DoD awards CACI $22.5M for SCIF LAN support, extending services through August 2025

Contract Overview

Contract Amount: $22,535,367 ($22.5M)

Contractor: CACI Technologies, LLC

Awarding Agency: Department of Defense

Start Date: 2022-02-03

End Date: 2025-08-02

Contract Duration: 1,276 days

Daily Burn Rate: $17.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: THIS TASK ORDER UNDER THE RS3 MULTIPLE AWARD INDEFINITE-DELIVERY INDEFINITE- QUANTITY CONTRACT ENTITLED C5ISR CENTER (SCIF) LOCAL AREA NETWORK (LAN) SUPPORT IS BEING AWARDED AS A CPFF CONTRACT FOR A POP TOTALING 36 MONTHS

Place of Performance

Location: CHANTILLY, FAIRFAX County, VIRGINIA, 20151

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $22.5 million to CACI TECHNOLOGIES, LLC for work described as: THIS TASK ORDER UNDER THE RS3 MULTIPLE AWARD INDEFINITE-DELIVERY INDEFINITE- QUANTITY CONTRACT ENTITLED C5ISR CENTER (SCIF) LOCAL AREA NETWORK (LAN) SUPPORT IS BEING AWARDED AS A CPFF CONTRACT FOR A POP TOTALING 36 MONTHS Key points: 1. Contract awarded as Cost Plus Fixed Fee, indicating potential for cost overruns if not managed closely. 2. The contract is a task order under a larger IDIQ, suggesting a need for specialized C5ISR support. 3. Limited public information on specific performance metrics makes a direct value-for-money assessment challenging. 4. The contract duration of 36 months provides a stable period for service delivery. 5. The North American Industry Classification System (NAICS) code 541715 points to R&D in physical, engineering, and life sciences. 6. The award was made under full and open competition, which typically fosters competitive pricing. 7. The contractor, CACI Technologies, LLC, has a significant presence in government contracting.

Value Assessment

Rating: fair

The contract's Cost Plus Fixed Fee (CPFF) structure requires careful monitoring to ensure costs remain within reasonable bounds. Benchmarking CPFF contracts for similar IT infrastructure support services is difficult without more detailed cost breakdowns. However, the total value of $22.5 million over three years suggests a moderate investment for specialized C5ISR LAN support. The absence of specific performance metrics in the provided data limits a comprehensive assessment of value for money.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This task order was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. The presence of 4 bids suggests a reasonable level of competition for this specific requirement. Full and open competition generally leads to better price discovery and potentially more favorable terms for the government compared to sole-source or limited competition scenarios.

Taxpayer Impact: Taxpayers benefit from the competitive bidding process, which aims to secure the best possible price and quality for the required C5ISR LAN support services.

Public Impact

The Department of the Army benefits from enhanced local area network support for its C5ISR Center. This contract ensures the continued operation and maintenance of critical IT infrastructure. The services delivered are essential for the functioning of sensitive compartmented information facilities (SCIFs). The primary geographic impact is within Virginia, where the services are likely performed. The contract supports the technological infrastructure necessary for national defense operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee (CPFF) contracts can incentivize contractors to increase costs to maximize profit if not rigorously overseen.
Lack of detailed performance metrics makes it difficult to assess the efficiency and effectiveness of the services provided.
The specialized nature of C5ISR support may limit the pool of qualified contractors, potentially impacting future competition.
Reliance on a single task order under a larger IDIQ could concentrate risk if the contractor faces performance issues.

Positive Signals

Awarded under full and open competition, suggesting a robust bidding process.
The contract duration of 36 months provides stability and continuity of essential services.
CACI Technologies, LLC is an established government contractor with experience in IT and defense sectors.
The task order is part of a larger IDIQ contract (RS3), which implies a structured procurement vehicle.

Sector Analysis

This contract falls within the Information Technology and Defense sectors, specifically focusing on research and development related to physical, engineering, and life sciences (NAICS 541715). The market for C5ISR (Command, Control, Communications, Computers, Cyber, Intelligence, Surveillance, and Reconnaissance) support is highly specialized and dominated by a few large defense contractors. Spending in this area is critical for maintaining national security infrastructure. Comparable spending benchmarks are difficult to establish without more specific details on the scope of LAN support within SCIF environments.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses stemming from a small business set-aside. The primary contractor, CACI Technologies, LLC, is a large business, and its subcontracting plans, if any, are not detailed in this information. The absence of a small business set-aside means opportunities for small businesses are likely limited to potential subcontracting roles determined by the prime contractor.

Oversight & Accountability

Oversight for this contract would typically be managed by the Department of the Army contracting and technical officers. As a Cost Plus Fixed Fee (CPFF) contract, rigorous financial oversight is crucial to monitor costs and ensure the fixed fee is earned appropriately. Transparency is facilitated through contract award databases, but detailed performance reports and Inspector General (IG) involvement would depend on specific performance issues or audits. The RS3 IDIQ contract vehicle itself may have established oversight mechanisms.

