DoD Awards $27.5M for PHISH Support Services to Leidos, Inc. Under Full and Open Competition

Contract Overview

Contract Amount: $27,515,979 ($27.5M)

Contractor: Leidos, Inc.

Awarding Agency: Department of Defense

Start Date: 2020-05-01

End Date: 2021-04-30

Contract Duration: 364 days

Daily Burn Rate: $75.6K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: PENETRATION HANDLING, INCIDENT, SYSTEM HEALTH (PHISH) SUPPORT SERVICES

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20301

State: District of Columbia Government Spending

Plain-Language Summary

Department of Defense obligated $27.5 million to LEIDOS, INC. for work described as: PENETRATION HANDLING, INCIDENT, SYSTEM HEALTH (PHISH) SUPPORT SERVICES Key points: 1. Contract awarded to Leidos, Inc. for critical cybersecurity support. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. The contract value is substantial, indicating significant investment in system health. 4. Focus on incident response and system health is crucial for national security.

Value Assessment

Rating: good

The contract value of $27.5M for 364 days of service appears reasonable given the specialized nature of cybersecurity support. Benchmarking against similar incident response contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The use of full and open competition is a positive indicator for price discovery. This method allows multiple vendors to bid, driving competitive pricing and potentially better value for the government.

Taxpayer Impact: The competitive nature of the award suggests taxpayers are likely receiving fair market value for the essential cybersecurity services provided.

Public Impact

Ensures continued protection of critical Department of Defense systems against cyber threats. Supports timely incident response, minimizing damage from security breaches. Maintains system health and resilience, crucial for operational readiness. Leverages private sector expertise for advanced cybersecurity capabilities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost overruns in Cost Plus Fixed Fee contracts if not closely monitored.
  • Dependence on a single contractor for critical cybersecurity functions.
  • Scope creep could increase the final cost beyond initial estimates.

Positive Signals

  • Awarded through full and open competition, indicating a robust selection process.
  • Focus on essential cybersecurity functions vital for national security.
  • Contract duration provides stability for critical support services.

Sector Analysis

This contract falls within the IT services sector, specifically cybersecurity. Spending in this area has been steadily increasing across government agencies due to the persistent and evolving nature of cyber threats. Benchmarks for similar cybersecurity support contracts vary widely based on scope and complexity.

Small Business Impact

While this contract was awarded to a large business (Leidos, Inc.), the use of full and open competition does not preclude small businesses from participating as subcontractors. Further analysis would be needed to determine if small business participation was a requirement or occurred organically.

Oversight & Accountability

The Department of Defense, through the Defense Information Systems Agency (DISA), is responsible for overseeing this contract. Robust oversight mechanisms, including performance reviews and financial audits, are essential to ensure contractor performance and prevent waste, fraud, and abuse.

Related Government Programs

  • Wired Telecommunications Carriers
  • Department of Defense Contracting
  • Defense Information Systems Agency Programs

Risk Flags

  • Cost Plus Fixed Fee contract type requires diligent oversight.
  • Potential for contractor performance issues impacting critical systems.
  • Cybersecurity threats are constantly evolving, requiring adaptive service.
  • Dependence on a single vendor for specialized support.

Tags

wired-telecommunications-carriers, department-of-defense, dc, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $27.5 million to LEIDOS, INC.. PENETRATION HANDLING, INCIDENT, SYSTEM HEALTH (PHISH) SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is LEIDOS, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $27.5 million.

What is the period of performance?

Start: 2020-05-01. End: 2021-04-30.

What specific metrics are used to evaluate the effectiveness of the PHISH support services?

Effectiveness is likely measured through key performance indicators (KPIs) such as incident response times, successful threat mitigation rates, system uptime, and reduction in security vulnerabilities. Regular performance reports submitted by Leidos, Inc. to DISA would detail these metrics, allowing for objective assessment of service delivery and value.

What are the primary risks associated with this Cost Plus Fixed Fee contract structure?

The primary risk with a Cost Plus Fixed Fee (CPFF) contract is the potential for contractor inefficiency or overspending, as the government bears the cost of performance. While a fixed fee provides some incentive for the contractor to control costs, robust government oversight is crucial to monitor expenditures and ensure the contractor is performing efficiently and effectively within the agreed-upon scope.

How does this contract contribute to the overall cybersecurity posture of the Department of Defense?

This contract directly contributes by providing specialized support for incident handling, system health monitoring, and phishing prevention. By ensuring these critical functions are adequately resourced and executed by experienced professionals, the contract strengthens the DoD's ability to detect, respond to, and recover from cyber threats, thereby enhancing overall cybersecurity resilience.

Industry Classification

NAICS: InformationWired and Wireless Telecommunications (except Satellite)Wired Telecommunications Carriers

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: HC102810R2000

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Leidos Holdings, Inc.

Address: 700 N FREDERICK AVE, GAITHERSBURG, MD, 20879

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

Financial Breakdown

Contract Ceiling: $27,873,781

Exercised Options: $27,515,979

Current Obligation: $27,515,979

Subaward Activity

Number of Subawards: 19

Total Subaward Amount: $8,181,107

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HC102812D0021

IDV Type: IDC

Timeline

Start Date: 2020-05-01

Current End Date: 2021-04-30

Potential End Date: 2021-04-30 00:00:00

Last Modified: 2022-04-02

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