DoD Awards $55M Cyber Command Task Order to Booz Allen Hamilton for Custom Computer Programming

Contract Overview

Contract Amount: $55,221,957 ($55.2M)

Contractor: Booz Allen Hamilton Inc

Awarding Agency: Department of Defense

Start Date: 2022-07-08

End Date: 2024-01-07

Contract Duration: 548 days

Daily Burn Rate: $100.8K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: TASK ORDER 4 BRIDGE CONTRACT

Place of Performance

Location: FORT GEORGE G MEADE, ANNE ARUNDEL County, MARYLAND, 20755

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $55.2 million to BOOZ ALLEN HAMILTON INC for work described as: TASK ORDER 4 BRIDGE CONTRACT Key points: 1. Significant award to a major contractor in the IT services sector. 2. Sole-source award raises questions about competition and potential price discovery. 3. Contract duration of over 1.5 years suggests ongoing critical support needs. 4. High value indicates a substantial investment in cyber capabilities.

Value Assessment

Rating: questionable

The contract type is Cost Plus Fixed Fee, which can lead to higher costs if not managed tightly. Benchmarking against similar custom programming services is difficult without more detailed scope information, but the overall value is substantial.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This limits price discovery and may result in higher costs compared to a competitive process. The justification for sole-sourcing is critical for assessing value.

Taxpayer Impact: Without competition, taxpayers may be paying a premium for these services. The lack of a competitive bid means the government did not explore potentially lower-cost alternatives.

Public Impact

Cyber Command's reliance on a single contractor for critical programming services. Potential for increased costs due to the absence of competitive bidding. Impact on the broader IT services market and opportunities for other firms. Ensuring effective oversight and performance management for this sole-source award.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competition
Cost Plus Fixed Fee contract type
Lack of detailed scope for benchmarking
No small business participation noted

Positive Signals

Supports critical U.S. Cyber Command mission
Award to established contractor with relevant experience
Clear contract end date provides a review point

Sector Analysis

This contract falls within the Custom Computer Programming Services sector, a key area for defense agencies. Spending in this sector is often high due to the need for specialized IT support and development, particularly in areas like cybersecurity.

Small Business Impact

The data indicates this contract was not awarded to small businesses (sb: false). This represents a missed opportunity for small business participation in a significant federal contract, potentially limiting market diversity.

Oversight & Accountability

Given the sole-source nature and Cost Plus Fixed Fee structure, robust oversight is crucial. The agency must ensure diligent monitoring of costs, performance, and adherence to the contract's fixed fee to protect taxpayer interests.

Related Government Programs

Custom Computer Programming Services
Department of Defense Contracting
U.S. Cyber Command Programs

Risk Flags

Sole-source award limits competition and price discovery.
Cost Plus Fixed Fee contract type can lead to cost overruns.
Lack of small business participation.
High contract value requires diligent oversight.
Potential for scope creep without clear deliverables.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $55.2 million to BOOZ ALLEN HAMILTON INC. TASK ORDER 4 BRIDGE CONTRACT

Who is the contractor on this award?

The obligated recipient is BOOZ ALLEN HAMILTON INC.

Which agency awarded this contract?

Awarding agency: Department of Defense (U.S. Cyber Command).

What is the total obligated amount?

The obligated amount is $55.2 million.

What is the period of performance?

Start: 2022-07-08. End: 2024-01-07.

What was the justification for awarding this contract on a sole-source basis, and were alternative competitive strategies considered?

The justification for a sole-source award is critical for understanding why competition was bypassed. Agencies typically cite reasons such as urgency, unique capabilities, or lack of available sources. Without this justification, it's difficult to assess if the government adequately explored options to secure the best value and price for taxpayers, potentially missing out on cost savings and innovative solutions from a competitive field.

How does the Cost Plus Fixed Fee structure impact the overall cost-effectiveness and risk of this contract?

A Cost Plus Fixed Fee (CPFF) contract allows the contractor to recover all allowable costs plus a predetermined fixed fee. While it incentivizes the contractor to control costs to protect their fee, it can lead to higher overall spending if the base cost estimates are inaccurate or scope creep occurs. Robust government oversight is essential to manage costs effectively and mitigate the risk of overspending.

What specific custom computer programming services are being provided, and how do they align with U.S. Cyber Command's strategic objectives?

Understanding the specific services is key to evaluating the contract's necessity and effectiveness. If these services are directly tied to critical cyber defense, intelligence, or operational missions, the investment is justified. However, without detailed scope, it's hard to assess if the $55M expenditure is optimal or if alternative solutions could achieve similar strategic outcomes more efficiently.

Industry Classification

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

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

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Booz Allen Hamilton Holding Corporation

Address: 8283 GREENSBORO DR, MC LEAN, 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: $62,639,244

Exercised Options: $62,639,211

Current Obligation: $55,221,957

Actual Outlays: $41,174,514

Subaward Activity

Number of Subawards: 33

Total Subaward Amount: $11,613,532

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NOT OBTAINED - WAIVED

Timeline