GSA Awards Booz Allen Hamilton $56.5M for JIEDDO IT Operations and Maintenance

Contract Overview

Contract Amount: $56,531,732 ($56.5M)

Contractor: Booz Allen Hamilton Inc

Awarding Agency: General Services Administration

Start Date: 2015-01-21

End Date: 2017-04-04

Contract Duration: 804 days

Daily Burn Rate: $70.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS AWARD FEE

Sector: IT

Official Description: ''IGF::OT::IGF'', THIS ACTION AWARDS GSQ0015AJ0026 TO BOOZ ALLEN HAMILTON, INC. (BAH) TO PROVIDE ENTERPRISE INFORMATION TECHNOLOGY (IT) OPERATIONS AND MAINTENANCE (O&M) SUPPORT SERVICES TO THE JOINT IMPROVISED EXPLOSIVE DEVICE (IED) DEFEAT ORGANIZATION (JIEDDO).

Place of Performance

Location: MCLEAN, FAIRFAX County, VIRGINIA, 22102

State: Virginia Government Spending

Plain-Language Summary

General Services Administration obligated $56.5 million to BOOZ ALLEN HAMILTON INC for work described as: ''IGF::OT::IGF'', THIS ACTION AWARDS GSQ0015AJ0026 TO BOOZ ALLEN HAMILTON, INC. (BAH) TO PROVIDE ENTERPRISE INFORMATION TECHNOLOGY (IT) OPERATIONS AND MAINTENANCE (O&M) SUPPORT SERVICES TO THE JOINT IMPROVISED EXPLOSIVE DEVICE (IED) DEFEAT ORGANIZATION (JIEDDO). Key points: 1. Contract awarded to Booz Allen Hamilton for IT O&M support to JIEDDO. 2. Significant value of $56.5M over approximately 2.7 years. 3. Competition type is 'Full and Open', suggesting broad market participation. 4. Sector is IT services, specifically custom computer programming. 5. Award is a Delivery Order under an existing GSA schedule.

Value Assessment

Rating: fair

The contract type is Cost Plus Award Fee (CPAF), which can lead to higher costs if not managed carefully. Benchmarking against similar IT O&M contracts is difficult without more detailed service descriptions and performance metrics.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing, but the specific pricing outcomes depend on the number and quality of bids received.

Taxpayer Impact: Taxpayer funds are being used for essential IT support services for a critical defense organization. The competitive award process aims to ensure value for money.

Public Impact

Ensures continued IT operations for the Joint IED Defeat Organization. Supports critical national security functions related to counter-IED efforts. Provides employment opportunities within the IT services sector. Funds are allocated through a GSA schedule, a common government procurement vehicle.

Waste & Efficiency Indicators

Waste Risk Score: 70 / 10

Warning Flags

Cost Plus Award Fee (CPAF) contract type can incentivize cost overruns.
Limited detail on performance metrics and how award fees are determined.
Potential for vendor lock-in if services are highly specialized.

Positive Signals

Awarded under full and open competition.
Supports a critical national security mission.
Utilizes an existing GSA schedule, streamlining procurement.

Sector Analysis

This contract falls within the Information Technology (IT) sector, specifically custom computer programming services. IT services represent a significant portion of federal spending, with O&M contracts being a common and recurring need for agencies.

Small Business Impact

While this contract was awarded under full and open competition, there is no indication that small businesses were specifically targeted or subcontracted. The prime contractor, Booz Allen Hamilton, is a large business.

Oversight & Accountability

As a Delivery Order under a GSA schedule, oversight is typically managed by the contracting officer at GSA and the program office at JIEDDO. The CPAF structure requires robust performance monitoring to ensure fair award fees.

Related Government Programs

Custom Computer Programming Services
General Services Administration Contracting
Federal Acquisition Service Programs

Risk Flags

Potential for cost overruns due to CPAF structure.
Lack of transparency in award fee determination.
Dependency on a single large contractor for critical IT functions.
Limited information on specific performance outcomes and value achieved.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $56.5 million to BOOZ ALLEN HAMILTON INC. ''IGF::OT::IGF'', THIS ACTION AWARDS GSQ0015AJ0026 TO BOOZ ALLEN HAMILTON, INC. (BAH) TO PROVIDE ENTERPRISE INFORMATION TECHNOLOGY (IT) OPERATIONS AND MAINTENANCE (O&M) SUPPORT SERVICES TO THE JOINT IMPROVISED EXPLOSIVE DEVICE (IED) DEFEAT ORGANIZATION (JIEDDO).

Who is the contractor on this award?

The obligated recipient is BOOZ ALLEN HAMILTON INC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $56.5 million.

What is the period of performance?

Start: 2015-01-21. End: 2017-04-04.

What specific performance metrics are used to determine the award fee for Booz Allen Hamilton, and how do these align with JIEDDO's mission objectives?

The effectiveness of the award fee structure hinges on clearly defined, measurable performance metrics directly tied to JIEDDO's operational needs. Without insight into these metrics, it's difficult to assess if the government is truly incentivizing the desired outcomes and achieving optimal value for the taxpayer. A transparent and objective system is crucial for CPAF contracts.

How does the cost of this contract compare to industry benchmarks for similar IT Operations and Maintenance services, considering the CPAF structure?

Benchmarking CPAF contracts is complex due to the variable award fee component. While the base cost can be compared, the final cost is unknown until contract completion. A thorough analysis would require comparing the proposed labor rates, overheads, and fee structure against similar government and commercial contracts, adjusted for scope and complexity.

What is the long-term strategy for JIEDDO's IT O&M support, and does this contract represent a sustainable solution or a short-term fix?

The duration of this contract (approx. 2.7 years) suggests it's a significant, but not indefinite, commitment. Understanding JIEDDO's future IT modernization plans and whether this contract aligns with or potentially hinders those plans is important. Evaluating if the services provided are building internal capabilities or creating long-term dependency is key to assessing effectiveness.

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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Parent Company: Booz Allen Hamilton Holding Corporation

Address: 8283 GREENSBORO DR, MCLEAN, VA, 22102

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

Financial Breakdown

Contract Ceiling: $64,942,176

Exercised Options: $64,942,176

Current Obligation: $56,531,732

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00T11AJC0004

IDV Type: IDC

Timeline