Leidos, Inc. awarded $9.3M contract for health policy analysis, supporting military health system information
Contract Overview
Contract Amount: $9,296,762 ($9.3M)
Contractor: Leidos, Inc.
Awarding Agency: Department of Defense
Start Date: 2022-02-11
End Date: 2026-11-10
Contract Duration: 1,733 days
Daily Burn Rate: $5.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: BASELINE HEALTH POLICY AND ANALYSIS SYSTEM PROVIDES SERVICES TO DEVELOP, APPLY, UPDATE FORECAST, AND TEACH MILITARY HEALTH SYSTEM INFORMATION DERIVED FROM DEFENSE HEALTH AGENCY POLICY DRIVEN MEASURES AND METHODOLOGIES.
Place of Performance
Location: FALLS CHURCH, FAIRFAX County, VIRGINIA, 22042
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $9.3 million to LEIDOS, INC. for work described as: BASELINE HEALTH POLICY AND ANALYSIS SYSTEM PROVIDES SERVICES TO DEVELOP, APPLY, UPDATE FORECAST, AND TEACH MILITARY HEALTH SYSTEM INFORMATION DERIVED FROM DEFENSE HEALTH AGENCY POLICY DRIVEN MEASURES AND METHODOLOGIES. Key points: 1. Contract focuses on developing and updating health policy analysis and forecasting for the Military Health System. 2. The contract is a definitive contract with a firm-fixed-price structure, indicating predictable costs. 3. Awarded through full and open competition, suggesting a competitive bidding process. 4. The duration of the contract is over 4 years, allowing for sustained support. 5. The North American Industry Classification System (NAICS) code 541611 points to management consulting services. 6. The contract is managed by the Defense Health Agency, a key entity within the Department of Defense.
Value Assessment
Rating: good
The contract value of $9.3 million over approximately 4.8 years (1733 days) suggests an average annual value of roughly $1.9 million. Without specific performance metrics or detailed cost breakdowns, a direct value-for-money assessment is challenging. However, the firm-fixed-price structure implies that the contractor bears the risk of cost overruns, which can be a positive indicator for the government. Benchmarking against similar health policy analysis contracts would provide a clearer picture of its competitiveness.
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 a bid. This approach generally fosters a competitive environment, which can lead to better pricing and service quality. The number of bidders is not specified, but the open competition suggests a robust process aimed at achieving the best value for the government.
Taxpayer Impact: Full and open competition is beneficial for taxpayers as it maximizes the potential for competitive pricing and encourages a wider range of innovative solutions, ultimately leading to more efficient use of public funds.
Public Impact
The primary beneficiaries are the Military Health System and its personnel, who will receive improved health policy analysis and information. Services delivered include the development, application, and updating of forecasts and information derived from defense health policies. The geographic impact is likely focused on military installations and healthcare facilities globally where the Military Health System operates. Workforce implications may include the need for specialized analysts and policy experts within the Defense Health Agency and potentially contractor personnel.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for scope creep if requirements are not clearly defined and managed.
- Dependence on contractor expertise could create knowledge transfer challenges.
- Ensuring data security and privacy for sensitive health information is critical.
Positive Signals
- Firm-fixed-price contract structure incentivizes cost control by the contractor.
- Long-term duration allows for continuity of essential health policy analysis.
- Award through full and open competition suggests a competitive selection process.
Sector Analysis
The defense health sector involves significant investment in information systems and analytical services to support military readiness and personnel well-being. Contracts in this area often focus on policy development, data analysis, and system modernization. Spending benchmarks for similar administrative and management consulting services within the Department of Defense can vary widely based on scope and duration, but this contract appears to be of moderate size within its category.
Small Business Impact
The data indicates that this contract was not set aside for small businesses (sb: false) and does not explicitly mention subcontracting plans for small businesses. Therefore, the direct impact on the small business ecosystem for this specific award is likely minimal, unless Leidos, Inc. voluntarily engages small businesses in its subcontracting efforts.
Oversight & Accountability
Oversight for this contract would typically fall under the Defense Health Agency's contracting and program management offices. Accountability measures are inherent in the firm-fixed-price contract structure, requiring delivery of specified services. Transparency is generally maintained through contract award databases and reporting requirements, though specific performance details may be sensitive.
