DHS ICE awards $27.8M for Enterprise Architecture Support to KADIX SYSTEMS, LLC

Contract Overview

Contract Amount: $27,788,083 ($27.8M)

Contractor: Kadix Systems, LLC

Awarding Agency: Department of Homeland Security

Start Date: 2008-09-14

End Date: 2012-11-02

Contract Duration: 1,510 days

Daily Burn Rate: $18.4K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 6

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: ENTERPRISE ARCHITECTURE SUPPORT

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20536

State: District of Columbia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $27.8 million to KADIX SYSTEMS, LLC for work described as: ENTERPRISE ARCHITECTURE SUPPORT Key points: 1. Contract awarded for Computer Systems Design Services. 2. Significant contract value of $27.8 million over 1510 days. 3. Competition method was 'Full and Open Competition After Exclusion of Sources'. 4. KADIX SYSTEMS, LLC is the prime contractor. 5. The contract was a Delivery Order.

Value Assessment

Rating: fair

The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. The total award value is substantial, but without specific performance metrics or benchmarks, assessing its value is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources', indicating a competitive process. However, the exclusion of sources might limit the full scope of competition and potentially impact price discovery.

Taxpayer Impact: Taxpayer funds totaling $27.8 million were allocated for these services. The effectiveness of the spending depends on the successful delivery of enterprise architecture support.

Public Impact

Impacts U.S. Immigration and Customs Enforcement's IT infrastructure and strategic planning. Supports critical government functions related to national security and immigration. Ensures the modernization and efficiency of agency IT systems.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contract type can incentivize higher costs.
Exclusion of sources in competition may limit optimal pricing.
Long duration of 1510 days increases risk of scope creep or obsolescence.

Positive Signals

Awarded through full and open competition.
Supports critical federal agency functions.
Clear delivery order structure.

Sector Analysis

This contract falls under IT services, specifically Computer Systems Design. The spending benchmark for similar services can vary widely based on complexity and agency needs. $27.8 million over approximately 4 years is a significant investment for enterprise architecture support.

Small Business Impact

The data indicates that KADIX SYSTEMS, LLC is the prime contractor and the contract was awarded to a large business (sb: false). There is no information on subcontracting to small businesses.

Oversight & Accountability

The contract was a Delivery Order, suggesting it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract. Oversight would typically involve monitoring performance, costs, and adherence to the contract terms by the contracting officer's representative (COR).

Related Government Programs

Computer Systems Design Services
Department of Homeland Security Contracting
U.S. Immigration and Customs Enforcement Programs

Risk Flags

Potential for cost overruns due to CPFF structure.
Limited competition due to source exclusion.
Long contract duration increases risk.
Lack of specific performance metrics in provided data.
No indication of small business subcontracting.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $27.8 million to KADIX SYSTEMS, LLC. ENTERPRISE ARCHITECTURE SUPPORT

Who is the contractor on this award?

The obligated recipient is KADIX SYSTEMS, LLC.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Immigration and Customs Enforcement).

What is the total obligated amount?

The obligated amount is $27.8 million.

What is the period of performance?

Start: 2008-09-14. End: 2012-11-02.

What specific enterprise architecture deliverables were expected, and how was their quality assessed to ensure value for money?

The contract details do not specify the exact deliverables or the quality assessment methods. For a Cost Plus Fixed Fee contract of this magnitude, robust performance metrics and independent verification of deliverables are crucial to ensure the $27.8 million investment yields tangible value in terms of improved enterprise architecture and agency efficiency.

How did the 'exclusion of sources' in the competition process affect the final price and the range of innovative solutions considered?

The 'exclusion of sources' implies that certain potential bidders were not considered, which could limit competitive pressure and potentially lead to a higher price than if all qualified vendors had participated. It also might restrict the agency from accessing a wider array of innovative solutions that excluded vendors might have offered.

What mechanisms were in place to manage the Cost Plus Fixed Fee structure and prevent cost overruns over the 1510-day period?

Effective management of a Cost Plus Fixed Fee contract requires stringent oversight, detailed cost tracking, and regular audits. The agency would need a dedicated COR to monitor expenditures, review invoices, and ensure that costs incurred are reasonable, allocable, and directly related to the contract's objectives to mitigate the risk of cost overruns.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: HSCETC-08-Q-00017

Offers Received: 6

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Science Applications International Corporation (UEI: 078745061)

Address: 4245 N FAIRFAX DR, STE. 700, ARLINGTON, VA, 22203

Business Categories: 8(a) Program Participant, Category Business, Minority Owned Business, Not Designated a Small Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, Indian (Subcontinent) American Owned Business, Woman Owned Business

Financial Breakdown

Contract Ceiling: $34,936,150

Exercised Options: $34,828,328

Current Obligation: $27,788,083

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: HSHQDC06D00047

IDV Type: IDC

Timeline