Leidos Inc. awarded $21.7M for metrology systems support by GSA, highlighting engineering services

Contract Overview

Contract Amount: $21,748,448 ($21.7M)

Contractor: Leidos, Inc.

Awarding Agency: General Services Administration

Start Date: 2015-01-12

End Date: 2019-07-11

Contract Duration: 1,641 days

Daily Burn Rate: $13.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: IGF::OT::IGF RPTIS TO19 METROLOGY SYSTEMS SUPPORT

Place of Performance

Location: ABERDEEN PROVING GROUND, HARFORD County, MARYLAND, 21005

State: Maryland Government Spending

Plain-Language Summary

General Services Administration obligated $21.7 million to LEIDOS, INC. for work described as: IGF::OT::IGF RPTIS TO19 METROLOGY SYSTEMS SUPPORT Key points: 1. Contract value represents a significant investment in specialized engineering services. 2. The full and open competition suggests a competitive bidding process. 3. Duration of the contract indicates a long-term need for these services. 4. The use of Time and Materials pricing may introduce cost variability. 5. This contract falls within the broader category of engineering services for federal agencies. 6. The award to a single contractor, Leidos, Inc., warrants examination of performance and pricing.

Value Assessment

Rating: fair

The contract's value of over $21 million for metrology systems support over approximately four years appears within a reasonable range for specialized engineering services. However, without specific benchmarks for metrology systems support contracts or detailed cost breakdowns, a definitive value-for-money assessment is challenging. The Time and Materials pricing structure, while flexible, can lead to cost overruns if not closely managed, potentially impacting the overall value. Comparing this to similar contracts for metrology or specialized engineering services would provide better context.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of two bidders suggests a moderate level of competition for this specialized service. While two bidders are better than one, a higher number of bidders typically leads to more robust price discovery and potentially lower prices for the government.

Taxpayer Impact: A competitive bidding process, even with two bidders, generally benefits taxpayers by encouraging more favorable pricing and service offerings compared to sole-source or limited competition scenarios.

Public Impact

The General Services Administration (GSA) benefits from enhanced metrology systems support, crucial for its operations. Federal agencies relying on accurate measurements and calibration will indirectly benefit from the services provided. The contract supports specialized engineering expertise within the private sector. The primary geographic impact is likely within Maryland, where the contract is managed.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost escalation due to Time and Materials pricing structure.
  • Limited competition with only two bidders could impact optimal price discovery.
  • Lack of specific performance metrics in the provided data makes outcome assessment difficult.

Positive Signals

  • Awarded through full and open competition, suggesting a fair process.
  • Long contract duration indicates a sustained need and potential for stable service delivery.
  • Contractor, Leidos, Inc., is a well-established entity in government contracting.

Sector Analysis

This contract falls within the Engineering Services sector, specifically focusing on metrology systems. Metrology, the science of measurement, is critical for ensuring accuracy and standardization across various federal operations, from scientific research to equipment calibration. The market for such specialized engineering services is often characterized by a limited number of highly qualified firms. Benchmarking this contract's value against other federal engineering service contracts of similar scope and duration would provide further insight into its market positioning.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses, nor does it explicitly mention subcontracting requirements for small businesses. Therefore, the direct impact on the small business ecosystem appears minimal based on this information. Further investigation into subcontracting plans would be needed to fully assess any indirect effects.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officers and program managers within the General Services Administration's Federal Acquisition Service. Accountability measures would be defined in the contract terms and conditions, including performance standards and reporting requirements. Transparency is generally facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

  • Metrology Support Services
  • Engineering and Technical Services
  • Calibration and Measurement Services
  • Federal IT and Engineering Contracts

Risk Flags

  • Potential for cost overruns due to Time and Materials pricing.
  • Limited competition may have impacted price discovery.
  • Lack of detailed scope of work in summary data.

Tags

engineering-services, general-services-administration, metrology, leidos-inc, time-and-materials, full-and-open-competition, delivery-order, maryland, federal-acquisition-service, contract-value-over-10m, contract-duration-over-1000-days

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $21.7 million to LEIDOS, INC.. IGF::OT::IGF RPTIS TO19 METROLOGY SYSTEMS SUPPORT

Who is the contractor on this award?

The obligated recipient is LEIDOS, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $21.7 million.

What is the period of performance?

Start: 2015-01-12. End: 2019-07-11.

