DoD Awards $26.7M for Army System Integration & Support Services to Peraton

Contract Overview

Contract Amount: $26,700,901 ($26.7M)

Contractor: Peraton Enterprise Solutions LLC

Awarding Agency: Department of Defense

Start Date: 2018-09-26

End Date: 2023-08-11

Contract Duration: 1,780 days

Daily Burn Rate: $15.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: SYSTEM INTEGRATION AND SUPPORT SERVICES CONSISTING OF A BASE AND THREE OPTION YEARS.

Place of Performance

Location: HERNDON, FAIRFAX County, VIRGINIA, 20171

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $26.7 million to PERATON ENTERPRISE SOLUTIONS LLC for work described as: SYSTEM INTEGRATION AND SUPPORT SERVICES CONSISTING OF A BASE AND THREE OPTION YEARS. Key points: 1. Contract awarded to Peraton Enterprise Solutions LLC for system integration and support. 2. The contract has a base period and three option years, totaling $26.7M. 3. Awarded under full and open competition, indicating a competitive bidding process. 4. The North American Industry Classification System (NAICS) code is 541512 (Computer Systems Design Services).

Value Assessment

Rating: good

The contract's total value of $26.7M over nearly five years suggests a reasonable price for comprehensive system integration and support services. Benchmarking against similar large-scale IT support contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, allowing all eligible vendors to bid. This method generally promotes competitive pricing and ensures the government receives the best value.

Taxpayer Impact: The competitive nature of the award is expected to yield fair pricing, maximizing the value of taxpayer funds spent on essential defense IT infrastructure.

Public Impact

Ensures continued operation and modernization of critical Army IT systems. Supports national security by maintaining robust and reliable defense infrastructure. Provides essential computer systems design and integration services for the Department of the Army.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for scope creep in system integration projects.
  • Reliance on a single vendor for critical IT support.
  • Cybersecurity risks associated with system integration.

Positive Signals

  • Awarded through full and open competition.
  • Firm Fixed Price contract type limits cost overruns.
  • Long-term contract provides stability for essential services.

Sector Analysis

This contract falls within the IT sector, specifically computer systems design services. Spending in this area is crucial for modernizing government operations and maintaining technological superiority, with benchmarks varying widely based on complexity and scope.

Small Business Impact

The contract was awarded to Peraton Enterprise Solutions LLC, a large business. There is no explicit indication of small business subcontracting goals or participation in this award notice.

Oversight & Accountability

The contract was awarded by the Department of the Army, a component of the Department of Defense. Standard oversight mechanisms for federal contracts would apply, including performance monitoring and financial audits.

Related Government Programs

  • Computer Systems Design Services
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Potential for vendor lock-in.
  • Complexity of system integration can lead to unforeseen challenges.
  • Cybersecurity vulnerabilities in integrated systems.
  • Dependence on contractor performance for critical IT functions.

Tags

computer-systems-design-services, department-of-defense, va, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $26.7 million to PERATON ENTERPRISE SOLUTIONS LLC. SYSTEM INTEGRATION AND SUPPORT SERVICES CONSISTING OF A BASE AND THREE OPTION YEARS.

Who is the contractor on this award?

The obligated recipient is PERATON ENTERPRISE SOLUTIONS LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $26.7 million.

What is the period of performance?

Start: 2018-09-26. End: 2023-08-11.

What specific systems are included in this integration and support contract, and how critical are they to Army operations?

The provided data does not specify the exact systems covered. However, given the contract's focus on 'System Integration and Support Services' for the Department of the Army, it likely encompasses a range of IT infrastructure, networks, and software critical for command, control, intelligence, and logistics operations. The total value suggests a significant scope, implying these systems are vital for daily military functions and national security.

What are the key performance indicators (KPIs) used to measure Peraton's success in delivering these services?

Specific KPIs are not detailed in the award notice. Typically, for system integration and support contracts, KPIs would include system uptime, response times for issue resolution, successful implementation of upgrades or new features, adherence to security protocols, and overall user satisfaction. The contracting officer's representative (COR) would monitor these metrics to ensure contract compliance and service quality.

How does the firm fixed price (FFP) structure mitigate risks for the government in this complex IT services contract?

The Firm Fixed Price (FFP) structure is advantageous for the government as it shifts most of the risk to the contractor, Peraton. Peraton is obligated to complete the work for the agreed-upon price, regardless of unforeseen cost increases. This protects the government from budget overruns, provided the scope of work is clearly defined and managed effectively to prevent scope creep.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesComputer Systems Design Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: W15QKN18R0013

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Veritas Capital Fund Management, L.L.C.

Address: 15050 CONFERENCE CENTER DR, CHANTILLY, VA, 20151

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $26,700,901

Exercised Options: $26,700,901

Current Obligation: $26,700,901

Actual Outlays: $535,554

Subaward Activity

Number of Subawards: 13

Total Subaward Amount: $1,697,263

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00Q09BGD0027

IDV Type: GWAC

Timeline

Start Date: 2018-09-26

Current End Date: 2023-08-11

Potential End Date: 2023-08-11 12:08:00

Last Modified: 2024-09-14

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