENT (KRG) MINISTRY OF PESHMERGA AFFAIRS (MOPA) IN ERBIL Key points: 1. Contract awarded to ELEKS, INC for enterprise HR management systems. 2. Focus on Iraqi Ministry of Defense and Kurdish Peshmerga Affairs. 3. Limited competition raises questions about best value and price discovery. 4. IT services sector, specifically custom computer programming.
Value Assessment
Rating: questionable
The contract's value of $9.8M for two HRMS systems is difficult to assess without benchmarks for similar government-to-government or coalition support IT projects. The firm fixed-price structure aims for cost certainty, but the lack of competition may have inflated the price.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract is not available for competition, indicating a sole-source or limited source award. This significantly restricts price discovery and potentially prevents the government from securing the most competitive pricing available in the market.
Taxpayer Impact: Taxpayer funds are being used for this contract, and the lack of competition may lead to a higher overall cost than if a competitive process had been employed.
Public Impact
Enhances HR capabilities for Iraqi and Kurdish security forces. Supports modernization efforts within allied military structures. Potential for improved efficiency in personnel management. Geopolitical implications of IT infrastructure support in the region.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition
- Lack of clear justification for sole-source award
- Potential for cost overruns due to limited price discovery
Positive Signals
- Supports critical allies' defense infrastructure
- Firm fixed-price contract for cost control
- Addresses essential HR management needs
Sector Analysis
This contract falls within the IT services sector, specifically custom computer programming. Spending in this area often supports modernization and operational efficiency. Benchmarks for similar enterprise-scale HRMS deployments in complex international environments are scarce, making direct comparison difficult.
Small Business Impact
The contract was awarded to ELEKS, INC, and there is no indication that small businesses were involved in this specific award. The nature of enterprise-scale HRMS implementation often favors larger, specialized firms.
Oversight & Accountability
Oversight will be crucial to ensure the effective implementation and utilization of the HRMS by both the Iraqi MOD and KRG MOPA. Accountability for performance and adherence to contract terms rests with the Department of the Air Force contracting officers.
Related Government Programs
- Custom Computer Programming Services
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Limited competition may lead to inflated costs.
- Lack of transparency in the procurement process.
- Potential for vendor lock-in.
- Risk of implementation challenges in a complex environment.
- Effectiveness dependent on user adoption and training.
Tags
custom-computer-programming-services, department-of-defense, fl, definitive-contract, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $9.8 million to ELEKS, INC. TWO ENTERPRISE-SCALE HUMAN RESOURCE MANAGEMENT SYSTEMS (HRMSS) - ONE FOR THE GOVERNMENT OF IRAQ (GOI) MINISTRY OF DEFENSE (MOD) IN BAGHDAD AND ONE FOR THE KURDISH REGIONAL GOVERNMENT (KRG) MINISTRY OF PESHMERGA AFFAIRS (MOPA) IN ERBIL
Who is the contractor on this award?
The obligated recipient is ELEKS, INC.
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 $9.8 million.
What is the period of performance?
Start: 2025-07-23. End: 2028-03-24.
What is the specific justification for limiting competition on this significant IT contract?
The provided data states the contract is 'NOT AVAILABLE FOR COMPETITION,' but lacks the detailed justification typically required for sole-source or limited-source awards. Understanding the rationale, such as unique capabilities or urgent needs, is essential for assessing the necessity of this approach and its impact on value.
How does the $9.8M cost compare to similar enterprise HRMS deployments in challenging geopolitical regions?
Without specific benchmarks for comparable projects, it's difficult to definitively assess the cost-effectiveness. Factors like localization requirements, security protocols, and the specific functionalities needed for military HR in Iraq and Kurdistan could justify the price, but a lack of competitive bidding obscures potential savings.
What are the key performance indicators (KPIs) and success metrics for these HRMS implementations?
The contract details do not specify the KPIs or success metrics for the HRMS deployments. Establishing clear, measurable objectives related to efficiency gains, data accuracy, user adoption, and system uptime is critical for evaluating the effectiveness of the investment and ensuring accountability.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Custom Computer Programming Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: NOT AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 10091 PARK RUN DR STE 200, LAS VEGAS, NV, 89145
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Foreign-Owned and U.S.-Incorporated Business, Not Designated a Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $10,922,012
Exercised Options: $10,922,012
Current Obligation: $9,805,734
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Timeline
Start Date: 2025-07-23
Current End Date: 2028-03-24
Potential End Date: 2028-03-24 00:00:00
Last Modified: 2026-01-12
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