DoD's $15.5M NOSC Support Contract Awarded to Leidos, Inc. Under Full and Open Competition

Contract Overview

Contract Amount: $15,484,449 ($15.5M)

Contractor: Leidos, Inc.

Awarding Agency: Department of Defense

Start Date: 2006-09-27

End Date: 2012-08-15

Contract Duration: 2,149 days

Daily Burn Rate: $7.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: NOSC SUPPORT

Place of Performance

Location: ALEXANDRIA, FAIRFAX County, VIRGINIA, 22310

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $15.5 million to LEIDOS, INC. for work described as: NOSC SUPPORT Key points: 1. Contract awarded to Leidos, Inc. for NOSC Support. 2. Total value of $15.5 million over a duration of 2149 days. 3. Procured via full and open competition, suggesting market availability. 4. Contract type is Firm Fixed Price, providing cost certainty. 5. The NAICS code 443120 indicates a focus on computer and software stores.

Value Assessment

Rating: good

The contract's firm fixed price structure provides good cost certainty. Benchmarking against similar IT support contracts would be beneficial to fully assess value, but the competitive award suggests a reasonable price was likely achieved.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

Full and open competition was utilized, indicating multiple vendors were likely considered. This method generally promotes price discovery and competitive pricing, leading to better value for the government.

Taxpayer Impact: The competitive nature of this award is expected to yield fair pricing, maximizing taxpayer value for the IT support services procured.

Public Impact

Ensures continued IT support for NOSC operations. Supports a major defense contractor, Leidos, Inc. Potential impact on the broader IT services market for government contracts. Duration of over 5 years suggests a long-term need for these services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of specific performance metrics in provided data.
  • Potential for cost overruns if scope creeps beyond initial fixed price.
  • Dependence on a single vendor for critical IT support.

Positive Signals

  • Awarded through full and open competition.
  • Firm Fixed Price contract type offers cost predictability.
  • Long contract duration may indicate stable, ongoing requirements.

Sector Analysis

This contract falls within the IT services sector, specifically related to computer and software stores. Government spending in this area is substantial, with benchmarks varying widely based on service scope and complexity.

Small Business Impact

The data does not indicate any specific set-aside for small businesses. The award to Leidos, Inc., a large corporation, suggests that small businesses were either not primary bidders or were part of a subcontracting arrangement not detailed here.

Oversight & Accountability

The contract was awarded by the Department of Defense through the Defense Contract Management Agency. Standard oversight mechanisms for DoD contracts would apply, focusing on performance, delivery, and financial accountability.

Related Government Programs

  • Computer and Software Stores
  • Department of Defense Contracting
  • Defense Contract Management Agency Programs

Risk Flags

  • Potential for vendor lock-in due to long contract duration.
  • Risk of service quality degradation if not actively monitored.
  • Dependence on a single large contractor may limit future flexibility.
  • Lack of transparency on subcontracting opportunities for small businesses.

Tags

computer-and-software-stores, department-of-defense, va, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $15.5 million to LEIDOS, INC.. NOSC SUPPORT

Who is the contractor on this award?

The obligated recipient is LEIDOS, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $15.5 million.

What is the period of performance?

Start: 2006-09-27. End: 2012-08-15.

What specific IT services are included under 'NOSC Support' and how do they align with the NAICS code 443120?

The NAICS code 443120, 'Computer and Software Stores,' typically relates to retail or wholesale of computer hardware and software. 'NOSC Support' likely encompasses a broader range of IT services such as maintenance, network management, or technical assistance, which may extend beyond the direct scope of the NAICS code. Further clarification on the service details is needed to fully understand the alignment and potential discrepancies.

Given the firm fixed price, what mechanisms are in place to prevent scope creep and ensure the contractor delivers the agreed-upon services within budget?

While a firm fixed price contract aims for cost certainty, preventing scope creep relies on robust contract administration. This includes clear statement of work, change control processes, and regular performance monitoring by the contracting officer's representative (COR). The Defense Contract Management Agency's oversight would be crucial in ensuring Leidos adheres to the defined scope and that any proposed changes are properly evaluated for cost and necessity.

How does the $15.5 million expenditure over approximately six years compare to industry benchmarks for similar IT support contracts, and what is the expected return on investment?

Without specific details on the services rendered, comparing the $15.5 million expenditure to industry benchmarks is challenging. However, an average annual cost of roughly $2.6 million for comprehensive IT support for a Naval Operational Support Center could be considered reasonable if it includes significant infrastructure management, cybersecurity, and technical support. A formal ROI analysis would require detailed performance metrics and an assessment of the operational benefits derived from the support.

Industry Classification

NAICS: Retail TradeElectronics and Appliance StoresComputer and Software Stores

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONSADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Leidos Holdings, Inc. (UEI: 611641312)

Address: 11955 FREEDOM DR, RESTON, VA, 20190

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

Financial Breakdown

Contract Ceiling: $15,484,449

Exercised Options: $15,484,449

Current Obligation: $15,484,449

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: GS35F4461G

IDV Type: FSS

Timeline

Start Date: 2006-09-27

Current End Date: 2012-08-15

Potential End Date: 2012-08-15 00:00:00

Last Modified: 2016-09-23

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