HHS awards $28M IT support contract to Booz Allen Hamilton via full and open competition

Contract Overview

Contract Amount: $27,990,835 ($28.0M)

Contractor: Booz Allen Hamilton Inc

Awarding Agency: Department of Health and Human Services

Start Date: 2011-07-28

End Date: 2016-05-31

Contract Duration: 1,769 days

Daily Burn Rate: $15.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: INFORMATION TECHNOLOGY MANAGEMENT SUPPORT

Place of Performance

Location: MCLEAN, FAIRFAX County, VIRGINIA, 22102

State: Virginia Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $28.0 million to BOOZ ALLEN HAMILTON INC for work described as: INFORMATION TECHNOLOGY MANAGEMENT SUPPORT Key points: 1. Contract value of $27.99M over 5 years. 2. Booz Allen Hamilton is a large, established prime contractor. 3. Competition was full and open, suggesting potential for competitive pricing. 4. IT services sector is broad, with many potential competitors.

Value Assessment

Rating: good

The contract was awarded via Time and Materials, which can lead to cost overruns if not managed closely. However, the full and open competition suggests a baseline for fair pricing was established.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, allowing all responsible sources to submit offers. This method generally promotes price discovery and competitive pricing.

Taxpayer Impact: The competitive nature of the award suggests taxpayers likely received fair market value for the services rendered.

Public Impact

Ensures continued IT management support for NIH operations. Supports critical health research and public health initiatives. Provides stable employment for IT professionals within the contractor's workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Time and Materials pricing can inflate costs without strict oversight.
  • Contract duration is substantial, requiring ongoing performance monitoring.

Positive Signals

  • Full and open competition utilized.
  • Established prime contractor with a strong track record.

Sector Analysis

This contract falls within the IT services sector, specifically computer systems design. Spending in this sector is significant across federal agencies, supporting a wide range of mission requirements.

Small Business Impact

The contract was not awarded to a small business. While this specific award did not benefit small businesses, the overall federal IT market offers numerous opportunities for small business participation in subcontracting or other prime contracts.

Oversight & Accountability

The contract was awarded as a Delivery Order under a larger contract vehicle. Oversight would typically involve program managers at NIH monitoring performance and costs, especially given the Time and Materials pricing structure.

Related Government Programs

  • Computer Systems Design Services
  • Department of Health and Human Services Contracting
  • National Institutes of Health Programs

Risk Flags

  • Potential for cost overruns due to Time and Materials pricing.
  • Long contract duration requires sustained oversight.
  • Lack of small business participation in this specific award.
  • Dependence on a single large contractor for critical IT functions.

Tags

computer-systems-design-services, department-of-health-and-human-services, va, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $28.0 million to BOOZ ALLEN HAMILTON INC. INFORMATION TECHNOLOGY MANAGEMENT SUPPORT

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 $28.0 million.

What is the period of performance?

Start: 2011-07-28. End: 2016-05-31.

What was the average hourly rate for key labor categories under this Time and Materials contract, and how did it compare to government estimates or market benchmarks?

Analyzing the average hourly rates for specific labor categories is crucial for assessing value. Without this granular data, it's difficult to definitively state if the pricing was optimal. However, the full and open competition implies that the rates were likely competitive at the time of award, but ongoing monitoring would be necessary to ensure they remained fair throughout the contract's life.

What mechanisms were in place to mitigate the risks associated with Time and Materials pricing, such as cost ceilings or regular performance reviews?

Effective mitigation of Time and Materials risks typically involves establishing clear cost ceilings, requiring detailed justifications for hours worked, and conducting regular performance reviews. The contracting officer and program managers at NIH would be responsible for implementing these controls to ensure the contractor's efforts align with project goals and budget constraints.

How effectively did Booz Allen Hamilton's IT management support contribute to the National Institutes of Health's mission objectives during the contract period?

The effectiveness of the IT support is best measured by its contribution to NIH's mission, such as enabling research, facilitating data management, and ensuring system uptime. While the contract value and duration indicate a significant role, a detailed assessment would require reviewing NIH's program performance metrics and user satisfaction surveys related to the IT services provided.

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 TELECOMMUNICATIONSADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

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

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: $27,990,835

Exercised Options: $27,990,835

Current Obligation: $27,990,835

Subaward Activity

Number of Subawards: 3

Total Subaward Amount: $4,057,069

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Parent Contract

Parent Award PIID: GS35F0306J

IDV Type: FSS

Timeline

Start Date: 2011-07-28

Current End Date: 2016-05-31

Potential End Date: 2016-05-31 00:00:00

Last Modified: 2021-06-21

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