Navy Awards $65.3M for Computer Systems Design Services under NGEN Contract

Contract Overview

Contract Amount: $65,328,516 ($65.3M)

Contractor: Peraton Enterprise Solutions LLC

Awarding Agency: Department of Defense

Start Date: 2019-06-25

End Date: 2019-09-30

Contract Duration: 97 days

Daily Burn Rate: $673.5K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: FOR THE PROVISION OF NON-PERSONAL SERVICES IAW NGEN CONTRACT AND THIS ORDER'S REQUIREMENT. IN JUNE 2019 FPDSNG SWITCHED TO THE 13 TO 17 CHARACTER TASK ORDER NUMBER. NGEN STILL USES 4 CHARACTERS. THIS CAR ACCOUNTS FOR 93 TO'S FROM 6/25/19 TO 9/26/19

Place of Performance

Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22202

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $65.3 million to PERATON ENTERPRISE SOLUTIONS LLC for work described as: FOR THE PROVISION OF NON-PERSONAL SERVICES IAW NGEN CONTRACT AND THIS ORDER'S REQUIREMENT. IN JUNE 2019 FPDSNG SWITCHED TO THE 13 TO 17 CHARACTER TASK ORDER NUMBER. NGEN STILL USES 4 CHARACTERS. THIS CAR ACCOUNTS FOR 93 TO'S FROM 6/25/19 TO 9/26/19 Key points: 1. Significant award for computer systems design services, totaling over $65 million. 2. Contract awarded to Peraton Enterprise Solutions LLC, a major player in the IT sector. 3. Full and open competition was utilized, suggesting a competitive bidding process. 4. The award falls under the Department of the Navy's IT spending umbrella.

Value Assessment

Rating: good

The award amount of $65.3 million for a 3-month period appears substantial. Benchmarking against similar NGEN task orders would provide a clearer picture of its value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a robust process to solicit bids from eligible vendors. This method generally promotes competitive pricing.

Taxpayer Impact: The competitive nature of the award suggests taxpayers likely received fair pricing for the services rendered.

Public Impact

Supports critical IT infrastructure for the Department of the Navy. Ensures continued operation of computer systems design services. Impacts Peraton Enterprise Solutions LLC's revenue and market position.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Short contract duration (3 months) may indicate a need for ongoing re-competition or a specific project phase.
  • Lack of small business participation noted.

Positive Signals

  • Awarded under a large, established contract vehicle (NGEN).
  • Utilized full and open competition.

Sector Analysis

This award falls within the IT services sector, specifically computer systems design. IT spending for defense agencies is consistently high, with significant portions allocated to system design, integration, and maintenance.

Small Business Impact

The data indicates that small business participation was not a factor in this specific award, as the 'sb' field is false. Further analysis would be needed to understand the overall small business utilization within the NGEN contract.

Oversight & Accountability

The award was made under the NGEN contract, which implies existing oversight mechanisms. The use of FPDSNG for tracking task orders suggests a degree of transparency in federal procurement.

Related Government Programs

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

Risk Flags

  • Short contract duration.
  • No noted small business participation.
  • Potential for vendor lock-in with large contract vehicles.
  • Task order numbering inconsistency noted in data description.

Tags

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

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $65.3 million to PERATON ENTERPRISE SOLUTIONS LLC. FOR THE PROVISION OF NON-PERSONAL SERVICES IAW NGEN CONTRACT AND THIS ORDER'S REQUIREMENT. IN JUNE 2019 FPDSNG SWITCHED TO THE 13 TO 17 CHARACTER TASK ORDER NUMBER. NGEN STILL USES 4 CHARACTERS. THIS CAR ACCOUNTS FOR 93 TO'S FROM 6/25/19 TO 9/26/19

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 $65.3 million.

What is the period of performance?

Start: 2019-06-25. End: 2019-09-30.

What is the typical duration and value of NGEN task orders for computer systems design services?

NGEN task orders for computer systems design services can vary significantly in duration and value. While this specific order was for approximately $65.3 million over three months, other task orders under the NGEN contract might span longer periods or cover different service scopes, leading to different cost structures. Benchmarking this award against historical data for similar services under NGEN is crucial for a comprehensive value assessment.

What are the potential risks associated with a short-duration task order for critical IT services?

Short-duration task orders, like this 3-month award, can pose risks such as potential disruption if follow-on work is not secured promptly, increased administrative burden for repeated contract actions, and potentially higher per-unit costs if vendors factor in the uncertainty of future work. It may also indicate a project with a defined, short-term scope or a temporary need.

How does the use of a large contract vehicle like NGEN impact the effectiveness of competition for IT services?

Large contract vehicles like NGEN are designed to streamline procurement and leverage existing relationships, potentially increasing efficiency. However, they can also concentrate spending with a few large prime contractors, potentially limiting opportunities for smaller, innovative firms to compete directly. The effectiveness of competition hinges on how well the vehicle's structure and task order issuance encourage broad participation.

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

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Peraton Solutions Inc. (UEI: 081218565)

Address: 13600 EDS DR, HERNDON, VA, 20171

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

Financial Breakdown

Contract Ceiling: $65,328,516

Exercised Options: $65,328,516

Current Obligation: $65,328,516

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: N0003913D0013

IDV Type: IDC

Timeline

Start Date: 2019-06-25

Current End Date: 2019-09-30

Potential End Date: 2019-09-30 00:00:00

Last Modified: 2019-11-14

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