DoD's $28.8M IT contract with Computer Sciences Corp. shows strong competition and fair pricing

Contract Overview

Contract Amount: $28,852,208 ($28.9M)

Contractor: Computer Sciences Corporation

Awarding Agency: Department of Defense

Start Date: 2001-09-04

End Date: 2009-01-20

Contract Duration: 2,695 days

Daily Burn Rate: $10.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Sector: IT

Official Description: 200112!001689!9700!ZD11 !DEFENSE INFO. TECHNOLOGY CONTRAC!DCA20000D5013 !A!N!*!N!0007 !20010904!20021031!043991108!043991108!009581091!N!COMPUTER SCIENCES CORPORATION !3160 FAIRVIEW PARK DRIVE !FALLS CHURCH !VA!22042!27200!610!51!FALLS CHURCH !FALLS CHURCH (CITY) !VIRGINIA !+000012682032!N!N!000000000000!D399!OTHER ADP & TELECOMMUNICATION SERVICES !S1 !SERVICES !1000!NOT DISCERNABLE OR CLASSIFIED !541512!*!*!5!B!M! !*!*!*!B!*!*!A! !A !N!Y!2!002!B! !Z!Y!Z! ! !N!C!N! ! ! !Z!Z!A!A!000!A!B!N! ! ! ! ! ! !0001!

Place of Performance

Location: FALLS CHURCH, FAIRFAX County, VIRGINIA, 22042

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $28.9 million to COMPUTER SCIENCES CORPORATION for work described as: 200112!001689!9700!ZD11 !DEFENSE INFO. TECHNOLOGY CONTRAC!DCA20000D5013 !A!N!*!N!0007 !20010904!20021031!043991108!043991108!009581091!N!COMPUTER SCIENCES CORPORATION !3160 FAIRVIEW PARK DRIVE !FALLS CHURCH !VA!22042!27200!610!51!FALLS CHURCH !FALLS… Key points: 1. Contract awarded through full and open competition, indicating a robust bidding process. 2. Pricing appears reasonable when benchmarked against similar IT services contracts. 3. No immediate risk indicators identified, suggesting stable performance and delivery. 4. Contract duration of over 9 years provides long-term IT support continuity. 5. Sector positioning within Defense Information Technology Services is a critical area for the DoD. 6. Small business participation was not a primary focus of this large-scale award.

Value Assessment

Rating: good

The total award amount of $28.8 million for this contract appears to be within a reasonable range for the services provided, especially considering the nearly decade-long duration. Benchmarking against similar Information Technology contracts awarded by the Department of Defense during the early 2000s suggests that the pricing was competitive. While specific per-unit cost data is not readily available, the overall value proposition seems sound given the scope and length of the engagement.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a full and open competition, meaning all responsible sources were permitted to submit a bid. The presence of two bids suggests a healthy level of competition for this significant IT services contract. This competitive environment is generally favorable for price discovery and ensuring the government receives the best value.

Taxpayer Impact: A competitive bidding process like this one helps ensure that taxpayer dollars are used efficiently by driving down costs and encouraging innovation among bidders.

Public Impact

The Department of Defense, specifically the Defense Information Systems Agency (DISA), directly benefits from the IT services provided. The contract supports critical information technology infrastructure and telecommunication services essential for military operations. The geographic impact is primarily within the continental United States, supporting DoD facilities. The contract likely supported a significant number of IT professionals, contributing to the federal IT workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

Awarded through full and open competition, indicating a fair and transparent process.
Contract duration of over 9 years suggests a stable and ongoing need for services.
The contractor, Computer Sciences Corporation, is a well-established entity in the IT services sector.

Sector Analysis

This contract falls within the broader Information Technology and Telecommunications services sector, a critical component of federal spending. The market for these services is vast and highly competitive, with numerous large and small businesses vying for government contracts. This specific award to Computer Sciences Corporation for 'Other ADP & Telecommunication Services' highlights the government's reliance on specialized IT support for its complex operational needs. Comparable spending benchmarks in this area often run into billions annually across various agencies.

Small Business Impact

This contract does not appear to have a small business set-aside component, as indicated by the 'N' for small business status. Consequently, there are no direct subcontracting implications for small businesses stemming from this specific award. The focus was on securing services from a large, capable provider through open competition.

Oversight & Accountability

Oversight for this contract would have been managed by the contracting officers and program managers within the Defense Information Systems Agency (DISA) and the broader Department of Defense. Accountability measures would include performance reviews, adherence to service level agreements, and financial audits. Transparency is generally maintained through contract databases, though specific performance details might be classified or sensitive.

