DoD Awards $22.17M for Program Management Support Services to Deloitte Consulting LLP
Contract Overview
Contract Amount: $22,167,585 ($22.2M)
Contractor: Deloitte Consulting LLP
Awarding Agency: Department of Defense
Start Date: 2024-10-01
End Date: 2025-09-30
Contract Duration: 364 days
Daily Burn Rate: $60.9K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: PROGRAM MANAGEMENT SUPPORT SERVICES
Place of Performance
Location: SAN ANTONIO, BEXAR County, TEXAS, 78226
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $22.2 million to DELOITTE CONSULTING LLP for work described as: PROGRAM MANAGEMENT SUPPORT SERVICES Key points: 1. Significant contract value of $22.17 million awarded. 2. Sole-source award to Deloitte Consulting LLP raises questions about competition. 3. Contract duration of 364 days with a firm-fixed-price structure. 4. Services fall under Administrative Management and General Management Consulting.
Value Assessment
Rating: questionable
The contract's firm-fixed-price structure provides cost certainty. However, without competitive bidding, it's difficult to assess if the $22.17 million represents the best value or if the pricing is benchmarked against similar services.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed, indicating a sole-source award. This limits price discovery and potentially leads to higher costs for taxpayers compared to a competitive process.
Taxpayer Impact: The lack of competition may result in taxpayers paying a premium for these program management support services.
Public Impact
Taxpayers may be overpaying due to the absence of competitive bidding. The Defense Health Agency relies on Deloitte for critical program management. Transparency in sole-source awards is crucial for public trust.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Potential for overpayment
- Sole-source award
Positive Signals
- Firm-fixed-price contract
- Clear contract duration
Sector Analysis
This contract falls within the professional services sector, specifically management consulting. Benchmarks for similar services can vary widely, but sole-source awards often deviate from competitive market rates.
Small Business Impact
The data indicates that small business participation was not a factor in this award, as the contract was awarded to a large firm and small business set-aside was not applicable.
Oversight & Accountability
Oversight is needed to ensure the Defense Health Agency justifies the sole-source award and that the services provided are essential and cost-effective, despite the lack of competition.
Related Government Programs
- Administrative Management and General Management Consulting Services
- Department of Defense Contracting
- Defense Health Agency Programs
Risk Flags
- Lack of competitive bidding
- Potential for inflated pricing
- Limited transparency in award justification
- No small business participation
Tags
administrative-management-and-general-ma, department-of-defense, tx, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $22.2 million to DELOITTE CONSULTING LLP. PROGRAM MANAGEMENT SUPPORT SERVICES
Who is the contractor on this award?
The obligated recipient is DELOITTE CONSULTING LLP.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Health Agency).
What is the total obligated amount?
The obligated amount is $22.2 million.
What is the period of performance?
Start: 2024-10-01. End: 2025-09-30.
What is the justification for awarding this contract on a sole-source basis instead of through a competitive process?
The justification for a sole-source award typically involves specific circumstances such as the urgency of the requirement, the unavailability of other sources, or the unique capabilities of the awarded contractor. Without further details from the agency, it's impossible to ascertain the precise reason, but it warrants scrutiny to ensure it aligns with federal procurement regulations and serves the best interest of the government.
How does the $22.17 million price compare to industry benchmarks for similar program management support services obtained through competitive means?
Direct comparison is challenging without knowing the specific scope of work and service levels. However, sole-source contracts are often priced higher than competitively awarded ones due to the absence of market pressure. A thorough review of the contract's cost elements and comparison with publicly available data on similar, competed contracts would be necessary to assess potential overpricing.
What mechanisms are in place to ensure the effectiveness and value delivered by Deloitte Consulting LLP under this sole-source contract?
Effectiveness and value are typically ensured through performance metrics, service level agreements, and regular progress reviews outlined in the contract. The Defense Health Agency should have established oversight procedures to monitor Deloitte's performance against these requirements and ensure that the services rendered are meeting the program's objectives and providing adequate value for the taxpayer investment.
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: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: HT001124R0075
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Deloitte Financial Advisory Services LLP
Address: 1919 N LYNN ST, ARLINGTON, VA, 22209
Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $35,897,028
Exercised Options: $22,167,585
Current Obligation: $22,167,585
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Timeline
Start Date: 2024-10-01
Current End Date: 2025-09-30
Potential End Date: 2025-09-30 00:00:00
Last Modified: 2025-11-20
More Contracts from Deloitte Consulting LLP
- R12 Upgrade - System Integration and Hosting Support — $465.6M (Department of Health and Human Services)
- Award and IF — $448.6M (General Services Administration)
- Cade 2 Ltis3 Covid-19 — $383.8M (Department of the Treasury)
- This Requirement Shall Provide Support Which Shall Include: Capability Delivery Lifecycle Management, Enhancement/Development Delivery, Configuration, Additional Enhancement/Development Delivery, Ptems Enhancements and Development — $336.1M (Department of Veterans Affairs)
- Award of Information Technology Global Enterprise Management Services IT Gems Requirement — $332.8M (General Services Administration)
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)