Related Government Programs

RS3 Multiple Award Indefinite-Delivery Indefinite-Quantity Contract
C5ISR Center Support Contracts
SCIF Infrastructure Support
Department of the Army IT Services
Command, Control, Communications, Computers, Cyber, Intelligence, Surveillance, and Reconnaissance (C5ISR) Services

Risk Flags

Cost Plus Fixed Fee (CPFF) contract type requires close monitoring of expenditures.
Limited public detail on performance metrics hinders full value assessment.
Specialized nature of C5ISR support may limit future competition.
Reliance on a single task order under a larger IDIQ could concentrate risk.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $22.5 million to CACI TECHNOLOGIES, LLC. THIS TASK ORDER UNDER THE RS3 MULTIPLE AWARD INDEFINITE-DELIVERY INDEFINITE- QUANTITY CONTRACT ENTITLED C5ISR CENTER (SCIF) LOCAL AREA NETWORK (LAN) SUPPORT IS BEING AWARDED AS A CPFF CONTRACT FOR A POP TOTALING 36 MONTHS

Who is the contractor on this award?

The obligated recipient is CACI TECHNOLOGIES, 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 $22.5 million.

What is the period of performance?

Start: 2022-02-03. End: 2025-08-02.

What is CACI Technologies, LLC's track record with similar C5ISR LAN support contracts?

CACI Technologies, LLC is a major government contractor with extensive experience in IT support, cybersecurity, and C5ISR-related services across various defense agencies. While specific details on past SCIF LAN support contracts are not provided here, CACI has a history of performing large-scale IT infrastructure and network support for the Department of Defense. Their performance on previous contracts, including those under similar IDIQ vehicles, would be a key indicator of their capability. A review of their contract history, including past performance evaluations and any reported issues, would provide further insight into their reliability for this specific task order.

How does the $22.5 million value compare to similar SCIF LAN support contracts?

Benchmarking the $22.5 million value for 36 months of SCIF LAN support is challenging without more granular data on the scope of services, security requirements, and geographic distribution. However, for specialized IT infrastructure support within secure environments like SCIFs, this figure appears to be within a moderate range. Larger, more complex C5ISR system integration projects can run into hundreds of millions or billions. Conversely, basic network maintenance might be significantly less. The CPFF structure also means the final cost could vary. Comparing this to publicly available data on similar task orders under the RS3 IDIQ or other defense IT contracts would provide a better context for value assessment.

What are the primary risks associated with this CPFF contract structure for SCIF LAN support?

The primary risk with a Cost Plus Fixed Fee (CPFF) contract is the potential for cost overruns. While the contractor is incentivized to control costs to ensure their fixed fee is profitable, there's less direct incentive to minimize costs compared to fixed-price contracts. If the scope of work expands or unforeseen technical challenges arise, costs can escalate. Rigorous oversight by the government is essential to scrutinize all incurred costs and ensure they are reasonable, allocable, and allowable. Another risk is the potential for scope creep if requirements are not clearly defined and managed, leading to increased effort and cost without a corresponding adjustment to the fixed fee.

How effective is full and open competition in ensuring value for specialized C5ISR IT services?

Full and open competition is generally the most effective method for ensuring value for specialized C5ISR IT services, as it maximizes the number of potential bidders and encourages competitive pricing. For highly technical services like SCIF LAN support, the effectiveness depends on whether the solicitation clearly defines requirements and evaluation criteria, allowing a diverse range of qualified vendors to participate. While it promotes price competition, the technical complexity means the government must also carefully evaluate non-price factors like technical approach, past performance, and management capability to ensure the best overall value, not just the lowest price.

What are the historical spending patterns for C5ISR LAN support within the Department of the Army?

Historical spending patterns for C5ISR LAN support within the Department of the Army are substantial and reflect the critical nature of these systems for military operations. The Army consistently invests heavily in maintaining and upgrading its communication and information infrastructure, especially for sensitive environments. This spending is often distributed across multiple large IDIQ contracts, task orders, and direct procurements. Analyzing past budgets and contract awards related to C5ISR modernization, network operations, and secure facility IT support would reveal trends in spending levels, technology adoption, and contractor reliance over time. This specific $22.5M award represents a portion of that broader spending.

What are the implications of awarding this task order under the RS3 IDIQ?

Awarding this task order under the RS3 (Research and Development, Engineering and Production, and Special Test Support) IDIQ contract vehicle streamlines the procurement process for specialized C5ISR support. The RS3 IDIQ was established to provide the Army with a broad range of technical support services, including R&D, engineering, and IT. Using this existing contract vehicle means the foundational requirements and competition parameters have already been established, allowing for faster award of task orders like this one. It also implies that CACI Technologies, LLC was one of the pre-qualified vendors under the RS3 contract, having met stringent criteria during the initial IDIQ competition.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)

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

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

Parent Company: CACI International Inc

Address: 14370 NEWBROOK DRIVE, CHANTILLY, VA, 20151

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

Financial Breakdown

Contract Ceiling: $40,153,243

Exercised Options: $24,921,395

Current Obligation: $22,535,367

Subaward Activity

Number of Subawards: 38

Total Subaward Amount: $6,468,474

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W15P7T19D0157

IDV Type: IDC

Timeline