State Department Spends $15M on Leidos Services Over 7 Years Under Full and Open Competition
Contract Overview
Contract Amount: $15,075,790 ($15.1M)
Contractor: Leidos, Inc.
Awarding Agency: Department of State
Start Date: 2007-01-08
End Date: 2014-01-16
Contract Duration: 2,565 days
Daily Burn Rate: $5.9K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: LABOR HOURS
Sector: Other
Official Description: REQUIREMENT FOR SERVICES.
Place of Performance
Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22209
State: Virginia Government Spending
Plain-Language Summary
Department of State obligated $15.1 million to LEIDOS, INC. for work described as: REQUIREMENT FOR SERVICES. Key points: 1. Total spending of $15.08M over 7 years indicates a significant, long-term engagement. 2. Leidos, Inc. secured the contract, highlighting their role in government services. 3. The contract was awarded under full and open competition, suggesting a competitive bidding process. 4. The service type is labor hours, which can be prone to cost overruns if not managed closely.
Value Assessment
Rating: fair
The total award of $15.08M over 7 years averages to approximately $2.15M annually. Without specific unit rates or comparison data, it's difficult to definitively assess value, but the duration and total amount suggest a substantial investment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The award was made under full and open competition, which typically fosters competitive pricing. However, the labor hours contract type requires careful monitoring to ensure efficient use of taxpayer funds and prevent scope creep.
Taxpayer Impact: The competitive nature of the award is positive for taxpayers, aiming for the best value. However, the labor hours structure necessitates robust oversight to ensure costs remain aligned with actual work performed.
Public Impact
Citizens benefit from services provided by the Department of State, facilitated by this contract. The use of a large contractor like Leidos suggests a reliance on specialized expertise for government functions. Transparency in the procurement process is maintained through the full and open competition method.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Labor hours contract type can lead to cost uncertainty.
- Long contract duration requires ongoing performance monitoring.
- Limited data on specific services provided.
Positive Signals
- Awarded through full and open competition.
- Significant contract value awarded to a known entity.
Sector Analysis
This contract falls under general government services, likely IT or administrative support, common across many federal agencies. The spending benchmark for such services varies widely based on scope, but $15M over 7 years is a moderate investment for a department like State.
Small Business Impact
The data does not indicate any specific subcontracting goals or participation by small businesses in this contract. Further investigation would be needed to determine if small businesses were involved.
Oversight & Accountability
The contract was awarded as a delivery order, implying it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract or a similar framework. Oversight would focus on the performance of Leidos and the management of the delivery order by the Department of State.
Related Government Programs
- Department of State Contracting
- Department of State Programs
Risk Flags
- Labor Hours Contract Type
- Long Contract Duration
- Lack of Specific Service Details
- Potential for Cost Overruns
- No Indication of Small Business Participation
Tags
department-of-state, va, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of State awarded $15.1 million to LEIDOS, INC.. REQUIREMENT FOR SERVICES.
Who is the contractor on this award?
The obligated recipient is LEIDOS, INC..
Which agency awarded this contract?
Awarding agency: Department of State (Department of State).
What is the total obligated amount?
The obligated amount is $15.1 million.
What is the period of performance?
Start: 2007-01-08. End: 2014-01-16.
What specific services were procured under this labor hours contract, and how did their performance align with the initial objectives?
The provided data lacks specifics on the services rendered. A labor hours contract implies payment based on the time and labor rates of personnel. Effectiveness would be measured by the successful completion of tasks, adherence to project timelines, and the quality of deliverables, all of which require detailed performance reports and agency assessments beyond the award data.
How did the competitive bidding process for this full and open contract ensure the best possible price for the government?
Full and open competition allows any interested and qualified vendor to submit a bid, fostering a competitive environment. The Department of State would have evaluated proposals based on predefined criteria, likely including price, technical approach, and past performance. The lowest priced, technically acceptable offer, or the best value offer, would typically be selected, ensuring a degree of price efficiency.
What mechanisms were in place to manage potential cost overruns inherent in a labor hours contract over its 7-year duration?
Effective management of labor hours contracts typically involves establishing clear task orders with defined scopes of work, setting ceilings on hours or costs, and implementing rigorous progress tracking and reporting. Regular reviews by the contracting officer's representative (COR) are crucial to monitor labor utilization, prevent scope creep, and ensure that expenditures remain justified and within budget.
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 1
Pricing Type: LABOR HOURS (Z)
Contractor Details
Parent Company: Leidos Holdings, Inc. (UEI: 611641312)
Address: 10260 CAMPUS POINT DR, SAN DIEGO, CA, 92121
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $125,179,627
Exercised Options: $125,179,627
Current Obligation: $15,075,790
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Parent Contract
Parent Award PIID: GS09K99BHD0010
IDV Type: GWAC
Timeline
Start Date: 2007-01-08
Current End Date: 2014-01-16
Potential End Date: 2014-01-16 00:00:00
Last Modified: 2019-03-29
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