HHS awards $87.8M for NIH IT support, Booz Allen Hamilton wins contract
Contract Overview
Contract Amount: $87,760,041 ($87.8M)
Contractor: Booz Allen Hamilton Inc
Awarding Agency: Department of Health and Human Services
Start Date: 2010-09-01
End Date: 2015-08-31
Contract Duration: 1,825 days
Daily Burn Rate: $48.1K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: TIME AND MATERIALS
Sector: IT
Official Description: TAS::75 0844::TAS MANAGEMENT INFORMATION SUPPORT SYSTEM
Place of Performance
Location: ROCKVILLE, MONTGOMERY County, MARYLAND, 20850
State: Maryland Government Spending
Plain-Language Summary
Department of Health and Human Services obligated $87.8 million to BOOZ ALLEN HAMILTON INC for work described as: TAS::75 0844::TAS MANAGEMENT INFORMATION SUPPORT SYSTEM Key points: 1. Contract awarded to Booz Allen Hamilton for $87.8M over 5 years. 2. Services include computer systems design, a competitive IT sector. 3. Risk of vendor lock-in and cost overruns exists. 4. Spending is within the typical range for IT support services.
Value Assessment
Rating: good
The contract value of $87.8M over five years averages to approximately $17.56M annually. This appears reasonable for comprehensive IT management information support systems, considering the complexity and scope of NIH operations.
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. This method typically leads to more competitive pricing by allowing all eligible vendors to bid.
Taxpayer Impact: Full and open competition generally benefits taxpayers by ensuring fair pricing and access to the best value solutions available in the market.
Public Impact
Ensures continued operation of critical IT systems for the National Institutes of Health. Supports research and public health initiatives through reliable technology infrastructure. Potential for innovation in IT service delivery through competitive bidding.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for scope creep in IT projects.
- Reliance on a single vendor for critical IT functions.
- Contract type (Time and Materials) can lead to cost overruns if not managed closely.
Positive Signals
- Awarded through full and open competition.
- Supports a vital government agency (NIH).
- Long-term contract provides stability for IT services.
Sector Analysis
The IT sector is highly competitive, with numerous firms offering computer systems design services. Spending benchmarks for similar contracts vary widely based on scope, but $87.8M over five years for a large agency like NIH is within a plausible range.
Small Business Impact
While this contract was awarded to a large business (Booz Allen Hamilton), the competitive nature of the IT sector often provides opportunities for small businesses to participate as subcontractors or through future set-aside contracts.
Oversight & Accountability
The contract was awarded by the Department of Health and Human Services, National Institutes of Health. Oversight would typically involve program managers ensuring performance and adherence to contract terms, with potential for audits.
Related Government Programs
- Computer Systems Design Services
- Department of Health and Human Services Contracting
- National Institutes of Health Programs
Risk Flags
- Time and Materials contract type.
- Potential for vendor lock-in.
- Reliance on a single large business prime.
- Complexity of NIH IT infrastructure.
Tags
computer-systems-design-services, department-of-health-and-human-services, md, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $87.8 million to BOOZ ALLEN HAMILTON INC. TAS::75 0844::TAS MANAGEMENT INFORMATION SUPPORT SYSTEM
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 (National Institutes of Health).
What is the total obligated amount?
The obligated amount is $87.8 million.
What is the period of performance?
Start: 2010-09-01. End: 2015-08-31.
What specific IT management information systems are covered under this contract, and how critical are they to NIH's mission?
The contract covers computer systems design services for the TAS Management Information Support System. These systems are critical for managing administrative and financial operations within the National Institutes of Health, directly impacting the efficiency of research funding and support.
What measures are in place to mitigate the risks associated with a Time and Materials contract for IT services?
Effective oversight is crucial. This includes detailed monitoring of labor hours and material costs, clear task definitions, and robust performance metrics. Regular reviews and strong contract management by NIH officials are essential to prevent cost overruns and ensure value.
How does the performance of this contract compare to industry benchmarks for similar IT support services?
Benchmarking requires detailed performance data not available here. However, given the full and open competition and the duration, the expectation is that Booz Allen Hamilton delivers services meeting or exceeding industry standards for reliability, security, and responsiveness within the agreed budget.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design 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
Offers Received: 1
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Parent Company: Booz Allen Hamilton Holding Corporation
Address: 8283 GREENSBORO DR, MCLEAN, VA, 22102
Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $177,883,113
Exercised Options: $87,760,041
Current Obligation: $87,760,041
Subaward Activity
Number of Subawards: 1
Total Subaward Amount: $9,289,981
Contract Characteristics
Commercial Item: COMMERCIAL ITEM
Parent Contract
Parent Award PIID: GS35F0306J
IDV Type: FSS
Timeline
Start Date: 2010-09-01
Current End Date: 2015-08-31
Potential End Date: 2015-08-31 00:00:00
Last Modified: 2023-04-05
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