Army Awards $25.8M for HR System Program Management Support to Chenega Decision Sciences
Contract Overview
Contract Amount: $25,820,008 ($25.8M)
Contractor: Chenega Decision Sciences LLC
Awarding Agency: Department of Defense
Start Date: 2019-06-21
End Date: 2024-02-20
Contract Duration: 1,705 days
Daily Burn Rate: $15.1K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: TO PROVIDE PROGRAM MANAGEMENT SUPPORT SERVICES (PMSS) FOR ARMY HUMAN RESOURCE SYSTEMS (AHRS).
Place of Performance
Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22227
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $25.8 million to CHENEGA DECISION SCIENCES LLC for work described as: TO PROVIDE PROGRAM MANAGEMENT SUPPORT SERVICES (PMSS) FOR ARMY HUMAN RESOURCE SYSTEMS (AHRS). Key points: 1. Contract awarded for essential program management support for Army Human Resource Systems. 2. Chenega Decision Sciences LLC is the sole awardee, indicating a lack of competition. 3. The contract duration is significant, spanning over 1700 days. 4. The firm fixed-price contract type aims to control costs. 5. This award falls under Computer Systems Design Services.
Value Assessment
Rating: fair
The contract's value of $25.8 million over approximately 4.7 years suggests a substantial investment. Without specific benchmarks for similar Army HR system support contracts, a direct pricing assessment is difficult. However, the duration and scope imply a need for consistent, long-term support.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was not available for competition, suggesting a limited competition approach. This could be due to specific requirements or existing relationships. The lack of open competition may limit price discovery and potentially lead to higher costs than a fully competitive scenario.
Taxpayer Impact: The $25.8 million expenditure represents taxpayer funds allocated to maintain critical Army HR systems. While the necessity of these services is implied, the limited competition raises questions about optimal value for taxpayer money.
Public Impact
Ensures continuity of critical Army Human Resource Systems. Supports the operational readiness of the Army's workforce management. Impacts thousands of Army personnel relying on these HR systems. Potential for cost savings or overspending due to limited competition.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition
- Long contract duration
- Potential for cost inefficiencies
Positive Signals
- Firm fixed-price contract
- Supports critical Army function
Sector Analysis
This contract falls within the IT services sector, specifically computer systems design. The $25.8 million award over nearly five years is a significant investment for program management support. Benchmarks for similar IT support contracts within the federal government would be needed for a more precise comparison.
Small Business Impact
The data indicates this contract was not awarded to a small business. Therefore, there is no direct benefit to small businesses from this specific award, and opportunities for subcontracting are not detailed.
Oversight & Accountability
The contract's long duration and significant value warrant robust oversight to ensure performance standards are met and costs remain justified. Accountability for program management support services is crucial for the effective functioning of Army HR systems.
Related Government Programs
- Computer Systems Design Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Lack of competition may lead to higher costs.
- Long contract duration increases risk of scope creep or changing requirements.
- Performance monitoring is critical to ensure service quality.
- Dependence on a single contractor for critical HR system support.
Tags
computer-systems-design-services, department-of-defense, va, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $25.8 million to CHENEGA DECISION SCIENCES LLC. TO PROVIDE PROGRAM MANAGEMENT SUPPORT SERVICES (PMSS) FOR ARMY HUMAN RESOURCE SYSTEMS (AHRS).
Who is the contractor on this award?
The obligated recipient is CHENEGA DECISION SCIENCES 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 $25.8 million.
What is the period of performance?
Start: 2019-06-21. End: 2024-02-20.
What specific factors led to this contract being 'not available for competition'?
The determination of 'not available for competition' typically arises from specific circumstances such as unique technical requirements, the need for compatibility with existing systems, or the existence of a sole-source justification based on prior performance or specialized expertise. Without further documentation, the exact reasons remain unclear, but it suggests a deliberate choice to limit the bidding pool.
How does the firm fixed-price structure mitigate risk for the government given the long duration?
The firm fixed-price (FFP) contract structure shifts the majority of cost risk to the contractor, Chenega Decision Sciences LLC. This means the government pays a set price regardless of the contractor's actual costs. For a long-duration contract like this, FFP provides budget certainty for the government and incentivizes the contractor to manage costs efficiently to maximize profit.
What is the potential impact on Army HR system effectiveness if program management support is suboptimal?
Suboptimal program management support could lead to delays in system upgrades, integration issues between different HR modules, security vulnerabilities, and decreased user satisfaction. This could ultimately impact the Army's ability to manage its personnel effectively, affecting recruitment, payroll, benefits, and overall readiness. Ensuring high-quality support is therefore critical.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: NOT AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: W15QKN19R0028
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: THE Chenega Corporation
Address: 10505 FURNACE ROAD SUITE 205, LORTON, VA, 22079
Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $26,205,645
Exercised Options: $25,820,008
Current Obligation: $25,820,008
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: YES
Timeline
Start Date: 2019-06-21
Current End Date: 2024-02-20
Potential End Date: 2024-02-20 12:02:00
Last Modified: 2023-12-19
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