DoD's $14.8M COBRA SERVICES contract with The Columbia Group Inc. awarded via sole-source
Contract Overview
Contract Amount: $14,853,468 ($14.9M)
Contractor: THE Columbia Group Inc
Awarding Agency: Department of Defense
Start Date: 2023-09-30
End Date: 2026-09-29
Contract Duration: 1,095 days
Daily Burn Rate: $13.6K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: IT
Official Description: COBRA SERVICES
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20003
Plain-Language Summary
Department of Defense obligated $14.9 million to THE COLUMBIA GROUP INC for work described as: COBRA SERVICES Key points: 1. High contract value for custom computer programming services. 2. Sole-source award raises questions about competition and potential overpricing. 3. Significant taxpayer investment in IT services for the Department of the Navy. 4. Contract duration of 3 years suggests a substantial, ongoing need.
Value Assessment
Rating: questionable
The contract value of $14.8M over three years for custom computer programming services appears high, especially given the sole-source award. Without competitive bidding, it's difficult to benchmark against similar contracts to ensure fair pricing.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
The contract was not competed, indicating a sole-source award. This limits price discovery and may result in higher costs for the government compared to a competitive process.
Taxpayer Impact: The lack of competition for a $14.8M contract could lead to inefficient use of taxpayer funds if the pricing is not optimized.
Public Impact
Taxpayers may be paying a premium due to the absence of competitive bidding. The Department of the Navy is investing significantly in specialized IT services. The long-term nature of the contract suggests a critical need for these services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award
- High contract value
- Lack of competition
Positive Signals
- Definitive contract award
- Clear service description
Sector Analysis
This contract falls within the IT services sector, specifically custom computer programming. Spending in this area is substantial across government agencies, but competitive bidding is crucial for cost-effectiveness.
Small Business Impact
The contract was awarded to The Columbia Group Inc. and there is no indication that small businesses were involved in the subcontracting process or benefited from this award.
Oversight & Accountability
The sole-source nature of this award warrants closer oversight to ensure the pricing is fair and the services provided are essential and effectively delivered.
Related Government Programs
- Custom Computer Programming Services
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Sole-source award lacks competition.
- Potential for inflated pricing.
- High contract value requires scrutiny.
- Cost-plus-fixed-fee structure carries inherent risk.
Tags
custom-computer-programming-services, department-of-defense, dc, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $14.9 million to THE COLUMBIA GROUP INC. COBRA SERVICES
Who is the contractor on this award?
The obligated recipient is THE COLUMBIA GROUP INC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $14.9 million.
What is the period of performance?
Start: 2023-09-30. End: 2026-09-29.
What justification was provided for awarding this contract on a sole-source basis instead of through a competitive process?
The justification for a sole-source award typically involves circumstances where only one responsible source can provide the required supplies or services. This could be due to unique capabilities, proprietary technology, or urgent and compelling needs. Without specific documentation, it's impossible to confirm the exact reason, but it's a critical factor in assessing value.
How does the cost-plus-fixed-fee structure impact the overall risk and potential for cost overruns?
Cost-plus-fixed-fee contracts aim to control costs by providing a fixed fee to the contractor regardless of the final cost. However, the government still bears the risk of cost overruns. The effectiveness of this structure depends heavily on robust government oversight and clear definition of the scope of work to prevent scope creep.
What metrics are in place to measure the effectiveness and successful delivery of these custom computer programming services?
Effective measurement requires clearly defined performance standards and key performance indicators (KPIs) within the contract. These should align with the Department of the Navy's objectives for the custom programming. Regular performance reviews and reporting mechanisms are essential to track progress and ensure the services meet the intended outcomes.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Custom Computer Programming Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - APLLICATIONS
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: N0002423R6103
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 6303 LITTLE RIVER TPKE STE 210, ALEXANDRIA, VA, 22312
Business Categories: Asian Pacific American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $41,856,070
Exercised Options: $21,477,597
Current Obligation: $14,853,468
Actual Outlays: $140,769
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Timeline
Start Date: 2023-09-30
Current End Date: 2026-09-29
Potential End Date: 2028-09-29 00:00:00
Last Modified: 2025-12-17
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