DoD awards $22.3M for computer systems design, with ECS Federal LLC securing the contract

Contract Overview

Contract Amount: $22,254,783 ($22.3M)

Contractor: ECS Federal, LLC

Awarding Agency: Department of Defense

Start Date: 2022-04-08

End Date: 2025-09-14

Contract Duration: 1,255 days

Daily Burn Rate: $17.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: M-SHARP

Place of Performance

Location: QUANTICO, PRINCE WILLIAM County, VIRGINIA, 22134

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $22.3 million to ECS FEDERAL, LLC for work described as: M-SHARP Key points: 1. Contract value appears reasonable given the scope of computer systems design services. 2. Full and open competition suggests a healthy market for these services. 3. Potential risks include contractor performance and adherence to delivery schedules. 4. This contract supports the Department of the Navy's IT infrastructure needs. 5. The IT services sector is highly competitive, with many providers capable of fulfilling this requirement.

Value Assessment

Rating: good

The contract value of approximately $22.3 million over its period of performance (2022-2025) seems aligned with typical IT systems design contracts. Benchmarking against similar contracts for computer systems design services within the Department of Defense would provide a more precise value-for-money assessment. However, the fixed-price nature of the contract shifts some risk to the contractor, which can be favorable for the government if managed effectively.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple bidders were likely solicited and evaluated. The presence of two bids suggests a competitive environment, which generally leads to better pricing and service offerings for the government. The specific details of the bidding process, including the number of proposals received and the evaluation criteria, would offer further insight into the effectiveness of the competition.

Taxpayer Impact: Full and open competition typically benefits taxpayers by driving down costs through market forces and encouraging a wider pool of qualified vendors, leading to potentially better value.

Public Impact

The Department of the Navy benefits from enhanced computer systems design and support. Services delivered are critical for maintaining and improving the Navy's IT infrastructure. The primary geographic impact is within the operational areas supported by the Department of the Navy. The contract supports skilled IT professionals, contributing to the federal IT workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if requirements are not clearly defined and managed.
Dependence on a single contractor for critical IT systems design services.
Risk of cost overruns if the firm-fixed-price contract does not adequately account for all potential challenges.

Positive Signals

Awarded through full and open competition, suggesting a competitive pricing environment.
Firm-fixed-price contract type helps control costs and manage budget predictability.
Contract duration allows for sustained support and development of IT systems.

Sector Analysis

The Information Technology (IT) services sector is a significant area of federal spending, encompassing a wide range of services from software development to cybersecurity and systems integration. This contract for computer systems design services falls within the broader IT consulting and integration market. The federal government is a major consumer of these services, with spending often driven by modernization efforts, cybersecurity mandates, and the need to support complex operational systems across various agencies. Comparable spending benchmarks would typically be found within IT services categories in the federal procurement data system.

Small Business Impact

This contract was not specifically set aside for small businesses, and the data indicates the prime contractor is not a small business. Therefore, the direct impact on small business set-asides is minimal. However, the prime contractor may engage small businesses for subcontracting opportunities, which could provide work for the small business ecosystem. Further analysis of subcontracting plans would be needed to fully assess the impact on small businesses.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of the Navy contracting officers and program managers. They are responsible for monitoring contractor performance, ensuring compliance with contract terms, and managing any modifications or disputes. Transparency is generally facilitated through federal procurement databases where contract awards are reported. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

IT Systems Modernization Programs
Defense Information Technology Contracting
Computer Systems Design Services Contracts
Department of the Navy IT Support

Risk Flags

Contract performance risk
Schedule adherence risk
Scope management risk

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $22.3 million to ECS FEDERAL, LLC. M-SHARP

Who is the contractor on this award?

The obligated recipient is ECS FEDERAL, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $22.3 million.

What is the period of performance?

Start: 2022-04-08. End: 2025-09-14.

What is the track record of ECS Federal, LLC with the Department of Defense and similar contracts?

ECS Federal, LLC has a significant history of contracting with the U.S. government, particularly the Department of Defense. They have been awarded numerous contracts across various agencies, including the Navy, Army, and Air Force, for a range of IT services. Their portfolio often includes areas like cloud computing, cybersecurity, data analytics, and enterprise IT. Analyzing their past performance on similar computer systems design or IT support contracts would reveal their ability to deliver on time, within budget, and to the required quality standards. Past performance reviews and any documented issues or commendations would be crucial for assessing their reliability on this specific $22.3 million award.

How does the awarded amount compare to the estimated value or budget for this requirement?

The awarded amount of $22,254,782.79 for computer systems design services represents the total value of the delivery order placed with ECS Federal, LLC. Without access to the government's initial cost estimates or the specific details of the solicitation's budget, a direct comparison is challenging. However, the fact that it was awarded under full and open competition with two bids suggests that the awarded price was competitive. If the government had a pre-defined budget ceiling, the awarded amount would need to fall within or below it. Further investigation into the solicitation documents (e.g., RFPs, IFBs) could reveal the government's budgetary expectations and how the awarded price aligns with them.

What are the primary risks associated with this contract, and how are they being mitigated?

Key risks for this contract include potential contractor underperformance, schedule delays, and the possibility of scope creep if requirements are not precisely defined and managed. Given it's a firm-fixed-price contract, there's also a risk of the contractor encountering unforeseen technical challenges that could impact profitability or lead to requests for contract modifications. Mitigation strategies typically involve robust contract oversight by the government, clear performance metrics and deliverables, regular progress reviews, and a well-defined change management process. The government's procurement process aims to select contractors with a proven track record, and the competitive nature of the award can also incentivize performance.

How effective has ECS Federal, LLC been in delivering computer systems design services in the past?

Assessing the effectiveness of ECS Federal, LLC in delivering computer systems design services requires a review of their past performance data, including contract close-outs, performance evaluations (e.g., CPARS reports), and any awards or penalties received. Their extensive history with the DoD suggests a level of competence, but specific project outcomes are critical. For this particular contract, effectiveness would be measured by the successful design, implementation, and integration of computer systems according to the Navy's specifications, within the agreed timeline and budget. A detailed analysis of their performance on prior, similar contracts would provide the best indicator of their likely effectiveness.

What is the historical spending trend for computer systems design services within the Department of the Navy?

Historical spending on computer systems design services within the Department of the Navy has generally been substantial and consistent, reflecting the critical role of IT in modern naval operations. Spending fluctuates based on modernization initiatives, new platform development, and cybersecurity upgrades. Analyzing procurement data over the past 5-10 years would reveal trends in contract values, types of services procured (e.g., design, integration, maintenance), and the dominant contractors in this space. This contract, valued at approximately $22.3 million, appears to be a moderate-sized award within this historical context, supporting ongoing IT infrastructure needs.

Are there any specific performance metrics or KPIs tied to this contract that indicate success?

While the provided data does not detail specific Key Performance Indicators (KPIs) or metrics for this contract, typical performance metrics for computer systems design services often include adherence to project timelines, successful system integration, meeting technical specifications, user satisfaction, and system reliability post-implementation. The firm-fixed-price nature of the contract implies that meeting these deliverables within the agreed scope and cost is paramount. The Department of the Navy's contracting officers would be responsible for monitoring these aspects throughout the contract's duration, likely through regular progress reports and system testing.

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

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: M0026421R0018

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Asgn Incorporated

Address: 2750 PROSPERITY AVE STE 600, FAIRFAX, VA, 22031

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Not Designated a Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $22,793,439

Exercised Options: $22,254,783

Current Obligation: $22,254,783

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HHSN316201200021W

IDV Type: GWAC

Timeline