DoD's $866M Makalu Contract for SecureView Sustainment Awarded to Assured Information Security

Contract Overview

Contract Amount: $8,659,617 ($8.7M)

Contractor: Assured Information Security, Inc.

Awarding Agency: Department of Defense

Start Date: 2025-01-24

End Date: 2027-01-06

Contract Duration: 712 days

Daily Burn Rate: $12.2K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: MAINTENANCE AND OPERATIONS KEEPING VITAL TECHNOLOGY SECURE (MAKALU) FOR EVEREST WILL PROVIDE COMPREHENSIVE SECUREVIEW SUSTAINMENT IN SUPPORT OF OPERATIONAL SITES, TRAINING TO PERSONNEL, AND ONSITE ENGINEERING INPUT ACROSS THE DEPARTMENT OF DEFENSE

Place of Performance

Location: ROME, ONEIDA County, NEW YORK, 13441

State: New York Government Spending

Plain-Language Summary

Department of Defense obligated $8.7 million to ASSURED INFORMATION SECURITY, INC. for work described as: MAINTENANCE AND OPERATIONS KEEPING VITAL TECHNOLOGY SECURE (MAKALU) FOR EVEREST WILL PROVIDE COMPREHENSIVE SECUREVIEW SUSTAINMENT IN SUPPORT OF OPERATIONAL SITES, TRAINING TO PERSONNEL, AND ONSITE ENGINEERING INPUT ACROSS THE DEPARTMENT OF DEFENSE Key points: 1. This contract focuses on maintaining critical technology security for the Department of Defense. 2. Assured Information Security, Inc. is the sole awardee for this delivery order. 3. The contract value is substantial at $865,961,700, indicating significant investment in cybersecurity. 4. The primary sector is IT, specifically custom computer programming services.

Value Assessment

Rating: good

The contract is a Cost Plus Fixed Fee type, which can lead to cost overruns if not managed carefully. However, the fixed fee component provides some predictability. Benchmarking against similar IT sustainment contracts is difficult without more granular cost data.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. This method is generally expected to yield fair pricing, though the specific pricing structure (Cost Plus Fixed Fee) requires diligent oversight to ensure value.

Taxpayer Impact: Taxpayers benefit from a competitive process aimed at securing vital technology, but the Cost Plus Fixed Fee structure necessitates vigilance to prevent excessive spending.

Public Impact

Ensures the security of vital Department of Defense technology systems. Provides essential training and engineering support for operational sites. Supports the Department of the Air Force's technological infrastructure. Aims to maintain secure viewing capabilities across various operational environments.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee structure requires careful monitoring to control costs.
Sole awardee for a delivery order may warrant review of future competition strategies.
Contract duration of over 700 days necessitates ongoing performance evaluation.

Positive Signals

Awarded under full and open competition.
Addresses critical cybersecurity needs for the DoD.
Includes comprehensive sustainment and training components.

Sector Analysis

This contract falls within the Information Technology sector, specifically Custom Computer Programming Services. The spending benchmark for similar large-scale IT sustainment and cybersecurity contracts can vary widely based on scope and technology, but this award represents a significant investment in maintaining secure operational capabilities.

Small Business Impact

The data indicates that this contract was not awarded to a small business (sb: false). Therefore, there is no direct benefit to small businesses from this specific award, and opportunities for subcontracting would need to be assessed separately.

Oversight & Accountability

The contract's Cost Plus Fixed Fee nature suggests a need for robust oversight from the Department of Defense to ensure costs are reasonable and the fixed fee is justified. Regular performance reviews and audits will be crucial for accountability.

Related Government Programs

Custom Computer Programming Services
Department of Defense Contracting
Department of the Air Force Programs

Risk Flags

Cost Plus Fixed Fee structure
Long contract duration
Sole awardee for delivery order
No small business participation indicated

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $8.7 million to ASSURED INFORMATION SECURITY, INC.. MAINTENANCE AND OPERATIONS KEEPING VITAL TECHNOLOGY SECURE (MAKALU) FOR EVEREST WILL PROVIDE COMPREHENSIVE SECUREVIEW SUSTAINMENT IN SUPPORT OF OPERATIONAL SITES, TRAINING TO PERSONNEL, AND ONSITE ENGINEERING INPUT ACROSS THE DEPARTMENT OF DEFENSE

Who is the contractor on this award?

The obligated recipient is ASSURED INFORMATION SECURITY, 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 $8.7 million.

What is the period of performance?

Start: 2025-01-24. End: 2027-01-06.

What is the projected cost efficiency of the Cost Plus Fixed Fee structure for this sustainment contract?

The Cost Plus Fixed Fee (CPFF) structure aims to provide flexibility for evolving technical requirements while offering some cost control through a fixed fee. However, its efficiency is highly dependent on the contractor's cost management and the agency's oversight. Without detailed cost breakdowns and performance metrics, it's difficult to definitively assess cost efficiency. CPFF contracts can sometimes lead to cost overruns if the 'cost' portion is not rigorously managed and justified.

What are the primary risks associated with the 'MAINTENANCE AND OPERATIONS KEEPING VITAL TECHNOLOGY SECURE (MAKALU)' contract?

Key risks include potential cost overruns inherent in the Cost Plus Fixed Fee structure, which requires diligent oversight. There's also a risk of vendor lock-in if Assured Information Security, Inc. becomes indispensable for SecureView sustainment. Furthermore, the long duration of the contract (over 700 days) increases the risk of technological obsolescence or evolving threat landscapes outpacing the sustainment plan.

How effectively does this contract address the Department of Defense's cybersecurity needs?

The contract directly addresses critical cybersecurity needs by providing comprehensive sustainment for SecureView, including operational support, training, and engineering. The focus on keeping vital technology secure suggests a proactive approach to defense. However, the effectiveness will ultimately be measured by the actual reduction in vulnerabilities and the successful mitigation of cyber threats to DoD operations.

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: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 153 BROOKS RD, ROME, NY, 13441

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

Financial Breakdown

Contract Ceiling: $48,827,846

Exercised Options: $17,395,666

Current Obligation: $8,659,617

Subaward Activity

Number of Subawards: 4

Total Subaward Amount: $310,940

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: FA875025DB001

IDV Type: IDC

Timeline