HHS Awards $15.3M for Custom Computer Programming Services to Northrop Grumman
Contract Overview
Contract Amount: $15,288,483 ($15.3M)
Contractor: Northrop Grumman Systems Corporation
Awarding Agency: Department of Health and Human Services
Start Date: 2003-09-16
End Date: 2004-11-30
Contract Duration: 441 days
Daily Burn Rate: $34.7K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: COST PLUS FIXED FEE
Sector: IT
Official Description: MULTIPLE CONTRACT TYPES
Place of Performance
Location: ATLANTA, DEKALB County, GEORGIA, 30341
State: Georgia Government Spending
Plain-Language Summary
Department of Health and Human Services obligated $15.3 million to NORTHROP GRUMMAN SYSTEMS CORPORATION for work described as: MULTIPLE CONTRACT TYPES Key points: 1. Spending of $15.3M on custom computer programming services. 2. Contract awarded to Northrop Grumman Systems Corporation. 3. Full and open competition was utilized. 4. Services provided by the Centers for Disease Control and Prevention (CDC).
Value Assessment
Rating: fair
The contract utilized a Cost Plus Fixed Fee (CPFF) pricing structure, which can lead to cost overruns if not managed carefully. Benchmarking CPFF contracts for custom programming services is challenging due to variability in scope and complexity.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a robust price discovery process. However, the CPFF structure may limit the direct benefit of competition on final cost.
Taxpayer Impact: Taxpayer funds were used for custom computer programming services, with the final cost influenced by the CPFF structure and the competitive bidding process.
Public Impact
Public health initiatives may benefit from enhanced IT infrastructure and custom software solutions. The CDC's operational efficiency could be improved through these services. Transparency in government IT spending is crucial for public trust.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- CPFF pricing structure can lead to cost uncertainty.
- Contract duration and delivery order structure may indicate evolving needs.
Positive Signals
- Awarded under full and open competition.
- Services support a critical public health agency.
Sector Analysis
This contract falls within the IT services sector, specifically custom computer programming. Benchmarks for IT services vary widely based on complexity, duration, and specific technologies employed.
Small Business Impact
The data does not indicate any specific set-asides for small businesses, suggesting that larger contractors were likely the primary participants in the competition.
Oversight & Accountability
Oversight of CPFF contracts is critical to ensure costs remain reasonable and that the scope of work aligns with the fixed fee. The contracting agency (HHS/CDC) is responsible for monitoring performance and expenditures.
Related Government Programs
- Custom Computer Programming Services
- Department of Health and Human Services Contracting
- Centers for Disease Control and Prevention Programs
Risk Flags
- Potential for cost overruns due to CPFF structure.
- Lack of specific service details limits understanding of value.
- No indication of small business participation.
- Contract duration (441 days) suggests a significant project scope.
Tags
custom-computer-programming-services, department-of-health-and-human-services, ga, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $15.3 million to NORTHROP GRUMMAN SYSTEMS CORPORATION. MULTIPLE CONTRACT TYPES
Who is the contractor on this award?
The obligated recipient is NORTHROP GRUMMAN SYSTEMS CORPORATION.
Which agency awarded this contract?
Awarding agency: Department of Health and Human Services (Centers for Disease Control and Prevention).
What is the total obligated amount?
The obligated amount is $15.3 million.
What is the period of performance?
Start: 2003-09-16. End: 2004-11-30.
What was the final cost of the contract, and how did it compare to the initial estimates given the CPFF structure?
The provided data shows an award amount of $15,288,482.76. With a Cost Plus Fixed Fee (CPFF) contract, the final cost is the sum of allowable costs incurred plus a predetermined fixed fee. Without initial estimates or a breakdown of incurred costs versus the fixed fee, a direct comparison to initial projections is not possible from this data alone.
What specific custom computer programming services were rendered, and how did they contribute to the CDC's mission?
