DoD's $31.5M Continuous Monitoring Contract with Foxhole Technology Faces Scrutiny Over Value and Competition
Contract Overview
Contract Amount: $31,480,179 ($31.5M)
Contractor: Foxhole Technology LLC
Awarding Agency: Department of Defense
Start Date: 2022-11-05
End Date: 2026-09-04
Contract Duration: 1,399 days
Daily Burn Rate: $22.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: CONTINUOUS MONITORING AND RISK SCORING
Place of Performance
Location: FORT GEORGE G MEADE, ANNE ARUNDEL County, MARYLAND, 20755
State: Maryland Government Spending
Plain-Language Summary
Department of Defense obligated $31.5 million to FOXHOLE TECHNOLOGY LLC for work described as: CONTINUOUS MONITORING AND RISK SCORING Key points: 1. The contract's value of $31.5 million over nearly four years raises questions about cost-effectiveness for continuous monitoring services. 2. While awarded under full and open competition, the specific impact of this method on price discovery needs further examination. 3. Potential risks include the effectiveness of continuous monitoring solutions and ensuring competitive pricing throughout the contract's duration. 4. The IT sector, particularly cybersecurity and information assurance, is a key area for such monitoring services.
Value Assessment
Rating: fair
The contract's total value of $31.5 million for continuous monitoring and risk scoring over approximately 3.8 years suggests a significant investment. Benchmarking against similar cybersecurity monitoring contracts is necessary to determine if this pricing is competitive and reflects fair market value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded using full and open competition, which is generally positive for price discovery. However, the specific details of the bidding process and the number of proposals received are crucial to assess if true competition drove down costs effectively.
Taxpayer Impact: The use of full and open competition aims to ensure taxpayer funds are used efficiently by fostering a competitive environment that should lead to better pricing.
Public Impact
Ensures continuous monitoring of systems, enhancing cybersecurity posture for the Department of Defense. Supports risk scoring to identify and mitigate potential threats proactively. Provides critical IT training and support services within the Defense Information Systems Agency. The contract's duration and value could impact the long-term IT security strategy and budget of the agency.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns if not managed tightly.
- Effectiveness of continuous monitoring solutions may vary.
- Reliance on a single vendor for critical security functions.
Positive Signals
- Awarded through full and open competition.
- Focus on critical cybersecurity functions.
- Long-term contract provides stability for services.
Sector Analysis
This contract falls within the Information Technology sector, specifically focusing on cybersecurity and IT training. Spending in this area is substantial across government agencies, with continuous monitoring and risk assessment being paramount for national security.
Small Business Impact
The provided data does not indicate whether small businesses were involved as subcontractors or prime contractors. Further analysis would be needed to determine the extent of small business participation in this contract.
Oversight & Accountability
Oversight will be crucial to ensure the continuous monitoring services are effective, meet performance requirements, and remain within budget. The Defense Information Systems Agency (DISA) is responsible for managing this contract and ensuring accountability.
Related Government Programs
- Computer Training
- Department of Defense Contracting
- Defense Information Systems Agency Programs
Risk Flags
- Potential for cost creep over the contract duration.
- Effectiveness of continuous monitoring technology may become outdated.
- Dependence on vendor's expertise and performance.
- Cybersecurity landscape is constantly evolving, requiring adaptive solutions.
Tags
computer-training, department-of-defense, md, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $31.5 million to FOXHOLE TECHNOLOGY LLC. CONTINUOUS MONITORING AND RISK SCORING
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 $31.5 million.
What is the period of performance?
Start: 2022-11-05. End: 2026-09-04.
What is the specific definition of 'continuous monitoring and risk scoring' under this contract, and how is its effectiveness measured?
The contract likely entails ongoing surveillance of IT systems for security vulnerabilities and threats, coupled with a system for quantifying and prioritizing identified risks. Effectiveness is typically measured through metrics such as reduced security incidents, faster threat detection times, improved compliance scores, and successful mitigation of identified risks, often detailed in performance work statements and subject to regular review.
How does the 'full and open competition' process ensure that the $31.5 million price tag represents optimal value for the taxpayer?
Full and open competition theoretically ensures optimal value by allowing all responsible sources to submit bids, fostering a competitive environment. This process should drive down prices and encourage innovation. However, the actual value achieved depends on the clarity of the solicitation, the number and quality of bids received, and the agency's negotiation strategy to secure the best possible terms and pricing.
What are the primary risks associated with a nearly four-year contract for continuous monitoring services, and how are they mitigated?
Primary risks include technological obsolescence, evolving threat landscapes, potential vendor lock-in, and performance degradation over time. Mitigation strategies involve clearly defined performance standards, regular performance reviews, contract flexibility for technology updates, and contingency planning for vendor failure or unsatisfactory performance, ensuring the agency can adapt and maintain security.
Industry Classification
NAICS: Educational Services › Business Schools and Computer and Management Training › Computer Training
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - APLLICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 205 VAN BUREN ST, HERNDON, VA, 20170
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Not Designated a Small Business, Service Disabled Veteran Owned Business, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $47,999,960
Exercised Options: $37,209,726
Current Obligation: $31,480,179
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: GS35F0569V
IDV Type: FSS
Timeline
Start Date: 2022-11-05
Current End Date: 2026-09-04
Potential End Date: 2027-09-04 00:00:00
Last Modified: 2026-01-14
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