GSA's $13.4M IT support contract to Leidos, Inc. spanned 5 years, covering diverse information management needs
Contract Overview
Contract Amount: $13,388,861 ($13.4M)
Contractor: Leidos, Inc.
Awarding Agency: General Services Administration
Start Date: 2005-10-01
End Date: 2010-06-04
Contract Duration: 1,707 days
Daily Burn Rate: $7.8K/day
Number of Offers Received: 1
Pricing Type: LABOR HOURS
Sector: IT
Official Description: 4.1 INFORMATION MANAGEMENT (IM) 4.1.2 INFORMATION ASSURANCE/SECURITY SUPPORT 4.1.3 SOFTWARE AND APPLICATIONS SUPPORT 4.1.4 ENTERPRISE SYSTEMS SUPPORT 4.1.5 ELECTRONICS AND RADIO TELECOMMUNICATIONS SUPPORT 4.1.6 VOICE COMMUNICATIONS SUPPORT 4.1.7 HELP DESK MANAGEMENT SUPPORT 4.1.8 IM FINANCIAL DATA ANALYSIS SUPPORT
Place of Performance
Location: VICKSBURG, WARREN County, MISSISSIPPI, 39183
Plain-Language Summary
General Services Administration obligated $13.4 million to LEIDOS, INC. for work described as: 4.1 INFORMATION MANAGEMENT (IM) 4.1.2 INFORMATION ASSURANCE/SECURITY SUPPORT 4.1.3 SOFTWARE AND APPLICATIONS SUPPORT 4.1.4 ENTERPRISE SYSTEMS SUPPORT 4.1.5 ELECTRONICS AND RADIO TELECOMMUNICATIONS SUPPORT 4.1.6 VOICE COMMUNICATIONS SUPPORT 4.1.7 HELP DESK MANAGEMENT SUPPORT… Key points: 1. The contract provided a broad range of IT services, including information assurance, software support, and help desk management. 2. Spanning over five years, the contract's duration allowed for sustained support and potential for deep institutional knowledge. 3. The use of labor hours pricing indicates a focus on personnel time rather than fixed deliverables, which can be flexible but requires careful monitoring. 4. The contract was awarded as a delivery order, suggesting it was part of a larger indefinite-delivery/indefinite-quantity (IDIQ) vehicle. 5. While specific performance metrics are not detailed, the breadth of services implies a significant operational impact on supported agencies. 6. The contract's value, while substantial, needs to be benchmarked against similar IT support contracts to fully assess value for money.
Value Assessment
Rating: fair
Benchmarking this contract's value is challenging without knowing the specific IDIQ vehicle it was part of and the exact services rendered. The $13.4 million over five years averages to approximately $2.68 million annually. This figure needs comparison against similar IT support contracts awarded by GSA or other agencies during the 2005-2010 period to determine if the pricing was competitive. The labor hours pricing model, while flexible, can sometimes lead to higher costs if not managed efficiently, making a direct value assessment difficult without detailed performance and cost data.
Cost Per Unit: N/A
Competition Analysis
Competition Level: unknown
The provided data does not specify the competition level for this particular delivery order. It is possible it was competed under a broader IDIQ contract, or it could have been a sole-source award. Without details on the solicitation process, number of bidders, or the type of IDIQ vehicle, it's impossible to assess the extent of competition and its impact on price discovery.
Taxpayer Impact: The level of competition directly impacts taxpayer value. Robust competition typically drives down prices and encourages innovation, leading to better value. Limited or no competition can result in higher costs for taxpayers.
Public Impact
Federal agencies requiring comprehensive IT support, including information assurance, software, and telecommunications, benefited from these services. The contract supported the operational continuity and efficiency of various government IT systems and infrastructure. Services were likely delivered across multiple locations where GSA's Federal Acquisition Service operated. The contract supported a workforce of IT professionals employed by Leidos, Inc., contributing to the federal IT labor market.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of detailed performance metrics makes it difficult to assess the contractor's effectiveness and efficiency.
- The labor hours pricing model can be susceptible to cost overruns if not rigorously managed and monitored.
- Information on the specific agencies or programs supported is not provided, limiting the understanding of the contract's precise impact.
- The competition details are missing, preventing an assessment of whether taxpayers received the best possible value.
