DoD's $247M Computer Systems Design Contract Awarded to Booz Allen Hamilton Under Full and Open Competition
Contract Overview
Contract Amount: $24,727,068 ($24.7M)
Contractor: Booz Allen Hamilton Inc
Awarding Agency: Department of Defense
Start Date: 2002-11-07
End Date: 2009-09-30
Contract Duration: 2,519 days
Daily Burn Rate: $9.8K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 172
Pricing Type: COST PLUS FIXED FEE
Sector: IT
Place of Performance
Location: MCLEAN, FAIRFAX County, VIRGINIA, 22102
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $24.7 million to BOOZ ALLEN HAMILTON INC for work described as: Key points: 1. Significant contract value of $247.27 million. 2. Awarded to a single, large incumbent contractor, Booz Allen Hamilton. 3. Full and open competition was utilized, suggesting a competitive bidding process. 4. Contract duration spans over 7 years, indicating long-term service needs.
Value Assessment
Rating: good
The contract value of $247.27 million over 7 years suggests a substantial investment in computer systems design services. Benchmarking against similar large-scale IT service contracts would be necessary for a precise value assessment, but the full and open competition method implies a degree of price discovery.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating that multiple bidders were allowed to submit proposals. This method generally promotes competitive pricing and allows the government to select the best value offer.
Taxpayer Impact: The use of full and open competition is generally favorable for taxpayers as it aims to secure competitive pricing and the best possible services for the government's investment.
Public Impact
Long-term IT support for the Department of Defense. Potential impact on the competitive landscape for IT services firms. Ensures continuity of critical computer systems design and management.
Waste & Efficiency Indicators
Waste Risk Score: 98 / 10
Positive Signals
- Full and open competition utilized.
- Awarded to a well-established contractor.
- Long contract duration indicates sustained need.
Sector Analysis
This contract falls within the IT services sector, specifically computer systems design. Spending in this area is critical for modern defense operations, encompassing everything from network infrastructure to specialized software development. Benchmarks for similar DoD IT contracts would provide further context.
Small Business Impact
The data indicates this contract was not awarded to small businesses (ss: false, sb: false). This suggests the scope and requirements of the contract likely favored larger, more established IT service providers.
Oversight & Accountability
The contract was managed by the Defense Contract Management Agency (DCMA), which is responsible for ensuring contractors meet performance and cost requirements. The long duration and significant value warrant ongoing oversight to ensure accountability and value for taxpayer money.
Related Government Programs
- Computer Systems Design Services
- Department of Defense Contracting
- Defense Contract Management Agency Programs
Risk Flags
- Cost Plus Fixed Fee contract type can lead to cost overruns.
- No small business participation noted.
- Long contract duration requires sustained oversight.
- Specific services procured are not detailed.
Tags
computer-systems-design-services, department-of-defense, va, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $24.7 million to BOOZ ALLEN HAMILTON INC. See the official description on USAspending.
Who is the contractor on this award?
The obligated recipient is BOOZ ALLEN HAMILTON INC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Contract Management Agency).
What is the total obligated amount?
The obligated amount is $24.7 million.
What is the period of performance?
Start: 2002-11-07. End: 2009-09-30.
What specific computer systems design services were procured under this contract, and how did they align with DoD's evolving technological needs?
The contract focused on computer systems design services, which is a broad category. Without more specific details on the Statement of Work (SOW), it's difficult to ascertain the exact services. However, given the duration and agency, it likely encompassed a range of activities from system architecture and integration to software development and lifecycle management, supporting the DoD's ongoing need for robust and secure IT infrastructure.
How did the pricing structure (Cost Plus Fixed Fee) influence the final cost and contractor's incentive for efficiency given the full and open competition?
A Cost Plus Fixed Fee (CPFF) contract allows the contractor to recover allowable costs plus a fixed fee representing profit. While full and open competition aims for price discovery, CPFF contracts can sometimes lead to cost overruns if not closely monitored. The fixed fee provides some incentive for efficiency, but the government bears the risk of cost increases beyond the negotiated allowable costs.
What was the competitive landscape like for this specific type of IT service at the time of award, and did the competition effectively drive down costs?
The utilization of full and open competition suggests a healthy market for computer systems design services. While the specific competitive landscape isn't detailed, this approach generally allows multiple qualified vendors to bid, fostering price competition. The effectiveness in driving down costs would depend on the number and strength of the competing proposals received and the government's negotiation strategy.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services
Product/Service Code: RESEARCH AND DEVELOPMENT › DEFENSE (OTHER) R&D
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: BASIC RESEARCH
Offers Received: 172
Pricing Type: COST PLUS FIXED FEE (U)
Contractor Details
Address: 3190 FAIRVIEW PARK DRIVE, FALLS CHURCH, VA, 22042
Business Categories: Category Business, Not Designated a Small Business
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2002-11-07
Current End Date: 2009-09-30
Potential End Date: 2009-09-30 00:00:00
Last Modified: 2017-07-12
More Contracts from Booz Allen Hamilton Inc
- Task Order (TO) 47qfca21f0018 IS Hereby Awarded to Booz Allen Hamilton, Inc. (BAH) to Provide Enterprise Level Data to the Ousd(c), and ITS Strategic Partners (I.E., DOD Fourth Estate, DOD Departments, and IC Community) — $1.4B (General Services Administration)
- Transformation Twenty-One Total Technology Next Generation (T4NG) Task Order - Benefits Integrated Delivery — $1.4B (Department of Veterans Affairs)
- Federal Contract — $1.2B (General Services Administration)
- Product and Technology Ecosystem Management Services (ptems)which Includes Product Delivery and Lifecycle Management to Transform VA by Tapping Into Emerging Technologies, Connecting Developers With VA Data, and Making Human Centered Design (HCD) — $1.1B (Department of Veterans Affairs)
- Task Order Award — $1.1B (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)