DoD's $27.9M IT Incubator Contract Lacks Competition and Transparency
Contract Overview
Contract Amount: $27,875,924 ($27.9M)
Contractor: Domestic Awardees (undisclosed)
Awarding Agency: Department of Defense
Start Date: 2011-04-15
End Date: 2012-07-31
Contract Duration: 473 days
Daily Burn Rate: $58.9K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: IT INCUBATOR LIFE SUPPORT - HERAT
Plain-Language Summary
Department of Defense obligated $27.9 million to DOMESTIC AWARDEES (UNDISCLOSED) for work described as: IT INCUBATOR LIFE SUPPORT - HERAT Key points: 1. Significant spending on IT services with undisclosed domestic awardees. 2. Lack of competition raises concerns about price discovery and value. 3. Contract awarded under 'NOT AVAILABLE FOR COMPETITION' status. 4. Limited transparency on awardee and specific services provided.
Value Assessment
Rating: questionable
The contract value of $27.9M for IT incubator services is substantial. Without disclosed awardees or detailed service descriptions, it's difficult to benchmark against similar contracts or assess value for money.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was not available for competition, indicating a limited approach. This lack of competitive bidding likely hindered effective price discovery and may have resulted in a higher cost to taxpayers.
Taxpayer Impact: The absence of competition for a nearly $28M contract suggests potential overpayment and reduced value for taxpayer funds.
Public Impact
Taxpayers may be overpaying due to lack of competitive bidding. Limited insight into the specific IT services procured and their effectiveness. Concerns about accountability given the undisclosed domestic awardees.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of Competition
- Undisclosed Awardees
- Limited Transparency
- Potential Overpricing
Positive Signals
- Contract awarded by Department of Defense
- Firm Fixed Price contract type
Sector Analysis
This contract falls under IT services, specifically 'Other Computer Related Services'. The spending benchmark for this category can vary widely based on the specific services, but the lack of competition here is a notable deviation.
Small Business Impact
The data indicates this contract was not awarded to small businesses (ss: false, sb: false). Further analysis would be needed to determine if small businesses were excluded or if the contract scope was not suitable for them.
Oversight & Accountability
The 'NOT AVAILABLE FOR COMPETITION' status and undisclosed awardees raise significant oversight concerns. Accountability is diminished when the public and oversight bodies have limited information on who received the funds and for what.
Related Government Programs
- Other Computer Related Services
- Department of Defense Contracting
- Washington Headquarters Services Programs
Risk Flags
- Lack of competition limits value assessment.
- Undisclosed awardees reduce transparency and accountability.
- Potential for inflated costs due to non-competitive award.
- Ambiguous service description ('IT Incubator Life Support').
- No performance or effectiveness data available.
Tags
other-computer-related-services, department-of-defense, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $27.9 million to DOMESTIC AWARDEES (UNDISCLOSED). IT INCUBATOR LIFE SUPPORT - HERAT
Who is the contractor on this award?
The obligated recipient is DOMESTIC AWARDEES (UNDISCLOSED).
Which agency awarded this contract?
Awarding agency: Department of Defense (Washington Headquarters Services).
What is the total obligated amount?
The obligated amount is $27.9 million.
What is the period of performance?
Start: 2011-04-15. End: 2012-07-31.
What specific IT incubator services were procured under this contract, and how do they align with the Department of Defense's strategic goals?
The provided data classifies the service under NAICS code 541519 (Other Computer Related Services) and the description is 'IT INCUBATOR LIFE SUPPORT'. However, specific details regarding the nature of these 'incubator' services, the technologies involved, or their direct contribution to DoD strategic objectives are not available. This lack of detail hinders a proper assessment of the contract's alignment with agency needs.
What justification was provided for awarding this contract without competition, and what steps were taken to ensure fair and reasonable pricing?
The contract was designated as 'NOT AVAILABLE FOR COMPETITION'. Without further documentation, the specific justification for this sole-source or limited competition award is unknown. Typically, such designations require rigorous justification, such as a unique capability or urgent need. The lack of competition makes it difficult to ascertain if fair and reasonable pricing was achieved through market research or negotiation.
What was the overall effectiveness and impact of the IT incubator services provided, and did they yield measurable outcomes for the Department of Defense?
The provided data does not contain information on the contract's performance, outcomes, or effectiveness. Given the significant expenditure of $27.9M, assessing the return on investment and the tangible benefits derived from these IT incubator services is impossible without performance reports, user feedback, or documented achievements. This data gap prevents an evaluation of the contract's success.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: NOT AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: HQ003411R0034
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1800 F ST NW, WASHINGTON, DC, 20405
Business Categories: Category Business, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $27,875,924
Exercised Options: $27,875,924
Current Obligation: $27,875,924
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2011-04-15
Current End Date: 2012-07-31
Potential End Date: 2012-07-31 00:00:00
Last Modified: 2021-08-21
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