DoD's $50M Contract for Courtroom Support Services Awarded to Leidos, Inc. with No Competition
Contract Overview
Contract Amount: $50,050,639 ($50.1M)
Contractor: Leidos, Inc.
Awarding Agency: Department of Defense
Start Date: 2023-09-15
End Date: 2026-09-14
Contract Duration: 1,095 days
Daily Burn Rate: $45.7K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: COURTROOM AND CASE PREPARATION SUPPORT SERVICES
Plain-Language Summary
Department of Defense obligated $50.1 million to LEIDOS, INC. for work described as: COURTROOM AND CASE PREPARATION SUPPORT SERVICES Key points: 1. Significant contract value of $50 million for specialized support services. 2. Sole-source award to Leidos, Inc. raises questions about competition and potential cost savings. 3. Risk of inflated pricing due to lack of competitive bidding. 4. Services fall under 'Translation and Interpretation Services' within the professional services sector.
Value Assessment
Rating: questionable
The contract's $50 million value for translation and interpretation services is substantial. Without competitive bidding, it's difficult to assess if this price is aligned with market rates for similar services provided to other government agencies or private sector clients.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was awarded on a sole-source basis, meaning no other vendors were considered. This significantly limits price discovery and potentially leads to higher costs for taxpayers compared to a competitive procurement process.
Taxpayer Impact: The lack of competition may result in taxpayers paying a premium for these essential courtroom and case preparation support services.
Public Impact
Taxpayers may be overpaying for translation and interpretation services due to the absence of competitive bidding. The Department of Defense relies on Leidos, Inc. for critical legal support, highlighting potential single-point-of-failure risks. Lack of transparency in the procurement process could erode public trust in government spending efficiency.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award
- Lack of competition
- Potential for overpricing
- Limited oversight on pricing
Positive Signals
- Contract awarded to an established vendor
- Services are critical for legal operations
Sector Analysis
The $50 million contract for translation and interpretation services falls within the professional services sector. Benchmarks for similar government contracts in this area are difficult to establish without competitive data, but large sole-source awards warrant scrutiny.
Small Business Impact
The contract was awarded to Leidos, Inc., a large business. There is no indication that small businesses were involved in this specific procurement, either as prime contractors or subcontractors.
Oversight & Accountability
The sole-source nature of this award necessitates robust oversight to ensure the government is receiving fair value. Accountability for pricing and performance will be crucial given the lack of competitive pressure.
Related Government Programs
- Translation and Interpretation Services
- Department of Defense Contracting
- Washington Headquarters Services Programs
Risk Flags
- Sole-source award lacks competitive justification.
- Potential for inflated pricing due to no competition.
- Limited transparency in contract award process.
- Risk of vendor lock-in and reduced innovation.
- No clear small business participation.
Tags
translation-and-interpretation-services, department-of-defense, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $50.1 million to LEIDOS, INC.. COURTROOM AND CASE PREPARATION SUPPORT SERVICES
Who is the contractor on this award?
The obligated recipient is LEIDOS, INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Washington Headquarters Services).
What is the total obligated amount?
The obligated amount is $50.1 million.
What is the period of performance?
Start: 2023-09-15. End: 2026-09-14.
What is the justification for awarding this significant contract on a sole-source basis, and were alternative competitive strategies considered?
The justification for a sole-source award typically involves unique capabilities, urgent needs, or a lack of available competition. Without further details, it's unclear why Leidos, Inc. was the only viable option for these courtroom and case preparation support services. A thorough review should confirm that all reasonable efforts to foster competition were exhausted or that the specific circumstances truly precluded it.
How will the Department of Defense ensure fair pricing and value for money on this $50 million sole-source contract?
Ensuring fair pricing on a sole-source contract requires diligent cost analysis, benchmarking against similar services (if available), and potentially negotiating profit margins. The Department of Defense should employ independent cost estimators and conduct thorough audits to validate Leidos, Inc.'s pricing structure and ensure the services provided are essential and efficiently delivered.
What are the potential risks associated with relying solely on Leidos, Inc. for these critical legal support services over a three-year period?
The primary risk is a lack of innovation and potential complacency from the sole provider, leading to service degradation or price increases over time. Additionally, a single point of failure exists; if Leidos, Inc. experiences performance issues or capacity constraints, the Department of Defense's legal operations could be significantly disrupted without immediate alternative solutions.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › Translation and Interpretation Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › ADMINISTRATIVE SUPPORT SERVICES
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: HQ003423R0080
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Leidos Holdings, Inc.
Address: 1750 PRESIDENTS ST, RESTON, VA, 20190
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $87,489,156
Exercised Options: $64,866,329
Current Obligation: $50,050,639
Subaward Activity
Number of Subawards: 28
Total Subaward Amount: $72,792,797
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Timeline
Start Date: 2023-09-15
Current End Date: 2026-09-14
Potential End Date: 2027-09-14 00:00:00
Last Modified: 2025-12-18
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