NOAA awards $32.2M cloud services task order to Science Applications International Corporation
Contract Overview
Contract Amount: $32,230,425 ($32.2M)
Contractor: Science Applications International Corporation
Awarding Agency: Department of Commerce
Start Date: 2025-07-01
End Date: 2026-06-30
Contract Duration: 364 days
Daily Burn Rate: $88.5K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: TIME AND MATERIALS
Sector: IT
Official Description: NESDIS ENTERPRISE CLOUD SERVICES TASK ORDER
Place of Performance
Location: SILVER SPRING, MONTGOMERY County, MARYLAND, 20910
State: Maryland Government Spending
Plain-Language Summary
Department of Commerce obligated $32.2 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION for work described as: NESDIS ENTERPRISE CLOUD SERVICES TASK ORDER Key points: 1. Value for money assessed through competitive bidding process. 2. Competition dynamics indicate a robust market for cloud services. 3. Risk indicators appear manageable given the contract type and duration. 4. Performance context is within custom computer programming services. 5. Sector positioning is within the IT services supporting scientific data management.
Value Assessment
Rating: good
The contract value of $32.2 million over one year appears reasonable for enterprise cloud services. Benchmarking against similar NOAA or other federal agency cloud service contracts would provide a more precise value-for-money assessment. The Time and Materials pricing structure, while common, requires careful monitoring to ensure cost control and prevent scope creep. Without specific performance metrics or detailed cost breakdowns, a definitive value assessment is challenging, but the competitive award suggests a fair market price was likely achieved.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This task order was awarded under a full and open competition, indicating that multiple vendors had the opportunity to bid. The specific number of bidders is not provided, but the 'full and open' designation suggests a competitive environment. This approach is generally favorable for price discovery and ensures that the government can select the most capable and cost-effective solution from a wide pool of potential providers.
Taxpayer Impact: A full and open competition maximizes taxpayer value by fostering a competitive environment that drives down prices and encourages innovation among contractors.
Public Impact
Benefits the National Oceanic and Atmospheric Administration (NOAA) by providing essential cloud infrastructure. Delivers custom computer programming services to support NOAA's mission. Geographic impact is primarily within the operational scope of NOAA, likely supporting data processing and analysis nationwide. Workforce implications may involve IT professionals skilled in cloud technologies and custom software development.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns with Time and Materials pricing if not closely managed.
- Dependence on a single contractor for critical cloud infrastructure.
- Ensuring data security and compliance within the cloud environment.
Positive Signals
- Awarded through full and open competition, suggesting competitive pricing.
- Contract duration of one year allows for periodic reassessment of needs and performance.
- Focus on custom programming services indicates tailored solutions for NOAA's specific requirements.
Sector Analysis
This contract falls within the Information Technology (IT) sector, specifically focusing on cloud computing and custom software development services. The federal IT services market is substantial, with significant spending allocated to cloud migration, data management, and application development. NOAA's requirement for enterprise cloud services is consistent with broader government trends towards modernizing IT infrastructure to enhance data accessibility and analytical capabilities for scientific research and operational support.
Small Business Impact
The contract was awarded under full and open competition and does not indicate any specific small business set-aside. While the prime contractor, Science Applications International Corporation, is a large business, there may be opportunities for small businesses to participate as subcontractors. The extent of small business subcontracting will depend on SAIC's strategy and the specific technical requirements of the task order.
Oversight & Accountability
Oversight for this task order will likely be managed by NOAA's contracting officers and program managers. The Time and Materials (T&M) contract type necessitates diligent oversight to monitor labor hours, material costs, and adherence to the scope of work. Transparency is expected through regular reporting requirements stipulated in the contract. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.
Related Government Programs
- NESDIS Enterprise Cloud Services
- NOAA IT Modernization Efforts
- Federal Cloud Computing Strategy
- Custom Computer Programming Services Contracts
Risk Flags
- Potential for cost overruns due to T&M pricing structure.
- Ensuring adequate data security and compliance in a cloud environment.
- Contract performance monitoring and management.
Tags
it, cloud-computing, custom-computer-programming-services, department-of-commerce, noaa, science-applications-international-corporation, full-and-open-competition, time-and-materials, enterprise-it, data-management, scientific-research, maryland
Frequently Asked Questions
What is this federal contract paying for?
Department of Commerce awarded $32.2 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION. NESDIS ENTERPRISE CLOUD SERVICES TASK ORDER
Who is the contractor on this award?
