DoD's $14.4M Contract for Acquisition Support Services with CACI, Inc. Faces Scrutiny Over Value and Competition

Contract Overview

Contract Amount: $14,373,259 ($14.4M)

Contractor: CACI, Inc. - Federal

Awarding Agency: Department of Defense

Start Date: 2005-06-29

End Date: 2011-03-31

Contract Duration: 2,101 days

Daily Burn Rate: $6.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: 200512!000033!9700!HQ0034!WHS A&PO !GS10F0226K !C!N! !N!HQ003405F1005! !20050629!20050930!114896066!094107844!045534641!N!CACI, INC - FEDERAL !14151 PARK MEADOW DRIVE !CHANTILLY !VA!20151!03000!013!51!ARLINGTON !ARLINGTON !VIRGINIA !+000000691864!N!N!000000000000!R707!CONTRACT, PROCUREMENT & ACQUISITION SUPPORT SVCS !S1 !SERVICES !000 !* !541611!E! !6! ! ! ! ! !20200930!B! ! ! ! !A! ! ! !000! ! ! ! ! ! ! !Y!C!N!N! ! ! ! ! ! !000! ! ! ! ! ! ! ! ! !0001! !

Place of Performance

Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22209, UNITED STATES OF AMERICA

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $14.4 million to CACI, INC. - FEDERAL for work described as: 200512!000033!9700!HQ0034!WHS A&PO !GS10F0226K !C!N! !N!HQ003405F1005! !20050629!20050930!114896066!094107844!045534641!N!CACI, INC - FEDERAL !14151 PARK MEADOW DRIVE !CHANTILLY !VA!20151!03000!013!51!ARLINGTON !ARLI… Key points: 1. The contract awarded to CACI, Inc. for acquisition support services totaled $14,373,258.98. 2. Competition was full and open, suggesting a potentially competitive bidding process. 3. The contract duration of 2101 days (approx. 5.7 years) raises questions about long-term needs and potential for re-competition. 4. The sector is professional services, specifically administrative management and general management consulting.

Value Assessment

Rating: questionable

The contract value of $14.4M over nearly 6 years for administrative management consulting services appears high, especially without clear performance metrics or benchmarks provided. Further analysis is needed to determine if this pricing is competitive for the scope of services rendered.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which is a positive sign for price discovery. However, the extended duration might limit the impact of competition over time if the scope remains static.

Taxpayer Impact: The significant expenditure of taxpayer funds necessitates a thorough review to ensure value for money and that competitive pricing was achieved throughout the contract's life.

Public Impact

Taxpayers may be overpaying for administrative support services if the contract's scope and pricing are not continuously optimized. The long duration of the contract could indicate a lack of agility in adapting to evolving government needs. Dependence on a single contractor for an extended period might stifle innovation and reduce the incentive for cost savings.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Extended contract duration
Potential for cost overruns
Lack of clear performance metrics

Positive Signals

Full and open competition awarded
Established contractor with federal experience

Sector Analysis

This contract falls within the professional services sector, specifically administrative management and general management consulting. Benchmarks for similar long-term contracts in this area are crucial for assessing value, but are not readily available in the provided data.

Small Business Impact

The data does not indicate any specific set-asides for small businesses, nor does it provide information on subcontracting opportunities for small businesses within this contract. Further investigation is needed to assess small business participation.

Oversight & Accountability

Oversight of this contract is managed by the Washington Headquarters Services (WHS) A&PO within the Department of Defense. The long duration warrants consistent oversight to ensure performance and cost-effectiveness.

Related Government Programs

Administrative Management and General Management Consulting Services
Department of Defense Contracting
Washington Headquarters Services Programs

Risk Flags

Extended contract duration may not reflect current needs.
Potential for cost creep over the contract's life.
Lack of detailed performance metrics provided.
Limited visibility into small business participation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $14.4 million to CACI, INC. - FEDERAL. 200512!000033!9700!HQ0034!WHS A&PO !GS10F0226K !C!N! !N!HQ003405F1005! !20050629!20050930!114896066!094107844!045534641!N!CACI, INC - FEDERAL !14151 PARK MEADOW DRIVE !CHANTILLY !VA!20151!03000!013!51!ARLINGTON !ARLINGTON !VIRGINIA !+000000691864!N!N!000000000000!R707!CONTRACT, PROCUREMENT & ACQUISITION SUPPORT SVCS !S1 !SERVICES !000 !* !541611!E! !6! ! ! ! ! !202

Who is the contractor on this award?

The obligated recipient is CACI, INC. - FEDERAL.

Which agency awarded this contract?

Awarding agency: Department of Defense (Washington Headquarters Services).

What is the total obligated amount?

The obligated amount is $14.4 million.

What is the period of performance?

Start: 2005-06-29. End: 2011-03-31.

What specific acquisition support services were provided under this contract, and how do they align with the stated NAICS code (541611)?

The contract is for 'CONTRACT, PROCUREMENT & ACQUISITION SUPPORT SVCS'. The NAICS code 541611, 'Administrative Management and General Management Consulting Services,' suggests that CACI provided consulting and advisory services related to improving the efficiency and effectiveness of DoD's procurement and acquisition processes, rather than direct execution of contracts.

Given the contract's duration of over 5 years, what mechanisms were in place to ensure continued cost-effectiveness and prevent vendor lock-in?

While awarded under full and open competition, the extended duration raises concerns about potential vendor lock-in and sustained cost-effectiveness. Mechanisms like regular price reviews, performance-based incentives, and clear exit strategies should have been incorporated to mitigate these risks and ensure ongoing value.

How does the total contract value of approximately $14.4 million compare to industry benchmarks for similar long-term acquisition support services provided to large federal agencies?

Without specific details on the scope of services, deliverables, and performance metrics, a direct benchmark comparison is challenging. However, for administrative and management consulting, a nearly six-year contract valued at this amount warrants scrutiny to ensure it represents competitive market rates and delivers demonstrable value to the Department of Defense.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: CACI International Inc (UEI: 045534641)

Address: 14370 NEWBROOK DRIVE, CHANTILLY, VA, 20151

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $18,205,984

Exercised Options: $4,143,329

Current Obligation: $14,373,259

Parent Contract

Parent Award PIID: GS10F0226K

IDV Type: FSS

Timeline