NAVWAR awards $31.5M IM/IT support contract to Innovatus Technology Consulting under full and open competition

Contract Overview

Contract Amount: $31,481,281 ($31.5M)

Contractor: Innovatus Technology Consulting

Awarding Agency: Department of Defense

Start Date: 2022-08-17

End Date: 2026-08-16

Contract Duration: 1,460 days

Daily Burn Rate: $21.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 8

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: NAVWAR 8.0 INFORMATION MANAGEMENT INFORMATION TECHNOLOGY (IM/IT) SUPPORT SERVICES FOR THE NAVWAR OCIO

Place of Performance

Location: SAN DIEGO, SAN DIEGO County, CALIFORNIA, 92123

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $31.5 million to INNOVATUS TECHNOLOGY CONSULTING for work described as: NAVWAR 8.0 INFORMATION MANAGEMENT INFORMATION TECHNOLOGY (IM/IT) SUPPORT SERVICES FOR THE NAVWAR OCIO Key points: 1. Contract awarded to Innovatus Technology Consulting for IM/IT support services. 2. The contract has a duration of 1460 days, ending in August 2026. 3. Awarded under full and open competition, indicating a broad solicitation process. 4. The contract type is Cost Plus Fixed Fee (CPFF), which can shift risk to the government. 5. This award represents a portion of broader IT support spending within the Department of the Navy. 6. The North American Industry Classification System (NAICS) code is 541330 (Engineering Services), which may indicate a broader scope than typical IT support.

Value Assessment

Rating: fair

Benchmarking the value of this $31.5 million contract requires more granular data on the specific IT services provided. The Cost Plus Fixed Fee (CPFF) contract type, while common for complex services, can lead to higher costs if not managed closely, as the government bears the risk of cost overruns. Comparing this to similar IM/IT support contracts within the Department of Defense or other federal agencies would provide better insight into whether the pricing is competitive for the scope of work.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, suggesting that multiple vendors were likely invited to bid. The presence of 8 bidders indicates a reasonably competitive environment for this type of IT support service. This level of competition is generally favorable for price discovery and potentially achieving better value for the government.

Taxpayer Impact: Full and open competition typically leads to more competitive pricing, which benefits taxpayers by ensuring that the government is not overpaying for necessary services.

Public Impact

The primary beneficiary is the Naval Information Warfare Systems Command (NAVWAR) and its OCIO, receiving essential IT support. Services delivered include information management and IT support, crucial for the operational effectiveness of the Navy. The contract has a geographic impact primarily in California, where NAVWAR is located. This contract supports a segment of the IT workforce, potentially including specialized technical and management roles.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The CPFF contract type shifts cost overrun risk to the government.
The NAICS code 541330 (Engineering Services) is unusual for a pure IT support contract and may indicate a broader or more complex scope than initially apparent, potentially leading to unforeseen costs.
Limited public detail on specific performance metrics makes it difficult to assess value for money comprehensively.

Positive Signals

Awarded under full and open competition with 8 bidders, suggesting a healthy market response.
The contract is for essential IT support services, critical for NAVWAR's mission.
The contract has a defined period of performance, allowing for structured service delivery and evaluation.

Sector Analysis

The Information Technology (IT) services sector within the federal government is vast, encompassing a wide range of support, development, and maintenance activities. This contract falls within the broader IT services market, which is characterized by intense competition and a mix of large and small businesses. Spending on IT support services by defense agencies like the Department of the Navy is substantial, driven by the need to maintain complex systems and adapt to evolving technological landscapes. Comparable spending benchmarks would typically look at the average cost of IT support contracts of similar scope and duration within the DoD.

Small Business Impact

This contract was not set aside for small businesses, and there is no explicit indication of subcontracting requirements for small businesses in the provided data. This suggests that the primary award went to a large business, and the direct impact on the small business IT ecosystem may be limited unless Innovatus Technology Consulting actively engages small businesses for subcontracting opportunities.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of the Navy's contracting and program management offices. Accountability measures would be defined in the contract's terms and conditions, including performance standards and reporting requirements. Transparency is generally facilitated through contract award databases like FPDS, though detailed performance data may be less accessible. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

NAVWAR IT Support Services
Department of the Navy IT Contracts
DoD Information Technology Services
Cost Plus Fixed Fee IT Contracts
Engineering Services for Government

Risk Flags

Contract type (CPFF) shifts cost risk to the government.
NAICS code mismatch (Engineering Services for IT Support) may indicate scope ambiguity or complexity.
Limited public detail on specific services and performance metrics.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $31.5 million to INNOVATUS TECHNOLOGY CONSULTING. NAVWAR 8.0 INFORMATION MANAGEMENT INFORMATION TECHNOLOGY (IM/IT) SUPPORT SERVICES FOR THE NAVWAR OCIO

Who is the contractor on this award?

