Booz Allen Hamilton awarded $67.7M for C4ISR technical and engineering services by GSA

Contract Overview

Contract Amount: $67,692,256 ($67.7M)

Contractor: Booz Allen Hamilton Engineering Services, LLC

Awarding Agency: General Services Administration

Start Date: 2010-09-24

End Date: 2014-06-30

Contract Duration: 1,375 days

Daily Burn Rate: $49.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: COMMAND, CONTROL, COMMUNICATIONS, COMPUTERS, INTELLIGENCE, SURVEILLANCE, AND RECONNAISSANCE (C4ISR) TECHNICAL, ENGINEERING RESEARCH, AND SUSTAINMENT DEVELOPMENT

Place of Performance

Location: EGLIN AFB, OKALOOSA County, FLORIDA, 32542

State: Florida Government Spending

Plain-Language Summary

General Services Administration obligated $67.7 million to BOOZ ALLEN HAMILTON ENGINEERING SERVICES, LLC for work described as: COMMAND, CONTROL, COMMUNICATIONS, COMPUTERS, INTELLIGENCE, SURVEILLANCE, AND RECONNAISSANCE (C4ISR) TECHNICAL, ENGINEERING RESEARCH, AND SUSTAINMENT DEVELOPMENT Key points: 1. Contract awarded for critical C4ISR technical, engineering, research, and sustainment development. 2. Services provided under a Cost Plus Fixed Fee contract type. 3. Contract duration of 1375 days, indicating a significant period of support. 4. Awarded by the General Services Administration (GSA), a key federal procurement agency. 5. Technical services align with computer systems design, a significant segment of federal IT spending. 6. No small business set-aside, suggesting a focus on large prime contractors. 7. Delivery order under a larger contract vehicle, common for specialized services.

Value Assessment

Rating: fair

The contract value of $67.7 million over approximately 3.75 years for C4ISR technical and engineering services appears within a reasonable range for specialized government support. However, without specific details on the scope of work, deliverables, and performance metrics, a precise value-for-money assessment is challenging. Benchmarking against similar C4ISR development contracts would provide better context for pricing and efficiency. The Cost Plus Fixed Fee (CPFF) contract type can lead to cost overruns if not closely managed, but it allows for flexibility in evolving technical requirements.

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 offers. The specific number of bidders is not provided, but full and open competition generally fosters a competitive environment that can lead to better pricing and innovation. The GSA's use of this method suggests a commitment to leveraging the broadest possible market for government services.

Taxpayer Impact: Full and open competition is generally beneficial for taxpayers as it aims to secure the best value by encouraging a wide range of potential contractors to bid, driving down prices and improving service quality.

Public Impact

The primary beneficiaries are likely defense and intelligence agencies requiring advanced C4ISR capabilities. Services delivered include technical support, engineering research, and sustainment development for complex systems. Geographic impact is not specified but likely supports national security operations. Workforce implications include highly skilled engineers, technicians, and researchers in the C4ISR domain.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contracts can incentivize contractors to increase costs to achieve a higher fee, necessitating robust oversight.
The broad nature of 'technical, engineering research, and sustainment development' could lead to scope creep if not clearly defined and managed.
Reliance on a single large contractor for critical C4ISR functions may pose risks if performance falters or if the contractor faces financial instability.

Positive Signals

Award to a well-established contractor like Booz Allen Hamilton suggests a level of confidence in their technical expertise and past performance.
Full and open competition, while not guaranteeing the lowest price, typically leads to a more robust selection of qualified offerors.
The contract's duration indicates a long-term need for these specialized C4ISR services, suggesting strategic importance.

Sector Analysis

The Command, Control, Communications, Computers, Intelligence, Surveillance, and Reconnaissance (C4ISR) sector is a critical and substantial part of the federal IT and defense markets. This contract falls within the Computer Systems Design Services NAICS code (541512), which encompasses a wide range of IT support and development. Spending in this area is driven by the need for advanced technological capabilities to support national security, intelligence gathering, and military operations. Comparable spending benchmarks would typically be found within large-scale defense and intelligence IT procurements, often running into hundreds of millions or billions of dollars annually.

Small Business Impact

This contract was not awarded as a small business set-aside, nor does it indicate any specific subcontracting requirements for small businesses in the provided data. This suggests that the primary contract was likely awarded to a large business prime contractor, and any involvement of small businesses would be at the discretion of the prime. The absence of set-aside provisions means that opportunities for small businesses to directly compete for this specific award were limited.

Oversight & Accountability

Oversight for this contract would primarily fall under the General Services Administration (GSA), specifically its Federal Acquisition Service. As a Cost Plus Fixed Fee contract, rigorous financial oversight and performance monitoring are crucial to ensure that costs are reasonable and that the fixed fee is earned through satisfactory performance. The contract's duration and scope necessitate ongoing management to prevent scope creep and ensure alignment with evolving C4ISR requirements. Transparency would be enhanced through regular reporting requirements stipulated in the contract.

Related Government Programs

Defense Information Systems Agency (DISA) IT Services
Intelligence Community IT Modernization Programs
Naval Sea Systems Command (NAVSEA) C4ISR Support
Air Force Materiel Command C4ISR Development
Army Futures Command C4ISR Research

Risk Flags

Cost Plus Fixed Fee contract type requires diligent cost oversight.
Scope definition for 'technical, engineering research, and sustainment development' needs clear management.
Potential for cost overruns inherent in CPFF structure.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $67.7 million to BOOZ ALLEN HAMILTON ENGINEERING SERVICES, LLC. COMMAND, CONTROL, COMMUNICATIONS, COMPUTERS, INTELLIGENCE, SURVEILLANCE, AND RECONNAISSANCE (C4ISR) TECHNICAL, ENGINEERING RESEARCH, AND SUSTAINMENT DEVELOPMENT

Who is the contractor on this award?