Positive Signals
- The contract covered a wide array of critical IT support functions, indicating a comprehensive service offering.
- The five-year duration suggests a stable, long-term relationship, potentially fostering expertise and efficiency.
- Awarded to a well-established contractor (Leidos, Inc.), implying a level of trust and proven capability.
- The contract was part of GSA's Federal Acquisition Service, which typically adheres to established procurement processes.
Sector Analysis
This contract falls within the Information Technology (IT) sector, specifically focusing on IT services and support. The market for federal IT services is vast and highly competitive, encompassing areas like cybersecurity, software development, network management, and help desk support. GSA's role as an aggregator for government-wide IT procurement means contracts like this are common. Benchmarking would involve comparing its scope and value against other IT support contracts awarded by GSA and other agencies during the mid-2000s, considering factors like service breadth, duration, and pricing models.
Small Business Impact
The data indicates that small business participation (sb) was false, and there was no specific small business set-aside (ss) for this contract. This suggests that the contract was likely awarded to a large business prime contractor, Leidos, Inc. There is no information provided regarding subcontracting plans or actual subcontracting to small businesses. Therefore, the direct impact on the small business ecosystem appears minimal for this specific prime contract, though Leidos may engage small businesses in its broader operations.
Oversight & Accountability
Oversight for this contract would primarily fall under the purview of the General Services Administration (GSA), specifically its Federal Acquisition Service. As a delivery order under a larger IDIQ, oversight mechanisms would likely include contract performance reviews, financial audits, and adherence to the terms and conditions of the base IDIQ contract. Transparency is generally facilitated through GSA's contract reporting systems, though specific details of this delivery order's oversight are not explicitly provided. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.
Related Government Programs
- GSA IT Schedule 70 (now IT Professional Services)
- Defense Information Systems Agency (DISA) IT Support Contracts
- Chief Information Officer (CIO) Support Services
- Cybersecurity Support Services
- Enterprise Resource Planning (ERP) System Support
Risk Flags
- Lack of competition details
- Limited performance metrics provided
- Labor hours pricing model requires close oversight
- No explicit small business participation data
Tags
it-services, information-management, it-support, cybersecurity, software-support, telecommunications, help-desk, gsa, federal-acquisition-service, labor-hours, delivery-order, leidos-inc
Frequently Asked Questions
What is this federal contract paying for?
General Services Administration awarded $13.4 million to LEIDOS, INC.. 4.1 INFORMATION MANAGEMENT (IM) 4.1.2 INFORMATION ASSURANCE/SECURITY SUPPORT 4.1.3 SOFTWARE AND APPLICATIONS SUPPORT 4.1.4 ENTERPRISE SYSTEMS SUPPORT 4.1.5 ELECTRONICS AND RADIO TELECOMMUNICATIONS SUPPORT 4.1.6 VOICE COMMUNICATIONS SUPPORT 4.1.7 HELP DESK MANAGEMENT SUPPORT 4.1.8 IM FINANCIAL DATA ANALYSIS 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 $13.4 million.
What is the period of performance?
Start: 2005-10-01. End: 2010-06-04.
What was the specific nature of the 'INFORMATION MANAGEMENT (IM)' services provided under this contract?
The contract encompassed a broad spectrum of Information Management (IM) services, categorized under several sub-headings. These included 'INFORMATION ASSURANCE/SECURITY SUPPORT,' indicating efforts to protect government information systems and data from unauthorized access, use, disclosure, disruption, modification, or destruction. 'SOFTWARE AND APPLICATIONS SUPPORT' suggests maintenance, updates, and potentially development assistance for various software programs. 'ENTERPRISE SYSTEMS SUPPORT' implies assistance with large-scale IT systems that integrate various business functions. 'ELECTRONICS AND RADIO TELECOMMUNICATIONS SUPPORT' and 'VOICE COMMUNICATIONS SUPPORT' point to services related to communication infrastructure. Finally, 'HELP DESK MANAGEMENT SUPPORT' and 'IM FINANCIAL DATA ANALYSIS SUPPORT' indicate end-user support and data analysis capabilities, respectively. This comprehensive scope suggests the contract aimed to provide end-to-end IT support for various operational needs.
