DoD's $1.6B Custom Computer Programming Contract Awarded to Computer Sciences Corporation
Contract Overview
Contract Amount: $16,052,086 ($16.1M)
Contractor: Computer Sciences Corporation
Awarding Agency: Department of Defense
Start Date: 2003-12-18
End Date: 2007-12-14
Contract Duration: 1,457 days
Daily Burn Rate: $11.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: IT
Place of Performance
Location: EATONTOWN, MONMOUTH County, NEW JERSEY, 07724
Plain-Language Summary
Department of Defense obligated $16.1 million to COMPUTER SCIENCES CORPORATION for work described as: Key points: 1. The contract, valued at $1.6 billion, was awarded by the Department of the Army. 2. It falls under the Custom Computer Programming Services NAICS code 541511. 3. The contract was awarded under full and open competition, suggesting a competitive bidding process. 4. The duration of the contract was 1457 days, spanning from 2003 to 2007.
Value Assessment
Rating: fair
The contract value of $1.6 billion over approximately 4 years is substantial. Without specific per-unit cost data or benchmarks for similar custom programming services during that period, a precise value assessment is difficult. However, the large scale suggests significant investment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and allows the government to select the best value offering.
Taxpayer Impact: The competitive nature of the award is positive for taxpayers, as it likely resulted in a more favorable price than a sole-source or limited competition contract.
Public Impact
Significant taxpayer investment in custom computer programming services for the Army. Potential for advanced technological capabilities developed through this contract. Impact on the IT services sector, particularly for large government contractors. The duration suggests a long-term need for these specific programming services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific performance metrics or outcomes.
- Potential for cost overruns in large, long-term IT projects.
- Limited visibility into the specific services provided under 'Custom Computer Programming'.
Positive Signals
- Awarded under full and open competition.
- Firm Fixed Price contract type can help control costs.
- Long contract duration may indicate sustained need and successful delivery.
Sector Analysis
This contract falls within the Information Technology sector, specifically custom software development. Spending in this area is crucial for government modernization and operational efficiency. Benchmarks for custom programming services vary widely based on complexity and scope.
Small Business Impact
The contract was not awarded to small businesses, as indicated by 'sb': false. This suggests the scope and value of the contract were likely beyond the capabilities or typical engagement models for small businesses in this sector.
Oversight & Accountability
The 'aw': 'DO' designation might indicate a specific type of award or oversight mechanism within the Department of the Army. Further details on the oversight processes for this contract would be needed for a comprehensive assessment.
Related Government Programs
- Custom Computer Programming Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Large contract value ($1.6B) increases financial risk.
- Long contract duration (1457 days) raises concerns about adaptability to changing needs.
- Lack of specific details on services provided limits assessment of necessity.
- No indication of small business participation.
Tags
custom-computer-programming-services, department-of-defense, nj, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $16.1 million to COMPUTER SCIENCES CORPORATION. See the official description on USAspending.
Who is the contractor on this award?
The obligated recipient is COMPUTER SCIENCES CORPORATION.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $16.1 million.
What is the period of performance?
Start: 2003-12-18. End: 2007-12-14.
What was the specific nature of the custom computer programming services provided, and how did they contribute to the Army's mission?
The data indicates the contract was for 'Custom Computer Programming Services' under NAICS code 541511. While the exact nature of the services isn't detailed, it likely involved developing, customizing, or maintaining software solutions tailored to the Army's unique operational requirements. These services are critical for modernizing systems, enhancing data management, and supporting command and control capabilities, ultimately contributing to the Army's overall effectiveness and readiness.
Given the $1.6 billion value and firm-fixed-price structure, what were the primary risks associated with this contract for the government?
Despite the firm-fixed-price structure, risks for the government included potential scope creep if requirements were not clearly defined, vendor lock-in due to the specialized nature of custom programming, and the possibility that the fixed price might not reflect the true market value if competition was less robust than perceived. There was also a risk of vendor performance issues or the contractor's financial instability impacting delivery over the four-year period.
How effective was the full and open competition in ensuring value for money for this substantial IT contract?
Full and open competition is generally effective in driving value for money by fostering a competitive environment. However, the ultimate effectiveness depends on the clarity of the solicitation, the evaluation criteria, and the number and quality of bids received. For a contract of this magnitude and duration, ensuring that the competition truly incentivized innovation and cost-efficiency throughout the project lifecycle is key to maximizing taxpayer value.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Custom Computer Programming Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SIMPLIFIED ACQUISITION
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Contractor Details
Address: 442 HIGHWAY 35 S, EATONTOWN, NJ, 04
Business Categories: Category Business, Not Designated a Small Business
Contract Characteristics
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: DAAB0797AY002
IDV Type: IDC
Timeline
Start Date: 2003-12-18
Current End Date: 2007-12-14
Potential End Date: 2007-12-14 00:00:00
Last Modified: 2009-06-07
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