DoD's $31M Thick Client Seat Contract with CACI NSS Raises Questions on Value and Competition
Contract Overview
Contract Amount: $31,180,756 ($31.2M)
Contractor: CACI NSS, LLC
Awarding Agency: Department of Defense
Start Date: 2016-04-01
End Date: 2017-03-31
Contract Duration: 364 days
Daily Burn Rate: $85.7K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: ''IGF::CT::IGF'' THICK CLIENT SEAT - BRONZE SERVICE
Place of Performance
Location: TAMPA, HILLSBOROUGH County, FLORIDA, 33621
State: Florida Government Spending
Plain-Language Summary
Department of Defense obligated $31.2 million to CACI NSS, LLC for work described as: ''IGF::CT::IGF'' THICK CLIENT SEAT - BRONZE SERVICE Key points: 1. The contract awarded to CACI NSS, LLC for 'THICK CLIENT SEAT - BRONZE SERVICE' represents a significant expenditure of $31.18 million. 2. While awarded under 'FULL AND OPEN COMPETITION', the specific nature of 'BRONZE SERVICE' warrants further examination for potential overpricing. 3. The contract's duration of 364 days and firm fixed price structure suggest a defined scope, but the benchmark for 'BRONZE SERVICE' is unclear. 4. The lack of small business participation is noted, despite the contract's size and the sector it falls under (IT Services).
Value Assessment
Rating: questionable
The contract's value of $31.18 million for 'THICK CLIENT SEAT - BRONZE SERVICE' appears high without clear justification. Benchmarking against similar IT support contracts is difficult due to the specialized service description.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, which is a positive indicator for price discovery. However, the specific service description might have limited the pool of truly competitive bids.
Taxpayer Impact: Taxpayer funds are being utilized for this contract. The value proposition needs to be clearly demonstrated to ensure efficient use of these funds.
Public Impact
Military personnel rely on these 'thick client seats' for operational effectiveness, making service continuity crucial. The IT services sector is highly competitive, and this contract's pricing should reflect market rates for comparable services. Transparency in service definitions and pricing is essential for public trust in government spending.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of clear service definition for 'BRONZE SERVICE'
- Potential for overpricing given the service description
- No small business participation
Positive Signals
- Awarded under full and open competition
- Firm fixed price contract type
Sector Analysis
This contract falls within the Information Technology (IT) sector, specifically IT services. Spending in this area is substantial across government agencies, with benchmarks varying widely based on service complexity and duration.
Small Business Impact
The contract did not involve small businesses, as indicated by 'sb': false. This is a missed opportunity for small business engagement, especially in the IT services sector where many small businesses operate.
Oversight & Accountability
Oversight is crucial to ensure that the 'BRONZE SERVICE' delivered meets the defined requirements and that the pricing remains competitive throughout the contract's life. The Department of Defense and U.S. Special Operations Command are responsible for this oversight.
Related Government Programs
- Other Computer Related Services
- Department of Defense Contracting
- U.S. Special Operations Command Programs
Risk Flags
- Vague service description ('BRONZE SERVICE')
- Potentially high cost for defined service level
- Lack of small business participation
- Limited transparency in pricing justification
Tags
other-computer-related-services, department-of-defense, fl, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $31.2 million to CACI NSS, LLC. ''IGF::CT::IGF'' THICK CLIENT SEAT - BRONZE SERVICE
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 $31.2 million.
What is the period of performance?
Start: 2016-04-01. End: 2017-03-31.
What specific services constitute 'BRONZE SERVICE' for thick client seats, and how does this definition justify the $31.18 million cost?
The term 'BRONZE SERVICE' is not a standard industry term and lacks a clear, universally understood definition. Without detailed specifications from the contract documents, it's impossible to ascertain the exact services provided. This ambiguity makes it difficult to assess if the $31.18 million expenditure represents fair value for money. Further clarification from the contracting agency is needed to understand the scope and deliverables associated with this service tier.
Given the 'FULL AND OPEN COMPETITION' award, what factors might have limited the number or competitiveness of bids for this contract?
While the contract was advertised as 'FULL AND OPEN COMPETITION,' the specialized nature of 'THICK CLIENT SEAT - BRONZE SERVICE' might have deterred some potential bidders. If the technical requirements or service level agreements were highly specific or proprietary, only a limited number of companies with particular expertise or existing relationships might have been able to effectively compete. This could lead to less aggressive pricing than a broader, less specialized IT service contract.
How does the $31.18 million expenditure for one year of 'BRONZE SERVICE' compare to industry benchmarks for similar IT support contracts, and what is the potential taxpayer impact?
Directly comparing this $31.18 million expenditure for one year of 'BRONZE SERVICE' to industry benchmarks is challenging due to the vague service description. However, for a single year of IT support, this amount appears substantial. If the services provided are standard IT maintenance and support, taxpayers could be overpaying. The potential taxpayer impact is significant, as inefficient spending on IT services can divert funds from other critical government functions or necessitate higher tax revenues.
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: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: H9222210R0034
Pricing Type: FIRM FIXED PRICE (J)
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: $31,449,012
Exercised Options: $31,449,012
Current Obligation: $31,180,756
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: H9222211D0008
IDV Type: IDC
Timeline
Start Date: 2016-04-01
Current End Date: 2017-03-31
Potential End Date: 2017-03-31 00:00:00
Last Modified: 2021-04-12
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