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 Services › Architectural, Engineering, and Related Services › Engineering Services
Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, 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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