DoD's $20.3M IM/IT Support Services Contract with KROS-WISE Underwent Full and Open Competition

Contract Overview

Contract Amount: $20,294,959 ($20.3M)

Contractor: Kros-Wise

Awarding Agency: Department of Defense

Start Date: 2011-09-01

End Date: 2016-08-31

Contract Duration: 1,826 days

Daily Burn Rate: $11.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: INFORMATION MANAGEMENT/INFORMATION TECHNOLOGY (IM/IT) SUPPORT SERVICES FOR SPAWAR CODE 8.0

Place of Performance

Location: SAN DIEGO, SAN DIEGO County, CALIFORNIA, 92110

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $20.3 million to KROS-WISE for work described as: INFORMATION MANAGEMENT/INFORMATION TECHNOLOGY (IM/IT) SUPPORT SERVICES FOR SPAWAR CODE 8.0 Key points: 1. The contract awarded to KROS-WISE for IM/IT support services totaled $20.3 million. 2. Competition was full and open, indicating a broad market search. 3. The contract type is Cost Plus Fixed Fee, which can pose cost control challenges. 4. The sector is Information Technology, a critical area for defense operations.

Value Assessment

Rating: fair

The Cost Plus Fixed Fee contract type, while allowing flexibility, can lead to higher costs if not managed closely. Benchmarking against similar IT support contracts is essential to ensure value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

Full and open competition was utilized, suggesting a robust process for identifying qualified contractors and potentially achieving competitive pricing. The award was a delivery order under a larger contract.

Taxpayer Impact: Taxpayer funds were utilized through a competitive process, aiming for cost-effectiveness in IT support for the Space and Naval Warfare Systems Command.

Public Impact

Ensures critical IM/IT infrastructure and services for the Navy's SPAWAR. Supports national defense by maintaining essential technological capabilities. The competitive award process aims to deliver value for taxpayer investment. Contract duration of five years impacts long-term IT planning and stability.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Fixed Fee contract type may incentivize cost overruns.
  • Long contract duration (5 years) could lead to technology obsolescence if not managed.
  • Specific performance metrics and oversight details are not provided.

Positive Signals

  • Full and open competition suggests a fair and broad market approach.
  • Award to a single contractor for a significant IT support role.
  • Contract supports critical defense IT infrastructure.

Sector Analysis

This contract falls within the Information Technology sector, specifically focusing on IM/IT support services for a naval command. Spending in this area is crucial for maintaining operational readiness and technological superiority.

Small Business Impact

The provided data does not indicate whether small businesses were involved as subcontractors or prime contractors in this specific award. Further analysis would be needed to assess small business participation.

Oversight & Accountability

The contract was managed by the Defense Contract Management Agency, implying a level of oversight. However, the extent of ongoing performance monitoring and accountability mechanisms requires further investigation.

Related Government Programs

  • Engineering Services
  • Department of Defense Contracting
  • Defense Contract Management Agency Programs

Risk Flags

  • Cost Plus Fixed Fee contract type.
  • Long contract duration (5 years).
  • Potential for cost overruns.
  • Lack of specific performance metrics in provided data.
  • Risk of technology obsolescence over the contract term.

Tags

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

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $20.3 million to KROS-WISE. INFORMATION MANAGEMENT/INFORMATION TECHNOLOGY (IM/IT) SUPPORT SERVICES FOR SPAWAR CODE 8.0

Who is the contractor on this award?

The obligated recipient is KROS-WISE.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $20.3 million.

What is the period of performance?

Start: 2011-09-01. End: 2016-08-31.

What were the key performance indicators (KPIs) for this contract, and how was contractor performance measured against them?

The provided data does not detail the specific Key Performance Indicators (KPIs) established for this IM/IT support services contract. Effective oversight would involve clearly defined metrics related to system uptime, response times, security compliance, and project delivery. Regular performance reviews and reporting against these KPIs are crucial for ensuring the contractor meets contractual obligations and delivers value.

How did the Cost Plus Fixed Fee structure impact the final cost compared to other potential contract types?

The Cost Plus Fixed Fee (CPFF) structure allows the contractor to recover all allowable costs plus a predetermined fixed fee. While it offers flexibility for complex projects with uncertain scope, it can incentivize higher spending as the fee remains constant regardless of cost. A fixed-price contract might have offered greater cost certainty if the scope was well-defined, potentially leading to lower overall expenditure for the government.

What was the strategic rationale for awarding a five-year contract for IT support services?

A five-year contract duration for IT support services likely reflects a need for long-term stability and continuity in critical systems. This allows for deeper integration of the contractor's expertise, reduces transition costs, and facilitates strategic planning for evolving technological requirements. However, it also necessitates robust mechanisms for contract modification and performance review to adapt to changing needs and prevent technological obsolescence.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering 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: N0002411R3180

Offers Received: 5

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 3455 VIA LOMA VISTA, ESCONDIDO, CA, 92029

Business Categories: Category Business, Small Business, Woman Owned Business

Financial Breakdown

Contract Ceiling: $23,533,289

Exercised Options: $23,533,289

Current Obligation: $20,294,959

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017807D5128

IDV Type: IDC

Timeline

Start Date: 2011-09-01

Current End Date: 2016-08-31

Potential End Date: 2016-08-31 00:00:00

Last Modified: 2018-02-20

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