What is the historical spending pattern for metrology systems support by the GSA or similar agencies?

Analyzing historical spending for metrology systems support by the GSA and comparable agencies is crucial for contextualizing the $21.7 million award to Leidos, Inc. Without specific historical data, it's difficult to determine if this represents an increase, decrease, or stable level of investment. Agencies often have fluctuating needs for specialized support based on equipment lifecycles, technological advancements, and budget allocations. A trend analysis of past contracts for similar services would reveal whether this award is an outlier or part of a consistent procurement strategy. For instance, if previous contracts were significantly smaller or awarded more frequently, it might indicate a shift in service requirements or market pricing. Conversely, if similar large-value contracts have been awarded consistently, it suggests a sustained and significant demand for these specialized metrology services within the federal government.

How does the performance of Leidos, Inc. on previous government contracts compare to industry standards?

Assessing Leidos, Inc.'s past performance is vital for understanding the reliability and quality of services expected under this $21.7 million contract. Government agencies typically maintain performance records and ratings for contractors based on factors like on-time delivery, quality of work, cost control, and adherence to contract terms. Reviewing these past performance evaluations, particularly on contracts of similar size and scope (e.g., engineering services, metrology support), can provide significant insight. If Leidos has a history of high ratings and successful contract completions, it suggests a lower risk for this current award. Conversely, a pattern of poor performance, disputes, or contract terminations would raise concerns about their ability to meet the current contract's objectives effectively and efficiently. Benchmarking their performance against industry averages for similar services would further illuminate their standing.

What are the specific metrology systems and services covered under this contract?

The provided data identifies the contract as being for 'METROLOGY SYSTEMS SUPPORT' but lacks granular detail on the specific systems and services involved. Metrology encompasses a wide range of activities, including calibration, measurement, testing, and the development/maintenance of measurement standards and equipment. This contract could involve supporting highly specialized scientific instruments, ensuring the accuracy of measurement devices used in manufacturing or research, or providing expertise in establishing and maintaining national measurement standards. Understanding the precise nature of these systems and services is critical for evaluating the contract's technical complexity, the required expertise of the contractor, and its overall importance to the agency's mission. Without this specificity, it's challenging to benchmark costs accurately or assess potential risks associated with the technology or operational requirements.

What is the potential impact of the Time and Materials (T&M) pricing structure on the final cost?

The Time and Materials (T&M) pricing structure used for this $21.7 million contract introduces a degree of uncertainty regarding the final cost. Under T&M, the government pays the contractor for the actual labor hours expended at pre-negotiated hourly rates, plus the cost of materials used. While T&M offers flexibility, especially when the scope of work is not fully defined at the outset, it also carries a higher risk of cost overruns if work hours or material usage exceed initial estimates. Effective oversight, including close monitoring of labor hours, justification for materials, and comparison against established benchmarks, is crucial to mitigate this risk. The government must ensure that the contractor exercises due diligence in managing resources efficiently to prevent costs from escalating beyond what would be considered reasonable for the services rendered.

How does the $21.7 million contract value compare to the total federal spending on engineering services?

The $21.7 million awarded to Leidos, Inc. for metrology systems support represents a specific investment within the broader federal spending on engineering services. Federal agencies procure a vast array of engineering services annually, encompassing disciplines from civil and mechanical to electrical and aerospace engineering. While this contract is substantial for its niche, it is likely a small fraction of the total federal expenditure on engineering services, which can run into billions of dollars each year across departments like Defense, Transportation, and Energy. To contextualize this award, one would need to compare it against aggregated spending data for NAICS code 541330 (Engineering Services) or similar categories. This comparison would help determine if the GSA's spending on metrology support is proportionate to its overall engineering service needs and how it aligns with national trends in federal engineering procurement.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering 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

Solicitation ID: ID07140040

Offers Received: 2

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Leidos Holdings, Inc.

Address: 1710 SAIC 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: $46,004,506

Exercised Options: $40,406,547

Current Obligation: $21,748,448

Subaward Activity

Number of Subawards: 41

Total Subaward Amount: $9,134,828

Contract Characteristics

Commercial Item: SUPPLIES OR SERVICES PURSUANT TO FAR 12.102(F)

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS07T12BGD0013

IDV Type: IDC

Timeline

Start Date: 2015-01-12

Current End Date: 2019-07-11

Potential End Date: 2020-01-11 00:00:00

Last Modified: 2022-04-02

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