Deloitte & Touche LLP awarded $9.1M contract for Space Systems Command financial advisory services

Contract Overview

Contract Amount: $9,085,520 ($9.1M)

Contractor: Deloitte & Touche LLP

Awarding Agency: Department of Defense

Start Date: 2025-04-21

End Date: 2026-04-20

Contract Duration: 364 days

Daily Burn Rate: $25.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: SPACE SYSTEMS COMMAND (SSC) FINANCIAL IMPROVEMENT AND AUDIT READINESS (FIAR) PROVIDES ADVISORY AND ASSISTANCE SERVICES SUPPORT TO EXECUTE THE SSC FINANCIAL MANAGEMENT (FM) AND PROGRAM EXECUTIVE OFFICE (PEO) MISSION IN THE AREAS OF AUDIT AND VALUATION

Place of Performance

Location: EL SEGUNDO, LOS ANGELES County, CALIFORNIA, 90245

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $9.1 million to DELOITTE & TOUCHE LLP for work described as: SPACE SYSTEMS COMMAND (SSC) FINANCIAL IMPROVEMENT AND AUDIT READINESS (FIAR) PROVIDES ADVISORY AND ASSISTANCE SERVICES SUPPORT TO EXECUTE THE SSC FINANCIAL MANAGEMENT (FM) AND PROGRAM EXECUTIVE OFFICE (PEO) MISSION IN THE AREAS OF AUDIT AND VALUATION Key points: 1. Contract supports critical financial management and audit readiness for Space Systems Command. 2. Services are essential for ensuring fiscal accountability and program execution. 3. The contract is a firm-fixed-price delivery order, indicating defined scope and cost. 4. Full and open competition was utilized, suggesting a competitive bidding process. 5. The duration of one year allows for focused support on specific financial objectives. 6. This award falls under advisory and assistance services, a common support mechanism for government agencies.

Value Assessment

Rating: good

The contract value of $9.1 million for a one-year period for advisory and assistance services appears reasonable given the critical nature of financial management and audit readiness for a major command like Space Systems Command. Benchmarking against similar contracts for financial consulting and audit support for large federal agencies suggests this pricing is within expected ranges. The firm-fixed-price structure provides cost certainty for the government, although the specific value-for-money will depend on the quality and impact of the services delivered by Deloitte & Touche LLP.

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. While the number of bidders is not specified, this procurement method generally fosters a competitive environment, which can lead to better pricing and service offerings for the government. The use of full and open competition suggests that the agency sought to maximize its options and secure the best value through a broad solicitation.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it promotes a level playing field, encourages multiple vendors to offer competitive pricing, and increases the likelihood of obtaining high-quality services at a reasonable cost.

Public Impact

The primary beneficiaries are the Space Systems Command (SSC) and its Program Executive Office (PEO), who will receive enhanced financial management and audit readiness support. Services delivered include advisory and assistance to execute the SSC financial management mission. The geographic impact is primarily within the Department of Defense's space acquisition and support functions. Workforce implications include specialized support for government financial and program managers, potentially improving their efficiency and effectiveness.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if not managed tightly, given the advisory nature of the services.
Dependence on contractor expertise could create knowledge transfer challenges.
Ensuring consistent quality of advisory services throughout the contract period.

Positive Signals

Award to a well-established firm (Deloitte & Touche LLP) with a track record in government contracting.
Firm-fixed-price contract provides cost control and predictability.
Focus on audit readiness addresses a critical government requirement for financial accountability.

Sector Analysis

This contract falls within the professional services sector, specifically focusing on financial advisory and IT-related support for government audit readiness. The market for such services is substantial, with numerous large and small businesses competing for federal contracts. Comparable spending benchmarks for financial consulting and audit support services for defense agencies are typically in the millions of dollars annually, depending on the scope and complexity of the mission.

Small Business Impact

This contract does not appear to have a small business set-aside component, as indicated by 'ss': false and 'sb': false. The prime contractor, Deloitte & Touche LLP, is a large business. There is no explicit information regarding subcontracting plans for small businesses within the provided data. The impact on the small business ecosystem is therefore likely minimal unless the prime contractor voluntarily engages small businesses for specialized support.

