DoD's DIBNet contract awards Booz Allen Hamilton $29M for IT services, with 4 orders and a 5-year duration

Contract Overview

Contract Amount: $29,022,411 ($29.0M)

Contractor: Booz Allen Hamilton Inc

Awarding Agency: Department of Defense

Start Date: 2020-02-20

End Date: 2025-07-27

Contract Duration: 1,984 days

Daily Burn Rate: $14.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: DEFENSE INDUSTRIAL BASE NETWORK (DIBNET) - DEVELOPMENT AND SUSTAINMENT

Place of Performance

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

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $29.0 million to BOOZ ALLEN HAMILTON INC for work described as: DEFENSE INDUSTRIAL BASE NETWORK (DIBNET) - DEVELOPMENT AND SUSTAINMENT Key points: 1. Contract awarded to Booz Allen Hamilton for IT network development and sustainment. 2. Significant contract value of $29M over a 5-year period. 3. Full and open competition was utilized, suggesting a competitive bidding process. 4. The contract falls under 'Other Computer Related Services' (NAICS 541519).

Value Assessment

Rating: good

The contract value of $29M over approximately 5 years appears reasonable for comprehensive network development and sustainment services. Benchmarking against similar large-scale IT infrastructure 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 indicates that multiple vendors had the opportunity to bid, likely leading to competitive pricing. The award to Booz Allen Hamilton suggests they offered the best value proposition.

Taxpayer Impact: Taxpayer funds are being used for critical defense network infrastructure, aiming for robust security and operational efficiency.

Public Impact

Ensures the security and reliability of the Defense Industrial Base Network (DIBNet). Supports critical communication infrastructure for national security. Provides ongoing IT services and sustainment for a vital defense system.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for scope creep in long-term IT sustainment contracts.
  • Reliance on a single vendor for critical network infrastructure.
  • Ensuring continued innovation and cost-effectiveness over the contract life.

Positive Signals

  • Full and open competition promotes market-driven pricing.
  • Long-term contract allows for stable planning and execution.
  • Firm Fixed Price contract provides cost certainty.

Sector Analysis

This contract falls within the IT services sector, specifically focusing on network development and sustainment for defense. Spending in this area is substantial across government agencies to maintain secure and operational IT infrastructure.

Small Business Impact

The contract was not awarded to a small business. There is no indication of subcontracting goals for small businesses within the provided data.

Oversight & Accountability

The contract is managed by the Defense Information Systems Agency (DISA), which is responsible for providing IT services to the DoD. Oversight would involve monitoring performance, adherence to contract terms, and budget management.

Related Government Programs

  • Other Computer Related Services
  • Department of Defense Contracting
  • Defense Information Systems Agency Programs

Risk Flags

  • Long-term IT sustainment can lead to vendor lock-in.
  • Cybersecurity threats to critical defense networks are ever-present.
  • Ensuring adequate technical expertise remains with the government.
  • Potential for cost increases if contract scope expands significantly.

Tags

other-computer-related-services, department-of-defense, md, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $29.0 million to BOOZ ALLEN HAMILTON INC. DEFENSE INDUSTRIAL BASE NETWORK (DIBNET) - DEVELOPMENT AND SUSTAINMENT

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 (Defense Information Systems Agency).

What is the total obligated amount?

The obligated amount is $29.0 million.

What is the period of performance?

Start: 2020-02-20. End: 2025-07-27.

What is the specific scope of 'development and sustainment' for the DIBNet under this contract?

The scope likely includes the design, implementation, maintenance, and upgrading of the Defense Industrial Base Network. This encompasses hardware, software, cybersecurity measures, and operational support to ensure the network's integrity and availability for defense contractors and government agencies.

How does the firm fixed price structure mitigate risks associated with IT service contracts?

A firm fixed price (FFP) contract establishes a set price for the defined scope of work, shifting most of the risk to the contractor. This provides the government with cost certainty and incentivizes the contractor to manage costs efficiently to maximize profit, reducing the risk of cost overruns for the government.

What are the key performance indicators (KPIs) used to measure the effectiveness of DIBNet services?

Effectiveness is likely measured through KPIs such as network uptime and availability, response times for issue resolution, cybersecurity incident rates, successful implementation of upgrades, and user satisfaction. DISA would monitor these metrics to ensure Booz Allen Hamilton meets contractual obligations and performance standards.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: HC102815R0030

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Booz Allen Hamilton Holding Corporation

Address: 8283 GREENSBORO DR, MCLEAN, 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: $34,278,575

Exercised Options: $29,022,411

Current Obligation: $29,022,411

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $101,215

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HC102818D0006

IDV Type: IDC

Timeline

Start Date: 2020-02-20

Current End Date: 2025-07-27

Potential End Date: 2025-07-27 00:00:00

Last Modified: 2025-05-20

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