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 Services › Computer Systems Design and Related Services › Computer Systems Design Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP 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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