CACI awarded $58.9M for mission systems support, highlighting IT services within Defense

Contract Overview

Contract Amount: $58,891,671 ($58.9M)

Contractor: CACI, Inc. - Federal

Awarding Agency: Department of Defense

Start Date: 2015-06-16

End Date: 2020-08-15

Contract Duration: 1,887 days

Daily Burn Rate: $31.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: IGF::OT::IGF TASK ORDER FOR MISSION SYSTEMS SUPPORT.

Place of Performance

Location: CHANTILLY, FAIRFAX County, VIRGINIA, 20151

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $58.9 million to CACI, INC. - FEDERAL for work described as: IGF::OT::IGF TASK ORDER FOR MISSION SYSTEMS SUPPORT. Key points: 1. Contract value represents a significant investment in IT infrastructure and support. 2. Competition dynamics suggest a potentially competitive bidding process for this service. 3. Performance period spans over five years, indicating a long-term need for these services. 4. The contract falls within the broader IT services sector, crucial for modern defense operations. 5. Focus on computer systems design services points to critical infrastructure development and maintenance.

Value Assessment

Rating: good

The contract value of $58.9 million over five years for mission systems support appears reasonable given the scope of IT services. Benchmarking against similar large-scale IT support contracts within the Department of Defense suggests that pricing is likely competitive, especially considering the full and open competition. The time and materials pricing model, while common, warrants scrutiny for cost control and efficiency throughout the performance period.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of multiple bidders, though not explicitly detailed, is implied by the competition type. This level of competition is generally favorable for price discovery and ensuring the government receives competitive pricing for the services rendered.

Taxpayer Impact: Full and open competition typically leads to better value for taxpayers by fostering a competitive environment that drives down costs and encourages innovation.

Public Impact

The Department of Defense benefits from enhanced mission systems support, crucial for operational effectiveness. IT professionals and support staff are likely engaged through this contract, impacting the defense workforce. Services delivered are critical for maintaining and improving complex defense IT infrastructure. The geographic impact is primarily within the operational domains of the Department of Defense, potentially worldwide.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns with Time and Materials pricing if not closely managed.
Ensuring continued relevance and adaptability of IT systems to evolving threats.

Positive Signals

Awarded through full and open competition, suggesting a robust selection process.
Long performance period indicates a sustained need and potential for stable service delivery.
Contractor has a significant presence in federal IT services, suggesting experience.

Sector Analysis

This contract falls within the Information Technology (IT) sector, specifically focusing on computer systems design services. The IT services market within the federal government is substantial, with significant spending allocated to maintaining and upgrading complex systems. This contract represents a portion of the Defense Department's broader IT procurement strategy, aimed at ensuring robust and secure mission capabilities.

Small Business Impact

The contract data indicates that small business participation was not a primary set-aside consideration (ss: false, sb: false). While this contract was awarded to a large prime contractor, there may be opportunities for small businesses to participate as subcontractors. Further analysis would be needed to determine the extent of small business subcontracting and its impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the Defense Finance and Accounting Service (DFAS). The performance period and delivery order structure suggest ongoing monitoring of deliverables and contractor performance. Transparency is facilitated through contract award databases, though detailed performance metrics may not be publicly available.

Related Government Programs

Defense IT Modernization Programs
Information Technology Support Services
Mission Systems Development
Computer Systems Design and Integration

Risk Flags

Potential for cost overruns due to Time and Materials pricing model.
Ensuring long-term system relevance and adaptability in a rapidly changing technological landscape.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $58.9 million to CACI, INC. - FEDERAL. IGF::OT::IGF TASK ORDER FOR MISSION SYSTEMS SUPPORT.

Who is the contractor on this award?

The obligated recipient is CACI, INC. - FEDERAL.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Finance and Accounting Service).

What is the total obligated amount?

The obligated amount is $58.9 million.

What is the period of performance?

Start: 2015-06-16. End: 2020-08-15.

What is CACI, Inc. - Federal's track record with similar IT support contracts within the Department of Defense?

CACI, Inc. - Federal is a well-established contractor with a significant history of providing IT and mission support services to the Department of Defense and other federal agencies. They frequently win large, complex contracts related to systems integration, cybersecurity, and IT modernization. Their track record generally indicates substantial experience in managing large-scale IT projects, though specific performance details for individual contracts are often proprietary. Reviewing past performance evaluations and contract awards can provide further insight into their capabilities and reliability in delivering similar services.

How does the $58.9 million value compare to other mission systems support contracts awarded by the DoD in recent years?

The $58.9 million value for this five-year contract (approximately $11.8 million annually) is within the typical range for large-scale IT support and systems integration contracts awarded by the Department of Defense. Major defense IT procurements can range from tens of millions to billions of dollars. This specific award appears to be a substantial, but not exceptionally large, investment in maintaining and enhancing critical mission systems. Benchmarking against similar contracts for computer systems design services (NAICS 541512) within DoD would provide a more precise comparison, but the overall value suggests a significant, long-term commitment to IT infrastructure.

What are the primary risks associated with a Time and Materials (T&M) contract for mission systems support?

The primary risk with Time and Materials (T&M) contracts, like this one, is the potential for cost overruns if not managed diligently. Unlike fixed-price contracts, T&M contracts reimburse the contractor for direct labor hours at specified hourly rates and for the actual cost of materials. This structure can incentivize longer task durations or less efficient work if oversight is weak. For mission systems support, risks include scope creep, inefficient resource allocation, and difficulty in predicting final costs. Robust oversight, clear task definitions, and regular performance reviews are crucial to mitigate these risks and ensure value for money.

How effective is full and open competition in ensuring value for money for IT services contracts of this magnitude?

Full and open competition is generally considered the most effective method for ensuring value for money in government contracting, especially for IT services. It allows a wide range of qualified vendors to compete, driving down prices through market forces and encouraging innovation. For a contract of this size ($58.9 million), a competitive process helps the government secure the best possible technical solutions at the most favorable prices. The effectiveness relies on well-defined requirements, a fair evaluation process, and sufficient competition among bidders. When executed properly, it maximizes taxpayer return on investment.

What is the historical spending trend for computer systems design services (NAICS 541512) within the Department of Defense?

Historical spending on computer systems design services (NAICS 541512) within the Department of Defense has consistently been substantial, reflecting the critical role of IT in modern military operations. The DoD is one of the largest federal buyers of these services, investing heavily in areas such as system design, integration, cybersecurity, and IT infrastructure management. Spending in this category has generally trended upwards over the past decade, driven by the need for technological modernization, adaptation to evolving threats, and the increasing reliance on networked systems. This specific contract aligns with that broader trend of significant investment in advanced IT capabilities.

Industry Classification

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

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: CACI International Inc

Address: 14151 PARK MEADOW DR, CHANTILLY, VA, 20151

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

Financial Breakdown

Contract Ceiling: $58,891,671

Exercised Options: $58,891,671

Current Obligation: $58,891,671

Subaward Activity

Number of Subawards: 5

Total Subaward Amount: $829,622

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00Q09BGD0020

IDV Type: GWAC

Timeline