The obligated recipient is INNOVATUS TECHNOLOGY CONSULTING.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $31.5 million.

What is the period of performance?

Start: 2022-08-17. End: 2026-08-16.

What is the track record of Innovatus Technology Consulting with federal contracts, particularly within the Department of Defense?

Innovatus Technology Consulting has a history of receiving federal contracts, primarily within the Department of Defense. Analyzing their past performance, including contract values, types, and agencies served, is crucial. A review of their award history would reveal their experience with similar IT support or engineering services. Positive indicators would include successful completion of prior contracts, favorable past performance reviews, and a consistent ability to meet contractual obligations. Conversely, any history of contract disputes, performance issues, or significant cost overruns would raise concerns about their reliability and capability for this NAVWAR contract.

How does the Cost Plus Fixed Fee (CPFF) structure compare to other contract types for similar IT support services, and what are the implications for value?

The Cost Plus Fixed Fee (CPFF) contract type is often used for services where the scope is not precisely defined or is expected to evolve, such as research and development or complex IT support. In a CPFF contract, the contractor is reimbursed for allowable costs plus a fixed fee representing their profit. This structure shifts the financial risk of cost overruns to the government, as the contractor is incentivized to control costs but is guaranteed their fee regardless of the final cost. Compared to Firm-Fixed-Price (FFP) contracts, where the contractor assumes all cost risk for a set price, CPFF can lead to higher overall costs for the government if not managed diligently. However, it allows for flexibility and can be appropriate when innovation or adaptation is key.

What are the specific IT support services covered under this contract, and how do they align with NAVWAR's mission objectives?

The contract specifies '8.0 INFORMATION MANAGEMENT INFORMATION TECHNOLOGY (IM/IT) SUPPORT SERVICES FOR THE NAVWAR OCIO.' While the broad description indicates general IT support, the specific services are not detailed in the provided data. These could range from network administration, cybersecurity, software development and maintenance, help desk support, to strategic IT planning and management. Understanding the precise nature of these services is critical to assessing their alignment with NAVWAR's mission, which is to provide resilient and secure information warfare capabilities. Without a detailed statement of work, it's challenging to confirm if the awarded services directly address NAVWAR's most critical IT needs or if there's a potential mismatch.

What is the historical spending trend for similar IM/IT support services at NAVWAR or within the Department of the Navy?

Analyzing historical spending on similar IM/IT support services at NAVWAR and the broader Department of the Navy provides crucial context for evaluating the current $31.5 million award. If spending in this category has been consistently high or increasing, it suggests a sustained demand for these services. Conversely, a significant deviation from historical patterns might warrant further investigation. Benchmarking this contract's value against previous awards for comparable services can help determine if the current pricing is competitive. Trends can also highlight potential shifts in IT strategy or reliance on external support, offering insights into the long-term IT investment landscape within the Navy.

How does the NAICS code 541330 (Engineering Services) relate to the stated IT support services, and does this suggest a broader scope or potential risk?

The assignment of NAICS code 541330 (Engineering Services) to a contract described as 'Information Management Information Technology (IM/IT) Support Services' is noteworthy and potentially indicates a broader scope than typical IT support. Engineering services often involve complex design, analysis, and integration, which could extend beyond routine IT maintenance and help desk functions. This might include systems engineering, integration of complex IT infrastructure with other military systems, or specialized technical consulting. While this could represent a more comprehensive and valuable service offering, it also introduces potential risks if the scope is not clearly defined and managed, possibly leading to cost growth under the CPFF structure or requiring specialized expertise not typically associated with standard IT support providers.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N0003922R3001

Offers Received: 8

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 9655 GRANITE RIDGE DRIVE, SUITE 200, SAN DIEGO, CA, 92123

Business Categories: 8(a) Program Participant, Asian Pacific American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $56,024,749

Exercised Options: $37,062,448

Current Obligation: $31,481,281

Actual Outlays: $334,697

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017819D7840

IDV Type: IDC

Timeline