DoD's Naval Tactical Command Support System Maintenance Contract Exceeds $26.5M with CACI

Contract Overview

Contract Amount: $26,592,381 ($26.6M)

Contractor: CACI Technologies, LLC

Awarding Agency: Department of Defense

Start Date: 2019-12-06

End Date: 2024-08-23

Contract Duration: 1,722 days

Daily Burn Rate: $15.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: NAVAL TACTICAL COMMAND SUPPORT SYSTEM (NTCSS) - MAINTENANCE AND SUSTAINMENT

Place of Performance

Location: NORFOLK, NORFOLK CITY County, VIRGINIA, 23511

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $26.6 million to CACI TECHNOLOGIES, LLC for work described as: NAVAL TACTICAL COMMAND SUPPORT SYSTEM (NTCSS) - MAINTENANCE AND SUSTAINMENT Key points: 1. Contract awarded to CACI Technologies, LLC for NTCSS maintenance and sustainment. 2. Significant investment of over $26.5 million allocated for this critical naval system. 3. Full and open competition was utilized, suggesting a competitive bidding process. 4. The contract spans nearly five years, indicating a long-term need for support.

Value Assessment

Rating: good

The contract's value of $26.59 million over 1722 days suggests a substantial but potentially reasonable cost for maintaining a complex tactical system. Benchmarking against similar large-scale IT sustainment contracts would provide further clarity on its value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The use of full and open competition is a positive indicator for price discovery, as it allows multiple vendors to bid. This method generally leads to more competitive pricing compared to sole-source or limited solicitations.

Taxpayer Impact: The competitive nature of the award suggests that taxpayers are likely receiving a fair price for the services rendered, minimizing potential overspending.

Public Impact

Ensures operational readiness of critical naval command and control systems. Supports the U.S. Navy's technological infrastructure and mission capabilities. Impacts personnel relying on the NTCSS for daily operations and strategic planning. Contributes to the overall cybersecurity posture of naval assets.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost overruns in Cost Plus Fixed Fee contracts if not closely monitored.
  • Dependency on a single contractor for critical system maintenance.
  • Risk of technological obsolescence if sustainment doesn't keep pace with advancements.

Positive Signals

  • Awarded through full and open competition.
  • Long-term contract duration indicates sustained need and potential for stable support.
  • Supports critical national defense infrastructure.

Sector Analysis

This contract falls within Engineering Services (NAICS 541330), a sector vital for maintaining and upgrading complex defense systems. Spending benchmarks for similar large-scale IT sustainment contracts within the Department of Defense are typically in the tens to hundreds of millions of dollars.

Small Business Impact

The data indicates that CACI Technologies, LLC, the awardee, is not a small business. There is no explicit mention of small business participation goals or subcontracting requirements in the provided data.

Oversight & Accountability

The contract is managed by the Department of the Navy, a component of the Department of Defense, which has established oversight mechanisms. However, the effectiveness of oversight for Cost Plus Fixed Fee contracts relies heavily on diligent monitoring of costs and performance.

Related Government Programs

  • Engineering Services
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Cost Plus Fixed Fee contract type can lead to cost overruns if not managed tightly.
  • Lack of explicit small business participation may limit broader economic impact.
  • Potential for vendor lock-in due to specialized system knowledge.
  • Long contract duration requires continuous monitoring for performance and relevance.

Tags

engineering-services, department-of-defense, va, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $26.6 million to CACI TECHNOLOGIES, LLC. NAVAL TACTICAL COMMAND SUPPORT SYSTEM (NTCSS) - MAINTENANCE AND SUSTAINMENT

Who is the contractor on this award?

The obligated recipient is CACI TECHNOLOGIES, 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 $26.6 million.

What is the period of performance?

Start: 2019-12-06. End: 2024-08-23.

What is the specific breakdown of costs within the Cost Plus Fixed Fee structure, and how are profit margins determined?

The Cost Plus Fixed Fee (CPFF) structure means the contractor is reimbursed for allowable costs plus a fixed fee representing profit. Detailed breakdowns are typically found in the contract's statement of work and financial clauses. Oversight is crucial to ensure costs are reasonable and allocable, and the fixed fee should reflect the contractor's risk and effort.

How does the sustainment plan for NTCSS address potential technological obsolescence and future upgrades?

The contract's duration of nearly five years necessitates a robust sustainment plan. Effective management should include provisions for incorporating technological advancements and addressing obsolescence proactively. Regular reviews of the system's roadmap and potential upgrades are essential to maintain its effectiveness and security.

What performance metrics are used to evaluate CACI's maintenance and sustainment services for NTCSS?

Performance metrics are critical for CPFF contracts. While not detailed here, they likely include system uptime, response times for maintenance requests, successful implementation of updates, and adherence to security protocols. Regular performance reviews and contractor scorecards are standard oversight tools.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering Services

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENTMAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N6523618R3094

Offers Received: 3

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: CACI International Inc

Address: 14370 NEWBROOK DRIVE, CHANTILLY, VA, 20151

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

Financial Breakdown

Contract Ceiling: $30,081,524

Exercised Options: $29,514,809

Current Obligation: $26,592,381

Actual Outlays: $3,157,173

Subaward Activity

Number of Subawards: 3

Total Subaward Amount: $4,169,230

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017804D4026

IDV Type: IDC

Timeline

Start Date: 2019-12-06

Current End Date: 2024-08-23

Potential End Date: 2024-08-23 00:00:00

Last Modified: 2025-09-03

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