Leidos Inc. awarded $15.18M for NIH management and support services under full and open competition

Contract Overview

Contract Amount: $15,176,843 ($15.2M)

Contractor: Leidos, Inc.

Awarding Agency: Department of Health and Human Services

Start Date: 2007-02-12

End Date: 2011-07-31

Contract Duration: 1,630 days

Daily Burn Rate: $9.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: OTHER (APPLIES TO AWARDS WHERE NONE OF THE ABOVE APPLY)

Sector: Other

Official Description: SERVICES (MANAGEMENT/SUPPORT)

Place of Performance

Location: BETHESDA, MONTGOMERY County, MARYLAND, 20892

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $15.2 million to LEIDOS, INC. for work described as: SERVICES (MANAGEMENT/SUPPORT) Key points: 1. Contract awarded for management and support services, indicating a need for operational and administrative assistance. 2. The contract duration of 1630 days suggests a long-term requirement for these services. 3. Awarded by the National Institutes of Health, a key agency within the Department of Health and Human Services. 4. The North American Industry Classification System (NAICS) code 541512 points to computer systems design services, suggesting a technology-centric component to the support. 5. The contract was awarded via full and open competition, implying a broad market solicitation. 6. The award was a delivery order, suggesting it's part of a larger contract vehicle.

Value Assessment

Rating: fair

Benchmarking the value of this specific $15.18 million contract for management and support services is challenging without more granular data on the scope of services provided. However, the duration of over four years suggests a consistent need. Comparing it to similar contracts for IT support and management within HHS or NIH would provide better context. The absence of specific performance metrics or detailed service breakdowns makes a definitive value assessment difficult, but the competitive award process may have helped ensure reasonable pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, meaning that all responsible sources were permitted to submit a bid. This typically involves a broad solicitation process, such as issuing a Request for Proposal (RFP) on a government-wide point of entry. The number of bidders is not specified, but full and open competition generally fosters a competitive environment, which can lead to better price discovery and potentially lower costs for the government.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it maximizes the pool of potential offerors, increasing the likelihood of receiving competitive bids and achieving a fair market price.

Public Impact

The primary beneficiaries are the National Institutes of Health, receiving essential management and support services to facilitate its research and operational functions. The services delivered likely encompass administrative support, project management, and potentially IT-related assistance to various NIH departments. The geographic impact is centered in Maryland, where the contract is managed and likely where the services are performed. Workforce implications may include the creation or maintenance of jobs for individuals with expertise in management, administration, and potentially IT support roles.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics makes it difficult to assess the quality and effectiveness of the services provided.
The broad nature of 'management and support services' could lead to scope creep if not clearly defined and managed.
Reliance on a single contractor for an extended period (over 4 years) could reduce flexibility and potentially lead to complacency.

Positive Signals

Awarded through full and open competition, suggesting a robust selection process and potential for competitive pricing.
The contract's duration indicates a stable, long-term need, suggesting the services are valuable to the agency.
The contractor, Leidos, Inc., is a large and established entity with significant experience in government contracting, potentially bringing expertise and reliability.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically related to computer systems design and management support. The federal government is a significant purchaser of these services, with spending often concentrated in areas supporting IT infrastructure, research, and administrative functions. Comparable spending benchmarks would involve analyzing other contracts for similar management and IT support services awarded to large federal contractors by agencies like HHS.

Small Business Impact

This contract does not appear to have a small business set-aside component, as indicated by 'sb': false. Furthermore, the contractor, Leidos, Inc., is a large business. This suggests that small businesses are unlikely to be direct beneficiaries of this specific award. However, there may be subcontracting opportunities for small businesses if Leidos chooses to engage them for specialized support, though this is not explicitly detailed in the provided data.

Oversight & Accountability

Oversight for this contract would primarily reside with the contracting officers and program managers within the National Institutes of Health. Accountability measures are typically embedded in the contract terms, including performance standards and reporting requirements. Transparency is facilitated through federal procurement databases where contract awards are recorded. Inspector General jurisdiction would apply if any fraud, waste, or abuse related to the contract were suspected.

