NASA awards $10.9M for Application Development Support to Leidos, Inc. under a sole-source contract
Contract Overview
Contract Amount: $10,936,218 ($10.9M)
Contractor: Leidos, Inc.
Awarding Agency: National Aeronautics and Space Administration
Start Date: 2001-08-25
End Date: 2004-08-31
Contract Duration: 1,102 days
Daily Burn Rate: $9.9K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: IT
Official Description: APPLICATION DEVELOPMENT SUPPORT
Place of Performance
Location: HOUSTON, HARRIS County, TEXAS, 77058
State: Texas Government Spending
Plain-Language Summary
National Aeronautics and Space Administration obligated $10.9 million to LEIDOS, INC. for work described as: APPLICATION DEVELOPMENT SUPPORT Key points: 1. Contract awarded to a single vendor, Leidos, Inc., indicating limited competition. 2. The contract type is Cost Plus Fixed Fee, which can lead to cost overruns. 3. The North American Industry Classification System (NAICS) code 541511 points to Custom Computer Programming Services. 4. The contract duration is over 3 years, suggesting a long-term need for these services.
Value Assessment
Rating: fair
The contract's Cost Plus Fixed Fee structure requires careful monitoring to ensure costs remain reasonable. Benchmarking against similar custom computer programming services contracts is essential to validate pricing.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed, meaning NASA did not solicit offers from multiple vendors. This limits price discovery and potentially leads to higher costs compared to a competitive process.
Taxpayer Impact: The lack of competition may result in taxpayers paying more than necessary for these application development services.
Public Impact
Taxpayers may be overpaying due to the absence of competitive bidding. NASA's reliance on a single vendor for critical application development could pose a risk if the vendor underperforms or faces issues. The long-term nature of the contract raises questions about the government's strategy for acquiring these services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award
- Cost Plus Fixed Fee contract type
- Lack of small business participation
Positive Signals
- Specific application development expertise likely met by Leidos, Inc.
Sector Analysis
This contract falls within the IT services sector, specifically custom computer programming. Spending in this area is significant across government agencies, with varying levels of competition and contract types.
Small Business Impact
The data indicates this contract was not awarded to a small business. There is no information provided on whether subcontracting opportunities were offered to small businesses.
Oversight & Accountability
Oversight is crucial for Cost Plus Fixed Fee contracts to ensure costs are controlled and the contractor is performing effectively. NASA's internal controls and reporting mechanisms will be key.
Related Government Programs
- Custom Computer Programming Services
- National Aeronautics and Space Administration Contracting
- National Aeronautics and Space Administration Programs
Risk Flags
- Potential for cost overruns due to Cost Plus Fixed Fee structure.
- Lack of competition may lead to suboptimal pricing.
- Dependency on a single vendor for critical services.
- No indication of small business participation.
Tags
custom-computer-programming-services, national-aeronautics-and-space-administr, tx, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
National Aeronautics and Space Administration awarded $10.9 million to LEIDOS, INC.. APPLICATION DEVELOPMENT SUPPORT
Who is the contractor on this award?
The obligated recipient is LEIDOS, INC..
Which agency awarded this contract?
Awarding agency: National Aeronautics and Space Administration (National Aeronautics and Space Administration).
What is the total obligated amount?
The obligated amount is $10.9 million.
What is the period of performance?
Start: 2001-08-25. End: 2004-08-31.
What was the justification for awarding this contract on a sole-source basis instead of competing it?
The justification for a sole-source award typically involves unique capabilities, urgent needs, or a lack of available sources. Without further documentation, it's difficult to assess the validity of this decision. A competitive process generally yields better value for taxpayers by fostering price reductions and innovation among bidders.
How does the total contract value compare to industry benchmarks for similar custom computer programming services?
Benchmarking this $10.9 million contract against similar custom computer programming services requires access to detailed cost data and market research. Factors like complexity, duration, and specific technical requirements influence pricing. A thorough analysis would involve comparing labor rates, overhead, and profit margins with industry standards for comparable projects.
What are the performance metrics and deliverables for this contract, and how is Leidos, Inc. being held accountable?
Accountability is typically managed through contract clauses that define specific deliverables, performance standards, and payment schedules. NASA's contracting officer and technical team are responsible for monitoring Leidos's performance against these metrics. Regular progress reports, quality reviews, and potential penalties for non-compliance are standard mechanisms for ensuring contractor accountability.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Custom Computer Programming Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Leidos Holdings, Inc. (UEI: 611641312)
Address: 5109 LEESBURG PIKE, FALLS CHURCH, VA, 08
Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $13,828,813
Exercised Options: $13,828,813
Current Obligation: $10,936,218
Timeline
Start Date: 2001-08-25
Current End Date: 2004-08-31
Potential End Date: 2004-08-31 00:00:00
Last Modified: 2011-10-14
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