DoD's $21.4M Other ADP/Telecom Services Contract Awarded to Peraton Enterprise Solutions LLC

Contract Overview

Contract Amount: $21,449,601 ($21.4M)

Contractor: Peraton Enterprise Solutions LLC

Awarding Agency: Department of Defense

Start Date: 2013-03-30

End Date: 2014-03-30

Contract Duration: 365 days

Daily Burn Rate: $58.8K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: OTHER ADP AND TELECOMMUNICATION SVS

Place of Performance

Location: QUANTICO, PRINCE WILLIAM County, VIRGINIA, 22134

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $21.4 million to PERATON ENTERPRISE SOLUTIONS LLC for work described as: OTHER ADP AND TELECOMMUNICATION SVS Key points: 1. Significant contract value of $21.4 million for ADP and telecommunication services. 2. Awarded to Peraton Enterprise Solutions LLC, a single vendor. 3. The contract falls under 'Other Computer Related Services' (NAICS 541519). 4. Services were procured by the Department of the Navy, part of the Department of Defense.

Value Assessment

Rating: fair

The contract value of $21.4 million is substantial. Without specific benchmarks for 'Other ADP and Telecommunication Services' under NAICS 541519, it's difficult to definitively assess pricing. However, the lack of competition suggests potential for overpayment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source or limited competition award. This method bypasses competitive price discovery, potentially leading to higher costs for the government compared to an open competition.

Taxpayer Impact: The lack of competition raises concerns about taxpayer value, as the government may not have secured the best possible price for these essential ADP and telecommunication services.

Public Impact

Ensures critical ADP and telecommunication services for the Department of the Navy. Supports operational readiness and communication infrastructure. Potential for increased costs due to non-competitive award.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of competition
  • Potential for inflated pricing
  • Limited transparency in award justification

Positive Signals

  • Provides essential services to a key defense agency
  • Fixed-price contract can offer cost predictability if well-defined

Sector Analysis

This contract falls under the broad category of IT and telecommunications services, a sector with consistently high government spending. Benchmarks for 'Other Computer Related Services' are highly variable, making direct comparison challenging without more specific service details.

Small Business Impact

The data does not indicate whether small businesses were involved as subcontractors. The primary awardee, Peraton Enterprise Solutions LLC, is a large business, suggesting limited direct benefit to small businesses from this specific award.

Oversight & Accountability

The 'NOT COMPETED' status warrants further review to ensure proper justification and adherence to procurement regulations. Oversight should focus on the necessity of a sole-source award and the reasonableness of the price.

Related Government Programs

  • Other Computer Related Services
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Lack of competitive bidding
  • Potential for overpricing
  • Limited transparency on award justification
  • High contract value for 'Other' services

Tags

other-computer-related-services, department-of-defense, va, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $21.4 million to PERATON ENTERPRISE SOLUTIONS LLC. OTHER ADP AND TELECOMMUNICATION SVS

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 $21.4 million.

What is the period of performance?

Start: 2013-03-30. End: 2014-03-30.

What was the specific justification for awarding this contract on a sole-source basis, and were alternative competitive strategies considered?

The justification for a sole-source award is crucial for understanding the necessity and potential constraints that prevented competition. Agencies typically cite reasons like urgency, unique capabilities, or lack of market availability. Without this justification, it's difficult to assess if taxpayers received fair value or if alternative, more competitive approaches could have been pursued to potentially lower costs.

How does the $21.4 million contract value compare to industry benchmarks for similar 'Other ADP and Telecommunication Services' over a one-year period?

Benchmarking this contract's value requires detailed analysis of the specific services provided under NAICS 541519. Given the 'Other' classification, services can range widely. A $21.4 million expenditure for a single year suggests a significant scope. Without specific service details and comparable contract data, assessing if this price is reasonable or inflated is challenging, especially considering the lack of competition.

What mechanisms are in place to ensure the effectiveness and quality of services provided by Peraton Enterprise Solutions LLC under this contract?

Effectiveness and quality are typically ensured through performance metrics, service level agreements (SLAs), and regular government oversight. For a sole-source contract, robust contract management and quality assurance surveillance plans are even more critical to ensure the government receives the intended value and that services meet the required standards. The fixed-price nature should incentivize performance, but monitoring is key.

Industry Classification

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

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

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: HP, Inc.

Address: 13600 EDS DR, HERNDON, VA, 20171

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

Financial Breakdown

Contract Ceiling: $21,449,601

Exercised Options: $21,449,601

Current Obligation: $21,449,601

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: N0003910D0010

IDV Type: IDC

Timeline

Start Date: 2013-03-30

Current End Date: 2014-03-30

Potential End Date: 2014-03-30 00:00:00

Last Modified: 2024-03-29

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