Related Government Programs

HHS Management and Support Services Contracts
NIH IT Support Contracts
Federal Professional Services Contracts
Leidos Inc. Government Contracts

Risk Flags

Potential for scope creep due to broad service description
Long contract duration may reduce flexibility
Lack of specific performance metrics in summary data

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $15.2 million to LEIDOS, INC.. SERVICES (MANAGEMENT/SUPPORT)

Who is the contractor on this award?

The obligated recipient is LEIDOS, 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 $15.2 million.

What is the period of performance?

Start: 2007-02-12. End: 2011-07-31.

What specific management and support services were included in this $15.18 million contract?

The provided data indicates the contract was for 'SERVICES (MANAGEMENT/SUPPORT)' and falls under NAICS code 541512 ('Computer Systems Design Services'). While the exact breakdown of services is not detailed, this suggests a combination of administrative, operational, and potentially IT-related support. This could encompass tasks such as project management, technical support, system administration, data management, and general administrative assistance to facilitate the operations of the National Institutes of Health. The duration of over four years implies a comprehensive and ongoing need for these functions.

How does the $15.18 million award compare to typical spending for similar services at NIH?

Without specific details on the scope and deliverables, a direct comparison is difficult. However, $15.18 million spread over approximately 4.5 years (February 2007 to July 2011) averages around $3.37 million per year. This figure needs to be contextualized against the overall NIH budget and the specific needs of the division or program receiving the support. NIH is a massive research institution, and annual spending on management and IT support can range significantly depending on the complexity and scale of the supported operations. Further analysis would require comparing this to other contracts for similar services awarded during the same period or to similar research institutions.

What is Leidos, Inc.'s track record with the federal government, particularly with HHS and NIH?

Leidos, Inc. (and its predecessor, Science Applications International Corporation - SAIC) has a long and extensive history of contracting with the U.S. federal government, including significant work with the Department of Health and Human Services (HHS) and its various agencies like the National Institutes of Health (NIH). They are a major government IT and services contractor, often handling large, complex programs. Their track record generally includes a wide range of services, from IT modernization and cybersecurity to healthcare IT and scientific support. While specific performance details for individual contracts vary, their sustained presence and large contract awards indicate a generally accepted capability and capacity to meet federal requirements.

What were the key performance indicators (KPIs) or success metrics for this contract?

The provided data does not include specific Key Performance Indicators (KPIs) or success metrics for this contract. Typically, such metrics are detailed within the contract's Statement of Work (SOW) or Performance Work Statement (PWS). For management and support services, KPIs might include response times for support requests, project completion rates, adherence to budget, user satisfaction surveys, system uptime, or successful implementation of new processes. The absence of this information in the summary data limits the ability to quantitatively assess the contractor's performance beyond the fact that the contract was completed.

Were there any notable risks or challenges associated with this contract during its performance period?

Potential risks inherent in contracts of this nature and duration include scope creep, where the requirements expand beyond the original agreement, leading to cost overruns or schedule delays. Another risk is the potential for vendor lock-in or a decline in service quality over time if not actively managed. Technical risks could involve the integration of new systems or the maintenance of legacy systems. Given the long performance period (over 4 years), ensuring consistent alignment with evolving NIH needs and maintaining effective communication and oversight would have been critical to mitigating these risks.

How did the 'full and open competition' process influence the pricing and outcome of this award?

The 'full and open competition' designation means that the solicitation was broadly advertised, allowing any qualified vendor to submit a proposal. This process is designed to maximize competition, which generally exerts downward pressure on pricing as vendors strive to offer the most competitive bids to win the contract. It also increases the pool of potential solutions, potentially leading to better value for the government. While the specific number of bidders isn't provided, the competitive nature of this award mechanism suggests that the government likely received multiple proposals, enabling a thorough evaluation and selection of the best value offer, presumably at a fair and reasonable price.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services

Product/Service Code: RESEARCH AND DEVELOPMENT › DEFENSE (OTHER) R&D

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: OTHER (APPLIES TO AWARDS WHERE NONE OF THE ABOVE APPLY) (3)

Evaluated Preference: NONE

Contractor Details

Parent Company: Leidos Holdings, Inc.

Address: 11951 FREEDOM DR, RESTON, VA, 20190

Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $28,955,280

Exercised Options: $18,417,133

Current Obligation: $15,176,843

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 263010046

IDV Type: IDC

Timeline