DHS awards $16.6M IT services contract to Deloitte, raising value and competition questions
Contract Overview
Contract Amount: $16,640,909 ($16.6M)
Contractor: Deloitte Consulting LLP
Awarding Agency: Department of Homeland Security
Start Date: 2005-11-18
End Date: 2011-07-05
Contract Duration: 2,055 days
Daily Burn Rate: $8.1K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: E-GOV (IT SERVICES)
Place of Performance
Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22202
State: Virginia Government Spending
Plain-Language Summary
Department of Homeland Security obligated $16.6 million to DELOITTE CONSULTING LLP for work described as: E-GOV (IT SERVICES) Key points: 1. Contract value of $16.6M for IT services. 2. Awarded to Deloitte Consulting LLP. 3. Department of Homeland Security (DHS) is the agency. 4. Transportation Security Administration (TSA) is the sub-agency. 5. Contract duration is 2055 days.
Value Assessment
Rating: questionable
The contract value of $16.6M over approximately 5.6 years suggests a moderate annual spend. Benchmarking against similar IT services contracts within DHS or TSA would be necessary to determine if this pricing is competitive and reflects good value for the 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 generally positive for price discovery. However, the specific details of the bidding process and the number of bids received are not provided, making it difficult to fully assess the competitive pressure on pricing.
Taxpayer Impact: Full and open competition aims to ensure taxpayer dollars are spent efficiently by fostering a competitive environment. The actual taxpayer impact depends on the effectiveness of this competition in driving down costs.
Public Impact
Impacts TSA's IT infrastructure and operations. Potential for improved or degraded transportation security services. Affects the federal IT services market and competition.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long contract duration (2055 days) may limit flexibility.
- Lack of specific performance metrics makes value assessment difficult.
- No indication of small business participation.
Positive Signals
- Awarded under full and open competition.
- Contract is for essential IT services.
Sector Analysis
This contract falls within the Information Technology sector, specifically IT services. Federal spending on IT services is substantial, and benchmarks vary widely based on the type of service, complexity, and duration. This contract's value appears moderate for a multi-year IT services engagement.
Small Business Impact
There is no indication of small business participation in this contract. Given the size and nature of the award, it's important to understand if opportunities were provided to small businesses or if the contract was structured in a way that precluded their involvement.
Oversight & Accountability
Oversight would typically involve regular performance reviews by TSA and DHS to ensure Deloitte is meeting contract requirements and delivering value. The effectiveness of this oversight is not detailed in the provided data.
Related Government Programs
- Department of Homeland Security Contracting
- Transportation Security Administration Programs
Risk Flags
- Lack of detailed service description.
- Unclear number of bidders for full and open competition.
- No performance metrics provided.
- No small business participation noted.
- Long contract duration.
Tags
department-of-homeland-security, va, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $16.6 million to DELOITTE CONSULTING LLP. E-GOV (IT SERVICES)
Who is the contractor on this award?
The obligated recipient is DELOITTE CONSULTING LLP.
Which agency awarded this contract?
Awarding agency: Department of Homeland Security (Transportation Security Administration).
What is the total obligated amount?
The obligated amount is $16.6 million.
What is the period of performance?
Start: 2005-11-18. End: 2011-07-05.
What specific IT services were procured under this contract, and how do they align with TSA's mission objectives?
The data does not specify the exact IT services. However, given the agency (TSA) and sector (IT Services), it likely includes areas such as software development, system maintenance, network support, or cybersecurity. Alignment with TSA's mission would depend on whether these services directly contribute to enhancing aviation and transportation security operations.
What was the competitive landscape like for this 'full and open competition,' and did it result in optimal pricing?
While 'full and open competition' suggests multiple bidders were allowed, the data doesn't specify the number of bids received or the pricing strategies of competitors. Without this information, it's impossible to definitively state if optimal pricing was achieved. A low number of bids or a significant difference between the winning bid and others could indicate suboptimal price discovery.
How effectively has this contract contributed to TSA's operational efficiency and security posture over its duration?
Assessing the effectiveness requires performance data, user feedback, and outcome metrics not present in the provided dataset. A contract's success is measured by its impact on mission accomplishment, such as improved system uptime, enhanced security capabilities, or streamlined processes. Without these details, effectiveness remains an open question.
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Deloitte LLP (UEI: 014127109)
Address: 12010 SUNSET HILLS RD, RESTON, VA, 11
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $16,640,909
Exercised Options: $16,640,909
Current Obligation: $16,640,909
Parent Contract
Parent Award PIID: DTSA2003D00758
IDV Type: IDC
Timeline
Start Date: 2005-11-18
Current End Date: 2011-07-05
Potential End Date: 2011-07-05 00:00:00
Last Modified: 2011-07-11
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