Army Awards $101M SIPR Network Contract to CACI, Inc. for Defense Information Systems Agency

Contract Overview

Contract Amount: $101,234,187 ($101.2M)

Contractor: CACI, Inc. - Federal

Awarding Agency: Department of Defense

Start Date: 2024-02-14

End Date: 2026-02-13

Contract Duration: 730 days

Daily Burn Rate: $138.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: US ARMY GLOBAL SIPR NETWORK

Place of Performance

Location: CHANTILLY, FAIRFAX County, VIRGINIA, 20151

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $101.2 million to CACI, INC. - FEDERAL for work described as: US ARMY GLOBAL SIPR NETWORK Key points: 1. Significant contract value of $101.2 million for critical global network services. 2. CACI, Inc. - Federal is the prime contractor, indicating established capabilities. 3. Full and open competition was utilized, suggesting a competitive bidding process. 4. The contract spans two years, covering essential network operations and support.

Value Assessment

Rating: good

The contract is a delivery order under a larger contract, making direct pricing comparisons difficult. However, the award amount appears reasonable for the scope of global network services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

Full and open competition was employed, allowing multiple vendors to bid. This method generally promotes competitive pricing and ensures the government receives best value.

Taxpayer Impact: The competitive nature of the award is expected to yield fair pricing, maximizing taxpayer value for essential defense network infrastructure.

Public Impact

Ensures continued operation and security of the Army's global SIPR network. Supports critical communication infrastructure for national defense operations. Impacts users relying on secure access to classified information. Contributes to the overall cybersecurity posture of the Department of Defense.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Contract duration is relatively short (2 years), potentially leading to frequent re-competition and transition costs.
  • Specific performance metrics and penalties are not detailed in the provided data.

Positive Signals

  • Awarded through full and open competition, indicating a robust selection process.
  • CACI has a strong track record in IT services for the federal government.
  • The contract supports a critical national security function.

Sector Analysis

This contract falls within the IT services sector, specifically focusing on network operations and support for a major government agency. Spending benchmarks for similar large-scale network infrastructure contracts vary widely based on scope and duration.

Small Business Impact

The provided data does not indicate any specific subcontracting requirements for small businesses on this particular delivery order. Further analysis would be needed to determine small business participation.

Oversight & Accountability

The contract is managed by the Defense Information Systems Agency (DISA), a key component of the Department of Defense responsible for IT infrastructure. Oversight is expected to be robust given the critical nature of the network.

Related Government Programs

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

Risk Flags

  • Potential for vendor lock-in if not managed carefully.
  • Dependence on a single contractor for critical network infrastructure.
  • Risk of cost overruns if not adequately monitored under the CPFF structure.
  • Cybersecurity vulnerabilities inherent in large-scale network operations.

Tags

other-computer-related-services, department-of-defense, va, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $101.2 million to CACI, INC. - FEDERAL. US ARMY GLOBAL SIPR NETWORK

Who is the contractor on this award?

The obligated recipient is CACI, INC. - FEDERAL.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $101.2 million.

What is the period of performance?

Start: 2024-02-14. End: 2026-02-13.

What is the total value of the parent contract from which this delivery order was issued?

The provided data only details the value of this specific delivery order ($101.2 million). The total value of the parent contract is not specified. Understanding the parent contract's value is crucial for assessing the long-term commitment and potential for future task orders or modifications.

How does the per-unit cost of network services compare to industry benchmarks for similar global SIPR network operations?

A direct per-unit cost benchmark is not available without more granular data on the services provided (e.g., per user, per site, per bandwidth unit). However, the contract type (Cost Plus Fixed Fee) suggests that costs will be monitored closely against a fixed fee for profit, and the competitive award process implies a reasonable price was determined.

What are the key performance indicators (KPIs) and service level agreements (SLAs) associated with this contract to ensure effectiveness?

The provided data does not specify the key performance indicators or service level agreements. These are critical for measuring the contractor's performance and ensuring the effectiveness of the global SIPR network. Further review of the contract documentation would be necessary to assess these details.

Industry Classification

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

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: HC102815R0030

Offers Received: 4

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: CACI International Inc

Address: 14370 NEWBROOK DRIVE, CHANTILLY, VA, 20151

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

Financial Breakdown

Contract Ceiling: $238,974,016

Exercised Options: $102,393,888

Current Obligation: $101,234,187

Subaward Activity

Number of Subawards: 34

Total Subaward Amount: $106,669,501

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HC102818D0007

IDV Type: IDC

Timeline

Start Date: 2024-02-14

Current End Date: 2026-02-13

Potential End Date: 2029-02-13 00:00:00

Last Modified: 2025-10-06

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