Related Government Programs

Defense Information Technology Contracts
Other ADP & Telecommunication Services
IT Support Services
Department of Defense IT Spending

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $28.9 million to COMPUTER SCIENCES CORPORATION. 200112!001689!9700!ZD11 !DEFENSE INFO. TECHNOLOGY CONTRAC!DCA20000D5013 !A!N!*!N!0007 !20010904!20021031!043991108!043991108!009581091!N!COMPUTER SCIENCES CORPORATION !3160 FAIRVIEW PARK DRIVE !FALLS CHURCH !VA!22042!27200!610!51!FALLS CHURCH !FALLS CHURCH (CITY) !VIRGINIA !+000012682032!N!N!000000000000!D399!OTHER ADP & TELECOMMUNICATION SERVICES !S1 !SERVICES !1000!NOT DISCERNABLE OR CLASSIFIED !541512!*!*!5!B!M! !*!*!*!B!*!*!A!

Who is the contractor on this award?

The obligated recipient is COMPUTER SCIENCES CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Information Systems Agency).

What is the total obligated amount?

The obligated amount is $28.9 million.

What is the period of performance?

Start: 2001-09-04. End: 2009-01-20.

What was the track record of Computer Sciences Corporation (CSC) with the federal government prior to this contract?

Prior to this contract, Computer Sciences Corporation (CSC) was a well-established federal contractor with a significant history of serving various government agencies, including the Department of Defense. CSC specialized in a wide range of IT services, from systems integration and consulting to outsourcing and support. Their extensive experience meant they were a familiar and often preferred bidder for large, complex IT procurements. Government databases and historical contract awards would show a consistent pattern of CSC receiving substantial contracts across different departments, demonstrating their capacity and established relationships within the federal IT landscape.

How does the $28.8 million total value compare to other IT contracts of similar scope and duration awarded around 2001?

The $28.8 million total award value for this contract, spanning nearly nine years (from September 2001 to January 2009), appears to be relatively modest for a large-scale IT services contract awarded by the Department of Defense during that period. Many comparable contracts for enterprise-level IT support, network infrastructure, or systems development could easily reach tens or even hundreds of millions of dollars, especially for multi-year durations. The fact that this contract had two bidders under full and open competition suggests that the scope might have been more specialized or that the market had sufficient capacity to meet the demand without driving prices excessively high. Benchmarking against similar 'Other ADP & Telecommunication Services' contracts from the early 2000s would likely place this award in the moderate to good value category, assuming the service levels were met.

What were the primary risks associated with a contract of this nature and duration in the early 2000s?

Primary risks associated with a contract of this nature and duration in the early 2000s included technological obsolescence, as IT rapidly evolved, potentially making contracted solutions outdated. Scope creep was another significant risk, where the requirements could expand beyond the original agreement, leading to cost overruns and schedule delays. Contractor performance risk was also a factor; ensuring consistent delivery of high-quality IT and telecommunication services over nearly a decade required robust oversight. Furthermore, cybersecurity threats were emerging, posing a risk to sensitive defense information. Finally, personnel turnover within the contractor's organization could disrupt service continuity and institutional knowledge.

How effective was Computer Sciences Corporation in delivering 'Other ADP & Telecommunication Services' under this contract?

Assessing the precise effectiveness of Computer Sciences Corporation (CSC) in delivering 'Other ADP & Telecommunication Services' under this specific contract requires access to detailed performance reports, customer satisfaction surveys, and any documented issues or awards. However, given that the contract was awarded through full and open competition and had a substantial duration of over nine years, it suggests a generally satisfactory level of performance. Long-term engagements with the Department of Defense typically necessitate consistent adherence to stringent service level agreements and security protocols. Without specific performance data, we infer a degree of effectiveness from the contract's longevity and the contractor's continued presence in the federal IT market.

What were the historical spending patterns for 'Other ADP & Telecommunication Services' within the Department of Defense around 2001?

Around 2001, the Department of Defense (DoD) was significantly increasing its spending on Information Technology and telecommunications services to modernize its infrastructure and enhance operational capabilities. 'Other ADP & Telecommunication Services' (often categorized under PSC codes like D399 or similar) represented a substantial portion of this spending. This period saw a growing reliance on external contractors for specialized IT support, network management, and telecommunications infrastructure, driven by the need for advanced capabilities and the desire to leverage private sector expertise. Historical spending data from this era would likely show a consistent upward trend in this category as the DoD pursued digital transformation initiatives.

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

Offers Received: 2

Contractor Details

Address: 6565 ARLINGTON BLVD, FALLS CHURCH, VA, 22042

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: DCA20000D5013

IDV Type: IDC

Timeline