DoD's $46.6M IT contract with CSRA Information Systems shows long-term engagement and full competition

Contract Overview

Contract Amount: $46,563,621 ($46.6M)

Contractor: Csra Information Systems LLC

Awarding Agency: Department of Defense

Start Date: 1999-10-01

End Date: 2008-06-23

Contract Duration: 3,188 days

Daily Burn Rate: $14.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: TIME AND MATERIALS

Sector: IT

Place of Performance

Location: CHANTILLY, FAIRFAX County, VIRGINIA, 20151

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $46.6 million to CSRA INFORMATION SYSTEMS LLC for work described as: Key points: 1. Contract duration of nearly 9 years suggests sustained need and successful performance. 2. Full and open competition indicates a robust bidding process, potentially leading to better pricing. 3. The contract's value, while substantial, needs benchmarking against similar IT service agreements. 4. Performance context is limited without specific deliverables or outcome metrics. 5. Sector positioning within Defense IT services is a key area for further analysis. 6. The absence of small business set-asides warrants examination of subcontracting opportunities.

Value Assessment

Rating: fair

The total award of $46.6 million over almost nine years averages to approximately $5.2 million annually. Without specific details on the services rendered, it is challenging to benchmark this against comparable IT contracts. However, the duration suggests a stable, ongoing relationship. The pricing structure, identified as Time and Materials, can sometimes lead to cost overruns if not managed tightly, which is a common concern for contracts of this nature. Further analysis would require comparing the hourly rates and material markups to industry standards for similar IT support services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The data shows two bids were received. While two bidders is a form of competition, it is on the lower end for a contract of this magnitude and duration. A higher number of bidders typically fosters more aggressive pricing and innovation. The limited number of bids might suggest barriers to entry for other potential contractors or a concentrated market for these specific services.

Taxpayer Impact: For taxpayers, full and open competition is generally beneficial as it aims to secure the best value. However, with only two bids, the potential for cost savings might have been constrained compared to a scenario with more robust competition.

Public Impact

The Department of Defense benefits from IT support services essential for its operations. The contract likely supports various defense information systems and infrastructure. Services are primarily delivered within Virginia, impacting the local IT workforce. The duration of the contract suggests a stable demand for IT expertise within the defense sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials pricing can lead to cost escalation if not closely monitored.
Limited number of bidders (2) may indicate reduced competitive pressure on pricing.
Lack of specific performance metrics makes it difficult to assess true value for money.
Contract duration of nearly 9 years could indicate a lack of market innovation or vendor lock-in.

Positive Signals

Awarded under full and open competition, suggesting a fair and accessible bidding process.
Long contract duration implies consistent service delivery and contractor reliability.
Contractor (CSRA Information Systems LLC) has a significant presence in the federal IT space.

Sector Analysis

This contract falls within the broader IT services sector, specifically supporting the Department of Defense. The federal IT services market is substantial, with agencies increasingly relying on contractors for specialized expertise in areas like network management, cybersecurity, and system integration. Contracts of this nature are common, but their value and duration can vary significantly based on the scope of services. Benchmarking would involve comparing the annual value and service scope against other large-scale IT support contracts awarded to major federal IT contractors.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss=false, sb=false). This suggests that the primary award went to a large business contractor. There is no explicit information on subcontracting plans or performance. For small businesses, this means direct opportunities under this specific contract may be limited unless CSRA Information Systems actively pursues them for subcontracting. The overall impact on the small business ecosystem would depend on the contractor's subcontracting practices and the availability of other contracts specifically targeted towards small businesses within the DoD.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of Defense's contracting and program management structures, likely involving the Defense Information Systems Agency (DISA). Accountability measures would be defined in the contract's terms and conditions, including performance standards and reporting requirements. Transparency is often facilitated through contract databases like FPDS, where basic award information is published. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

DoD IT Modernization Programs
Defense Information Systems Agency (DISA) Contracts
Federal Civilian IT Services
IT Support Services
Time and Materials Contracts

Risk Flags

Potential for cost overruns due to Time and Materials pricing structure.
Limited competition (2 bidders) may impact price competitiveness.
Lack of specific performance metrics hinders value assessment.
Contract duration suggests potential for vendor lock-in or lack of market innovation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $46.6 million to CSRA INFORMATION SYSTEMS LLC. See the official description on USAspending.

Who is the contractor on this award?

The obligated recipient is CSRA INFORMATION SYSTEMS LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $46.6 million.

What is the period of performance?

Start: 1999-10-01. End: 2008-06-23.

What specific IT services were provided under this contract, and how did they align with DoD's mission objectives during the contract period?

The provided data does not specify the exact IT services rendered under this $46.6 million contract awarded to CSRA Information Systems LLC by the Department of Defense. However, given the contractor's profile and the agency (Defense Information Systems Agency - DISA), it is highly probable that the services encompassed a range of IT support functions. These could include network operations and maintenance, cybersecurity services, system administration, help desk support, software development or maintenance, and potentially infrastructure management. The contract's duration, from October 1, 1999, to June 23, 2008, spans a critical period of technological evolution and increasing reliance on digital systems within the DoD. Aligning with mission objectives would mean ensuring the availability, security, and functionality of IT systems that support military operations, intelligence gathering, logistics, and administrative functions. Without detailed statements of work or performance reports, a precise alignment cannot be confirmed, but the sustained award suggests a perceived alignment with DoD needs during that era.

