DoD's $29.4M IT Contract with Leidos: Full & Open Competition, Time & Materials

Contract Overview

Contract Amount: $29,371,138 ($29.4M)

Contractor: Leidos, Inc.

Awarding Agency: Department of Defense

Start Date: 2008-09-26

End Date: 2011-09-14

Contract Duration: 1,083 days

Daily Burn Rate: $27.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: INFORMATION TECHNOLOGY

Place of Performance

Location: MC LEAN, FAIRFAX County, VIRGINIA, 22102

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $29.4 million to LEIDOS, INC. for work described as: INFORMATION TECHNOLOGY Key points: 1. Contract Value: $29.4 million over 3 years. 2. Primary Contractor: Leidos, Inc. 3. Competition: Awarded under full and open competition. 4. Contract Type: Time and Materials. 5. Sector: Information Technology.

Value Assessment

Rating: fair

The Time and Materials contract type can lead to cost overruns if not closely managed. The benchmark of $27,120 per base year is difficult to assess without specific labor categories and hours, but appears moderate for IT services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, suggesting a competitive bidding process. However, the Time and Materials pricing structure may limit price discovery and incentivize increased labor hours.

Taxpayer Impact: Taxpayer funds were utilized through a competitive process, but the T&M structure warrants careful monitoring to ensure cost efficiency.

Public Impact

Ensures access to necessary IT services for the Department of the Navy. Supports a major IT contractor, Leidos, Inc. The competitive award process aims for best value for the government. Potential for cost escalation due to Time and Materials contract type.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Time and Materials contract type can lead to cost overruns.
  • Lack of specific performance metrics makes value assessment difficult.

Positive Signals

  • Awarded under full and open competition.
  • Contract duration of over 3 years provides stability.

Sector Analysis

This contract falls within the Information Technology sector, specifically for computer and software stores, supporting the Department of the Navy. IT spending benchmarks vary widely based on service type and complexity.

Small Business Impact

There is no indication in the provided data whether small businesses were involved as subcontractors or partners in this contract. Further investigation would be needed to determine small business participation.

Oversight & Accountability

The Department of Defense, specifically the Department of the Navy, is responsible for oversight. The Time and Materials contract type necessitates robust monitoring of labor hours and costs to ensure accountability.

Related Government Programs

  • Computer and Software Stores
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Potential for cost overruns due to T&M pricing.
  • Limited transparency on specific IT products/services procured.
  • Lack of defined performance metrics in T&M structure.
  • Difficulty in assessing value without detailed cost breakdown.

Tags

computer-and-software-stores, department-of-defense, va, do, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $29.4 million to LEIDOS, INC.. INFORMATION TECHNOLOGY

Who is the contractor on this award?

The obligated recipient is LEIDOS, 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 $29.4 million.

What is the period of performance?

Start: 2008-09-26. End: 2011-09-14.

What specific IT services were provided under this contract, and how did they align with the Department of the Navy's mission requirements?

The data indicates the contract was for 'Computer and Software Stores' (NAICS 443120), suggesting procurement of hardware, software, and related IT products. The alignment with mission requirements would depend on the specific systems and operational needs of the Department of the Navy at the time of award in 2008.

What were the key performance indicators (KPIs) or service level agreements (SLAs) established for this Time and Materials contract to manage risk and ensure effectiveness?

Time and Materials contracts often lack the defined scope and fixed pricing that facilitate traditional KPIs/SLAs. Oversight would focus on tracking labor hours, material costs, and ensuring adherence to the agreed-upon rates. Specific KPIs would need to be inferred from contract modifications or internal DoD performance reviews.

How did the pricing structure of this Time and Materials contract compare to other similar IT procurement vehicles available to the government at the time?

Assessing the competitiveness of T&M pricing requires detailed comparison of labor rates, overhead factors, and profit margins against other government contracts or commercial offerings for similar IT goods and services. Without access to the bid proposals and market research, a definitive comparison is challenging.

Industry Classification

NAICS: Retail TradeElectronics and Appliance StoresComputer and Software Stores

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Offers Received: 2

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Leidos Holdings, Inc. (UEI: 611641312)

Address: 1710 SAIC DRIVE, ROOM #8032, MCLEAN, VA, 90

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $29,371,138

Exercised Options: $29,371,138

Current Obligation: $29,371,138

Parent Contract

Parent Award PIID: GS35F4461G

IDV Type: FSS

Timeline

Start Date: 2008-09-26

Current End Date: 2011-09-14

Potential End Date: 2011-09-14 00:00:00

Last Modified: 2014-03-29

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