Related Government Programs
- Military Health System Information Systems
- Defense Health Agency Policy Development
- Health Informatics and Analytics
- DoD Management and Consulting Services
Risk Flags
- Potential for contractor dependency
- Data security and privacy concerns
- Ensuring alignment with evolving military health policies
Tags
defense, health-policy, analysis, management-consulting, department-of-defense, defense-health-agency, firm-fixed-price, full-and-open-competition, definitive-contract, leidos-inc, virginia
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $9.3 million to LEIDOS, INC.. BASELINE HEALTH POLICY AND ANALYSIS SYSTEM PROVIDES SERVICES TO DEVELOP, APPLY, UPDATE FORECAST, AND TEACH MILITARY HEALTH SYSTEM INFORMATION DERIVED FROM DEFENSE HEALTH AGENCY POLICY DRIVEN MEASURES AND METHODOLOGIES.
Who is the contractor on this award?
The obligated recipient is LEIDOS, INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Health Agency).
What is the total obligated amount?
The obligated amount is $9.3 million.
What is the period of performance?
Start: 2022-02-11. End: 2026-11-10.
What is the track record of Leidos, Inc. in providing similar health policy analysis services to the Department of Defense or other federal agencies?
Leidos, Inc. has a substantial track record in providing a wide range of services to the Department of Defense and other federal agencies, including IT, systems engineering, and professional services. Their experience often encompasses complex data analysis, system integration, and program management. Specifically within the health domain, Leidos has been involved in various health IT initiatives, electronic health records modernization, and health data analytics for military and civilian health programs. This background suggests they possess the requisite expertise and experience to manage and execute the requirements of the Baseline Health Policy and Analysis System contract effectively. Their history with large-scale government contracts indicates familiarity with compliance, reporting, and performance expectations.
How does the awarded amount of $9.3 million compare to similar health policy analysis contracts within the DoD or other large federal health systems?
The total contract value of $9.3 million over approximately 4.8 years (1733 days) translates to an average annual value of roughly $1.9 million. This figure is moderate when compared to the vast landscape of federal IT and professional services contracts. Larger, more complex health system modernization projects or comprehensive data analytics initiatives can run into tens or hundreds of millions of dollars. However, for a focused contract on policy analysis, development, and forecasting, this value appears reasonable. Benchmarking against contracts with similar NAICS codes (541611) and specific service descriptions within the defense or civilian health sectors would provide a more precise comparison, but it does not appear to be an outlier in terms of scale for its defined purpose.
What are the primary risks associated with this contract, and how are they being mitigated?
Key risks for this contract include potential scope creep if requirements are not precisely defined and managed, reliance on contractor expertise leading to knowledge transfer challenges, and ensuring robust data security and privacy for sensitive health information. Mitigation strategies likely involve strong contract management by the Defense Health Agency, clear definition and adherence to the Statement of Work (SOW), regular performance reviews, and stringent data handling protocols. The firm-fixed-price structure itself mitigates financial risk for the government by capping costs. Furthermore, the full and open competition process aims to select a contractor with a proven ability to manage these types of risks effectively.
How effective is the Defense Health Agency in overseeing contracts of this nature to ensure optimal performance and value?
The Defense Health Agency (DHA) is a significant entity within the DoD responsible for a vast healthcare enterprise. Its contracting and program management offices are structured to oversee a wide array of complex contracts, including those for IT, analytics, and policy support. Effectiveness is generally assessed through performance metrics, audit findings, and the successful achievement of program objectives. While specific oversight details for this contract are not publicly available, the DHA's mission-critical role necessitates robust oversight mechanisms. They typically employ contract officers, technical monitors, and utilize reporting requirements to ensure compliance and performance. Inspector General reports and GAO audits also provide external assessments of oversight effectiveness across DoD contracts.
What are the historical spending patterns for health policy analysis and related consulting services within the Department of Defense over the last five years?
Historical spending patterns for health policy analysis and related consulting services within the Department of Defense have generally shown a consistent, and often increasing, demand. The DoD invests heavily in ensuring the health and readiness of its personnel, which necessitates ongoing analysis of health policies, programs, and outcomes. Spending in this area is influenced by evolving healthcare regulations, technological advancements in health IT, and the need for data-driven decision-making. While specific figures for 'health policy analysis' as a distinct category can be difficult to isolate from broader IT, management consulting, and R&D spending, the overall trend indicates significant and sustained investment. Contracts often range from short-term studies to long-term support systems, reflecting the dynamic nature of military health.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: HT001121R0012
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: $9,296,762
Exercised Options: $9,296,762
Current Obligation: $9,296,762
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Timeline
Start Date: 2022-02-11
Current End Date: 2026-11-10
Potential End Date: 2026-11-10 00:00:00
Last Modified: 2026-01-08
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