Navy awards $8.1M contract for configuration management and software support to Aries Systems International

Contract Overview

Contract Amount: $8,085,540 ($8.1M)

Contractor: Aries Systems International, Inc.

Awarding Agency: Department of Defense

Start Date: 2023-05-11

End Date: 2026-05-10

Contract Duration: 1,095 days

Daily Burn Rate: $7.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: THE NAVAL INFORMATION WARFARE CENTER (NIWC) ATLANTIC NEW ORLEANS OFFICE REQUIRES CONFIGURATION MANAGEMENT ACTIVITIES, PRODUCTION SUPPORT SERVICES, SOFTWARE CHANGE ACTIVITIES, TESTING SERVICE

Place of Performance

Location: HERNDON, FAIRFAX County, VIRGINIA, 20171

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $8.1 million to ARIES SYSTEMS INTERNATIONAL, INC. for work described as: THE NAVAL INFORMATION WARFARE CENTER (NIWC) ATLANTIC NEW ORLEANS OFFICE REQUIRES CONFIGURATION MANAGEMENT ACTIVITIES, PRODUCTION SUPPORT SERVICES, SOFTWARE CHANGE ACTIVITIES, TESTING SERVICE Key points: 1. Contract focuses on essential IT support services for naval information warfare. 2. The award was made under full and open competition, suggesting a competitive bidding process. 3. The contract type is Cost Plus Fixed Fee, which can incentivize cost control but requires careful oversight. 4. Performance period spans three years, indicating a medium-term commitment for these services. 5. The specific NAICS code (541330) points to engineering services, aligning with the technical nature of the work. 6. This contract is a delivery order, likely part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract.

Value Assessment

Rating: good

The contract value of $8.1 million over three years appears reasonable for specialized IT configuration management and production support. Benchmarking against similar contracts for software change activities and testing services would provide a more precise value-for-money assessment. The Cost Plus Fixed Fee (CPFF) pricing structure necessitates close monitoring of costs to ensure efficiency and prevent overruns, as the government bears the cost risk.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple qualified vendors had the opportunity to bid. This approach generally fosters a competitive environment, which can lead to better pricing and service quality. The fact that it's a delivery order suggests it might be one of many under a broader IDIQ, where competition may have occurred at the IDIQ level or for this specific order.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it maximizes the pool of potential offerors, driving down prices through market forces and ensuring the government receives the best value.

Public Impact

Naval Information Warfare Center (NIWC) Atlantic benefits from enhanced configuration management and software support. Ensures the smooth operation and maintenance of critical naval IT systems. Supports the technological readiness of the U.S. Navy's information warfare capabilities. The services provided are essential for maintaining the integrity and functionality of complex software systems.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contracts require diligent oversight to manage costs effectively.
Potential for scope creep in software development and testing activities if not managed tightly.
Reliance on a single contractor for critical IT support functions could pose a risk if performance falters.

Positive Signals

Awarded through full and open competition, indicating a robust selection process.
Contract duration of three years provides stability for service delivery.
Aries Systems International's role suggests established expertise in IT support services.

Sector Analysis

This contract falls within the Engineering Services sector (NAICS 541330), specifically supporting the Department of Defense's IT infrastructure. The market for IT support, configuration management, and software development services for government agencies is substantial, with numerous providers competing for these critical functions. Spending in this area is driven by the continuous need to modernize and maintain complex defense systems.

Small Business Impact

The data indicates this contract was not specifically set aside for small businesses (sb: false). Therefore, small businesses are unlikely to be direct prime contractors on this award. However, opportunities may exist for small businesses to participate as subcontractors to Aries Systems International, depending on the prime contractor's subcontracting plan and the specific needs of the configuration management and software support services.

Oversight & Accountability

Oversight for this Cost Plus Fixed Fee contract will likely involve contract officers, contracting specialists, and technical representatives from NIWC Atlantic. They will monitor performance, review costs, and ensure compliance with contract terms. The Department of Defense has established Inspector General (IG) offices that can investigate potential fraud, waste, or abuse, providing an additional layer of accountability.