The data identifies the service category as 'Custom Computer Programming Services' (NAICS 541511) but does not detail the specific projects or deliverables. These services likely involved developing, testing, and implementing software solutions to support the CDC's public health surveillance, data analysis, or operational needs.
How effective was the full and open competition in achieving competitive pricing for this CPFF contract?
While full and open competition is generally a strong mechanism for price discovery, its effectiveness with a Cost Plus Fixed Fee (CPFF) structure is nuanced. Competition likely drove down the initial fixed fee and ensured a qualified pool of bidders, but the ultimate cost is heavily influenced by the contractor's ability to manage allowable costs efficiently.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Custom Computer Programming Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Northrop Grumman Corporation
Address: 12900 FEDERAL SYSTEMS PARK DR, FAIRFAX, VA, 22033
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $80,839,918
Exercised Options: $80,839,918
Current Obligation: $15,288,483
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Parent Contract
Parent Award PIID: HHSD200200200555I
IDV Type: IDC
Timeline
Start Date: 2003-09-16
Current End Date: 2004-11-30
Potential End Date: 2004-11-30 00:00:00
Last Modified: 2023-02-26
More Contracts from Northrop Grumman Systems Corporation
- 200506!000026!5700!fa8214!oo-Alc/Pkme/Lmke !F4261098C0001 !A!N! !Y! !p01502!20041213!20050701!001563738!004179453!016435559!n!northrop Grumman Space & Missi!888 S 2000 E !clearfield !ut!84015!13850!011!49!clearfield !davis !utah !-000001960000!n!n!000000000000!l014!tech REP Svcs/Guided Missiles !A2 !missile and Space Systems !302 !minuteman III GRP !541330!E! !3! ! !C! ! !20200930!B! ! !A! !a!n!l!2!002!b! !Z!Y!Z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! ! ! ! !0001! ! — $10.0B (Department of Defense)
- E-2D Advanced Hawkeye Aircraft (FRP-7) — $8.5B (Department of Defense)
- E-2D Advanced Hawkeye Aircraft (FRP-2) — $5.4B (Department of Defense)
- First DDT and E, Ares I-X, and Flight Tests. First Stage Will BE a Five Segment, Solid Rocket Booster Derived From the Space Shuttle Program (SSP) Solid Rocket Booster (srb)/Reusable Solid Rocket Motor (rsrm). the Contractor Shall Furnish the Necessary Management, Engineering, Labor, Facilities, Tools, Equipment, and Materials Required for First Stage Development, Qualification, Certification and Acceptance Program. Activities Include: Redesign and Testing of the Motor to Incorporate the Fifth Segment and Production of Five Full Scale Ground Static Test Motors: TWO Development Motors (dms)-And Three Qualification Motors (QMS); Structural Test Article (STA), Ground Vibration Test Motors (gvtms) and Other Development Testing; Redesign of the Avionics, Deceleration, Separation, and Flight Termination System (FTS) Subsystems; Ares I-X: Simulated Ares I Outer Mold Line/Mass Properties Using Modified Srb/Rsrm; and Three Flight Test Vehicles. TAS::80 0124::TAS — $4.4B (National Aeronautics and Space Administration)
- Federal Contract — $4.4B (Department of Defense)
View all Northrop Grumman Systems Corporation federal contracts →
Other Department of Health and Human Services Contracts
- Contact Center Operations (CCO) — $5.5B (Maximus Federal Services, Inc.)
- TAS::75 0849::TAS Oper of Govt R&D Goco Facilities — $4.8B (Leidos Biomedical Research Inc)
- THE Purpose of This Contract IS to Provide the Full Complement of Services Necessary to Care for UC in ORR Custody Including Facilities Set-Up, Maintenance, and Support Internal and Perimeter (IF Applicable) Security, Direct Care and Supervision Inc — $3.5B (Rapid Deployment Inc)
- Contact Center Operations — $2.6B (Maximus Federal Services, Inc.)
- Federal Contract — $2.4B (Leidos Biomedical Research Inc)
View all Department of Health and Human Services contracts →