DoD's $16M IT Tools Pool contract to Forward Slope Inc. awarded via full and open competition

Contract Overview

Contract Amount: $16,019,432 ($16.0M)

Contractor: Forward Slope Inc

Awarding Agency: Department of Defense

Start Date: 2018-08-15

End Date: 2025-05-05

Contract Duration: 2,455 days

Daily Burn Rate: $6.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: IGF::OT::IGF 4.0 IT TOOLS RESOURCE POOL

Place of Performance

Location: SAN DIEGO, SAN DIEGO County, CALIFORNIA, 92108

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $16.0 million to FORWARD SLOPE INC for work described as: IGF::OT::IGF 4.0 IT TOOLS RESOURCE POOL Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract has a duration of 2455 days, indicating a long-term need for IT tools. 3. The contract type is Cost Plus Fixed Fee (CPFF), which can lead to cost overruns if not managed carefully. 4. The award was made by the Defense Contract Management Agency, a key oversight body within the DoD. 5. The contract is for Engineering Services, with a North American Industry Classification System (NAICS) code of 541330. 6. The contract is a Delivery Order, suggesting it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract.

Value Assessment

Rating: fair

Benchmarking the value of this $16 million contract is challenging without specific performance metrics or comparable contract data. The Cost Plus Fixed Fee (CPFF) contract type introduces inherent risk for cost control, as the government reimburses allowable costs plus a fixed fee. While this structure can be appropriate for research and development or when costs are uncertain, it requires robust oversight to prevent cost creep. Comparing the fixed fee to industry standards for similar IT services contracts would be necessary for a more precise value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of 3 bidders suggests a moderate level of competition for this requirement. A higher number of bidders typically leads to more competitive pricing and a wider range of innovative solutions. However, the specific nature of the IT tools and engineering services required may limit the pool of qualified contractors.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can drive down prices and improve service quality. The presence of multiple bidders suggests that taxpayer funds are likely being used more efficiently than in a sole-source scenario.

Public Impact

The Department of Defense benefits from access to specialized IT tools and engineering services. This contract supports the development and provision of essential technology resources for defense operations. The contract's duration suggests a sustained impact on the DoD's technological capabilities. The geographic impact is primarily within California, where the contractor is located, but the services likely support broader defense missions.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee (CPFF) contract type can incentivize contractor to incur costs to increase the fee base, requiring diligent oversight.
Long contract duration (2455 days) increases the risk of scope creep and potential cost increases over time.
Limited public information on specific IT tools and engineering services provided makes it difficult to assess performance and value.

Positive Signals

Awarded through full and open competition, indicating a competitive bidding process.
The contract is managed by the Defense Contract Management Agency, suggesting established oversight mechanisms.
The contract is a Delivery Order, implying it is part of a potentially larger, pre-competed IDIQ vehicle.

Sector Analysis

This contract falls within the Engineering Services sector, specifically related to IT tools and resource pools for the Department of Defense. The market for defense IT services is substantial, driven by the need for advanced technological capabilities. Comparable spending benchmarks would involve analyzing other DoD contracts for similar IT support and engineering services, particularly those awarded under IDIQ vehicles. The size of this specific award ($16 million) is moderate within the broader defense IT spending landscape.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses arising from a set-aside provision. However, the prime contractor, Forward Slope Inc., may choose to subcontract portions of the work to small businesses as part of their overall business strategy, which could indirectly benefit the small business ecosystem.

Oversight & Accountability

Oversight for this contract is likely managed by the Defense Contract Management Agency (DCMA), which is responsible for ensuring contractor performance and compliance with contract terms. The Cost Plus Fixed Fee (CPFF) structure necessitates rigorous financial oversight to monitor allowable costs and the reasonableness of the fixed fee. Transparency regarding the specific IT tools and engineering services delivered, as well as detailed cost breakdowns, would be crucial for comprehensive accountability assessment. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

DoD IT Modernization Programs
Defense Information Systems Agency (DISA) Contracts
IT Support Services for Military Branches
Engineering Services for Defense Systems

Risk Flags

Cost Plus Fixed Fee (CPFF) contract type requires diligent cost oversight.
Long contract duration increases potential for scope creep and cost escalation.
Limited public detail on specific services impacts performance assessment.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $16.0 million to FORWARD SLOPE INC. IGF::OT::IGF 4.0 IT TOOLS RESOURCE POOL

Who is the contractor on this award?

