DoD Awards $5.7M Firm Fixed Price Task Order for Army Garrison IT Services to XATOR LLC

Contract Overview

Contract Amount: $5,745,144 ($5.7M)

Contractor: Xator LLC

Awarding Agency: Department of Defense

Start Date: 2022-09-02

End Date: 2027-09-01

Contract Duration: 1,825 days

Daily Burn Rate: $3.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: THE PURPOSE OF THIS ACTION IS TO AWARD A NEW FIRM FIXED PRICE TASK ORDER FOR CONTRACTOR TO PROVIDE M&S OF ESS U.S. ARMY GARRISONS RHINELAND-PFALZ AND BAUMHOLDER, GERMANY MIHAIL KOGALNICEANU AIR BASE, ROMANIA NOVO SELO TRAINING AREA, BULGARIA

Plain-Language Summary

Department of Defense obligated $5.7 million to XATOR LLC for work described as: THE PURPOSE OF THIS ACTION IS TO AWARD A NEW FIRM FIXED PRICE TASK ORDER FOR CONTRACTOR TO PROVIDE M&S OF ESS U.S. ARMY GARRISONS RHINELAND-PFALZ AND BAUMHOLDER, GERMANY MIHAIL KOGALNICEANU AIR BASE, ROMANIA NOVO SELO TRAINING AREA, BULGARIA Key points: 1. Contract awarded for IT services supporting U.S. Army garrisons in Germany, Romania, and Bulgaria. 2. XATOR LLC, the contractor, will provide Maintenance & Support (M&S) for computer systems. 3. The contract is a Firm Fixed Price (FFP) task order, indicating predictable costs for the government. 4. This award falls under the Computer Systems Design Services NAICS code. 5. The duration of the contract is 5 years, aligning with long-term operational needs.

Value Assessment

Rating: good

The $5.7M award for a 5-year IT M&S contract appears reasonable given the scope of supporting multiple international garrisons. Benchmarking against similar multi-year, multi-location IT support contracts would provide further validation.

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 that likely resulted in fair market pricing. The government sought multiple proposals to ensure the best value.

Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for essential IT support services across multiple Army installations.

Public Impact

Ensures continued IT infrastructure support for U.S. Army personnel and operations in key European locations. Supports readiness and operational effectiveness by maintaining critical computer systems. Provides stability for service members and their families relying on these IT systems. Contributes to the overall security posture of U.S. Army facilities abroad.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep in multi-year international IT support.
Geopolitical risks impacting service delivery in Romania and Bulgaria.
Dependency on a single contractor for critical infrastructure.

Positive Signals

Firm Fixed Price structure limits cost overrun risk.
Full and open competition suggests competitive pricing.
Long-term contract provides service continuity.

Sector Analysis

This contract falls within the IT services sector, specifically Computer Systems Design Services. Spending in this area is crucial for maintaining modern military infrastructure and operational capabilities. Benchmarks for similar multi-year, international IT support contracts are typically in the millions of dollars.

Small Business Impact

The awardee, XATOR LLC, is not indicated as a small business in the provided data. This suggests the contract was likely awarded to a larger entity, potentially limiting opportunities for small businesses in this specific procurement.

Oversight & Accountability

The award was made under full and open competition, indicating a standard procurement process. Further oversight would involve monitoring contract performance, adherence to terms, and financial accountability throughout the 5-year period.

Related Government Programs

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

Risk Flags

Contract duration of 5 years.
Support for multiple international locations.
Firm Fixed Price contract type.
Awarded under full and open competition.
NAICS code 541512 (Computer Systems Design Services).

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $5.7 million to XATOR LLC. THE PURPOSE OF THIS ACTION IS TO AWARD A NEW FIRM FIXED PRICE TASK ORDER FOR CONTRACTOR TO PROVIDE M&S OF ESS U.S. ARMY GARRISONS RHINELAND-PFALZ AND BAUMHOLDER, GERMANY MIHAIL KOGALNICEANU AIR BASE, ROMANIA NOVO SELO TRAINING AREA, BULGARIA

Who is the contractor on this award?

The obligated recipient is XATOR 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 $5.7 million.

What is the period of performance?

Start: 2022-09-02. End: 2027-09-01.

What specific IT maintenance and support tasks are included in this task order, and how do they align with the Army's operational requirements in these garrisons?

The task order specifies Maintenance & Support (M&S) for computer systems. While the exact scope isn't detailed, it typically includes hardware/software maintenance, network support, troubleshooting, and potentially system upgrades. This aligns with the Army's need for reliable IT infrastructure to support daily operations, communication, and command and control functions at its garrisons.

What are the key performance indicators (KPIs) for this contract, and how will XATOR LLC's performance be measured to ensure effectiveness and value?

Key performance indicators likely include system uptime, response times for technical support, successful implementation of maintenance schedules, and user satisfaction. Performance will be measured through regular reporting, site visits, and feedback mechanisms. The Department of the Army will monitor these KPIs to ensure XATOR LLC meets contractual obligations and delivers effective IT support.

Given the international locations, what contingency plans are in place to mitigate risks related to service delivery, such as supply chain disruptions or local regulatory changes?

The contract likely requires XATOR LLC to outline contingency plans for international operations. These could include maintaining local spares inventories, having redundant communication channels, and staying abreast of local regulations. The government's oversight would involve reviewing and approving these plans to ensure service continuity and minimize disruptions.

Industry Classification

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

Product/Service Code: INSTALLATION OF EQUIPMENT › INSTALLATION OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: W912DY14R0062

Offers Received: 6

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Parsons Corporation

Address: 1835 ALEXANDER BELL DR STE 210, RESTON, VA, 20190

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

Financial Breakdown

Contract Ceiling: $8,739,132

Exercised Options: $6,445,400

Current Obligation: $5,745,144

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W912DY17D0019

IDV Type: IDC

Timeline