DoD awards $47.2M for MIDS Program Management and Engineering Support to Deloitte Consulting LLP

Contract Overview

Contract Amount: $47,193,075 ($47.2M)

Contractor: Deloitte Consulting LLP

Awarding Agency: Department of Defense

Start Date: 2015-09-29

End Date: 2021-03-30

Contract Duration: 2,009 days

Daily Burn Rate: $23.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: IGF::OT::IGF PROGRAM MANAGEMENT AND ENGINEERING SUPPORT SERVICES IN MULTIFUNCTIONAL INFORMATION DISTRIBUTION SYSTEM(MIDS)PROGRAM OFFICE.

Place of Performance

Location: SAN DIEGO, SAN DIEGO County, CALIFORNIA, 92106

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $47.2 million to DELOITTE CONSULTING LLP for work described as: IGF::OT::IGF PROGRAM MANAGEMENT AND ENGINEERING SUPPORT SERVICES IN MULTIFUNCTIONAL INFORMATION DISTRIBUTION SYSTEM(MIDS)PROGRAM OFFICE. Key points: 1. Contract awarded to a single, large business entity. 2. Significant contract value suggests critical program support. 3. Engineering services sector is competitive but complex. 4. Long duration indicates sustained need for these services.

Value Assessment

Rating: good

The contract's Cost Plus Fixed Fee (CPFF) structure allows for flexibility but requires careful oversight to manage costs. The award value of $47.2M over its period of performance appears reasonable for specialized engineering and program management support.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a robust price discovery process. The use of a delivery order suggests it was part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract, allowing for competitive task order awards.

Taxpayer Impact: Full and open competition generally leads to better pricing for taxpayers by fostering a competitive environment among qualified contractors.

Public Impact

Supports a critical defense communication system (MIDS). Ensures continued development and sustainment of advanced military technology. Impacts readiness and operational effectiveness of U.S. forces. Potential for technology transfer and innovation within the defense sector.

Waste & Efficiency Indicators

Waste Risk Score: 75 / 10

Warning Flags

CPFF contract type can lead to cost overruns if not managed tightly.
Long contract duration may indicate a lack of innovative alternatives.
Reliance on a single large contractor for critical support.

Positive Signals

Awarded through full and open competition.
Supports a vital national security program.
Experienced contractor with a strong track record.

Sector Analysis

This contract falls within the Engineering Services sector, which is crucial for defense programs requiring specialized technical expertise. Spending benchmarks in this area are highly variable, depending on the complexity and criticality of the systems supported.

Small Business Impact

The contract was awarded to a large business (Deloitte Consulting LLP) and does not indicate any specific set-asides or subcontracting requirements for small businesses in the provided data.

Oversight & Accountability

The Department of Defense, through its contracting agencies like DCMA, is responsible for overseeing this contract. The CPFF structure necessitates robust oversight to ensure costs are reasonable and allocable.

Related Government Programs

Engineering Services
Department of Defense Contracting
Defense Contract Management Agency Programs

Risk Flags

Cost Plus Fixed Fee (CPFF) contract type.
Long contract duration (2015-2021).
Awarded to a single large business.
Potential for cost creep without stringent oversight.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $47.2 million to DELOITTE CONSULTING LLP. IGF::OT::IGF PROGRAM MANAGEMENT AND ENGINEERING SUPPORT SERVICES IN MULTIFUNCTIONAL INFORMATION DISTRIBUTION SYSTEM(MIDS)PROGRAM OFFICE.

Who is the contractor on this award?

The obligated recipient is DELOITTE CONSULTING LLP.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $47.2 million.

What is the period of performance?

Start: 2015-09-29. End: 2021-03-30.

What specific engineering and program management tasks are included under this contract, and how do they align with the MIDS program's strategic goals?

The contract likely encompasses a range of activities such as systems engineering, technical support, program planning, risk management, and lifecycle sustainment for the Multifunctional Information Distribution System (MIDS). These tasks are crucial for ensuring the MIDS program meets its objectives related to secure, jam-resistant communication for various military platforms, thereby directly supporting strategic defense goals.

Given the CPFF structure, what mechanisms are in place to mitigate the risk of cost overruns and ensure efficient use of taxpayer funds?

Effective oversight by the Department of Defense and DCMA is paramount. This includes rigorous review of incurred costs, regular performance reviews, and potentially establishing target costs with incentive fees. Clear performance metrics and deliverables tied to payment milestones can also help ensure efficiency and control costs.

How does the continued reliance on this specific contract contribute to or hinder the adoption of potentially more innovative or cost-effective solutions for MIDS program support?

While a long-term contract with an established provider ensures continuity and leverages existing expertise, it could potentially create inertia against adopting newer technologies or approaches. Periodic re-competition or incorporating innovation incentives within the contract could encourage the contractor to propose more advanced or efficient solutions.

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: N0002415R3167

Offers Received: 3

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Deloitte Financial Advisory Services LLP

Address: 1919 N LYNN ST, ARLINGTON, VA, 22209

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Not Designated a Small Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, Indian (Subcontinent) American Owned Business, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $58,760,303

Exercised Options: $52,987,786

Current Obligation: $47,193,075

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017814D7917

IDV Type: IDC

Timeline