How does the average annual cost of approximately $5.2 million compare to similar IT support contracts awarded by DoD or other federal agencies during that period?

To accurately benchmark the average annual cost of $5.2 million for this contract, a detailed comparison with similar IT support contracts awarded by the DoD or other federal agencies between 1999 and 2008 is necessary. Factors such as the scope of services (e.g., network management, cybersecurity, help desk, software development), the specific technologies involved, the geographic locations of service delivery, and the contract type (Time and Materials in this case) would need to be matched as closely as possible. Generally, IT support contracts for large federal agencies could range from a few million to tens or even hundreds of millions of dollars annually, depending on complexity. A Time and Materials contract, while flexible, can be more expensive than fixed-price contracts if not managed diligently. Without access to a comprehensive database of comparable contracts from that specific era, it's difficult to definitively state whether $5.2 million annually was high, low, or average. However, for a contract spanning nearly nine years with a major IT provider like CSRA (or its predecessors/affiliates), this figure suggests a significant but potentially reasonable level of investment for sustained IT support.

What were the potential risks associated with a Time and Materials contract of this duration, and how might they have been mitigated?

Time and Materials (T&M) contracts, like the one awarded to CSRA Information Systems LLC, carry inherent risks, primarily related to cost control. The main risk is cost overrun, as the contractor is reimbursed for direct labor hours at specified rates and for the cost of materials. If labor hours are not efficiently used or if material costs escalate unexpectedly, the total cost to the government can exceed initial estimates. For a contract lasting nearly nine years, this risk is amplified. Mitigation strategies typically employed by agencies include establishing strong contract management and oversight. This involves closely monitoring labor hours reported, verifying the necessity and reasonableness of those hours, scrutinizing material costs, and setting cost ceilings or not-to-exceed (NTE) clauses within the contract. Regular performance reviews, audits of contractor records, and clear communication channels between the contracting officer's representative (COR) and the contractor are crucial. Additionally, defining clear task orders with estimated effort levels can help manage expectations and control costs within the T&M framework.

Given the contract was competed fully and openly but only received two bids, what does this imply about the market for these specific IT services for the DoD?

The fact that this contract, competed fully and openly, received only two bids suggests a potentially concentrated market for the specific IT services required by the Department of Defense (DoD) during the period of 1999-2008. Several factors could contribute to this limited competition. Firstly, the specialized nature of DoD IT requirements might necessitate unique technical expertise, security clearances, or established relationships that only a few large companies possess. Secondly, the significant contract value and duration could act as a barrier to entry for smaller or newer companies. Large incumbent contractors often have an advantage due to their existing infrastructure, knowledge of the agency's environment, and established track records. Lastly, the bidding process itself might have had specific requirements that inadvertently limited the pool of eligible bidders. While full and open competition is the ideal, a low number of bids can sometimes indicate reduced price discovery and potentially less competitive pricing than might be achieved with a larger number of interested parties.

What is CSRA Information Systems LLC's track record with federal IT contracts, particularly with the Department of Defense, around the time this contract was active?

CSRA Information Systems LLC, and its predecessor/successor entities, has historically been a major player in the federal IT services market, with a significant focus on the Department of Defense (DoD). During the period this contract was active (1999-2008), CSRA (or companies that merged to form it, like Computer Sciences Corporation's North American public sector division, which later spun off to form CSRA) was known for providing a wide array of IT solutions to defense agencies. Their track record typically includes large-scale system integration, network support, cybersecurity, and enterprise IT services. While specific performance details for this particular $46.6 million contract are not provided, CSRA's continued presence and success in winning subsequent large DoD contracts suggest a generally positive or at least acceptable performance history. Federal IT contractors of this size often undergo scrutiny, and while major issues can lead to contract terminations or debriefings, sustained awards typically indicate satisfactory performance and alignment with agency needs. A deeper dive into contract performance reports or past performance evaluations would offer more granular insights.

Were there any notable Inspector General (IG) investigations or audits related to this specific contract or CSRA's performance with the DoD during that timeframe?

Information regarding specific Inspector General (IG) investigations or audits related to this particular $46.6 million contract awarded to CSRA Information Systems LLC by the Department of Defense between 1999 and 2008 is not readily available in the provided data summary. IG offices within federal agencies, including the DoD, conduct audits and investigations to ensure economy, efficiency, and effectiveness in government operations, and to prevent fraud, waste, and abuse. While large contracts and major contractors like CSRA are often subject to general oversight and potential audits, the absence of readily accessible public information about specific investigations concerning this contract does not necessarily mean none occurred. It could indicate that any audits or investigations were routine, did not result in significant findings, or that detailed reports are not publicly disseminated. To ascertain this definitively, one would need to consult the DoD Inspector General's public reports repository or conduct more in-depth research into contract-specific audit histories.

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Computer Sciences Corporation (UEI: 009581091)

Address: 15000 CONFERENCE CENTER D, CHANTILLY, VA, 90

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DCA20099D5011

IDV Type: IDC

Timeline