DoD's $19.4M Soldier Fitness Tracker Licensing Contract with APLUS Technologies Raises Questions on Value and Competition

Contract Overview

Contract Amount: $19,446,470 ($19.4M)

Contractor: Aplus Technologies, Inc.

Awarding Agency: Department of Defense

Start Date: 2012-09-30

End Date: 2016-03-29

Contract Duration: 1,276 days

Daily Burn Rate: $15.2K/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: HEALTH CONTENT LICENSING FOR INTEGRATION INTO THE SOLDIER FITNESS TRACKER.

Place of Performance

Location: COLUMBIA, HOWARD County, MARYLAND, 21046

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $19.4 million to APLUS TECHNOLOGIES, INC. for work described as: HEALTH CONTENT LICENSING FOR INTEGRATION INTO THE SOLDIER FITNESS TRACKER. Key points: 1. The contract awarded to APLUS TECHNOLOGIES, INC. for health content licensing represents a significant investment in soldier fitness technology. 2. Competition under SAP suggests a potentially limited bidding process, impacting price discovery. 3. The firm fixed price contract structure aims to control costs, but the overall value for money requires further scrutiny. 4. The sector is IT services, specifically custom computer programming, with a focus on defense applications.

Value Assessment

Rating: questionable

The contract's value of $19.4M for licensing health content is substantial. Benchmarking against similar data licensing agreements within the defense sector or for fitness applications is difficult without more specific details on the content's scope and exclusivity.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under SAP (Small Acquisition Procedures), indicating a limited competition. While this can expedite the acquisition process for smaller value contracts, it may not yield the most competitive pricing or the best value for the government compared to full and open competition.

Taxpayer Impact: The $19.4M expenditure represents taxpayer funds allocated to enhance soldier readiness through technology. The effectiveness and necessity of this specific licensing agreement will determine the ultimate return on investment for taxpayers.

Public Impact

Enhances soldier readiness and well-being through integrated fitness tracking. Potential for improved data collection and analysis on soldier health metrics. Supports the modernization of military health and fitness programs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Limited competition may have led to suboptimal pricing.
  • Lack of detailed scope for licensed content makes value assessment difficult.
  • Contract duration of over 3 years could lead to scope creep or outdated technology.

Positive Signals

  • Focus on soldier health and performance improvement.
  • Firm fixed price contract provides cost certainty.
  • Utilizes technology to enhance military capabilities.

Sector Analysis

This contract falls within the IT services sector, specifically custom computer programming, for the Department of Defense. Spending in this area is often driven by the need for advanced technological solutions to support military operations and personnel.

Small Business Impact

The data does not indicate whether small businesses were involved in this contract. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

The contract was awarded by the Department of the Army. Oversight would typically involve program managers ensuring the delivered content meets specifications and provides the intended benefits for the Soldier Fitness Tracker.

Related Government Programs

  • Custom Computer Programming Services
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Limited competition may have inflated costs.
  • Lack of transparency on licensed content's specific value.
  • Potential for technology obsolescence over the contract duration.
  • Difficulty in quantifying direct impact on soldier readiness.

Tags

custom-computer-programming-services, department-of-defense, md, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $19.4 million to APLUS TECHNOLOGIES, INC.. HEALTH CONTENT LICENSING FOR INTEGRATION INTO THE SOLDIER FITNESS TRACKER.

Who is the contractor on this award?

The obligated recipient is APLUS TECHNOLOGIES, 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 $19.4 million.

What is the period of performance?

Start: 2012-09-30. End: 2016-03-29.

What specific health content was licensed, and what is its unique value proposition compared to readily available commercial alternatives?

The specific health content licensed is not detailed in the provided data. A comprehensive assessment of value requires understanding the proprietary nature, depth, and breadth of the licensed information. If the content offers unique insights or functionalities not found in commercial fitness trackers, its $19.4M price tag might be justifiable. However, if it largely replicates existing data, the expenditure could be questioned.

How did the limited competition under SAP impact the final negotiated price and overall value for the government?

Competing under Small Acquisition Procedures (SAP) typically involves fewer bidders and potentially less rigorous price negotiation compared to full and open competition. While SAP is designed for efficiency in acquiring goods and services below certain thresholds, it can sometimes result in higher prices than might be achieved through broader market outreach. The government may have forgone potential cost savings by limiting the competitive pool.

What are the measurable improvements in soldier fitness or health outcomes attributed to this licensed content?

The provided data does not include metrics on the measurable improvements in soldier fitness or health outcomes resulting from this contract. To assess effectiveness, the Department of Defense would need to track key performance indicators related to soldier readiness, injury rates, or performance enhancements that can be directly linked to the use of the licensed health content within the Soldier Fitness Tracker.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesCustom Computer Programming Services

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

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: W91WAW12R0079

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 10015 OLD COLUMBIA RD, COLUMBIA, MD, 21046

Business Categories: 8(a) Program Participant, Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $19,446,470

Exercised Options: $19,446,470

Current Obligation: $19,446,470

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Timeline

Start Date: 2012-09-30

Current End Date: 2016-03-29

Potential End Date: 2016-03-29 00:00:00

Last Modified: 2016-03-23

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