DoD's $37.6M CACI Contract for Specialty Services: Full & Open Competition, High Risk
Contract Overview
Contract Amount: $37,566,694 ($37.6M)
Contractor: CACI NSS, LLC
Awarding Agency: Department of Defense
Start Date: 2012-01-10
End Date: 2019-05-31
Contract Duration: 2,698 days
Daily Burn Rate: $13.9K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 7
Pricing Type: COST PLUS FIXED FEE
Sector: IT
Official Description: SITEC SPECIALTY SERVIES TASK ORDER ENTITLED SOIS
Place of Performance
Location: FORT BRAGG, CUMBERLAND County, NORTH CAROLINA, 28307
Plain-Language Summary
Department of Defense obligated $37.6 million to CACI NSS, LLC for work described as: SITEC SPECIALTY SERVIES TASK ORDER ENTITLED SOIS Key points: 1. Contract awarded via full and open competition, suggesting potential for competitive pricing. 2. High contract value ($37.6M) over a significant duration (2698 days) warrants close scrutiny. 3. The 'Other Computer Related Services' NAICS code is broad, potentially masking specific risks. 4. Lack of small business participation is noted, despite the contract's size.
Value Assessment
Rating: questionable
The contract's Cost Plus Fixed Fee (CPFF) structure can incentivize cost overruns. Benchmarking against similar 'Other Computer Related Services' contracts is difficult without more specific service details.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
Awarded under full and open competition, this method typically fosters competitive pricing. However, the CPFF structure might limit the price discovery benefits.
Taxpayer Impact: While competition was broad, the CPFF structure and potential for cost escalation could impact overall taxpayer value.
Public Impact
Significant taxpayer investment in IT services for Special Operations Command. Contract duration spans multiple fiscal years, impacting long-term budget planning. Potential for technology obsolescence given the contract's length and IT focus.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee structure
- Long contract duration
- Broad NAICS code
- No small business participation
Positive Signals
- Full and open competition
Sector Analysis
This contract falls under IT services, specifically 'Other Computer Related Services'. Benchmarks for this broad category vary widely, but a $37.6M contract over nearly 7.5 years is substantial.
Small Business Impact
The contract data indicates no small business participation (ss: false, sb: false). For a contract of this magnitude, exploring opportunities for small businesses in subcontracting or future set-asides could be beneficial.
Oversight & Accountability
The contract was awarded by the Department of Defense's U.S. Special Operations Command. Oversight would typically involve program managers ensuring performance and cost control, especially given the CPFF structure.
Related Government Programs
- Other Computer Related Services
- Department of Defense Contracting
- U.S. Special Operations Command Programs
Risk Flags
- Cost Plus Fixed Fee structure
- Long contract duration (2698 days)
- Broad NAICS code (541519)
- No small business participation
- High total value ($37.6M)
Tags
other-computer-related-services, department-of-defense, nc, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $37.6 million to CACI NSS, LLC. SITEC SPECIALTY SERVIES TASK ORDER ENTITLED SOIS
Who is the contractor on this award?
The obligated recipient is CACI NSS, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (U.S. Special Operations Command).
What is the total obligated amount?
The obligated amount is $37.6 million.
What is the period of performance?
Start: 2012-01-10. End: 2019-05-31.
What specific services were rendered under 'Other Computer Related Services' to justify the $37.6M cost over 2698 days?
The broad NAICS code '541519 - Other Computer Related Services' lacks specificity. Understanding the exact nature of services, such as cybersecurity, software development, or network infrastructure support, is crucial for assessing value. Without this detail, it's difficult to determine if the $37.6M expenditure was justified or if it represented a competitive market rate for the actual work performed.
How did the Cost Plus Fixed Fee (CPFF) structure impact the final cost and contractor incentives?
CPFF contracts are designed to cover costs plus a fixed fee, which can lead to cost overruns if not managed tightly. While it allows for flexibility in scope, it can reduce contractor incentive to control costs. The final cost of $37.6M needs to be analyzed against initial estimates and performance metrics to ascertain if the fixed fee adequately compensated for the risks and efforts, or if it led to excessive spending.
What was the rationale for the long contract duration of 2698 days, and what are the implications for technological relevance?
A duration of nearly 7.5 years for an IT-related contract raises concerns about technological obsolescence. The rationale might stem from long-term project needs or stability requirements. However, it necessitates robust contract management to ensure services remain current and effective, and potentially includes clauses for technology refresh or adaptation to prevent the government from paying for outdated solutions.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services
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
Solicitation ID: H9222210R0044
Offers Received: 7
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: CACI International Inc (UEI: 045534641)
Address: 11955 FREEDOM DR STE 12000, 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: $40,079,041
Exercised Options: $40,079,041
Current Obligation: $37,566,694
Subaward Activity
Number of Subawards: 5
Total Subaward Amount: $288,087
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: H9222211D0014
IDV Type: IDC
Timeline
Start Date: 2012-01-10
Current End Date: 2019-05-31
Potential End Date: 2019-05-31 00:00:00
Last Modified: 2019-04-30
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