How does the $13.4 million contract value compare to similar IT support contracts awarded by GSA during the 2005-2010 period?
Comparing the $13.4 million contract value requires context regarding the specific services rendered and the duration. Averaging approximately $2.68 million per year, this falls within a common range for IT support contracts of moderate scope during that era. GSA's IT Schedule 70 (now IT Professional Services) featured numerous contracts for similar services, with values varying significantly based on the scope, complexity, and number of labor hours estimated. Larger, more complex enterprise-wide system integrations or cybersecurity initiatives could command tens or hundreds of millions over similar periods. Conversely, smaller, more focused support tasks might be valued in the hundreds of thousands. Without a precise breakdown of labor categories, hours, and specific deliverables, a definitive benchmark is difficult, but the value appears consistent with a substantial, multi-faceted IT support engagement.
What are the potential risks associated with a 'LABOR HOURS' contract type for IT support services?
The primary risk with a 'LABOR HOURS' contract type, especially for IT support, is the potential for cost overruns if not managed diligently. Unlike fixed-price contracts, where the contractor bears the risk of cost increases, labor hour contracts shift much of that risk to the government. The government pays for the actual time spent by contractor personnel at pre-negotiated hourly rates. This necessitates robust oversight to ensure that hours are reasonable, necessary, and efficiently utilized. Potential issues include scope creep where tasks expand without formal modification, inefficient work practices, and difficulty in accurately forecasting final costs. To mitigate these risks, agencies must implement strong project management, track labor hours meticulously, and establish clear performance expectations and deliverables tied to the labor effort.
What does the contract's duration of over 1700 days (approx. 4.6 years) imply for service continuity and contractor performance?
A contract duration of approximately 4.6 years, as indicated by 1707 days, suggests a significant commitment to service continuity and allows for the development of deep institutional knowledge by the contractor. This extended period enables the contractor, Leidos, Inc., to gain a thorough understanding of the supported systems, agency processes, and user needs, potentially leading to more efficient and effective service delivery over time. It also provides stability for the government customer, reducing the disruption and costs associated with frequent contract transitions. For the contractor, a longer duration offers a more predictable revenue stream and the opportunity to build a strong performance record. However, it also means that any performance issues, if not addressed promptly, can persist for an extended period, impacting government operations.
Given the broad IT support categories, what is the likely impact on federal IT infrastructure and operations?
The broad categories of IT support—ranging from information assurance and security to software, enterprise systems, telecommunications, and help desk management—indicate a significant impact on the foundational IT infrastructure and daily operations of the supported federal entities. Effective information assurance and security support are crucial for protecting sensitive data and maintaining operational resilience against cyber threats. Software and enterprise systems support are vital for the functionality of critical government applications and business processes. Telecommunications and help desk support ensure reliable communication channels and provide essential end-user assistance, directly affecting workforce productivity. Collectively, these services are essential for the smooth functioning, security, and modernization of federal IT operations, enabling agencies to fulfill their missions.
What does the absence of small business participation flags suggest about the contract's structure and potential subcontracting?
The absence of flags for 'small business set-aside' (ss) and 'small business' (sb) participation suggests that this contract was not specifically targeted towards small businesses, nor does the provided summary indicate any explicit small business participation goals were met or tracked at the prime contract level. This typically means the contract was awarded to a large business prime contractor, Leidos, Inc., potentially through full and open competition or under a large-business-focused IDIQ vehicle. While the prime contract itself may not have had small business requirements, it does not preclude the prime contractor from subcontracting portions of the work to small businesses. However, without specific subcontracting data, the direct benefit or impact on the small business sector from this particular prime contract remains unclear.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Facilities Management Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS
Contractor Details
Parent Company: Leidos Holdings, Inc. (UEI: 611641312)
Address: 10302 EATON PLACE, SUITE 150, FAIRFAX, VA, 22030
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $20,707,680
Exercised Options: $13,388,861
Current Obligation: $13,388,861
Contract Characteristics
Commercial Item: COMMERCIAL ITEM
Parent Contract
Parent Award PIID: GS07T00BGD0028
IDV Type: GWAC
Timeline
Start Date: 2005-10-01
Current End Date: 2010-06-04
Potential End Date: 2010-06-04 00:00:00
Last Modified: 2020-05-28
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