Oversight & Accountability

Oversight will likely be managed by the Space Systems Command contracting officer and technical representatives, who will monitor performance against the contract requirements and deliverables. Accountability measures are inherent in the firm-fixed-price contract, tying payment to successful service delivery. Transparency is generally maintained through contract award databases and reporting requirements, though specific internal oversight processes are not detailed here. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Defense Contract Audit Agency (DCAA) services
Financial Improvement and Audit Readiness (FIAR) initiatives
Department of Defense Financial Management
Space Force Acquisition Support
Government Consulting Services

Risk Flags

Potential for contractor performance issues impacting audit readiness timelines.
Risk of insufficient knowledge transfer from contractor to government personnel.
Ensuring the firm-fixed-price contract accurately reflects the required scope of work.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $9.1 million to DELOITTE & TOUCHE LLP. SPACE SYSTEMS COMMAND (SSC) FINANCIAL IMPROVEMENT AND AUDIT READINESS (FIAR) PROVIDES ADVISORY AND ASSISTANCE SERVICES SUPPORT TO EXECUTE THE SSC FINANCIAL MANAGEMENT (FM) AND PROGRAM EXECUTIVE OFFICE (PEO) MISSION IN THE AREAS OF AUDIT AND VALUATION

Who is the contractor on this award?

The obligated recipient is DELOITTE & TOUCHE LLP.

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 $9.1 million.

What is the period of performance?

Start: 2025-04-21. End: 2026-04-20.

What is Deloitte & Touche LLP's track record with similar federal financial advisory contracts?

Deloitte & Touche LLP is a major professional services firm with extensive experience in providing audit, consulting, tax, and advisory services to government agencies, including the Department of Defense. They have a significant history of securing and performing on large federal contracts related to financial management, audit readiness, and IT modernization. Their track record typically involves supporting complex financial systems, implementing audit remediation plans, and advising on financial policy. Specific performance details for past contracts would require deeper database analysis, but their general reputation and market presence indicate a strong capability in this domain.

How does the $9.1 million contract value compare to other federal financial advisory contracts of similar scope?

The $9.1 million contract value for a one-year period of advisory and assistance services for financial management and audit readiness is within the expected range for supporting a major command like Space Systems Command. Similar contracts awarded to large professional services firms for comparable tasks within the Department of Defense often range from several million to tens of millions of dollars annually, depending on the complexity, duration, and specific deliverables. Factors such as the number of personnel required, the level of expertise, and the scope of systems involved influence the overall cost. This award appears to be a standard-sized contract for the services described.

What are the primary risks associated with this contract, and how are they mitigated?

Key risks include potential underperformance by the contractor, leading to delays in achieving audit readiness goals, and the risk of cost overruns if the firm-fixed-price contract is not managed effectively. Another risk is the potential for knowledge transfer gaps if contractor personnel leave. Mitigation strategies typically involve robust contract oversight by the government, clear performance metrics and deliverables, regular progress reviews, and potentially requiring key personnel clauses or knowledge transfer plans. The firm-fixed-price nature itself helps mitigate cost overrun risks for the government, provided the scope is well-defined.

How effective is the 'full and open competition' approach in ensuring value for taxpayers in this context?

Full and open competition is generally considered the most effective method for ensuring value for taxpayers in federal contracting. It allows a broad range of qualified vendors to compete, driving down prices through market forces and encouraging innovation. For complex advisory services like financial management and audit readiness, this approach increases the likelihood that the government will select a contractor offering the best combination of technical expertise, experience, and cost-effectiveness. While it requires more upfront effort in solicitation and evaluation, the long-term benefits in terms of price and quality typically outweigh these initial costs.

What is the historical spending pattern for financial advisory services at Space Systems Command or similar entities?

Historical spending on financial advisory and audit readiness services for entities like Space Systems Command has generally been significant and often increasing, driven by legislative mandates and the complexity of defense financial systems. Agencies frequently engage contractors to assist with the demanding requirements of financial improvement and audit readiness (FIAR) initiatives. Spending patterns can fluctuate based on specific audit cycles, system upgrades, and evolving regulatory requirements. While precise historical data for SSC is not provided, the consistent need for such support across the DoD suggests a sustained level of investment in this area.

Industry Classification

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

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Deloitte Financial Advisory Services LLP

Address: 1919 N LYNN ST, ARLINGTON, VA, 22209

Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $12,103,195

Exercised Options: $9,330,523

Current Obligation: $9,085,520

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00F029DA

IDV Type: FSS

Timeline