DoD Awards $17M Turnkey IT Solution for Yongsan Relocation Program in South Korea

Contract Overview

Contract Amount: $17,079,340 ($17.1M)

Contractor: Telos Corporation

Awarding Agency: Department of Defense

Start Date: 2020-10-01

End Date: 2025-09-30

Contract Duration: 1,825 days

Daily Burn Rate: $9.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: YONGSAN RELOCATION PROGRAM/LAND PARTNERSHIP PLAN (YRP/LPP) INCREMENT 4,. ENGINEER, FURNISH, INSTALL, SECURE AND TEST A TURNKEY SOLUTION FOR THE YRP/LPP INC 4 LOCATED IN THE REPUBLIC OF KOREA.

Plain-Language Summary

Department of Defense obligated $17.1 million to TELOS CORPORATION for work described as: YONGSAN RELOCATION PROGRAM/LAND PARTNERSHIP PLAN (YRP/LPP) INCREMENT 4,. ENGINEER, FURNISH, INSTALL, SECURE AND TEST A TURNKEY SOLUTION FOR THE YRP/LPP INC 4 LOCATED IN THE REPUBLIC OF KOREA. Key points: 1. The contract is for a comprehensive IT solution including installation and testing. 2. Telos Corporation, the awardee, has experience in IT infrastructure and security. 3. The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. 4. The sector is Computer Systems Design Services, a critical area for military operations.

Value Assessment

Rating: fair

The contract value of $17.08 million for a 5-year period appears reasonable for a complex IT infrastructure project. However, without specific benchmarks for similar turnkey solutions in overseas military installations, a precise pricing assessment is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally promotes price discovery and can lead to more favorable pricing for the government.

Taxpayer Impact: The competitive award process is beneficial for taxpayers, as it aims to secure the best value through market forces.

Public Impact

Ensures critical IT infrastructure is in place for US military personnel in South Korea. Supports the complex Yongsan Relocation Program, a significant geopolitical initiative. The successful implementation of this IT solution is vital for operational readiness. Potential for technology transfer and capacity building within the Republic of Korea.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Fixed Fee contract type carries inherent risk of cost escalation.
  • Overseas deployment of complex IT systems can face logistical and security challenges.
  • Dependence on a single vendor for a turnkey solution could limit future flexibility.

Positive Signals

  • Awarded through full and open competition, indicating a robust market evaluation.
  • The project addresses a critical national security need for military infrastructure.
  • Long-term contract duration allows for stability and comprehensive project execution.

Sector Analysis

This contract falls within the Computer Systems Design Services sector, which is essential for modern military operations. Spending in this area is consistently high due to the need for advanced technological capabilities and cybersecurity.

Small Business Impact

The data indicates this contract was not set aside for small businesses (sb: false). Larger prime contractors are likely involved, potentially subcontracting to small businesses for specific components or services.

Oversight & Accountability

The Department of the Army is responsible for oversight. The contract's duration and complexity necessitate robust oversight to ensure timely delivery, adherence to specifications, and cost control.

Related Government Programs

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

Risk Flags

  • Cost Plus Fixed Fee contract type.
  • Complexity of overseas IT deployment.
  • Potential for scope creep.
  • Dependence on a single vendor for a critical system.
  • Cybersecurity risks associated with military IT infrastructure.

Tags

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

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $17.1 million to TELOS CORPORATION. YONGSAN RELOCATION PROGRAM/LAND PARTNERSHIP PLAN (YRP/LPP) INCREMENT 4,. ENGINEER, FURNISH, INSTALL, SECURE AND TEST A TURNKEY SOLUTION FOR THE YRP/LPP INC 4 LOCATED IN THE REPUBLIC OF KOREA.

Who is the contractor on this award?

The obligated recipient is TELOS CORPORATION.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $17.1 million.

What is the period of performance?

Start: 2020-10-01. End: 2025-09-30.

What specific performance metrics will be used to evaluate the success of this turnkey IT solution?

Performance metrics should focus on system uptime, network speed, data security compliance, successful integration of all components, and user satisfaction. Regular audits and testing throughout the contract period are crucial to ensure the solution meets the demanding requirements of overseas military operations and the specific needs of the Yongsan Relocation Program.

How will the government mitigate the risks associated with a Cost Plus Fixed Fee contract type in this complex overseas environment?

Mitigation strategies should include detailed baseline cost estimates, stringent change order controls, and regular performance reviews. The government should actively monitor Telos Corporation's cost management practices and ensure clear communication channels are maintained to address potential issues proactively. Independent verification of incurred costs against the fixed fee will be essential.

What is the long-term strategy for maintaining and upgrading this IT infrastructure after the contract period ends?

A comprehensive transition plan should be developed prior to contract completion, outlining knowledge transfer, documentation, and potential follow-on support contracts. The government should assess options for in-house sustainment capabilities or competitive procurement for future maintenance and upgrade cycles to ensure continued operational effectiveness and avoid vendor lock-in.

Industry Classification

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

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: 3

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 19886 ASHBURN RD, ASHBURN, VA, 20147

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

Financial Breakdown

Contract Ceiling: $17,079,340

Exercised Options: $17,079,340

Current Obligation: $17,079,340

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 47QTCK18D0035

IDV Type: GWAC

Timeline

Start Date: 2020-10-01

Current End Date: 2025-09-30

Potential End Date: 2025-09-30 12:09:00

Last Modified: 2025-07-14

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