Interior's $10.9M cloud platform contract awarded to Science Applications International Corp

Contract Overview

Contract Amount: $10,903,027 ($10.9M)

Contractor: Science Applications International Corp

Awarding Agency: Department of the Interior

Start Date: 2021-02-16

End Date: 2025-10-30

Contract Duration: 1,717 days

Daily Burn Rate: $6.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: OFFICE OF WILDLAND FIRE (OWF) WILDLAND FIRE PROGRAM UNIFIED CLOUD AND SECURITY CONTRACT PLATFORM AS A SERVICE (PAAS)

Place of Performance

Location: RESTON, FAIRFAX County, VIRGINIA, 20190

State: Virginia Government Spending

Plain-Language Summary

Department of the Interior obligated $10.9 million to SCIENCE APPLICATIONS INTERNATIONAL CORP for work described as: OFFICE OF WILDLAND FIRE (OWF) WILDLAND FIRE PROGRAM UNIFIED CLOUD AND SECURITY CONTRACT PLATFORM AS A SERVICE (PAAS) Key points: 1. Contract provides cloud and security services for the Wildland Fire Program. 2. Awarded via full and open competition, suggesting a competitive bidding process. 3. The contract duration extends to October 2025, indicating a medium-term commitment. 4. The use of Time and Materials pricing may pose cost control risks if not managed closely. 5. The contract is a delivery order under a larger indefinite-delivery/indefinite-quantity (IDIQ) vehicle. 6. The North American Industry Classification System (NAICS) code 541519 points to IT services.

Value Assessment

Rating: fair

Benchmarking the value of this specific $10.9 million contract is challenging without more detailed cost breakdowns and comparisons to similar cloud PaaS contracts. The Time and Materials (T&M) pricing structure, while common, can lead to cost overruns if not meticulously managed and monitored. The number of bids received (5) suggests some level of competition, but the ultimate value for money depends heavily on the efficiency and effectiveness of the services delivered by Science Applications International Corp. compared to market alternatives.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a full and open competition, indicating that all responsible sources were permitted to submit bids. Five bids were received, suggesting a moderate level of competition for this specific delivery order. While full and open competition is generally preferred for maximizing price discovery and ensuring fair market value, the actual competitive pressure is influenced by the number and quality of bidders, as well as the specific requirements of the task order.

Taxpayer Impact: A full and open competition generally benefits taxpayers by fostering a competitive environment that can drive down prices and improve service quality, ensuring the government receives the best possible value.

Public Impact

The Wildland Fire Program benefits from enhanced cloud and security infrastructure. Improved IT capabilities support critical operations for combating wildfires. The contract indirectly supports the workforce involved in wildland fire management. Geographic impact is nationwide, supporting federal wildland fire response efforts.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials pricing can lead to unpredictable costs if not closely managed.
Limited visibility into specific performance metrics without further data.
Dependence on a single contractor for critical cloud and security services.

Positive Signals

Awarded through full and open competition, indicating a robust bidding process.
Contract supports a critical national program (Wildland Fire).
Long-term contract duration provides stability for service delivery.

Sector Analysis

This contract falls within the Information Technology (IT) sector, specifically cloud computing and cybersecurity services. The market for cloud Platform as a Service (PaaS) is highly competitive and growing rapidly, with significant government spending allocated to cloud migration and modernization. Comparable spending benchmarks for similar PaaS contracts vary widely based on scope, service level agreements, and provider, but government-wide cloud spending is in the tens of billions annually.

Small Business Impact

There is no indication that this contract included a small business set-aside. As a delivery order under a potentially larger IDIQ contract, subcontracting opportunities for small businesses may exist, but this would depend on the prime contractor's subcontracting plan and the specific nature of the work. The impact on the small business ecosystem is likely minimal unless specific subcontracting goals are mandated and met.

Oversight & Accountability

Oversight for this contract would typically reside with the contracting officer and the program office within the Department of the Interior's Office of Wildland Fire. Accountability measures are usually defined in the contract's statement of work and performance standards. Transparency is enhanced by the public nature of contract awards, but detailed operational oversight and performance reviews are internal government functions. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Wildland Fire Management Programs
Federal Cloud Computing Strategy
Cybersecurity Services Contracts
Department of the Interior IT Modernization

Risk Flags

Potential for cost overruns due to Time and Materials pricing.
Dependence on contractor performance for critical infrastructure.
Need for robust government oversight to manage T&M costs.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $10.9 million to SCIENCE APPLICATIONS INTERNATIONAL CORP. OFFICE OF WILDLAND FIRE (OWF) WILDLAND FIRE PROGRAM UNIFIED CLOUD AND SECURITY CONTRACT PLATFORM AS A SERVICE (PAAS)

Who is the contractor on this award?