The obligated recipient is SCIENCE APPLICATIONS INTERNATIONAL CORPORATION.
Which agency awarded this contract?
Awarding agency: Department of Commerce (National Oceanic and Atmospheric Administration).
What is the total obligated amount?
The obligated amount is $32.2 million.
What is the period of performance?
Start: 2025-07-01. End: 2026-06-30.
What is the track record of Science Applications International Corporation (SAIC) in delivering similar cloud services to federal agencies?
Science Applications International Corporation (SAIC) has a significant track record in providing IT services, including cloud solutions, to various federal agencies. They have been involved in large-scale IT modernization projects, cybersecurity, and data management initiatives. For NOAA specifically, SAIC has previously supported various scientific and operational programs. Their experience with complex IT environments and adherence to federal regulations positions them as a capable provider for this enterprise cloud services task order. A detailed review of their past performance on similar contracts, including client satisfaction and adherence to schedule and budget, would offer further insight into their reliability for this specific award.
How does the awarded amount of $32.2 million compare to typical federal spending on enterprise cloud services for scientific agencies?
The $32.2 million awarded to SAIC for one year of enterprise cloud services is a substantial but not unusual figure for a federal agency like NOAA, which manages vast amounts of data and requires robust IT infrastructure. Federal spending on cloud services has been steadily increasing, with agencies investing heavily in migrating applications and data to cloud environments for scalability, cost-efficiency, and enhanced capabilities. For scientific agencies, the need for high-performance computing, large-scale data storage, and advanced analytics often drives higher IT expenditures. Compared to other large federal IT contracts, this amount is within the expected range for comprehensive enterprise cloud solutions supporting critical mission functions.
What are the primary risks associated with a Time and Materials (T&M) contract for cloud services, and how are they mitigated?
The primary risk with a Time and Materials (T&M) contract for cloud services is the potential for cost overruns if not managed diligently. Since payment is based on direct labor hours and actual material costs, there's a risk of scope creep or inefficient resource utilization. Mitigation strategies employed by agencies typically include establishing a ceiling price for the contract, requiring detailed timesheets and cost reporting, implementing strict change control processes, and conducting regular performance reviews. For NOAA, close monitoring of SAIC's resource allocation and project progress will be crucial to ensure the $32.2 million ceiling is not exceeded without justification and that the services delivered align with the defined objectives.
How does this contract contribute to NOAA's overall mission objectives related to data management and scientific research?
This contract is critical for NOAA's mission by providing the underlying cloud infrastructure necessary for managing and processing its vast datasets and supporting advanced scientific research. Enterprise cloud services enable NOAA to scale its computing resources dynamically, store and access large volumes of environmental data (e.g., weather, climate, oceanographic), and run complex analytical models. This directly supports NOAA's goals in areas such as weather forecasting, climate monitoring, and environmental stewardship. By leveraging modern cloud technologies, NOAA can enhance the speed and accuracy of its scientific outputs, improve data sharing, and ultimately better serve its stakeholders and the public with timely and relevant environmental information.
What are the historical spending patterns for NOAA's cloud services or related IT infrastructure procurements?
Historical spending patterns for NOAA's cloud services and IT infrastructure indicate a growing trend towards cloud adoption, mirroring broader federal initiatives. While specific figures for 'enterprise cloud services' may vary year to year based on project cycles and modernization priorities, NOAA has consistently invested in IT to support its data-intensive operations. Previous procurements likely included contracts for data storage, high-performance computing, network infrastructure, and custom software development, many of which are now being consolidated or migrated to cloud-based solutions. The $32.2 million for this task order represents a significant, focused investment in consolidating and modernizing these capabilities within a cloud environment, suggesting a strategic shift towards more agile and scalable IT solutions.
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 › IT AND TELECOM - DATA CENTER
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: 1305M425Q0057
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Address: 12010, SUNSET HILLS ROAD, 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: $144,078,713
Exercised Options: $32,230,491
Current Obligation: $32,230,425
Actual Outlays: $13,048,085
Subaward Activity
Number of Subawards: 2
Total Subaward Amount: $29,955,237
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: 1305L419ANAAJ0008
IDV Type: BPA
Timeline
Start Date: 2025-07-01
Current End Date: 2026-06-30
Potential End Date: 2029-06-30 00:00:00
Last Modified: 2025-09-19
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