DoD's $34.5M Wired Telecommunications Contract Awarded to Booz Allen Hamilton Under Full and Open Competition
Contract Overview
Contract Amount: $34,533,329 ($34.5M)
Contractor: Booz Allen Hamilton Inc
Awarding Agency: Department of Defense
Start Date: 2016-05-20
End Date: 2019-04-19
Contract Duration: 1,064 days
Daily Burn Rate: $32.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: COST PLUS FIXED FEE
Sector: IT
Official Description: IGF::OT::IGF
Place of Performance
Location: WARNER ROBINS, HOUSTON County, GEORGIA, 31098
State: Georgia Government Spending
Plain-Language Summary
Department of Defense obligated $34.5 million to BOOZ ALLEN HAMILTON INC for work described as: IGF::OT::IGF Key points: 1. The contract value is $34.5 million, awarded to a single large business. 2. Booz Allen Hamilton, a major defense contractor, secured this award. 3. The contract was awarded under full and open competition, suggesting a competitive bidding process. 4. The sector is Wired Telecommunications Carriers, supporting the Department of the Army.
Value Assessment
Rating: fair
The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. The award amount of $34.5M needs to be benchmarked against similar contracts for wired telecommunications services to assess value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded using full and open competition, indicating a robust price discovery process. This method generally leads to more competitive pricing compared to limited or sole-source awards.
Taxpayer Impact: The use of full and open competition is positive for taxpayers as it aims to secure the best value through market forces.
Public Impact
Supports critical communication infrastructure for the Department of the Army. Award to a large, established contractor like Booz Allen Hamilton. Contract duration spans nearly three years, indicating ongoing service needs. The specific services provided under 'Wired Telecommunications Carriers' are essential for military operations.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee contract type can incentivize higher costs.
- Single large business award may limit opportunities for smaller, specialized firms.
Positive Signals
- Awarded under full and open competition.
- Supports a critical government function (Army communications).
Sector Analysis
The Wired Telecommunications Carriers sector involves the provision of telecommunication services via wired networks. Spending in this sector is crucial for government operations, but benchmarks are highly dependent on specific service requirements and geographic locations.
Small Business Impact
The contract was awarded to a large business (Booz Allen Hamilton) and there is no indication of small business participation in this specific award. This suggests a lack of direct benefit to small businesses through this particular contract.
Oversight & Accountability
The contract was awarded under full and open competition, which inherently involves a degree of oversight in the bidding process. Further oversight would focus on the management of the Cost Plus Fixed Fee structure and performance monitoring.
Related Government Programs
- Wired Telecommunications Carriers
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Cost Plus Fixed Fee contract type.
- Award to a single large business.
- Potential for cost escalation without stringent oversight.
- Lack of specific performance metrics or unit costs provided.
Tags
wired-telecommunications-carriers, department-of-defense, ga, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $34.5 million to BOOZ ALLEN HAMILTON INC. IGF::OT::IGF
Who is the contractor on this award?
The obligated recipient is BOOZ ALLEN HAMILTON 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 $34.5 million.
What is the period of performance?
Start: 2016-05-20. End: 2019-04-19.
What specific telecommunications services are included in this contract, and how do they align with the Army's current and future needs?
The contract falls under the NAICS code 517110 for Wired Telecommunications Carriers. This typically includes services like local and long-distance voice, data transmission, and internet access over wired infrastructure. Understanding the precise scope is crucial to assess if it meets the Army's evolving operational requirements, especially with the increasing demand for high-speed, secure, and flexible communication solutions.
How does the Cost Plus Fixed Fee structure impact the overall cost-effectiveness and potential for contractor overspending in this contract?
Cost Plus Fixed Fee (CPFF) contracts reimburse the contractor for allowable costs plus a fixed fee representing profit. While CPFF can be useful when project scope is uncertain, it carries a risk of cost overruns if costs escalate beyond initial estimates, as the contractor is guaranteed their fee regardless. Effective oversight is critical to scrutinize allowable costs and ensure the fixed fee remains reasonable for the services rendered.
What is the benchmarked cost per unit or service for similar wired telecommunications contracts within the federal government or private sector?
Benchmarking the cost per unit or service for this $34.5 million contract is challenging without specific details on the services rendered (e.g., bandwidth, lines, locations). However, comparing rates for similar government contracts for telecommunications infrastructure and services, particularly those awarded through competitive processes, would provide a basis for assessing value. The absence of a stated CPU in the provided data suggests it may not have been a primary metric or is not readily available.
Industry Classification
NAICS: Information › Wired and Wireless Telecommunications (except Satellite) › Wired Telecommunications Carriers
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 2
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Booz Allen Hamilton Holding Corporation
Address: 8283 GREENSBORO DRIVE, MCLEAN, VA, 22102
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $41,176,409
Exercised Options: $41,176,409
Current Obligation: $34,533,329
Subaward Activity
Number of Subawards: 2
Total Subaward Amount: $12,900,000
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W91QUZ06D0019
IDV Type: IDC
Timeline
Start Date: 2016-05-20
Current End Date: 2019-04-19
Potential End Date: 2019-04-19 00:00:00
Last Modified: 2025-12-31
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