HHS awards $10.1M for ORADSS, with Booz Allen Hamilton as prime contractor

Contract Overview

Contract Amount: $10,123,241 ($10.1M)

Contractor: Booz Allen Hamilton Inc

Awarding Agency: Department of Health and Human Services

Start Date: 2006-09-06

End Date: 2010-09-14

Contract Duration: 1,469 days

Daily Burn Rate: $6.9K/day

Competition Type: COMPETITIVE DELIVERY ORDER

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: ORADSS

Place of Performance

Location: GERMANTOWN, MONTGOMERY County, MARYLAND, 20875

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $10.1 million to BOOZ ALLEN HAMILTON INC for work described as: ORADSS Key points: 1. Contract value of $10.1M over 4 years. 2. Booz Allen Hamilton is the sole prime contractor. 3. Risk of limited competition due to sole prime. 4. Spending falls within IT sector benchmarks.

Value Assessment

Rating: fair

The contract was awarded on a Time and Materials basis, which can lead to cost overruns if not managed carefully. Benchmarking against similar IT support contracts is difficult without more detailed cost breakdowns.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This was a competitive delivery order, but the prime contractor is Booz Allen Hamilton, suggesting a limited number of direct competitors for the prime role. The pricing mechanism (Time and Materials) may not incentivize cost efficiency.

Taxpayer Impact: Taxpayer funds are being used for IT support services. The lack of robust competition and the T&M pricing structure could lead to less than optimal value for money.

Public Impact

Ensures continued IT support for critical FDA functions. Potential for cost increases due to T&M contract type. Limited visibility into subcontractor performance and costs.

Waste & Efficiency Indicators

Waste Risk Score: 65 / 10

Warning Flags

Time and Materials pricing
Limited competition at prime level
Long contract duration

Positive Signals

Established contractor
Competitive delivery order

Sector Analysis

This contract falls under the Information Technology sector, specifically for IT support services. Spending on IT services by federal agencies is substantial, and this award represents a small portion of that overall expenditure.

Small Business Impact

There is no explicit indication of small business participation in the provided data. The prime contractor is a large business, and further analysis would be needed to determine if small businesses were involved as subcontractors.

Oversight & Accountability

Oversight would typically be managed by the FDA contracting officer and program managers. The Time and Materials contract type necessitates close monitoring of labor hours and rates to ensure cost control and prevent waste.

Related Government Programs

Department of Health and Human Services Contracting
Food and Drug Administration Programs

Risk Flags

Potential for cost overruns due to T&M pricing.
Limited visibility into prime contractor's cost structure.
Lack of explicit small business participation.
Long contract duration without clear performance metrics.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $10.1 million to BOOZ ALLEN HAMILTON INC. ORADSS

Who is the contractor on this award?

The obligated recipient is BOOZ ALLEN HAMILTON INC.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Food and Drug Administration).

What is the total obligated amount?

The obligated amount is $10.1 million.

What is the period of performance?

Start: 2006-09-06. End: 2010-09-14.

What was the justification for awarding this contract to Booz Allen Hamilton, and were there any sole-source justifications involved?

The data indicates this was a 'COMPETITIVE DELIVERY ORDER' but lists 'BOOZ ALLEN HAMILTON INC' as the prime. This suggests competition may have occurred at a higher level (e.g., a pre-competed IDIQ) or that Booz Allen was the only offeror to meet specific requirements for this particular order. Further details on the specific competition mechanism are needed for a complete understanding.

How does the Time and Materials pricing structure compare to fixed-price or other contract types for similar IT support services in the federal government?

Time and Materials (T&M) contracts are generally considered higher risk for the government as they do not provide a ceiling on the total cost. They are often used when the scope of work is not well-defined. Fixed-price contracts typically offer better cost certainty and incentivize contractor efficiency, making them generally preferred for well-defined requirements.

What specific IT services were provided under this contract, and how critical were they to the FDA's mission?

The contract identifier 'ORADSS' likely refers to specific IT services or systems supported. Without further information on what ORADSS entails, it's difficult to assess the criticality. However, given it's within the FDA, it's reasonable to assume these services support essential public health functions, making reliable IT infrastructure and support crucial.

Competition & Pricing

Extent Competed: COMPETITIVE DELIVERY ORDER

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Booz Allen Hamilton Holding Corporation (UEI: 964725688)

Address: 8283 GREENSBORO DR # 700, MC LEAN, VA, 22102

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $10,303,636

Exercised Options: $10,123,241

Current Obligation: $10,123,241

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 26301D0072

IDV Type: IDC

Timeline