DoD's Army Awards $129M Logistics PM Contract to SAIC Under Full and Open Competition

Contract Overview

Contract Amount: $128,900,162 ($128.9M)

Contractor: Science Applications International Corporation

Awarding Agency: Department of Defense

Start Date: 2017-06-08

End Date: 2022-09-30

Contract Duration: 1,940 days

Daily Burn Rate: $66.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: IGF::CL,CT::IGF LOGISTICS MODERNIZATION PROGRAM, PROGRAM MANAGEMENT OFFICE CONTRACTOR SUPPORT SERVICES

Place of Performance

Location: ANDOVER, ESSEX County, MASSACHUSETTS, 01810

State: Massachusetts Government Spending

Plain-Language Summary

Department of Defense obligated $128.9 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION for work described as: IGF::CL,CT::IGF LOGISTICS MODERNIZATION PROGRAM, PROGRAM MANAGEMENT OFFICE CONTRACTOR SUPPORT SERVICES Key points: 1. The contract, valued at $128.9M, supports the IGF Logistics Modernization Program. 2. SAIC, a large business, secured this Cost Plus Fixed Fee contract. 3. Awarded under full and open competition, indicating a competitive bidding process. 4. The contract duration is 1940 days, ending in September 2022. 5. The NAICS code 541611 points to management consulting services.

Value Assessment

Rating: good

The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. However, the fixed fee component provides some cost control. Benchmarking against similar management consulting contracts is difficult without more specific service details.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust process to solicit bids from multiple qualified vendors. This method generally promotes competitive pricing and allows the government to select the best value offer.

Taxpayer Impact: Full and open competition is intended to ensure taxpayer funds are used efficiently by fostering a competitive environment that drives down costs and improves service quality.

Public Impact

Supports a critical logistics modernization program for the Army. SAIC's role in program management is vital for operational efficiency. The contract's value indicates a significant investment in improving logistics capabilities. Long-term contract duration suggests ongoing need and potential for sustained impact.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically management consulting. Spending in this sector is substantial across government agencies, supporting various program management and advisory needs.

Small Business Impact

The data indicates that this contract was not awarded to small businesses (sb: false). This suggests that the scope and requirements of the IGF Logistics Modernization Program Contractor Support Services were likely geared towards larger, more established firms with extensive program management capabilities.

Oversight & Accountability

The award was made by the Department of the Army, a component of the Department of Defense. Oversight would typically involve program managers within the Army, potentially with additional review from DoD Inspector General offices, especially given the contract's value.

Related Government Programs

Risk Flags

Tags

administrative-management-and-general-ma, department-of-defense, ma, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $128.9 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION. IGF::CL,CT::IGF LOGISTICS MODERNIZATION PROGRAM, PROGRAM MANAGEMENT OFFICE CONTRACTOR SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is SCIENCE APPLICATIONS INTERNATIONAL CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $128.9 million.

What is the period of performance?

Start: 2017-06-08. End: 2022-09-30.

What specific metrics are used to assess the value and success of SAIC's contractor support services in the IGF Logistics Modernization Program?

Assessing the value and success of contractor support services typically involves tracking key performance indicators (KPIs) related to program milestones, cost savings achieved, efficiency improvements in logistics operations, and adherence to project timelines. Performance reports and regular reviews between the Army and SAIC would detail these metrics, ensuring the contractor meets defined objectives and contributes effectively to the modernization goals.

What are the primary risks associated with a Cost Plus Fixed Fee (CPFF) contract for complex modernization programs, and how are they mitigated?

The primary risk with CPFF contracts is the potential for cost overruns, as the government bears the cost of all allowable expenses plus a fixed fee. Mitigation strategies include robust government oversight, detailed cost tracking, clear definition of allowable costs, and strong negotiation of the fixed fee based on realistic projections. Regular performance reviews and audits are crucial to ensure contractor efficiency and prevent unnecessary expenditures.

How does this contract contribute to the overall effectiveness of the Army's logistics capabilities and its ability to adapt to future challenges?

This contract is instrumental in modernizing the Army's logistics infrastructure, aiming to enhance efficiency, reduce response times, and improve data management. By providing expert program management support, it helps ensure that modernization efforts are implemented effectively, leading to a more agile and responsive logistics network capable of supporting current operations and adapting to evolving strategic demands and potential future disruptions.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesManagement, Scientific, and Technical Consulting ServicesAdministrative Management and General Management Consulting Services

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: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 12010 SUNSET HILLS RD, RESTON, VA, 20190

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

Financial Breakdown

Contract Ceiling: $128,900,162

Exercised Options: $128,900,162

Current Obligation: $128,900,162

Subaward Activity

Number of Subawards: 23

Total Subaward Amount: $94,719,104

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W52P1J14D0019

IDV Type: IDC

Timeline

Start Date: 2017-06-08

Current End Date: 2022-09-30

Potential End Date: 2022-09-30 12:09:00

Last Modified: 2024-01-08

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