CACI NSS, LLC awarded $27.1M for Computer Systems Design Services by Defense Information Systems Agency

Contract Overview

Contract Amount: $27,140,435 ($27.1M)

Contractor: CACI NSS, LLC

Awarding Agency: Department of Defense

Start Date: 2012-03-23

End Date: 2014-09-30

Contract Duration: 921 days

Daily Burn Rate: $29.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 8

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: IT SERVICES

Place of Performance

Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22209

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $27.1 million to CACI NSS, LLC for work described as: IT SERVICES Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract value of $27.1M falls within a moderate spending range for IT services. 3. The fixed-price contract type may offer cost certainty for the government. 4. The duration of 921 days indicates a medium-term engagement for the services. 5. The award was made by the Defense Information Systems Agency, a key IT provider for the DoD. 6. The North American Industry Classification System (NAICS) code 541512 points to specialized computer systems design. 7. The contract was a delivery order, implying it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract.

Value Assessment

Rating: good

The contract value of approximately $27.1 million for computer systems design services appears reasonable given the duration of over two years. Benchmarking against similar contracts for IT systems design by the Department of Defense would provide a more precise value-for-money assessment. However, the firm fixed-price nature of the award suggests that the contractor assumed the primary cost risk, which can be beneficial for the government.

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 bids. The presence of 8 bidders suggests a healthy level of competition for this requirement. A competitive environment generally leads to better price discovery and potentially more favorable terms for the government.

Taxpayer Impact: The robust competition for this contract is beneficial for taxpayers as it likely drove down prices and ensured the government received competitive offers for the IT systems design services.

Public Impact

The Department of Defense benefits from enhanced computer systems design and integration. Military operations and command and control systems are likely supported by these services. Personnel within the DoD's IT infrastructure are the primary beneficiaries. The contract supports IT modernization and operational readiness within the defense sector. The geographic impact is likely concentrated within DoD facilities, primarily in Virginia where CACI NSS, LLC is located.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if requirements are not clearly defined and managed.
Reliance on a single contractor for critical IT systems design could pose a risk if performance issues arise.
The fixed-price nature might disincentivize innovation if not structured with performance incentives.

Positive Signals

Awarded through full and open competition, indicating a competitive process.
Firm fixed-price contract type provides cost certainty for the government.
Multiple bidders (8) suggest a competitive market for these services.
CACI NSS, LLC is a known entity in the federal IT services space.

Sector Analysis

The IT services sector, particularly computer systems design, is a significant area of federal spending. This contract falls under the broader category of professional, scientific, and technical services. The Department of Defense is a major consumer of these services, often requiring specialized expertise for complex systems integration, cybersecurity, and network design. Spending in this area is driven by the need to maintain and modernize aging infrastructure, adapt to evolving technological landscapes, and ensure operational effectiveness.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses stemming from a small business set-aside. The primary contractor, CACI NSS, LLC, is a large business. Analysis of subcontracting plans, if any, would be necessary to determine the extent of small business participation.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the Defense Contract Management Agency (DCMA) or the Defense Contract Audit Agency (DCAA), depending on the nature of the oversight required. The firm fixed-price contract type provides a degree of financial oversight by limiting the government's exposure to cost overruns. Transparency is generally maintained through contract award databases and reporting requirements, though specific performance metrics may not always be publicly disclosed.

Related Government Programs

IT Systems Integration Services
Computer Facilities Management
Information Technology Professional Services
Defense Information Technology Modernization Programs

Risk Flags

Potential for cost overruns if scope is not well-defined (FFP risk)
Contractor performance risk if requirements are complex or novel
Dependency on contractor for critical IT systems

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $27.1 million to CACI NSS, LLC. IT SERVICES

Who is the contractor on this award?

The obligated recipient is CACI NSS, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Information Systems Agency).

What is the total obligated amount?

The obligated amount is $27.1 million.

What is the period of performance?

Start: 2012-03-23. End: 2014-09-30.

What is CACI NSS, LLC's track record with the Department of Defense for similar IT services?

CACI NSS, LLC has a substantial history of performing IT services for the Department of Defense. As a large, established federal contractor, they have been involved in numerous contracts related to IT systems design, integration, and support across various military branches and agencies. Their past performance is often evaluated as part of the bidding process for new contracts. While specific details of past performance on similar contracts are not provided here, their continued success in winning DoD contracts suggests a generally positive track record. However, a deeper dive into past performance reviews, any past disputes, or contract terminations would be necessary for a comprehensive assessment.

How does the $27.1 million award compare to other computer systems design contracts awarded by DISA or the DoD?

The $27.1 million award for computer systems design services by the Defense Information Systems Agency (DISA) is a moderate-sized contract. DISA and the broader Department of Defense frequently award contracts in the IT services space, with values ranging from a few million dollars to hundreds of millions, or even billions, for large-scale enterprise-wide solutions. Contracts for specific system design and integration, like this one, often fall within the multi-million dollar range. The duration of 921 days (approximately 2.5 years) is also typical for such projects. To provide a precise benchmark, one would need to compare this award against the average value and duration of similar NAICS code 541512 contracts awarded by DISA over the past few fiscal years.

What are the primary risks associated with this firm fixed-price contract for IT systems design?

The primary risk with a firm fixed-price (FFP) contract for IT systems design is that the contractor, CACI NSS, LLC, bears the burden of cost overruns if the project's scope expands or unforeseen technical challenges arise. If the government's requirements are not meticulously defined and managed, the contractor may be incentivized to cut corners to maintain profitability, potentially impacting quality. Conversely, if the scope is well-defined and the contractor is highly efficient, the government benefits from cost certainty. The risk for the government lies in ensuring the Statement of Work (SOW) is comprehensive and that robust oversight is in place to monitor performance and prevent scope creep without proper change order procedures.

How effective is full and open competition in ensuring value for money in IT services contracts?

Full and open competition is generally considered the most effective method for ensuring value for money in IT services contracts. By allowing all responsible sources to compete, it fosters a competitive environment that drives down prices and encourages innovation. With 8 bidders in this specific case, the government likely received a range of proposals and pricing, allowing for a strong comparison. This process helps prevent price gouging and ensures that the government selects the offer that represents the best overall value, considering both technical merit and cost. However, the effectiveness also depends on the clarity of the solicitation requirements and the evaluation criteria used.

What is the historical spending trend for computer systems design services by the Defense Information Systems Agency?

Historical spending data for computer systems design services (NAICS 541512) by the Defense Information Systems Agency (DISA) shows a consistent and significant investment in this area. DISA, as the primary IT provider for the Department of Defense, relies heavily on external contractors for designing, developing, and integrating complex systems. Spending trends are influenced by modernization initiatives, evolving cyber threats, and the need to support new platforms and operational requirements. While specific year-over-year figures for this exact contract type are not provided, the overall IT services budget for DISA typically runs into the billions of dollars annually, with a substantial portion allocated to design, development, and integration services.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 8

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: L-3 Communications Holdings, Inc. (UEI: 008898843)

Address: 11955 FREEDOM DR STE 12000, RESTON, VA, 20190

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

Financial Breakdown

Contract Ceiling: $28,173,213

Exercised Options: $27,140,435

Current Obligation: $27,140,435

Subaward Activity

Number of Subawards: 15

Total Subaward Amount: $2,938,180

Contract Characteristics

Consolidated Contract: Yes

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: GS00Q09BGD0037

IDV Type: GWAC

Timeline