GSA's $15.5M navigation aids contract to Leidos, Inc. awarded non-competitively

Contract Overview

Contract Amount: $15,527,624 ($15.5M)

Contractor: Leidos, Inc.

Awarding Agency: General Services Administration

Start Date: 2008-04-15

End Date: 2012-05-30

Contract Duration: 1,506 days

Daily Burn Rate: $10.3K/day

Competition Type: NON-COMPETITIVE DELIVERY ORDER

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: NAVIGATION AIDS PROCUREMENT AND INSTALLATION

Place of Performance

Location: OKLAHOMA CITY, OKLAHOMA County, OKLAHOMA, 73135

State: Oklahoma Government Spending

Plain-Language Summary

General Services Administration obligated $15.5 million to LEIDOS, INC. for work described as: NAVIGATION AIDS PROCUREMENT AND INSTALLATION Key points: 1. Contract awarded on a sole-source basis, limiting price competition. 2. Time and Materials pricing structure can increase costs if not managed closely. 3. Contract duration of 1506 days suggests a significant, ongoing need. 4. The contract falls under Computer Facilities Management Services, indicating IT infrastructure support. 5. No small business set-aside was applied, potentially limiting opportunities for smaller firms. 6. The contract was awarded by the General Services Administration, a major federal procurement agency.

Value Assessment

Rating: questionable

Benchmarking the value of this specific contract is challenging due to its sole-source nature and the 'Time and Materials' pricing model, which can lead to unpredictable costs. Without competitive bids, it's difficult to ascertain if the pricing reflects fair market value. The absence of a fixed price or performance-based metrics makes a direct comparison to similar contracts less reliable for assessing value for money. Further analysis would require detailed cost breakdowns and comparison to industry standards for navigation aid procurement and installation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a non-competitive, sole-source basis. This means that only one vendor, Leidos, Inc., was solicited and awarded the contract. While sole-source awards can be justified under specific circumstances (e.g., unique capabilities, urgent needs), they inherently limit price discovery and competition. The lack of multiple bidders means taxpayers did not benefit from the potential cost savings that could arise from a competitive bidding process.

Taxpayer Impact: Sole-source awards mean taxpayers may not be receiving the best possible price, as there was no opportunity for multiple vendors to compete and offer lower bids.

Public Impact

Leidos, Inc. benefits directly as the sole contractor. Services delivered likely involve the procurement and installation of navigation aids, crucial for federal operations. The geographic impact is not specified but likely relates to federal facilities or operational areas requiring navigation support. Workforce implications may include specialized technical roles for installation and maintenance of navigation systems.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the broader Information Technology and professional services sector, specifically related to facilities management and specialized equipment procurement. The market for navigation aids can vary widely depending on the specific technology and application, but often involves specialized engineering and integration services. Benchmarking spending in this niche requires comparison to similar government or large-scale private sector projects involving complex system installations.

Small Business Impact

This contract does not appear to have a small business set-aside. The award to a large prime contractor like Leidos, Inc. suggests that subcontracting opportunities for small businesses may exist, but this is not guaranteed by the contract terms. The absence of a specific set-aside means that small businesses were not prioritized in the initial award decision.

Oversight & Accountability

Oversight for this contract would typically fall under the General Services Administration (GSA) contracting officers and program managers. The 'Time and Materials' nature of the contract necessitates close monitoring of labor hours and material costs to ensure compliance and prevent overspending. Transparency regarding the justification for the sole-source award and ongoing performance metrics would be key oversight elements.

Related Government Programs

Risk Flags

Tags

navigation-aids, procurement, installation, leidos-inc, general-services-administration, gsa, non-competitive, sole-source, time-and-materials, computer-facilities-management-services, it-services, federal-acquisition-service

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $15.5 million to LEIDOS, INC.. NAVIGATION AIDS PROCUREMENT AND INSTALLATION

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 $15.5 million.

What is the period of performance?

Start: 2008-04-15. End: 2012-05-30.

