GSA awards $42.9M Computer Systems Design Services contract to CGI Federal Inc

Contract Overview

Contract Amount: $42,929,079 ($42.9M)

Contractor: CGI Federal Inc.

Awarding Agency: General Services Administration

Start Date: 2018-06-20

End Date: 2019-06-19

Contract Duration: 364 days

Daily Burn Rate: $117.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: COST PLUS AWARD FEE

Sector: IT

Official Description: IGF::OT::IGF DEFEND C AWARD

Place of Performance

Location: MCLEAN, FAIRFAX County, VIRGINIA, 22102

State: Virginia Government Spending

Plain-Language Summary

General Services Administration obligated $42.9 million to CGI FEDERAL INC. for work described as: IGF::OT::IGF DEFEND C AWARD Key points: 1. Contract awarded under full and open competition, indicating broad market access. 2. CGI Federal Inc. is a significant player in the IT services sector. 3. The contract's Cost Plus Award Fee structure may incentivize performance but requires careful oversight. 4. The Virginia location suggests potential alignment with federal IT hubs.

Value Assessment

Rating: fair

The Cost Plus Award Fee (CPAF) structure can lead to costs exceeding initial estimates if not managed tightly. Benchmarking against similar CPAF contracts for IT services is crucial to assess if the final award fee aligns with performance and value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust price discovery process. This method typically yields competitive pricing by allowing all eligible vendors to bid.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that drives down costs and improves service quality.

Public Impact

Ensures continued IT support services for federal agencies. Supports a major IT contractor, impacting the broader federal IT ecosystem. Potential for innovation and efficiency gains through the award fee structure.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Computer Systems Design Services sector, a critical area for federal IT infrastructure. Spending in this sector is substantial, and benchmarks vary widely based on service complexity and duration.

Small Business Impact

While this contract was awarded to a large prime contractor, opportunities for small businesses may exist through subcontracting. Analysis of subcontracting plans would be necessary to determine the extent of small business participation.

Oversight & Accountability

The Cost Plus Award Fee structure necessitates strong oversight from the GSA to ensure performance targets are met and costs remain reasonable. Regular performance reviews and audits are essential for accountability.

Related Government Programs

Risk Flags

Tags

computer-systems-design-services, general-services-administration, va, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $42.9 million to CGI FEDERAL INC.. IGF::OT::IGF DEFEND C AWARD

Who is the contractor on this award?

The obligated recipient is CGI FEDERAL INC..

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $42.9 million.

What is the period of performance?

Start: 2018-06-20. End: 2019-06-19.

What specific IT systems or services are covered under this contract, and how do they align with agency mission needs?

The contract is for Computer Systems Design Services (NAICS 541512). This broad category typically encompasses a range of activities including IT consulting, systems integration, and custom software development. Understanding the specific deliverables and their criticality to the agency's mission is key to assessing the contract's true value beyond its dollar amount.

How effectively was the award fee structure utilized to drive performance and ensure cost-effectiveness for the government?

The effectiveness of the award fee structure hinges on clearly defined performance metrics and objective evaluation criteria. Without insight into the awarded fees and the justification, it's difficult to assess if the government received optimal value or if the contractor was adequately incentivized to control costs while delivering high-quality services.

What is the historical performance record of CGI Federal Inc. on similar government contracts, particularly those with CPAF terms?

CGI Federal Inc. is a large, established contractor with a significant federal footprint. Examining their past performance on comparable contracts, especially those utilizing Cost Plus Award Fee structures, would provide valuable context. This includes reviewing past performance evaluations, any reported disputes, and their ability to meet cost and schedule targets.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesComputer Systems Design Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONSADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 4

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Parent Company: CGI Inc (UEI: 248513116)

Address: 12601 FAIR LAKES CIR, FAIRFAX, VA, 22033

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $530,444,564

Exercised Options: $86,531,809

Current Obligation: $42,929,079

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: GS00Q09BGD0022

IDV Type: GWAC

Timeline

Start Date: 2018-06-20

Current End Date: 2019-06-19

Potential End Date: 2024-04-30 00:00:00

Last Modified: 2020-04-09

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