Air Force Awards $7.2M IT Services Contract to DNI Emerging Technologies, LLC

Contract Overview

Contract Amount: $7,211,104 ($7.2M)

Contractor: DNI Emerging Technologies, LLC

Awarding Agency: Department of Defense

Start Date: 2024-11-01

End Date: 2026-10-31

Contract Duration: 729 days

Daily Burn Rate: $9.9K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: INFORMATION TECHNOLOGY (IT) SERVICES FOR AFRL/RI

Place of Performance

Location: ROME, ONEIDA County, NEW YORK, 13441

State: New York Government Spending

Plain-Language Summary

Department of Defense obligated $7.2 million to DNI EMERGING TECHNOLOGIES, LLC for work described as: INFORMATION TECHNOLOGY (IT) SERVICES FOR AFRL/RI Key points: 1. Contract awarded for Computer Systems Design Services to support AFRL/RI. 2. The contract is a Firm Fixed Price award with a duration of 729 days. 3. Competition was limited, with the contract type noted as 'NOT AVAILABLE FOR COMPETITION'. 4. The total award amount is $7,211,103.51. 5. The contract is managed by the Department of the Air Force.

Value Assessment

Rating: fair

The contract value of $7.2M for 729 days appears reasonable for specialized IT services. However, without specific deliverables or comparable contract data, a precise pricing assessment is difficult. The fixed-price nature suggests a defined scope.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not available for competition, indicating a limited procurement approach. This method may restrict price discovery and potentially lead to higher costs compared to a fully competitive process. The specific reasons for the limited competition are not detailed.

Taxpayer Impact: The limited competition raises concerns about maximizing taxpayer value. Without competitive bidding, there's a risk that the price may not reflect the most cost-effective solution available in the market.

Public Impact

Taxpayer funds are being used for IT services supporting Air Force Research Laboratory. The contract duration extends into late 2026, indicating a medium-term commitment. The specific IT services provided are crucial for AFRL/RI operations. The lack of competition limits public visibility into the justification for vendor selection.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition
Lack of detailed justification for sole-source/limited award
Potential for non-optimal pricing due to limited competition

Positive Signals

Firm Fixed Price contract type
Clear awardee and agency
Defined contract duration

Sector Analysis

This contract falls within the IT services sector, specifically Computer Systems Design Services. Spending in this area is substantial across the federal government, with significant investments in research and development support for agencies like the Air Force.

Small Business Impact

The contract was awarded to DNI Emerging Technologies, LLC, and there is no indication that small businesses were involved as prime contractors or subcontractors in this specific award. Further analysis would be needed to determine if small business goals were considered.

Oversight & Accountability

Oversight will be crucial to ensure the contractor delivers the specified IT services effectively and within budget. The Department of the Air Force is responsible for monitoring performance and compliance. The limited competition aspect warrants closer scrutiny.

Related Government Programs

Computer Systems Design Services
Department of Defense Contracting
Department of the Air Force Programs

Risk Flags

Limited competition may result in higher costs.
Lack of transparency regarding the justification for limited competition.
Potential for vendor lock-in due to limited competition.
Need for robust performance monitoring to ensure value for money.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $7.2 million to DNI EMERGING TECHNOLOGIES, LLC. INFORMATION TECHNOLOGY (IT) SERVICES FOR AFRL/RI

Who is the contractor on this award?

The obligated recipient is DNI EMERGING TECHNOLOGIES, 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 $7.2 million.

What is the period of performance?

Start: 2024-11-01. End: 2026-10-31.

What specific IT services are included under this contract, and how do they align with AFRL/RI's mission objectives?

The contract is for 'Computer Systems Design Services' (NAICS 541512) supporting AFRL/RI. These services likely encompass the design, development, integration, and maintenance of complex computer systems and networks essential for research and development activities. The alignment with mission objectives would depend on the specific projects and technological needs of AFRL/RI, which are not detailed in the provided data.

What is the justification for awarding this contract on a limited competition basis, and what steps were taken to ensure fair and reasonable pricing?

The data states the contract was 'NOT AVAILABLE FOR COMPETITION,' implying a limited or sole-source award. The specific justification (e.g., unique capabilities, urgency, proprietary technology) is not provided. Without this justification, it's difficult to assess the fairness of the pricing. Standard procedures for limited competition typically involve market research and negotiation to ensure a reasonable price, but the effectiveness of these measures is unknown here.

How will the effectiveness and value of these IT services be measured throughout the contract period?

Effectiveness and value are typically measured through performance metrics, milestones, and deliverables outlined in the contract's Statement of Work (SOW). For IT services, this could include system uptime, response times, successful project completion, and adherence to technical specifications. The contracting officer's representative (COR) is responsible for monitoring performance against these metrics and ensuring the services provide the intended value to AFRL/RI.

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: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2000 N CLASSEN BLVD STE 1650, OKLAHOMA CITY, OK, 73106

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Tax Exempt, Limited Liability Corporation, 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: $39,443,518

Exercised Options: $12,135,387

Current Obligation: $7,211,104

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: YES

Timeline