DoD's $17M HITS-R2 Seed Task Order for Computer Facilities Management awarded to Bowhead Total Enterprise Solutions

Contract Overview

Contract Amount: $16,982,451 ($17.0M)

Contractor: Bowhead Total Enterprise Solutions, LLC

Awarding Agency: Department of Defense

Start Date: 2021-12-17

End Date: 2023-10-16

Contract Duration: 668 days

Daily Burn Rate: $25.4K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: HITS-R2 SEED TASK ORDER 2

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35816

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $17.0 million to BOWHEAD TOTAL ENTERPRISE SOLUTIONS, LLC for work described as: HITS-R2 SEED TASK ORDER 2 Key points: 1. Contract awarded to a single, large business, raising questions about small business participation. 2. The contract's cost-plus-fixed-fee structure requires careful monitoring to ensure cost efficiency. 3. Competition method ('FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES') needs further clarification regarding its impact on price discovery. 4. The sector is IT, specifically Computer Facilities Management Services, a common area for federal spending.

Value Assessment

Rating: fair

The contract is Cost Plus Fixed Fee, which can lead to higher costs if not managed tightly. Benchmarking against similar Computer Facilities Management Services contracts is needed to assess if the $16.98M price is competitive.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The competition method 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' suggests a limited competition. This approach may not yield the most competitive pricing compared to unrestricted full and open competition.

Taxpayer Impact: The pricing structure and limited competition could potentially lead to higher taxpayer costs than a more open bidding process.

Public Impact

Ensures continued IT infrastructure support for Army operations. Potential for cost overruns due to the CPFF contract type. Limited small business involvement may be a missed opportunity for economic development.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition
Cost-plus contract type
No small business participation reported

Positive Signals

Addresses critical IT facilities management needs
Awarded to an established vendor

Sector Analysis

This contract falls within the IT sector, specifically Computer Facilities Management Services. Federal spending in this area is substantial, and efficient contract management is crucial for cost control.

Small Business Impact

The contract was not awarded to a small business, and the 'exclusion of sources' in the competition method raises concerns about potential barriers for small businesses to participate in future task orders.

Oversight & Accountability

Oversight will be critical to manage the Cost Plus Fixed Fee structure and ensure the contractor delivers services effectively within the agreed-upon fixed fee and cost ceiling.

Related Government Programs

Computer Facilities Management Services
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Potential for cost overruns due to CPFF structure.
Limited competition may lead to suboptimal pricing.
Lack of small business participation.
Ambiguity in the 'exclusion of sources' clause.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $17.0 million to BOWHEAD TOTAL ENTERPRISE SOLUTIONS, LLC. HITS-R2 SEED TASK ORDER 2

Who is the contractor on this award?

The obligated recipient is BOWHEAD TOTAL ENTERPRISE SOLUTIONS, 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 $17.0 million.

What is the period of performance?

Start: 2021-12-17. End: 2023-10-16.

What specific services are included under 'Computer Facilities Management Services' for this task order, and how do they align with the Army's operational needs?

Computer Facilities Management Services typically encompass the operation, maintenance, and support of data centers and IT infrastructure. This includes hardware and software management, network administration, security monitoring, and user support. For the HITS-R2 SEED TASK ORDER 2, these services likely support critical Army IT systems, ensuring their availability, performance, and security to facilitate ongoing military operations and administrative functions.

How does the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' method impact the overall cost-effectiveness and taxpayer value compared to unrestricted full and open competition?

This competition method implies that while the initial solicitation was open, certain sources were excluded, leading to a more limited pool of bidders. This restriction can reduce competitive pressure, potentially resulting in higher prices than if all qualified vendors could compete. Taxpayer value may be diminished if the final price is not optimized due to the reduced competition.

What are the key performance indicators (KPIs) and metrics used to evaluate the contractor's performance and ensure the effectiveness of the Computer Facilities Management Services provided?

Effective oversight requires clearly defined KPIs such as system uptime percentages, response times for issue resolution, security incident rates, and user satisfaction scores. These metrics should be regularly tracked and reported by the contractor, with the government agency verifying performance against established benchmarks to ensure the services meet the required standards and deliver value.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Facilities Management Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - COMPUTE

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Ukpeagvik Inupiat Corporation

Address: 6564 LOISDALE CT STE 900, SPRINGFIELD, VA, 22150

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, 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: $72,427,040

Exercised Options: $18,538,091

Current Obligation: $16,982,451

Subaward Activity

Number of Subawards: 2

Total Subaward Amount: $1,979,609

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W912DY22D0040

IDV Type: IDC

Timeline