The obligated recipient is BOOZ ALLEN HAMILTON ENGINEERING SERVICES, LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $67.7 million.

What is the period of performance?

Start: 2010-09-24. End: 2014-06-30.

What is the specific breakdown of services provided under this $67.7 million contract for C4ISR technical and engineering development?

The provided data indicates the contract is for 'COMMAND, CONTROL, COMMUNICATIONS, COMPUTERS, INTELLIGENCE, SURVEILLANCE, AND RECONNAISSANCE (C4ISR) TECHNICAL, ENGINEERING RESEARCH, AND SUSTAINMENT DEVELOPMENT.' However, a granular breakdown of specific services, such as software development, hardware integration, cybersecurity engineering, systems analysis, or specific research initiatives, is not detailed. The NAICS code 541512 (Computer Systems Design Services) suggests a broad scope encompassing design, development, and integration of computer systems. The Cost Plus Fixed Fee (CPFF) contract type implies that the contractor is reimbursed for allowable costs plus a fixed fee representing profit. This structure is often used when the scope of work is not precisely defined at the outset or is expected to evolve, requiring flexibility in technical execution and research.

How does the $67.7 million contract value compare to typical federal spending on C4ISR technical and engineering services?

The $67.7 million contract value awarded to Booz Allen Hamilton Engineering Services, LLC, for C4ISR technical, engineering, research, and sustainment development, represents a significant but not exceptionally large sum within the broader context of federal C4ISR spending. Major defense and intelligence agencies frequently award contracts in the hundreds of millions, and sometimes billions, of dollars for C4ISR systems development, integration, and sustainment over multiple years. For instance, contracts for major platform C4ISR suites or enterprise-wide intelligence systems can far exceed this amount. This specific contract, awarded by GSA, likely represents a specific task order or a focused set of services within a larger C4ISR initiative, making its value comparable to many specialized technical support or research contracts within this domain.

What are the key performance indicators (KPIs) or deliverables expected under this contract, and how is performance measured?

The provided data does not specify the key performance indicators (KPIs) or detailed deliverables for this contract. However, given the nature of C4ISR technical, engineering, research, and sustainment development, typical KPIs would likely include system performance metrics (e.g., uptime, latency, data throughput), successful integration of new technologies, completion of research milestones, adherence to security protocols, and timely delivery of technical documentation and reports. Performance measurement for a Cost Plus Fixed Fee (CPFF) contract usually involves assessing the contractor's ability to manage costs within the estimated ceiling, meet technical specifications, and adhere to the schedule, all while ensuring the quality of the work performed. The contracting officer's representative (COR) would typically be responsible for monitoring progress and ensuring deliverables meet contractual requirements.

What is Booz Allen Hamilton's track record with similar C4ISR contracts awarded by the federal government?

Booz Allen Hamilton is a well-established and prominent government contractor with extensive experience in C4ISR, IT, and defense-related services. They have a long history of securing and performing on large, complex contracts for various federal agencies, including the Department of Defense, intelligence agencies, and civilian departments. Their track record typically includes providing systems engineering, integration, cybersecurity, data analytics, and strategic consulting for C4ISR systems. While specific contract performance details (like past performance ratings) are not publicly available in this dataset, Booz Allen Hamilton's consistent presence and success in winning significant C4ISR contracts indicate a strong capability and generally positive past performance in this domain. They are known for their technical expertise and ability to handle challenging government requirements.

What are the potential risks associated with this Cost Plus Fixed Fee (CPFF) contract structure for C4ISR services?

The primary risk associated with a Cost Plus Fixed Fee (CPFF) contract structure, especially for complex technical and research-oriented work like C4ISR development, is the potential for cost overruns. While the fee is fixed, the 'cost' portion is reimbursable, meaning the government pays for the contractor's allowable expenses. If the contractor's costs exceed initial estimates due to unforeseen technical challenges, scope creep, or inefficient management, the total contract value can increase significantly, potentially exceeding the government's budget expectations. This necessitates robust government oversight to scrutinize incurred costs, ensure they are reasonable and allocable, and manage the scope of work diligently. Another risk is that the fixed fee might not adequately incentivize cost control if not balanced with strong performance metrics and oversight.

How does the General Services Administration (GSA) typically manage contracts for specialized technical services like C4ISR?

The General Services Administration (GSA) manages contracts for specialized technical services like C4ISR primarily through its various acquisition schedules and government-wide acquisition contracts (GWACs). These vehicles provide pre-competed, streamlined procurement options for federal agencies. For a contract like this, GSA likely acted as the contracting agency, potentially on behalf of another end-user agency, or awarded it under a broad IT or professional services schedule. GSA emphasizes compliance with federal acquisition regulations, fair competition, and ensuring best value for the government. Oversight involves ensuring contract terms are met, performance is monitored, and payments are processed correctly. GSA's role often includes providing acquisition expertise and managing the overall procurement process to ensure efficiency and compliance.

Industry Classification

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

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 4QCA57108194

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Booz Allen Hamilton Holding Corporation (UEI: 964725688)

Address: 308 SENTINEL DR, ANNAPOLIS JUNCTION, MD, 20701

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

Financial Breakdown

Contract Ceiling: $78,892,852

Exercised Options: $72,619,737

Current Obligation: $67,692,256

Subaward Activity

Number of Subawards: 132

Total Subaward Amount: $27,368,424

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: GS00Q09BGD0013

IDV Type: GWAC

Timeline