DoD's TORIS system contract awarded to SOLUTE for $20.8M to enhance warfighter training data collection

Contract Overview

Contract Amount: $20,784,112 ($20.8M)

Contractor: Solute

Awarding Agency: Department of Defense

Start Date: 2021-03-01

End Date: 2026-02-28

Contract Duration: 1,825 days

Daily Burn Rate: $11.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: TORIS IS A WEB-BASED, ENTERPRISE-LEVEL, DATA COLLECTION, TRANSFER, STORAGE/WAREHOUSING, AND DECISION SUPPORT SYSTEM DESIGNED TO CAPTURE WAR FIGHTER MISSION AREA TRAINING AND INFORMATION FROM THE SURFACE FLEET.

Place of Performance

Location: SAN DIEGO, SAN DIEGO County, CALIFORNIA, 92155

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $20.8 million to SOLUTE for work described as: TORIS IS A WEB-BASED, ENTERPRISE-LEVEL, DATA COLLECTION, TRANSFER, STORAGE/WAREHOUSING, AND DECISION SUPPORT SYSTEM DESIGNED TO CAPTURE WAR FIGHTER MISSION AREA TRAINING AND INFORMATION FROM THE SURFACE FLEET. Key points: 1. The contract aims to improve data collection, transfer, storage, and decision support for warfighter mission area training. 2. SOLUTE, the contractor, will provide services for the TORIS system, a critical component for surface fleet training. 3. The contract duration of 1825 days (5 years) suggests a long-term need for these specialized data services. 4. The award was made under full and open competition, indicating a potentially competitive bidding process. 5. The contract type is Cost Plus Fixed Fee (CPFF), which allows for cost reimbursement plus a fixed fee, balancing flexibility with contractor incentive. 6. The system supports decision-making by capturing training information from the surface fleet, implying a direct impact on operational readiness.

Value Assessment

Rating: good

The total contract value of approximately $20.8 million over five years averages to about $4.16 million annually. Benchmarking this against similar IT and engineering services contracts for data management and decision support systems within the Department of Defense is challenging without more specific service details. However, the CPFF contract type suggests that costs will be closely monitored, and the fixed fee provides a predictable profit margin for the contractor. The value appears reasonable for an enterprise-level system supporting critical training data.

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 had the opportunity to bid. The presence of 3 bids indicates a moderate level of competition for this requirement. A competitive process generally helps in achieving fair market prices and encourages vendors to offer their best technical solutions and pricing.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it typically leads to more competitive pricing and a wider range of innovative solutions, ensuring the government receives the best value for its investment.

Public Impact

Surface fleet warfighters benefit from improved training data collection and analysis, leading to enhanced mission readiness. The TORIS system provides decision support capabilities, aiding leadership in understanding training effectiveness and identifying areas for improvement. The contract supports the Department of the Navy's technological infrastructure for managing and leveraging training data. Personnel involved in training management and data analysis within the Navy will utilize the system and its outputs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The Cost Plus Fixed Fee (CPFF) contract type can sometimes lead to cost overruns if not managed diligently, as the contractor is reimbursed for allowable costs.
Reliance on a single contractor (SOLUTE) for the duration of the contract could pose risks if performance issues arise or if the contractor's capabilities become outdated.

Positive Signals

Awarded under full and open competition, indicating a robust bidding process that likely secured competitive pricing.
The contract duration of five years suggests a stable, long-term commitment to a critical system, providing continuity for the end-users.
The system's focus on warfighter training data directly supports military readiness and operational effectiveness.

Sector Analysis

This contract falls within the Engineering Services sector, specifically related to IT and data management systems for defense applications. The market for such specialized systems is driven by government needs for advanced technological solutions to support military operations and training. Comparable spending often involves large-scale IT infrastructure development, data warehousing, and decision support software tailored for complex environments like naval warfare.

Small Business Impact

The provided data does not indicate any specific small business set-aside provisions or subcontracting requirements for this contract. As it was awarded under full and open competition, it is possible that small businesses participated in the bidding process or could be involved as subcontractors. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the program office within the Department of the Navy. The CPFF structure necessitates close monitoring of costs and performance to ensure adherence to the contract terms. Transparency is generally maintained through contract reporting requirements and potential audits by the Defense Contract Audit Agency (DCAA) or the Inspector General.