What specific type of navigation aids were procured and installed under this contract?

The provided data does not specify the exact type of navigation aids procured. The contract falls under NAICS code 541513 (Computer Facilities Management Services), suggesting the navigation aids might be integrated with IT systems or related to facility operations. However, 'navigation aids' can encompass a wide range of equipment, from GPS-related systems to physical guidance markers or electronic signaling devices. Further investigation into contract line item numbers (CLINs) or associated documentation would be necessary to identify the specific technology and its application.

What was the justification for awarding this contract on a sole-source basis?

The provided data indicates the contract was awarded as a 'NON-COMPETITIVE DELIVERY ORDER'. Federal procurement regulations allow for sole-source awards under specific circumstances, such as when only one responsible source can provide the required supplies or services, or in cases of urgent and compelling need. Without access to the Justification and Approval (J&A) document typically associated with sole-source awards, the precise reason remains unknown. This lack of competition means taxpayers did not benefit from potential cost reductions through a competitive bidding process.

How does the Time and Materials (T&M) pricing structure compare to other contract types for similar services?

Time and Materials (T&M) contracts are often used when the scope of work is not clearly defined or is expected to change. Unlike fixed-price contracts, T&M contracts reimburse the contractor for the actual cost of labor (at specified hourly rates) and materials, plus a fee or profit. While offering flexibility, T&M contracts carry a higher risk of cost overruns for the government compared to fixed-price contracts, as the final cost is not predetermined. For services like navigation aid procurement and installation, fixed-price or performance-based contracts might offer better cost certainty if the requirements are well-defined.

What is the track record of Leidos, Inc. in delivering similar navigation aid procurement and installation services?

Leidos, Inc. is a large government contractor with a broad range of capabilities, including IT services, systems engineering, and logistics. While the specific data here doesn't detail their performance on this particular contract, their extensive experience suggests they possess the technical capacity for such projects. However, the sole-source nature of this award means there's no direct comparison from a competitive standpoint. Assessing their track record would involve reviewing past performance evaluations, contract history, and any reported issues on similar government contracts.

What are the potential risks associated with a $15.5 million sole-source Time and Materials contract?

The primary risks associated with this contract are related to cost control and price fairness. The sole-source nature eliminates competitive pressure, potentially leading to higher prices than if multiple bids were solicited. The Time and Materials (T&M) pricing structure, without robust oversight, can lead to cost overruns if labor hours or material costs are not carefully managed and justified. There's also a risk that the government may not be receiving the most innovative or cost-effective solutions available in the market due to the lack of competition.

How does this contract's spending compare to other federal spending on navigation aids or related IT services?

Direct comparison of this $15.5 million contract to overall federal spending on navigation aids or IT services is difficult without broader spending data. The contract's classification under Computer Facilities Management Services (NAICS 541513) suggests it's part of a larger IT infrastructure spend. Federal spending on IT services is substantial, often in the tens of billions annually. However, the specific niche of 'navigation aids procurement and installation' within this category is less visible. To provide a meaningful comparison, one would need to aggregate similar contracts across agencies and analyze trends in this specialized area.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesComputer Facilities Management Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONSADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: NON-COMPETITIVE DELIVERY ORDER

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: MD578ATC1T5

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Leidos Holdings, Inc. (UEI: 611641312)

Address: 10302 EATON PLACE, SUITE 150, FAIRFAX, VA, 11

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $15,536,067

Exercised Options: $15,527,624

Current Obligation: $15,527,624

Parent Contract

Parent Award PIID: GS07T00BGD0028

IDV Type: GWAC

Timeline

Start Date: 2008-04-15

Current End Date: 2012-05-30

Potential End Date: 2012-05-30 00:00:00

Last Modified: 2013-01-07

More Contracts from Leidos, Inc.

View all Leidos, Inc. federal contracts →

Other General Services Administration Contracts

View all General Services Administration contracts →

Explore Related Government Spending