Related Government Programs

Naval Information Warfare Systems Command (NAVWAR) IT Support Contracts
Department of Defense Software Development and Maintenance Services
Configuration Management Services for Federal Agencies
Production Support Services for Government IT

Risk Flags

Cost Plus Fixed Fee contract type requires robust oversight.
Potential for scope creep in software-related tasks.
Dependence on contractor for critical IT functions.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $8.1 million to ARIES SYSTEMS INTERNATIONAL, INC.. THE NAVAL INFORMATION WARFARE CENTER (NIWC) ATLANTIC NEW ORLEANS OFFICE REQUIRES CONFIGURATION MANAGEMENT ACTIVITIES, PRODUCTION SUPPORT SERVICES, SOFTWARE CHANGE ACTIVITIES, TESTING SERVICE

Who is the contractor on this award?

The obligated recipient is ARIES SYSTEMS INTERNATIONAL, 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 $8.1 million.

What is the period of performance?

Start: 2023-05-11. End: 2026-05-10.

What is the track record of Aries Systems International with the Department of Defense, particularly in providing configuration management and software support services?

A review of federal procurement data would be necessary to fully assess Aries Systems International's track record. However, being awarded this contract suggests they have demonstrated capability and experience relevant to the requirements. Further analysis would involve examining past performance evaluations, any past disputes or contract terminations, and the types and values of previous contracts held with the Department of Defense or other federal agencies. Understanding their history with similar IT support services, especially within the Navy or other branches, would provide crucial context for their ability to successfully execute this current 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 when the scope of work is not precisely defined or is expected to evolve, as is common in IT development and support. In a CPFF contract, the contractor is reimbursed for allowable costs plus a fixed fee representing profit. This differs from fixed-price contracts, where the price is set upfront, or cost-plus-incentive-fee contracts, which offer profit adjustments based on performance. For taxpayers, CPFF requires robust oversight to ensure costs remain reasonable and that the fixed fee represents fair profit for the work performed. While it allows flexibility, it shifts cost risk to the government, making diligent monitoring of expenditures critical for achieving good value.

What are the key performance indicators (KPIs) likely used to measure the success of this configuration management and software support contract?

Key performance indicators for this contract would likely focus on the efficiency, accuracy, and timeliness of the services provided. For configuration management, KPIs might include the percentage of configuration items accurately documented, the speed of implementing approved changes, and the reduction in configuration errors. For software change activities and testing, metrics could involve the number of bugs identified and resolved, the success rate of test cases, adherence to development schedules, and the uptime/availability of supported systems. Production support KPIs would likely measure response times to incidents, resolution times for issues, and overall system stability. Adherence to security protocols and compliance with documentation standards would also be critical.

What is the historical spending trend for configuration management and software support services by NIWC Atlantic or the Department of the Navy?

To determine historical spending trends, one would need to analyze procurement data for NIWC Atlantic and the Department of the Navy over several fiscal years, specifically filtering for contracts related to configuration management, software development, testing, and production support services (e.g., NAICS 541330, 541511, 541512). This analysis would reveal whether spending in this category has been increasing, decreasing, or remaining stable. It would also highlight major contract awards, dominant contractors, and the typical contract types and values. Understanding these trends provides context for the current $8.1 million award, indicating if it represents a typical investment or a significant deviation.

What are the potential risks associated with the three-year duration of this contract, and how might they be mitigated?

A three-year duration for IT support services presents several potential risks. Firstly, there's the risk of technological obsolescence; the systems or software supported might evolve rapidly, making the contractor's skills or solutions outdated by the end of the term. Secondly, contractor performance could degrade over time, or key personnel might leave, impacting service quality. Thirdly, if the contract is part of a larger IDIQ, the government might miss opportunities to re-compete for better terms or pricing if the current contract is extended or modified extensively. Mitigation strategies include incorporating clear performance standards and review periods, requiring personnel retention plans, ensuring flexibility in the contract to adapt to technological changes, and conducting regular performance assessments.

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: N6523623R3017

Offers Received: 2

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 1900 RESTON METRO PLZ FL 6, RESTON, VA, 20190

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

Financial Breakdown

Contract Ceiling: $14,834,431

Exercised Options: $8,636,652

Current Obligation: $8,085,540

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017819D7160

IDV Type: IDC

Timeline