DoD's $20.75M Satellite Service Contract Awarded to Peraton Government Communications Inc
Contract Overview
Contract Amount: $20,750,112 ($20.8M)
Contractor: Peraton Government Communications Inc.
Awarding Agency: Department of Defense
Start Date: 2009-06-01
End Date: 2015-03-17
Contract Duration: 2,115 days
Daily Burn Rate: $9.8K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: SATELLITE SERVICE.
Place of Performance
Location: FAIRFAX, FAIRFAX County, VIRGINIA, 22031, UNITED STATES OF AMERICA
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $20.8 million to PERATON GOVERNMENT COMMUNICATIONS INC. for work described as: SATELLITE SERVICE. Key points: 1. Contract value of $20.75 million for satellite telecommunications. 2. Awarded under full and open competition after exclusion of sources. 3. Potential risk associated with a single award, though competition method is noted. 4. Spending falls within the IT and Defense sectors.
Value Assessment
Rating: fair
The contract value of $20.75 million for satellite telecommunications appears moderate for a multi-year defense contract. Benchmarking against similar satellite service contracts would be necessary for a precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition after exclusion of sources, indicating a competitive process. However, the specific exclusion criteria and its impact on price discovery warrant further investigation.
Taxpayer Impact: The competitive nature of the award suggests efforts to secure fair pricing for taxpayers, but the exclusion of sources may have limited the full competitive landscape.
Public Impact
Ensures critical satellite communication capabilities for the Department of Defense. Supports national security operations through reliable telecommunications. Potential for technological advancements in satellite services through competition.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition due to exclusion of sources.
- Potential for price escalation over the contract duration.
- Dependence on a single contractor for critical services.
Positive Signals
- Awarded through a competitive process.
- Firm fixed price contract type provides cost certainty.
- Long-term contract duration ensures service continuity.
Sector Analysis
This contract falls under the Information Technology and Defense sectors, specifically for satellite telecommunications. Spending benchmarks for similar satellite services within the DoD can vary significantly based on bandwidth, duration, and technology.
Small Business Impact
The data does not indicate any specific provisions or awards made to small businesses under this contract. Further analysis would be needed to determine if small businesses were involved as subcontractors or if opportunities were missed.
Oversight & Accountability
The contract was awarded by the Defense Information Systems Agency (DISA), a component of the Department of Defense, suggesting established oversight mechanisms. However, the 'exclusion of sources' clause requires scrutiny to ensure accountability.
Related Government Programs
- Satellite Telecommunications
- Department of Defense Contracting
- Defense Information Systems Agency Programs
Risk Flags
- Potential for limited competition due to source exclusion.
- Long contract duration may limit flexibility for technological upgrades.
- Dependence on a single contractor for critical infrastructure.
- Lack of transparency regarding specific performance metrics.
Tags
satellite-telecommunications, department-of-defense, va, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $20.8 million to PERATON GOVERNMENT COMMUNICATIONS INC.. SATELLITE SERVICE.
Who is the contractor on this award?
The obligated recipient is PERATON GOVERNMENT COMMUNICATIONS 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 $20.8 million.
What is the period of performance?
Start: 2009-06-01. End: 2015-03-17.
What was the rationale behind excluding certain sources from the competition, and did this exclusion impact the final price?
The rationale for excluding sources needs detailed examination. If specific technologies or capabilities were required, exclusion might be justified. However, if it narrowed the competitive field unnecessarily, it could have led to a higher price than achievable in a truly open market. Understanding the justification is key to assessing value for money.
What are the specific risks associated with relying on a single vendor for satellite telecommunications over a 6-year period?
Risks include vendor lock-in, potential for service disruptions if the vendor faces financial or operational issues, and limited leverage for negotiating future services or upgrades. Dependence on one provider can also stifle innovation if alternative solutions are not explored. Contingency planning and robust performance monitoring are crucial.
How does the performance of this satellite service compare to industry standards and alternative telecommunication solutions?
Performance comparison requires access to service level agreements (SLAs), uptime reports, and bandwidth metrics. Evaluating against industry benchmarks and emerging technologies like LEO constellations or terrestrial alternatives is essential. Without this data, it's difficult to definitively assess effectiveness and value beyond the contract terms.
Industry Classification
NAICS: Information › Satellite Telecommunications › Satellite Telecommunications
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Contractor Details
Parent Company: L3harris Technologies, Inc (UEI: 004203337)
Address: 2235 MONROE ST STE 500, HERNDON, VA, 20171
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $20,750,112
Exercised Options: $20,750,112
Current Obligation: $20,750,112
Contract Characteristics
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: DCA20001D5004
IDV Type: IDC
Timeline
Start Date: 2009-06-01
Current End Date: 2015-03-17
Potential End Date: 2015-03-17 00:00:00
Last Modified: 2016-12-12
More Contracts from Peraton Government Communications Inc.
- IT Support for the Delta Program to Include Developers, Help Desk Technicians, Infrastructure Support, Database Administration, and Agile Operations. This IS Part of a Requirement That Will BE Competed on IT Triple S — $92.6M (Department of Justice)
- Dark Fiber O&M — $54.8M (Department of Defense)
- Satellite Services — $49.1M (Department of Defense)
- 108 MHZ Ku-Bandwidth — $44.9M (Department of Defense)
- 116 MHZ KU Bandwidth — $43.3M (Department of Defense)
View all Peraton Government Communications Inc. federal contracts →
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)