Navy ERP SPEBO Sustainment Services Contract Awarded to Spartacus Consulting for $23.7M

Contract Overview

Contract Amount: $23,684,034 ($23.7M)

Contractor: Spartacus Consulting, Inc.

Awarding Agency: Department of Defense

Start Date: 2014-11-01

End Date: 2019-10-31

Contract Duration: 1,825 days

Daily Burn Rate: $13.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIXED PRICE LEVEL OF EFFORT

Sector: IT

Official Description: FY15 NAVY ERP SPEBO SUSTAINMENT SERVICES AND TRAVEL

Place of Performance

Location: WASHINGTON NAVY YARD, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20374

State: District of Columbia Government Spending

Plain-Language Summary

Department of Defense obligated $23.7 million to SPARTACUS CONSULTING, INC. for work described as: FY15 NAVY ERP SPEBO SUSTAINMENT SERVICES AND TRAVEL Key points: 1. Contract awarded to Spartacus Consulting, Inc. for ERP sustainment services. 2. Total value of $23.7M over a 5-year period (FY15-FY19). 3. Competition method was 'Full and Open Competition after Exclusion of Sources'. 4. The NAICS code 541519 indicates 'Other Computer Related Services'. 5. This contract falls under the Department of the Navy's IT spending.

Value Assessment

Rating: fair

The contract's fixed-price level of effort structure suggests a defined scope. However, without specific performance metrics or comparison data for similar sustainment services, assessing its value relative to market rates is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which generally promotes competitive pricing. The 'after exclusion of sources' clause warrants further investigation to understand its impact on price discovery.

Taxpayer Impact: The competitive award process aims to secure fair pricing for taxpayers, but the specific impact depends on the effectiveness of the bidding and evaluation.

Public Impact

Ensures continued operation and support for the Navy's Enterprise Resource Planning (ERP) system. Supports critical financial and operational functions within the Department of the Navy. Potential impact on Navy's IT infrastructure and data management capabilities. Contract duration of 5 years provides stability for sustainment services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of detailed performance metrics for value assessment.
  • Ambiguity in 'after exclusion of sources' clause.
  • No explicit mention of small business participation.

Positive Signals

  • Awarded through full and open competition.
  • Long-term contract provides service continuity.
  • Clear NAICS code for service categorization.

Sector Analysis

This contract falls within the Information Technology sector, specifically focusing on IT services and support for a major government system. Benchmarks for IT sustainment services vary widely based on system complexity and scope.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). There is no specific information provided regarding subcontracting opportunities for small businesses.

Oversight & Accountability

The contract's fixed-price nature and defined period of performance provide a basis for oversight. However, detailed reporting on performance against the level of effort and any potential scope changes would be crucial for accountability.

Related Government Programs

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

Risk Flags

  • Potential for cost overruns if the 'level of effort' is underestimated.
  • Risk of vendor lock-in if the 'exclusion of sources' limits future competition.
  • Dependence on a single vendor for critical ERP system sustainment.
  • Lack of transparency on specific performance metrics and outcomes.

Tags

other-computer-related-services, department-of-defense, dc, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $23.7 million to SPARTACUS CONSULTING, INC.. FY15 NAVY ERP SPEBO SUSTAINMENT SERVICES AND TRAVEL

Who is the contractor on this award?

The obligated recipient is SPARTACUS CONSULTING, 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 $23.7 million.

What is the period of performance?

Start: 2014-11-01. End: 2019-10-31.

What specific services are included under 'SPEBO Sustainment Services' and how do they align with the Navy's current IT needs?

SPEBO Sustainment Services likely encompass maintenance, updates, bug fixes, and technical support for the Navy's Enterprise Resource Planning system. The alignment with current IT needs would depend on the system's modernization roadmap and whether sustainment is a strategic choice versus a necessity due to legacy systems.

What was the rationale for 'exclusion of sources' in a full and open competition, and did it limit potential bidders or impact pricing?

Excluding sources in a full and open competition typically occurs when specific capabilities, security clearances, or proprietary knowledge are required, and only a limited number of entities possess them. This could potentially limit the number of bidders and may influence pricing if competition is less robust than a truly unrestricted process.

How does the $23.7M contract value compare to industry benchmarks for similar ERP sustainment services over a 5-year period?

Comparing this contract's value requires detailed analysis of the specific ERP system's complexity, user base, and the scope of sustainment services. Industry benchmarks for large-scale ERP sustainment can range significantly, but a $23.7M contract over five years suggests a substantial system requiring ongoing, comprehensive support.

Industry Classification

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

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: N0003014R0045

Offers Received: 2

Pricing Type: FIXED PRICE LEVEL OF EFFORT (B)

Evaluated Preference: NONE

Contractor Details

Address: 7251 W LAKE MEAD BLVD STE 300, LAS VEGAS, NV, 89128

Business Categories: 8(a) Program Participant, Black American Owned Business, Category Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $23,744,409

Exercised Options: $23,744,409

Current Obligation: $23,684,034

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2014-11-01

Current End Date: 2019-10-31

Potential End Date: 2019-10-31 00:00:00

Last Modified: 2023-11-07

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