DoD's $122M DISN Video Services Contract Awarded to Amentum Services, Inc. Faces Scrutiny

Contract Overview

Contract Amount: $122,197,972 ($122.2M)

Contractor: Amentum Services, Inc.

Awarding Agency: Department of Defense

Start Date: 2008-10-01

End Date: 2014-04-30

Contract Duration: 2,037 days

Daily Burn Rate: $60.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 6

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: DISN VIDEO SERVICES/VIDEO OPERATIONS CENTER - PMO SUPPORT

Place of Performance

Location: FORT GEORGE G MEADE, ANNE ARUNDEL County, MARYLAND, 20755

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $122.2 million to AMENTUM SERVICES, INC. for work described as: DISN VIDEO SERVICES/VIDEO OPERATIONS CENTER - PMO SUPPORT Key points: 1. Significant contract value of $122.2 million over 6 years. 2. Amentum Services, Inc. holds the contract, with limited information on competitors. 3. Potential risks include cost overruns and lack of robust competition. 4. The contract falls within the IT and Telecommunications sector.

Value Assessment

Rating: questionable

The contract's Time and Materials pricing structure, coupled with a significant value, raises concerns about cost control and potential overruns. Benchmarking against similar IT support contracts is difficult without more granular cost data.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' suggesting a limited initial competition. This method may not have yielded the most competitive pricing or explored all potential vendors.

Taxpayer Impact: The pricing structure and limited competition raise questions about whether taxpayers received the best value for the $122.2 million spent on video operations support.

Public Impact

Ensures critical video communication infrastructure for the Department of Defense. Supports military operations and personnel by maintaining essential video services. Potential for taxpayer funds to be used inefficiently due to contract type.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract for DISN Video Services falls under the IT and Wired Telecommunications Carriers sector. Spending in this area is crucial for maintaining secure and reliable communication networks for government agencies, with benchmarks varying widely based on service complexity and duration.

Small Business Impact

There is no indication of small business participation in this contract, suggesting a focus on larger prime contractors. Further analysis would be needed to determine if subcontracting opportunities were explored or utilized.

Oversight & Accountability

The contract's duration and value warrant robust oversight to ensure performance standards are met and costs remain controlled. The 'exclusion of sources' clause necessitates careful review to confirm fair competition was indeed pursued.

Related Government Programs

Risk Flags

Tags

wired-telecommunications-carriers, department-of-defense, md, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $122.2 million to AMENTUM SERVICES, INC.. DISN VIDEO SERVICES/VIDEO OPERATIONS CENTER - PMO SUPPORT

Who is the contractor on this award?

The obligated recipient is AMENTUM SERVICES, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $122.2 million.

What is the period of performance?

Start: 2008-10-01. End: 2014-04-30.

What was the justification for excluding other potential sources during the initial competition phase?

The justification for excluding other sources is not detailed in the provided data. Typically, such exclusions are based on specific technical requirements, existing infrastructure compatibility, or prior performance. A thorough review would examine the documented rationale to ensure it was valid and did not unduly restrict competition.

How does the Time and Materials pricing compare to fixed-price contracts for similar services in terms of cost-effectiveness?

Time and Materials (T&M) contracts generally carry higher risk for the government compared to fixed-price contracts, as costs can escalate if not managed closely. While T&M offers flexibility, it often results in higher overall spending due to the lack of a predetermined ceiling, making it less cost-effective if scope creep or inefficiencies occur.

What performance metrics are in place to ensure the effectiveness of the video operations support?

The provided data does not specify the performance metrics used to evaluate the effectiveness of the DISN Video Services. Effective oversight would require clearly defined Service Level Agreements (SLAs), key performance indicators (KPIs) related to uptime, response times, and service quality, and regular performance reviews.

Industry Classification

NAICS: InformationWired and Wireless Telecommunications (except Satellite)Wired Telecommunications Carriers

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONSADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 6

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 20501 SENECA MEADOWS PKWY STE 300, GERMANTOWN, MD, 20876

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

Financial Breakdown

Contract Ceiling: $122,197,972

Exercised Options: $122,197,972

Current Obligation: $122,197,972

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DCA20002D5000

IDV Type: IDC

Timeline

Start Date: 2008-10-01

Current End Date: 2014-04-30

Potential End Date: 2014-07-31 00:00:00

Last Modified: 2024-05-10

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