The obligated recipient is SCIENCE APPLICATIONS INTERNATIONAL CORP.

Which agency awarded this contract?

Awarding agency: Department of the Interior (Departmental Offices).

What is the total obligated amount?

The obligated amount is $10.9 million.

What is the period of performance?

Start: 2021-02-16. End: 2025-10-30.

What is the track record of Science Applications International Corp. (SAIC) with Department of the Interior contracts, particularly in cloud and security services?

Science Applications International Corp. (SAIC) has a significant history of contracting with various federal agencies, including the Department of the Interior (DOI). Their portfolio often includes IT services, cloud solutions, and cybersecurity. For DOI, SAIC has been involved in numerous contracts supporting diverse programs. Specific to cloud and security, SAIC's experience generally aligns with the requirements of this contract, having provided similar services to other agencies. A detailed review of their past performance on DOI contracts, including any past performance evaluations or disputes, would provide a clearer picture of their reliability and capability for this specific Wildland Fire Program Unified Cloud and Security Contract.

How does the pricing structure (Time and Materials) compare to fixed-price options for similar cloud PaaS contracts, and what are the associated risks?

Time and Materials (T&M) contracts are often used when the scope of work is not clearly defined or is expected to evolve, offering flexibility. However, they carry inherent risks for the government, primarily cost uncertainty. Unlike fixed-price contracts, where the contractor assumes more risk for cost overruns, T&M contracts shift a significant portion of that risk to the government. For cloud PaaS, a fixed-price model might be more suitable if service levels and resource utilization can be accurately predicted. The risk with T&M is that without stringent oversight, labor hours and material costs can escalate beyond initial estimates, potentially leading to a higher overall cost than a well-defined fixed-price contract. This necessitates robust monitoring of hours, rates, and materials by the government.

What are the key performance indicators (KPIs) used to measure the success of this cloud and security platform contract?

Key Performance Indicators (KPIs) for a cloud and security Platform as a Service (PaaS) contract typically focus on service availability, performance, security, and responsiveness. For the Wildland Fire Program, critical KPIs might include uptime percentages for cloud services (e.g., 99.9% availability), data security compliance metrics (e.g., adherence to NIST standards), incident response times for security threats, system performance benchmarks (e.g., latency, throughput), and user satisfaction ratings. The specific KPIs would be detailed in the contract's Performance Work Statement (PWS) or Statement of Objectives (SOO) and would be used by the government to assess contractor performance and ensure the platform effectively supports the program's mission.

What is the historical spending trend for cloud and security services within the Office of Wildland Fire (OWF) or the Department of the Interior?

Analyzing historical spending trends for cloud and security services within the Office of Wildland Fire (OWF) or the broader Department of the Interior (DOI) is crucial for context. While specific data for OWF's cloud spending isn't provided here, federal agencies, including DOI, have been increasingly migrating IT infrastructure to the cloud to enhance efficiency, scalability, and security. This trend is supported by government-wide initiatives like the Federal Cloud Computing Strategy. Spending in this area has generally been on an upward trajectory across the government. Understanding past investments in similar services would help determine if the current $10.9 million award represents an increase, a decrease, or a stable level of investment for these critical functions.

How does the number of bidders (5) in this full and open competition compare to typical competition levels for similar IT service contracts within the federal government?

Receiving five bids for a full and open competition IT service contract is generally considered a healthy level of competition within the federal government. While some large, high-profile, or broadly defined contracts might attract dozens of bidders, five represents a solid number that suggests sufficient market interest and capability. It indicates that the solicitation was likely well-structured and accessible. A lower number of bids (e.g., one or two) could raise concerns about market readiness, contract complexity, or potential barriers to entry. Conversely, an excessively high number might indicate a poorly defined scope or an overly broad solicitation, potentially leading to less focused proposals. Therefore, five bidders suggest a reasonable balance, likely enabling effective price discovery and selection.

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 › IT AND TELECOM - APLLICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 140D0421Q0007

Offers Received: 5

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Science Applications International Corporation

Address: 11720 PLAZA AMERICA DR, 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: $10,963,802

Exercised Options: $10,903,027

Current Obligation: $10,903,027

Actual Outlays: $10,902,527

Subaward Activity

Number of Subawards: 25

Total Subaward Amount: $4,229,151

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: IND13PC00025

IDV Type: IDC

Timeline