Related Government Programs

Naval Training Systems
Defense Data Warehousing
Warfighter Performance Measurement
Fleet Readiness Programs
IT Services for DoD

Risk Flags

Potential for cost overruns inherent in CPFF contracts.
Dependence on a single contractor for a critical system.
Need for continuous monitoring of system performance and evolving technological requirements.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $20.8 million to SOLUTE. TORIS IS A WEB-BASED, ENTERPRISE-LEVEL, DATA COLLECTION, TRANSFER, STORAGE/WAREHOUSING, AND DECISION SUPPORT SYSTEM DESIGNED TO CAPTURE WAR FIGHTER MISSION AREA TRAINING AND INFORMATION FROM THE SURFACE FLEET.

Who is the contractor on this award?

The obligated recipient is SOLUTE.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $20.8 million.

What is the period of performance?

Start: 2021-03-01. End: 2026-02-28.

What is the track record of SOLUTE in delivering similar data management and decision support systems for the Department of Defense?

Information regarding SOLUTE's specific track record with similar large-scale data management and decision support systems for the DoD is not detailed in the provided data. A comprehensive assessment would require reviewing past performance evaluations, contract history, and client testimonials. However, being awarded a contract of this magnitude by the Department of the Navy suggests they possess the necessary qualifications and experience. Further investigation into their portfolio of completed projects, particularly those involving training data or enterprise-level systems, would provide a clearer picture of their capabilities and reliability in delivering complex IT solutions.

How does the $20.8 million contract value compare to similar IT system development and data warehousing contracts within the Navy or DoD?

The $20.8 million contract value over five years, averaging approximately $4.16 million annually, appears to be within a moderate range for enterprise-level IT systems supporting critical functions like training data management within the Department of Defense. However, direct comparisons are difficult without knowing the exact scope, complexity, and specific technologies involved in the TORIS system versus other contracts. Contracts for large-scale data warehousing, analytics platforms, or decision support systems can range from a few million to hundreds of millions of dollars depending on the scale and criticality. The CPFF structure also influences the total cost, as it reimburses allowable costs plus a fixed fee, which can vary based on the contractor's efficiency and the project's unforeseen challenges.

What are the primary risks associated with a Cost Plus Fixed Fee (CPFF) contract for a system like TORIS, and how are they mitigated?

The primary risk with a CPFF contract is potential cost escalation if the contractor's costs exceed initial estimates, although the fixed fee incentivizes efficiency. For TORIS, this could mean the government pays more than anticipated if development or maintenance proves more complex than foreseen. Mitigation strategies include robust government oversight, detailed cost tracking, regular performance reviews, and clear definition of contract scope to prevent scope creep. The fixed fee provides a ceiling on the contractor's profit, aligning their interest with completing the work within reasonable cost parameters, while the government bears the risk of cost overruns on allowable expenses. Effective contract management is crucial to ensure value for money.

How effective is the TORIS system expected to be in improving warfighter training and decision-making based on its design and purpose?

The TORIS system is designed to capture, transfer, store, and provide decision support for warfighter mission area training data from the surface fleet. Its effectiveness hinges on its ability to accurately collect comprehensive training data, provide timely and relevant insights, and integrate seamlessly with existing decision-making processes. If implemented successfully, it should offer a clearer picture of training effectiveness, identify skill gaps, and inform resource allocation for future training initiatives. The system's direct link to decision support suggests it aims to move beyond mere data collection to actionable intelligence, thereby enhancing operational readiness and strategic planning for the Navy.

What are the historical spending patterns for similar training data management systems within the Department of the Navy?

Historical spending patterns for similar training data management systems within the Department of the Navy are not detailed in the provided data. However, the Navy, like other branches of the DoD, invests significantly in IT infrastructure and data analytics to support training and readiness. Such investments often span multiple years and involve substantial budgets for system development, integration, maintenance, and upgrades. The $20.8 million awarded to SOLUTE for TORIS represents a specific investment in a particular system, but understanding broader trends would require analyzing budgets allocated to various training technology programs, data warehousing initiatives, and decision support platforms over several fiscal years.

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: N0024421R3002

Offers Received: 3

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 1455 FRAZEE ROAD, SAN DIEGO, CA, 92108

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

Financial Breakdown

Contract Ceiling: $21,283,125

Exercised Options: $21,278,565

Current Obligation: $20,784,112

Actual Outlays: $1,377,478

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017819D8534

IDV Type: IDC

Timeline