DoD Awards $210M+ Computer Systems Design Task Order to Leidos, Inc. Under GSA Alliant 2 GWAC

Contract Overview

Contract Amount: $210,138,023 ($210.1M)

Contractor: Leidos, Inc.

Awarding Agency: Department of Defense

Start Date: 2020-08-05

End Date: 2026-09-30

Contract Duration: 2,247 days

Daily Burn Rate: $93.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: THE PURPOSE OF THIS ACTION IS TO AWARD A FIVE (5) YEAR DEFINITIVE TASK ORDER UNDER THE GSA ALLIANT 2 GOVERNMENTWIDE ACQUISITION CONTRACT

Place of Performance

Location: RESTON, FAIRFAX County, VIRGINIA, 20190

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $210.1 million to LEIDOS, INC. for work described as: THE PURPOSE OF THIS ACTION IS TO AWARD A FIVE (5) YEAR DEFINITIVE TASK ORDER UNDER THE GSA ALLIANT 2 GOVERNMENTWIDE ACQUISITION CONTRACT Key points: 1. Leidos, Inc. secured a significant contract for computer systems design services. 2. The contract falls under the GSA Alliant 2 GWAC, a common vehicle for IT services. 3. The award method was 'Full and Open Competition', suggesting a competitive process. 4. The contract's duration is over five years, indicating a long-term need for these services.

Value Assessment

Rating: good

The contract type is Cost Plus Fixed Fee, which can be effective for complex projects where costs are uncertain. The awarded amount of $210M+ over five years needs to be benchmarked against similar GSA Alliant 2 IT services contracts to fully assess value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives the best value.

Taxpayer Impact: Taxpayer funds are being used for essential computer systems design services, with the competitive award process aiming to ensure efficient use of these funds.

Public Impact

Ensures continued support for critical Department of the Army computer systems. Supports technological advancements and maintenance within the Department of Defense. Provides employment opportunities within the IT services sector, particularly for Leidos, Inc.

Waste & Efficiency Indicators

Waste Risk Score: 93 / 10

Warning Flags

  • Cost Plus Fixed Fee contract type can sometimes lead to cost overruns if not managed carefully.
  • Long-term contract duration may not adapt quickly to rapidly changing technology.
  • No specific mention of small business participation.

Positive Signals

  • Awarded under a Government-Wide Acquisition Contract (GSA Alliant 2), leveraging existing contract vehicles.
  • Full and open competition suggests a robust and fair bidding process.
  • Significant contract value indicates a critical need for these services.

Sector Analysis

This contract falls within the Information Technology sector, specifically Computer Systems Design Services. Spending in this area is substantial across federal agencies, driven by modernization efforts and cybersecurity needs. Benchmarks for similar contracts under GSA Alliant 2 would provide further context.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (sb: false). While Leidos, Inc. is a large business, the prime contractor may utilize small business subcontractors, but this information is not provided in the data.

Oversight & Accountability

The use of a GSA GWAC implies adherence to established procurement regulations and oversight. The Cost Plus Fixed Fee structure requires diligent oversight to manage costs and ensure performance objectives are met.

Related Government Programs

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

Risk Flags

  • Potential for cost overruns with CPFF contract type.
  • Risk of technology obsolescence over the five-year contract term.
  • Lack of transparency regarding small business subcontracting.
  • Scope creep potential in complex IT projects.

Tags

computer-systems-design-services, department-of-defense, va, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $210.1 million to LEIDOS, INC.. THE PURPOSE OF THIS ACTION IS TO AWARD A FIVE (5) YEAR DEFINITIVE TASK ORDER UNDER THE GSA ALLIANT 2 GOVERNMENTWIDE ACQUISITION CONTRACT

Who is the contractor on this award?

The obligated recipient is LEIDOS, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $210.1 million.

What is the period of performance?

Start: 2020-08-05. End: 2026-09-30.

What is the specific scope of 'Computer Systems Design Services' for this task order, and how does it align with current DoD IT modernization priorities?

The specific scope of 'Computer Systems Design Services' would detail the exact nature of the work, such as system architecture, integration, software development, and hardware configuration. Aligning this scope with DoD IT modernization priorities is crucial to ensure the investment supports strategic goals like cloud migration, enhanced cybersecurity, or data analytics capabilities, rather than maintaining legacy systems.

How will the Cost Plus Fixed Fee structure be managed to ensure cost control and prevent potential overruns given the five-year duration?

Effective management of a Cost Plus Fixed Fee (CPFF) contract involves rigorous oversight of allowable costs, regular performance reviews, and clear communication channels between the government and the contractor. The government contracting officer must establish robust tracking mechanisms for expenditures, ensure the fixed fee remains appropriate for the defined scope, and conduct periodic re-evaluations to confirm the contract remains aligned with evolving needs and budget constraints.

What performance metrics and key performance indicators (KPIs) will be used to evaluate Leidos, Inc.'s success in delivering these computer systems design services over the contract's lifespan?

Performance metrics and KPIs for this contract should focus on measurable outcomes such as system uptime, successful integration of new components, adherence to project timelines, cybersecurity compliance, and user satisfaction. Establishing clear, objective KPIs from the outset allows for consistent evaluation of Leidos's performance, ensuring the delivered services meet the Department of the Army's operational requirements and provide tangible value.

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: 4

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 1750 PRESIDENTS ST FL 4, RESTON, VA, 20190

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

Financial Breakdown

Contract Ceiling: $226,584,225

Exercised Options: $210,138,023

Current Obligation: $210,138,023

Subaward Activity

Number of Subawards: 128

Total Subaward Amount: $48,720,193

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47QTCK18D0008

IDV Type: GWAC

Timeline

Start Date: 2020-08-05

Current End Date: 2026-09-30

Potential End Date: 2026-09-30 00:00:00

Last Modified: 2025-12-12

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