DoD Awards $5.7M IT Enterprise Contract to Leidos for Special Access Program Support

Contract Overview

Contract Amount: $5,726,419 ($5.7M)

Contractor: Leidos, Inc.

Awarding Agency: Department of Defense

Start Date: 2025-12-22

End Date: 2026-12-21

Contract Duration: 364 days

Daily Burn Rate: $15.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: THE PURPOSE OF THIS REQUIREMENT IS TO DEVELOP, ENHANCE, AND SUSTAIN A SPECIAL ACCESS PROGRAM (SAP) INFORMATION TECHNOLOGY (IT) ENTERPRISE VIA A HYBRID CLOUD AND ON-PREMISES SOLUTION.

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 $5.7 million to LEIDOS, INC. for work described as: THE PURPOSE OF THIS REQUIREMENT IS TO DEVELOP, ENHANCE, AND SUSTAIN A SPECIAL ACCESS PROGRAM (SAP) INFORMATION TECHNOLOGY (IT) ENTERPRISE VIA A HYBRID CLOUD AND ON-PREMISES SOLUTION. Key points: 1. Leidos, Inc. secured a $5.7M contract for IT enterprise development and sustainment. 2. The contract supports a Special Access Program (SAP) using a hybrid cloud/on-premises solution. 3. Competition was full and open, suggesting a competitive pricing environment. 4. The sector is IT services, specifically Computer Systems Design. 5. The award is a Delivery Order under a larger contract.

Value Assessment

Rating: good

The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. However, the award amount of $5.7M for a 1-year duration seems reasonable for complex IT enterprise support.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a robust process for soliciting bids and ensuring a competitive price. This method generally leads to better value for the government.

Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for critical IT infrastructure.

Public Impact

Supports a sensitive Special Access Program, highlighting the need for secure and reliable IT infrastructure. The hybrid cloud and on-premises solution indicates a modern approach to IT service delivery. The contract duration of one year with potential for future orders suggests ongoing support needs. The award to Leidos, a major defense contractor, indicates a significant investment in this area.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Fixed Fee contract type can incentivize contractor to increase costs.
  • Small business participation is not indicated, potentially missing opportunities for smaller innovative firms.

Positive Signals

  • Full and open competition ensures a competitive pricing environment.
  • The contract supports a critical Special Access Program, indicating high priority.
  • The use of a hybrid cloud solution suggests a forward-looking IT strategy.

Sector Analysis

This contract falls within the IT services sector, specifically Computer Systems Design Services. Spending in this area is substantial across the federal government, supporting critical infrastructure and operational needs.

Small Business Impact

The data indicates that small business participation was not a stated factor in this award (ss=false, sb=false). While Leidos is a large business, opportunities for small businesses in subcontracting roles are not detailed here.

Oversight & Accountability

As a Delivery Order under a larger contract, oversight may be integrated into the parent contract's framework. The specific agency, DISA, is responsible for managing and overseeing IT contracts for the DoD.

Related Government Programs

  • Computer Systems Design Services
  • Department of Defense Contracting
  • Defense Information Systems Agency Programs

Risk Flags

  • Cost Plus Fixed Fee contract type.
  • Lack of explicit small business participation.
  • Sensitive nature of Special Access Program requires high vigilance.
  • Reliance on a single delivery order without full contract context.

Tags

computer-systems-design-services, department-of-defense, dc, delivery-order, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $5.7 million to LEIDOS, INC.. THE PURPOSE OF THIS REQUIREMENT IS TO DEVELOP, ENHANCE, AND SUSTAIN A SPECIAL ACCESS PROGRAM (SAP) INFORMATION TECHNOLOGY (IT) ENTERPRISE VIA A HYBRID CLOUD AND ON-PREMISES SOLUTION.

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 $5.7 million.

What is the period of performance?

Start: 2025-12-22. End: 2026-12-21.

What is the total value of the parent contract from which this delivery order was issued, and what is the remaining scope?

The provided data only details this specific delivery order. To fully assess the value and long-term commitment, information on the overarching contract, including its total ceiling value, period of performance, and any previously awarded orders, would be necessary. This context is crucial for understanding the full scope of the requirement and potential future spending.

How will the Cost Plus Fixed Fee structure be managed to mitigate potential cost overruns for this SAP IT Enterprise?

Effective management of a Cost Plus Fixed Fee (CPFF) contract, especially for a Special Access Program (SAP), requires rigorous oversight, detailed cost tracking, and clear performance metrics. The Defense Information Systems Agency (DISA) must implement robust financial controls and regular audits to ensure costs remain within reasonable bounds and that the fixed fee is justified by the delivered value and complexity of the IT enterprise.

What specific security protocols and compliance measures are in place for the SAP IT Enterprise, given its sensitive nature?

Given the requirement supports a Special Access Program (SAP), stringent security protocols and compliance measures are paramount. While not detailed in the award data, such a contract would necessitate adherence to the highest levels of classified information handling, cybersecurity standards (e.g., NIST, RMF), and specific SAP security directives. The contractor, Leidos, would be expected to demonstrate a proven track record in secure IT environments.

Industry Classification

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

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONSIT AND TELECOM - IT MANAGEMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: HC104717R0001

Offers Received: 4

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: $141,573,984

Exercised Options: $21,182,691

Current Obligation: $5,726,419

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HC104718D2009

IDV Type: IDC

Timeline

Start Date: 2025-12-22

Current End Date: 2026-12-21

Potential End Date: 2030-12-21 00:00:00

Last Modified: 2025-12-17

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