DoD's $13.2M IT Services Contract Awarded to World Wide Technology LLC for Alabama Operations

Contract Overview

Contract Amount: $13,215,970 ($13.2M)

Contractor: World Wide Technology LLC

Awarding Agency: Department of Defense

Start Date: 2023-07-01

End Date: 2025-06-30

Contract Duration: 730 days

Daily Burn Rate: $18.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: BITI RECAP

Place of Performance

Location: MONTGOMERY, MONTGOMERY County, ALABAMA, 36114

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $13.2 million to WORLD WIDE TECHNOLOGY LLC for work described as: BITI RECAP Key points: 1. Contract awarded for IT services, indicating a need for specialized technical support. 2. The contract duration of 730 days suggests a medium-term engagement for service delivery. 3. Firm Fixed Price contract type aims to provide cost certainty for the government. 4. The award was made under full and open competition, suggesting a robust bidding process. 5. The specific NAICS code (541519) points to a focus on 'Other Computer Related Services'. 6. The contract is a delivery order, implying it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract.

Value Assessment

Rating: fair

Benchmarking the value of this $13.2 million contract requires more context on the specific services rendered and the duration. Without comparable contract data for 'Other Computer Related Services' within the Department of the Air Force, it's difficult to definitively assess value for money. The firm fixed price structure, however, offers some predictability in costs. Further analysis would involve comparing the proposed service rates against industry standards for similar IT support functions.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of 6 bids suggests a reasonable level of competition for this requirement. A competitive process generally leads to better price discovery and potentially more favorable terms for the government.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it encourages multiple vendors to offer their best pricing and solutions, potentially driving down costs and improving service quality.

Public Impact

The primary beneficiaries are likely the Department of the Air Force personnel in Alabama who will receive enhanced IT support. Services delivered are expected to include a range of computer-related support, potentially encompassing network management, system maintenance, and technical assistance. The geographic impact is concentrated in Alabama, supporting Air Force operations within the state. Workforce implications may include the direct employment of IT professionals by World Wide Technology LLC to fulfill the contract requirements.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific service details makes it hard to gauge true value.
Potential for vendor lock-in if this is a delivery order under a broader IDIQ.
Dependence on a single contractor for critical IT services can pose risks.

Positive Signals

Awarded through full and open competition, indicating a fair and transparent process.
Firm Fixed Price contract type provides cost certainty.
Multiple bids received suggest a competitive market for these services.

Sector Analysis

The Information Technology (IT) sector is a critical component of modern government operations. This contract falls under 'Other Computer Related Services,' a broad category that can encompass a wide array of IT support functions. The federal government is a significant consumer of IT services, with spending often driven by modernization efforts, cybersecurity needs, and operational support. Comparable spending benchmarks would typically involve analyzing IT service contracts across various agencies and for similar service scopes.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications or specific impacts on the small business ecosystem stemming from a set-aside provision. The primary focus of competition was likely on larger, established IT service providers.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the contracting officer's representative (COR) within the Department of the Air Force. Accountability measures are embedded in the firm fixed price contract terms and performance expectations. Transparency is facilitated through contract award databases, though detailed performance metrics are often internal. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

IT Professional Services
Information Technology Support Services
Computer Systems Design and Related Services
Defense IT Modernization Programs

Risk Flags

Potential for scope creep if not clearly defined in the parent IDIQ.
Reliance on contractor performance for critical IT functions.
Need for robust government oversight to ensure quality under FFP.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $13.2 million to WORLD WIDE TECHNOLOGY LLC. BITI RECAP

Who is the contractor on this award?

The obligated recipient is WORLD WIDE TECHNOLOGY 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 $13.2 million.

What is the period of performance?

Start: 2023-07-01. End: 2025-06-30.

What specific 'Other Computer Related Services' are included in this contract?

The provided data does not specify the exact 'Other Computer Related Services' covered under NAICS code 541519 for this particular contract. This code is broad and can include services such as IT support, network administration, system maintenance, disaster recovery, and consulting. To understand the precise scope, one would need to review the contract's statement of work (SOW) or performance work statement (PWS). These documents detail the deliverables, technical requirements, and performance standards expected from World Wide Technology LLC. Without the SOW, it's challenging to assess the value or risks associated with the specific services being procured.

How does the $13.2 million value compare to similar IT service contracts awarded by the Department of the Air Force?

Comparing the $13.2 million value requires access to a database of similar contracts awarded by the Department of the Air Force (DAF) for 'Other Computer Related Services' (NAICS 541519) over a comparable period and duration. Factors such as the specific services, geographic location, and level of support (e.g., 24/7 vs. standard business hours) significantly influence contract value. If this contract represents a delivery order under a larger IDIQ, its value should be considered in the context of the overall IDIQ ceiling. A preliminary assessment suggests it's a moderate-sized contract for IT support, but a definitive benchmark requires detailed comparative analysis of DAF's IT procurement history.

What is the track record of World Wide Technology LLC with the Department of Defense?

World Wide Technology LLC has a significant track record of contracting with the Department of Defense (DoD). As a major IT solutions provider, they frequently secure contracts across various branches of the military for a wide range of IT products and services. Their past performance with the DoD would typically be evaluated during the bidding process for new contracts. Information on their specific performance history, including past awards, contract values, and any reported issues or successes, can often be found in federal procurement databases like SAM.gov or through specialized contract analysis tools. A positive history with the DoD generally indicates a level of capability and reliability.

What are the potential risks associated with a Firm Fixed Price contract for IT services?

While Firm Fixed Price (FFP) contracts offer cost certainty, they can introduce risks for both the government and the contractor. For the government, the primary risk is that the contractor may cut corners on quality or service to maximize profit if the initial price was set too low or if unforeseen technical challenges arise. Conversely, if the price was set too high, the government may overpay. For the contractor, the risk lies in underestimating the effort required, leading to reduced profit margins or even losses, especially if the scope of work expands without a contract modification. Effective oversight is crucial to ensure the contractor meets all performance requirements despite the fixed price.

How does the 'delivery order' nature of this award impact its significance?

This contract being a 'delivery order' signifies that it is a task order issued under a pre-existing indefinite-delivery/indefinite-quantity (IDIQ) contract. IDIQs allow agencies to procure supplies or services from vendors over a set period, with specific quantities and prices defined by individual orders. The significance of this delivery order is that it represents a specific instance of work being assigned to World Wide Technology LLC within the framework of a larger, previously competed IDIQ contract. This approach streamlines procurement for recurring needs but means the overall value and scope are tied to the parent IDIQ contract, which may have been awarded years prior and competed more broadly.

Industry Classification

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

Product/Service Code: IT AND TELECOM - DATA CENTER

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: FA877223Q0005

Offers Received: 6

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1 WORLD WIDE WAY, SAINT LOUIS, MO, 63146

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

Financial Breakdown

Contract Ceiling: $13,215,970

Exercised Options: $13,215,970

Current Obligation: $13,215,970

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: NNG15SC55B

IDV Type: GWAC

Timeline