DoD Awards $92.8M Consulting Task Order to Booz Allen Hamilton Under Full and Open Competition
Contract Overview
Contract Amount: $92,818,192 ($92.8M)
Contractor: Booz Allen Hamilton Inc
Awarding Agency: Department of Defense
Start Date: 2022-08-09
End Date: 2026-08-08
Contract Duration: 1,460 days
Daily Burn Rate: $63.6K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: COST PLUS FIXED FEE
Sector: Other
Official Description: TASK ORDER #1 UNDER IDIQ
Place of Performance
Location: PATUXENT RIVER, SAINT MARYS County, MARYLAND, 20670
State: Maryland Government Spending
Plain-Language Summary
Department of Defense obligated $92.8 million to BOOZ ALLEN HAMILTON INC for work described as: TASK ORDER #1 UNDER IDIQ Key points: 1. Significant award value of $92.8 million for management consulting services. 2. Competition was full and open, suggesting a competitive pricing environment. 3. Risk appears moderate given the established contractor and service type. 4. Spending falls within the Administrative Management and General Management Consulting Services sector.
Value Assessment
Rating: good
The Cost Plus Fixed Fee contract type allows for flexibility but requires careful monitoring of costs to ensure value. Benchmarking against similar large-scale consulting contracts is necessary to confirm pricing efficiency.
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. It allows multiple qualified vendors to bid, driving competitive pricing and potentially better value for the government.
Taxpayer Impact: The competitive nature of this award is expected to yield fair pricing, maximizing taxpayer value for essential management consulting services.
Public Impact
Supports critical administrative and management functions within the Department of the Navy. Leverages expertise from a large, established government contractor. Task order duration extends over several years, indicating ongoing support needs. Potential for follow-on work or broader application of consulting services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee contract requires diligent oversight to prevent cost overruns.
- Long contract duration may necessitate performance reviews to ensure continued relevance and effectiveness.
Positive Signals
- Full and open competition promotes a competitive marketplace.
- Award to a well-known contractor suggests a degree of reliability.
- Clear service category (541611) indicates focused procurement.
Sector Analysis
This contract falls under professional services, specifically management and general management consulting. Spending in this sector can vary widely based on agency needs, but large task orders like this are common for complex support requirements.
Small Business Impact
The data indicates this award was not set aside for small businesses, and the prime contractor is a large business. There is no information on small business subcontracting participation.
Oversight & Accountability
The Department of the Navy's oversight will be crucial, particularly given the Cost Plus Fixed Fee structure. Regular performance reviews and cost audits are essential to ensure accountability and prevent waste.
Related Government Programs
- Administrative Management and General Management Consulting Services
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Cost Plus Fixed Fee contract type requires diligent oversight.
- Long contract duration (4 years) increases exposure to changing requirements.
- Potential for scope creep without strict management.
- Reliance on a single large contractor for critical services.
Tags
administrative-management-and-general-ma, department-of-defense, md, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $92.8 million to BOOZ ALLEN HAMILTON INC. TASK ORDER #1 UNDER IDIQ
Who is the contractor on this award?
The obligated recipient is BOOZ ALLEN HAMILTON 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 $92.8 million.
What is the period of performance?
Start: 2022-08-09. End: 2026-08-08.
What specific management and administrative challenges is this task order intended to address for the Department of the Navy?
The task order likely aims to address complex challenges related to operational efficiency, strategic planning, resource management, or policy implementation within the Department of the Navy. Without specific details, it's presumed to support high-level decision-making and organizational improvements critical to naval operations and readiness.
How will the government ensure the fixed fee remains appropriate throughout the contract's four-year duration, given potential scope creep?
The government will likely employ robust contract management practices, including regular performance reviews, detailed progress reporting, and strict change control processes. The fixed fee should be periodically reviewed against performance metrics and market rates to ensure it remains fair and reflects the actual value delivered, mitigating risks associated with scope creep.
What metrics will be used to evaluate the effectiveness of Booz Allen Hamilton's consulting services in achieving the Navy's objectives?
Effectiveness will likely be measured against pre-defined Key Performance Indicators (KPIs) tied to the specific objectives of the task order. These could include improvements in process efficiency, cost savings achieved, successful implementation of new strategies, or enhanced decision-making capabilities, all documented through regular progress reports and final evaluations.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: N6852022R0008
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Booz Allen Hamilton Holding Corporation
Address: 8283 GREENSBORO DR, MC LEAN, VA, 22102
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $124,338,123
Exercised Options: $96,674,295
Current Obligation: $92,818,192
Actual Outlays: $27,637,682
Subaward Activity
Number of Subawards: 11
Total Subaward Amount: $8,030,540
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: N6852022D0002
IDV Type: IDC
Timeline
Start Date: 2022-08-09
Current End Date: 2026-08-08
Potential End Date: 2027-08-08 00:00:00
Last Modified: 2025-12-22
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