DoD's $24.15M NGEN Services Contract Awarded to Peraton Enterprise Solutions LLC

Contract Overview

Contract Amount: $24,150,599 ($24.2M)

Contractor: Peraton Enterprise Solutions LLC

Awarding Agency: Department of Defense

Start Date: 2014-03-28

End Date: 2015-01-31

Contract Duration: 309 days

Daily Burn Rate: $78.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: NGEN TRANSPORT AND ENTERPRISE SERVICES.

Place of Performance

Location: HERNDON, FAIRFAX County, VIRGINIA, 20171, UNITED STATES OF AMERICA

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $24.2 million to PERATON ENTERPRISE SOLUTIONS LLC for work described as: NGEN TRANSPORT AND ENTERPRISE SERVICES. Key points: 1. Contract awarded for Computer Systems Design Services. 2. Peraton Enterprise Solutions LLC secured the contract. 3. Department of the Navy is the contracting agency. 4. The contract value is $24.15 million. 5. This falls under the IT sector.

Value Assessment

Rating: fair

The contract value of $24.15 million for NGEN Transport and Enterprise Services appears to be within a reasonable range for large-scale IT infrastructure support. Benchmarking against similar large enterprise IT service contracts would provide a more definitive assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a robust price discovery process. This method generally leads to more competitive pricing as multiple vendors are allowed to bid.

Taxpayer Impact: The use of full and open competition suggests that taxpayers likely received a fair price for the services rendered, maximizing value through market forces.

Public Impact

Ensures critical transport and enterprise services for the Department of the Navy. Supports the operational readiness and technological infrastructure of naval forces. Impacts IT service providers and the broader defense technology sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Contract duration is relatively short (309 days).
  • No small business participation noted.

Positive Signals

  • Awarded under full and open competition.
  • Clear contract type (Firm Fixed Price).

Sector Analysis

This contract falls within the Information Technology sector, specifically Computer Systems Design Services. Spending in this area is substantial across government agencies, supporting essential digital infrastructure and operations.

Small Business Impact

The data indicates that this contract did not involve small business participation. For future contracts of this scale, exploring opportunities for small business set-asides or subcontracting could enhance economic impact.

Oversight & Accountability

The contract was awarded by the Department of the Navy, part of the Department of Defense, which has established oversight mechanisms for major IT procurements. Monitoring performance and adherence to contract terms is crucial.

Related Government Programs

  • Computer Systems Design Services
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Short contract duration may indicate a bridge contract or a specific, limited-scope requirement.
  • Lack of small business participation.
  • Potential for vendor lock-in if NGEN is a foundational service.
  • Dependence on a single vendor for critical enterprise services.

Tags

computer-systems-design-services, department-of-defense, va, do, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $24.2 million to PERATON ENTERPRISE SOLUTIONS LLC. NGEN TRANSPORT AND ENTERPRISE SERVICES.

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 $24.2 million.

What is the period of performance?

Start: 2014-03-28. End: 2015-01-31.

What was the specific scope of 'NGEN Transport and Enterprise Services' and how did it align with the agency's strategic IT goals?

NGEN Transport and Enterprise Services likely encompassed the provision, management, and maintenance of network infrastructure, communication systems, and associated IT services critical for the Department of the Navy's operations. This would include ensuring reliable data transport, secure network access, and integrated enterprise solutions to support command, control, and administrative functions, aligning with broader DoD goals for modernized and resilient IT capabilities.

Given the firm-fixed-price structure, what mechanisms were in place to manage potential cost overruns or scope creep during the contract period?

A firm-fixed-price (FFP) contract places the primary cost risk on the contractor. However, the Department of the Navy would typically employ robust contract management, including detailed performance metrics, regular progress reviews, and change control processes. Any deviation from the defined scope would require formal modification and potentially renegotiation, with strict oversight to prevent unauthorized scope creep and manage costs effectively.

How does the $24.15 million award compare to the estimated value or previous contracts for similar enterprise services within the DoD?

Without specific historical data or detailed scope comparison, a direct benchmark is challenging. However, $24.15 million for a 309-day contract for comprehensive enterprise services suggests a significant undertaking. Comparing this to the average cost per day or per user for similar large-scale IT service contracts within DoD or other federal agencies would be necessary to assess if it represents a competitive or outlier value.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: N0003912R0009

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: HP, Inc. (UEI: 009122532)

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: $24,150,599

Exercised Options: $24,150,599

Current Obligation: $24,150,599

Contract Characteristics

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: N0003913D0013

IDV Type: IDC

Timeline

Start Date: 2014-03-28

Current End Date: 2015-01-31

Potential End Date: 2015-01-31 00:00:00

Last Modified: 2017-05-02

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