Air Force awards $24.3M for Cybersecurity SME Support to Alaska Northstar Resources LLC

Contract Overview

Contract Amount: $24,331,775 ($24.3M)

Contractor: Alaska Northstar Resources LLC

Awarding Agency: Department of Defense

Start Date: 2022-03-23

End Date: 2025-11-27

Contract Duration: 1,345 days

Daily Burn Rate: $18.1K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: CYBERSECURITY SME SUPPORT TO BES

Place of Performance

Location: MONTGOMERY, MONTGOMERY County, ALABAMA, 36114

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $24.3 million to ALASKA NORTHSTAR RESOURCES LLC for work described as: CYBERSECURITY SME SUPPORT TO BES Key points: 1. Significant contract value for specialized cybersecurity expertise. 2. Sole-source award limits competitive pricing and innovation. 3. Long-term contract (2022-2025) indicates ongoing need. 4. Focus on computing infrastructure and data processing services.

Value Assessment

Rating: fair

The contract value of $24.3M over approximately 3 years is substantial. Without comparable contracts or detailed cost breakdowns, it's difficult to definitively assess pricing fairness. However, the sole-source nature raises concerns about potential overpricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning competition was not sought. This significantly limits price discovery and potentially leads to higher costs for taxpayers compared to a competitive procurement.

Taxpayer Impact: The sole-source award may result in higher costs for taxpayers due to the lack of competitive pressure to drive down prices.

Public Impact

Ensures critical cybersecurity support for Air Force operations. Potential for reduced competition impacts overall government IT spending efficiency. Long-term engagement could foster specialized expertise within the awarded firm.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source award
  • Lack of competition
  • Limited price transparency

Positive Signals

  • Essential cybersecurity services
  • Long-term support

Sector Analysis

This contract falls within the IT sector, specifically focusing on cybersecurity expertise for computing infrastructure and data processing. Spending in this area is critical for national security, but competitive procurements are generally preferred to ensure value.

Small Business Impact

The contract was awarded to Alaska Northstar Resources LLC, and there is no indication of subcontracting with small businesses. The sole-source nature likely precluded opportunities for small business participation.

Oversight & Accountability

The sole-source justification and approval process would be key oversight points. Transparency regarding the rationale for not competing this requirement is essential for accountability.

Related Government Programs

  • Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services
  • Department of Defense Contracting
  • Department of the Air Force Programs

Risk Flags

  • Sole-source award lacks competition.
  • Potential for overpricing.
  • Limited transparency on pricing justification.
  • No clear small business participation.

Tags

computing-infrastructure-providers-data-, department-of-defense, al, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $24.3 million to ALASKA NORTHSTAR RESOURCES LLC. CYBERSECURITY SME SUPPORT TO BES

Who is the contractor on this award?

The obligated recipient is ALASKA NORTHSTAR RESOURCES 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 $24.3 million.

What is the period of performance?

Start: 2022-03-23. End: 2025-11-27.

What is the specific cybersecurity expertise provided under this contract, and how does it align with current Air Force needs?

The contract specifies cybersecurity SME support for computing infrastructure, data processing, web hosting, and related services. This aligns with the Air Force's ongoing need to protect its digital assets, manage vast amounts of data, and maintain robust online presence. The expertise likely includes threat detection, vulnerability assessment, incident response, and security architecture design tailored to Air Force systems.

What are the risks associated with a sole-source cybersecurity contract of this magnitude?

The primary risk is inflated pricing due to the absence of competitive bidding, leading to inefficient use of taxpayer funds. Another risk is vendor lock-in, where the government becomes overly reliant on a single provider, potentially hindering innovation and flexibility. Furthermore, a sole-source award might miss out on potentially superior solutions or cost savings offered by other qualified vendors.

How effective is this contract in ensuring the Air Force's cybersecurity posture given its sole-source nature?

Effectiveness is difficult to gauge solely on the contract award. While the services are critical, the sole-source nature raises questions about whether the Air Force is receiving the best possible value and innovation. The true effectiveness will depend on the quality of services delivered by Alaska Northstar Resources LLC and the Air Force's internal oversight mechanisms to ensure mission requirements are met.

Industry Classification

NAICS: InformationComputing Infrastructure Providers, Data Processing, Web Hosting, and Related ServicesComputing Infrastructure Providers, Data Processing, Web Hosting, and Related Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONSIT AND TELECOM - APLLICATIONS

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 315 LINCOLN ST STE 300, SITKA, AK, 99835

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $24,388,235

Exercised Options: $24,388,235

Current Obligation: $24,331,775

Actual Outlays: $6,523,341

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA877121DG001

IDV Type: IDC

Timeline

Start Date: 2022-03-23

Current End Date: 2025-11-27

Potential End Date: 2025-11-27 00:00:00

Last Modified: 2025-11-02

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