DoD's $34.8M Custom Computer Programming Contract with Foxhole Technology LLC Raises Value Concerns
Contract Overview
Contract Amount: $34,868,175 ($34.9M)
Contractor: Foxhole Technology LLC
Awarding Agency: Department of Defense
Start Date: 2018-05-04
End Date: 2022-11-04
Contract Duration: 1,645 days
Daily Burn Rate: $21.2K/day
Competition Type: COMPETED UNDER SAP
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: CMRS
Place of Performance
Location: FORT GEORGE G MEADE, ANNE ARUNDEL County, MARYLAND, 20755
State: Maryland Government Spending
Plain-Language Summary
Department of Defense obligated $34.9 million to FOXHOLE TECHNOLOGY LLC for work described as: CMRS Key points: 1. The contract awarded to Foxhole Technology LLC for custom computer programming services is a significant expenditure. 2. Competition was limited under Special Access Program (SAP) rules, potentially impacting price discovery. 3. The firm fixed-price contract type offers some cost certainty, but the overall value needs scrutiny. 4. The sector is Information Technology, specifically custom computer programming, within the Defense sector.
Value Assessment
Rating: questionable
The contract's total value of $34.8 million over approximately 4 years warrants a closer look. Benchmarking against similar custom programming contracts, especially those awarded under SAP, is crucial to determine if the pricing is competitive and reflects fair market value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was competed under SAP, indicating a limited competition environment. While SAP can be necessary for classified or sensitive projects, it often restricts the pool of potential bidders, which can lead to higher prices than in a full and open competition.
Taxpayer Impact: The limited competition and potential for higher pricing under SAP could result in a less optimal use of taxpayer funds compared to a more open bidding process.
Public Impact
Taxpayers may be paying a premium due to the limited competition inherent in Special Access Programs. The duration of the contract (over 4 years) means sustained financial commitment from the government. The specific nature of custom computer programming for defense suggests critical operational support, making cost-effectiveness vital.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition due to SAP
- Potential for overpayment given competition type
- Lack of clear per-unit cost benchmark
Positive Signals
- Firm Fixed Price contract type
- Awarded to a single vendor, potentially indicating specialized capability
Sector Analysis
This contract falls within the IT sector, specifically custom computer programming services for the Department of Defense. Spending in this area is substantial across government agencies, with benchmarks varying widely based on complexity and security requirements.
Small Business Impact
The data does not indicate whether Foxhole Technology LLC is a small business. Analysis of small business participation is not possible without this information.
Oversight & Accountability
Oversight is crucial for contracts awarded under SAP, as transparency can be limited. The Department of Defense and DISA should ensure robust internal controls and performance monitoring to guarantee value and accountability.
Related Government Programs
- Custom Computer Programming Services
- Department of Defense Contracting
- Defense Information Systems Agency Programs
Risk Flags
- Limited competition
- Potential for inflated pricing
- Lack of transparency inherent in SAP
- Need for detailed performance evaluation
- Unclear small business impact
Tags
custom-computer-programming-services, department-of-defense, md, bpa-call, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $34.9 million to FOXHOLE TECHNOLOGY LLC. CMRS
Who is the contractor on this award?
The obligated recipient is FOXHOLE TECHNOLOGY 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 $34.9 million.
What is the period of performance?
Start: 2018-05-04. End: 2022-11-04.
What specific services were provided under this contract, and how do they align with the stated NAICS code for Custom Computer Programming Services?
The contract is for custom computer programming services (NAICS 541511). Specific details on the services rendered are not provided in the data. A deeper dive would involve reviewing contract line item numbers (CLINs) and performance reports to understand the exact nature of the programming work, ensuring it aligns with the code and the agency's needs.
Given the limited competition under SAP, what measures were in place to ensure a fair and reasonable price was negotiated?
Negotiating fair and reasonable prices under SAP is challenging due to restricted bidder pools. Agencies typically rely on historical pricing data, independent government cost estimates, and potentially certified cost or pricing data from the contractor. However, the effectiveness of these measures can be diminished without robust market research and competitive pressure.
How does the performance and effectiveness of the custom programming services delivered by Foxhole Technology LLC compare to industry standards and previous contracts?
Assessing performance and effectiveness requires access to contract performance reports, user feedback, and potentially independent technical evaluations. Without this data, it's impossible to determine if the services met requirements, were delivered on time, and provided the expected operational benefits. Benchmarking against similar projects would also be necessary.
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 › ADP AND TELECOMMUNICATIONS
Competition & Pricing
Extent Competed: COMPETED UNDER SAP
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 11781 LEE JACKSON MEMORIAL HWY STE 260, FAIRFAX, VA, 22033
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $34,868,175
Exercised Options: $34,868,175
Current Obligation: $34,868,175
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: HC102817A0010
IDV Type: BPA
Timeline
Start Date: 2018-05-04
Current End Date: 2022-11-04
Potential End Date: 2022-11-04 00:00:00
Last Modified: 2024-06-11
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