The obligated recipient is FORWARD SLOPE 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 $16.0 million.

What is the period of performance?

Start: 2018-08-15. End: 2025-05-05.

What is the track record of Forward Slope Inc. in performing similar IT services contracts for the Department of Defense?

Assessing Forward Slope Inc.'s track record requires a review of their past performance on similar contracts. This would involve examining contract databases for previous awards, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any documented issues or successes. For this specific contract, understanding their experience with IT tools and engineering services, particularly within the DoD's complex environment, is crucial. A history of successful delivery, on-time performance, and adherence to budget on comparable projects would indicate a lower risk. Conversely, past performance issues, such as cost overruns, schedule delays, or quality deficiencies, would raise concerns about their ability to execute this current $16 million contract effectively.

How does the Cost Plus Fixed Fee (CPFF) structure of this contract compare to industry norms for similar IT services, and what are the associated risks?

The Cost Plus Fixed Fee (CPFF) contract type is often used when the scope of work is not precisely defined or involves significant uncertainty, such as in research and development or complex IT solutions. In this structure, the contractor is reimbursed for allowable costs plus a predetermined fixed fee, which represents their profit. Industry norms suggest that CPFF contracts require robust government oversight to manage costs effectively. The primary risk for the government is that the contractor may have less incentive to control costs compared to fixed-price contracts, as costs are reimbursed. This can lead to cost overruns if not managed diligently. The fixed fee itself should be benchmarked against industry standards for similar services to ensure it represents fair value.

What specific IT tools and engineering services are being procured under this $16 million contract, and how do they align with current DoD IT priorities?

The provided data indicates the contract is for 'IT TOOLS RESOURCE POOL' and 'Engineering Services' (NAICS 541330), but lacks specific details on the exact nature of the IT tools or engineering tasks. To assess alignment with DoD IT priorities, one would need to examine the contract's Statement of Work (SOW). Current DoD IT priorities often include areas like cloud computing, cybersecurity, artificial intelligence, data analytics, and modernizing legacy systems. Understanding if the tools and services procured under this contract directly support these strategic objectives is key. For instance, if the 'IT tools' are related to software development, network infrastructure, or data management platforms that enhance warfighter capabilities or improve operational efficiency, they would likely align well.

What is the historical spending pattern for IT tools and engineering services by the Defense Contract Management Agency or the broader Department of Defense?

Analyzing historical spending patterns for IT tools and engineering services within the DoD provides context for the $16 million award to Forward Slope Inc. This involves examining aggregate spending data over several fiscal years across relevant agencies and contract types. Trends in spending can reveal increasing or decreasing investments in specific technology areas, shifts in procurement strategies (e.g., from sole-source to competitive), and the average contract values for similar services. For example, if historical data shows a consistent and significant investment in IT resource pools and engineering support, this $16 million contract would appear as a typical expenditure. Conversely, a sharp increase or decrease in spending could signal evolving requirements or budget constraints.

How many other contracts of similar scope and value has the Department of Defense awarded for IT tools and engineering services in the past three years?

To answer this, a search of federal procurement databases (like FPDS or SAM.gov) would be necessary, filtering for contracts awarded by the DoD within the last three years for 'IT Tools' and 'Engineering Services' (NAICS 541330 or similar codes) with award values in a comparable range (e.g., $10 million to $20 million). The number of such contracts would indicate the frequency and scale of similar procurements. A high number suggests a common requirement across the DoD, potentially leading to economies of scale or established market prices. A low number might indicate a niche requirement or a shift in how these services are procured. This comparison helps contextualize the $16 million award and assess whether it represents a standard or exceptional investment.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N0003918R3001

Offers Received: 3

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 2020 CAMINO DEL RIO N STE 400, SAN DIEGO, CA, 92108

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Hispanic American Owned Business, Minority Owned Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $24,424,145

Exercised Options: $24,305,858

Current Obligation: $16,019,432

Actual Outlays: $1,208,591

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017814D7718

IDV Type: IDC

Timeline