Peraton Enterprise Solutions LLC awarded $21.6M for Enterprise Services Touch Labor West by the Department of the Navy

Contract Overview

Contract Amount: $21,623,047 ($21.6M)

Contractor: Peraton Enterprise Solutions LLC

Awarding Agency: Department of Defense

Start Date: 2020-03-01

End Date: 2022-12-10

Contract Duration: 1,014 days

Daily Burn Rate: $21.3K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: ENTERPRISE SERVICES TOUCH LABOR WEST

Place of Performance

Location: HERNDON, FAIRFAX County, VIRGINIA, 20171

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $21.6 million to PERATON ENTERPRISE SOLUTIONS LLC for work described as: ENTERPRISE SERVICES TOUCH LABOR WEST Key points: 1. Contract value of $21.6 million over approximately 3 years. 2. Awarded under full and open competition. 3. Firm Fixed Price contract type suggests defined scope and cost control. 4. Services fall under Computer Systems Design, a common IT sector. 5. No small business set-aside indicated, potentially limiting small business participation. 6. Delivery Order award type implies it's part of a larger contract vehicle.

Value Assessment

Rating: fair

The contract value of $21.6 million for Enterprise Services Touch Labor West appears to be a standard award for IT services. Benchmarking against similar contracts for computer systems design services would be necessary for a precise value-for-money assessment. The firm fixed price structure provides cost certainty for the government, but the specific per-unit costs and their alignment with market rates are not detailed in the provided data. Without more granular data on the labor categories and hours, a definitive value assessment is challenging.

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 offers. The data does not specify the number of bidders, which is crucial for understanding the intensity of the competition. A robust competition typically leads to better pricing and innovation for the government. The absence of bidder count leaves room for potential concerns about whether the competition was truly effective in driving down costs.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it aims to secure the best value through a wide range of potential providers. However, without knowing the number of bids received, it's difficult to definitively state the extent of taxpayer benefit.

Public Impact

The Department of the Navy benefits from the provision of enterprise services. Computer systems design services are delivered to support naval operations. The geographic impact is likely within the United States, supporting naval facilities. Workforce implications include IT professionals and support staff involved in system design and implementation.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics makes it difficult to assess service quality.
Number of bidders not provided, hindering a full assessment of competitive intensity.
Details on specific labor categories and rates are absent, limiting granular cost analysis.

Positive Signals

Awarded under full and open competition, suggesting a broad search for qualified vendors.
Firm Fixed Price contract type offers cost predictability.
Contract duration of over 3 years provides stability for service delivery.

Sector Analysis

This contract falls within the Information Technology (IT) sector, specifically in computer systems design services. This is a broad and competitive market segment supporting various government functions. The value of $21.6 million is moderate for an IT services contract of this duration. Comparable spending benchmarks would typically involve analyzing other contracts for similar IT support services awarded by defense agencies or other federal entities to gauge cost-effectiveness and market positioning.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). This means that large businesses were eligible to compete and potentially win the award. While this ensures a wide pool of potential contractors, it may limit direct opportunities for small businesses unless they are subcontractors. The absence of specific subcontracting plans or goals in the data makes it difficult to assess the downstream impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the relevant program office within the Department of the Navy. Accountability measures are inherent in the Firm Fixed Price contract type, which obligates the contractor to deliver specified services at an agreed-upon price. Transparency is generally facilitated through contract award databases like FPDS, where basic contract information is publicly available. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

IT Services
Computer Systems Design
Department of Defense Contracts
Navy IT Support
Enterprise Resource Planning Systems

Risk Flags

Potential for vendor lock-in due to integration of services.
Performance risks if service delivery does not meet standards.
Cybersecurity vulnerabilities in enterprise systems require ongoing management.
Lack of detailed cost breakdown makes precise value assessment difficult.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $21.6 million to PERATON ENTERPRISE SOLUTIONS LLC. ENTERPRISE SERVICES TOUCH LABOR WEST

Who is the contractor on this award?

The obligated recipient is PERATON ENTERPRISE SOLUTIONS 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 $21.6 million.

What is the period of performance?

Start: 2020-03-01. End: 2022-12-10.

What is the track record of Peraton Enterprise Solutions LLC with the Department of Defense?

Peraton Enterprise Solutions LLC has a history of receiving contracts from the Department of Defense. Analyzing their past performance on similar IT services contracts, particularly those involving enterprise systems and touch labor, would provide insight into their reliability and capability. Key indicators to examine include on-time delivery, adherence to budget, quality of service, and any past performance issues or awards. A review of their contract history would reveal the volume and types of work they have performed for the DoD, helping to assess their suitability for this specific award.

How does the $21.6 million value compare to similar IT services contracts awarded by the Navy?

The $21.6 million contract value for Enterprise Services Touch Labor West is a moderate sum for a multi-year IT services contract. To benchmark this value, one would compare it against other contracts awarded by the Department of the Navy or similar defense agencies for computer systems design and enterprise support. Factors such as contract duration, scope of services, labor categories, and geographic location would need to be considered for a fair comparison. If similar contracts for comparable services are significantly lower or higher, it could indicate potential overpricing or underbidding, respectively. Without access to a detailed database of comparable contracts, a precise benchmark is difficult.

What are the primary risks associated with this contract for the government?

The primary risks for the government in this contract include potential performance issues where Peraton Enterprise Solutions LLC may not deliver services to the required standard, leading to disruptions in naval operations. Cost overruns, although mitigated by the Firm Fixed Price structure, could still occur if the scope of work expands beyond the initial agreement without proper change order management. There's also a risk of vendor lock-in if the services provided become deeply integrated into critical systems, making future transitions difficult or costly. Furthermore, cybersecurity risks associated with managing enterprise systems require constant vigilance and robust security protocols from the contractor.

How effective is the 'full and open competition' strategy in ensuring value for this type of IT service?

Full and open competition is generally considered the most effective strategy for ensuring value in IT services contracts, as it maximizes the pool of potential bidders, fostering a competitive environment that can drive down prices and encourage innovation. However, the effectiveness is contingent on the number of bids received and the clarity of the solicitation requirements. If only a few bids were submitted, or if the requirements were ambiguous, the competitive advantage might be diminished. For complex IT services like enterprise systems, ensuring that bidders have the specialized expertise and capacity is also critical, which full and open competition aims to facilitate by allowing all qualified sources to participate.

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 is likely substantial and has generally trended upwards over the years, reflecting the increasing reliance on sophisticated IT infrastructure for naval operations and modernization efforts. This category encompasses a wide range of services, from initial system design and integration to ongoing maintenance and upgrades. Analyzing past spending data would reveal fluctuations based on specific program needs, technological advancements, and budgetary allocations. Understanding these trends can help in forecasting future requirements and identifying potential areas for cost optimization or increased investment.

Are there any indications of potential cost savings or efficiencies achieved through this contract?

The provided data does not offer specific metrics to assess cost savings or efficiencies achieved through this contract. However, the Firm Fixed Price (FFP) contract type inherently incentivizes the contractor to manage costs efficiently to maintain profitability. If Peraton Enterprise Solutions LLC successfully delivers the required enterprise services within the agreed-upon price, it implies a level of efficiency. Further analysis would require examining performance reports, any documented cost-saving initiatives proposed by the contractor, or comparisons of the per-unit costs against industry benchmarks over the contract's lifecycle.

Industry Classification

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

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: N0003912R0009

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 13600 EDS DR, HERNDON, VA, 20171

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $21,623,047

Exercised Options: $21,623,047

Current Obligation: $21,623,047

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: N0003913D0013

IDV Type: IDC

Timeline