DOT's $11.2M IT support contract awarded to KBR Wyle Services, LLC, with a firm-fixed-price structure
Contract Overview
Contract Amount: $11,246,695 ($11.2M)
Contractor: KBR Wyle Services, LLC
Awarding Agency: Department of Transportation
Start Date: 2021-09-28
End Date: 2026-05-31
Contract Duration: 1,706 days
Daily Burn Rate: $6.6K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: MISSION INFORMATION TECHNOLOGY SUPPORT (MITS) SUPPORT SERVICES CONTRACT MANAGEMENT AND ADMINISTRATIVE SUPPORT SERVICES
Place of Performance
Location: CAMBRIDGE, MIDDLESEX County, MASSACHUSETTS, 02142
Plain-Language Summary
Department of Transportation obligated $11.2 million to KBR WYLE SERVICES, LLC for work described as: MISSION INFORMATION TECHNOLOGY SUPPORT (MITS) SUPPORT SERVICES CONTRACT MANAGEMENT AND ADMINISTRATIVE SUPPORT SERVICES Key points: 1. The contract utilizes a firm-fixed-price structure, which shifts cost risk to the contractor. 2. Awarded under full and open competition, suggesting a robust bidding process. 3. The contract duration of 1706 days indicates a long-term need for these services. 4. The contract is a delivery order, implying it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) vehicle. 5. The North American Industry Classification System (NAICS) code 541330 points to engineering services, which may encompass IT support in this context. 6. The contract is not set aside for small businesses, nor does it indicate specific subcontracting goals.
Value Assessment
Rating: good
The contract's firm-fixed-price nature is generally favorable for the government, as it caps costs. Benchmarking against similar IT support contracts within the Department of Transportation or other federal agencies would provide a clearer picture of value for money. However, the absence of detailed performance metrics or cost breakdowns makes a precise value assessment challenging without further data. The award amount of $11.2 million over approximately 4.7 years suggests a moderate annual spend for IT support services.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. This typically leads to a more competitive environment, potentially resulting in better pricing and service offerings for the government. The number of bidders is not specified, but the open competition suggests multiple entities likely vied for this contract.
Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive marketplace that can drive down costs and improve service quality, ensuring the government receives the best value for its investment.
Public Impact
The primary beneficiaries are the Department of Transportation's Immediate Office of the Secretary, which will receive essential IT support services. Services delivered likely include IT management, administrative support, and potentially technical assistance to ensure smooth operations. The geographic impact is primarily within the Department of Transportation's operational areas, likely concentrated in Washington D.C. and other key facilities. Workforce implications may include the direct employment of IT professionals and administrative staff by the contractor, KBR Wyle Services, LLC.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific performance metrics makes it difficult to assess the contractor's performance trajectory.
- The duration of the contract (over 4.5 years) means potential for cost overruns if not managed tightly.
- The NAICS code 'Engineering Services' for an IT support contract could indicate a broad scope that might lead to scope creep if not clearly defined.
Positive Signals
- Firm-fixed-price contract structure transfers cost risk to the contractor.
- Awarded through full and open competition, suggesting a competitive pricing environment.
- The contract is managed by the Department of Transportation, an agency with established procurement processes.
Sector Analysis
This contract falls within the broader IT services sector, specifically focusing on support and management. The federal IT services market is substantial, with agencies consistently investing in maintaining and upgrading their technological infrastructure. This contract represents a portion of the Department of Transportation's overall IT spending, contributing to its operational efficiency. Comparable spending benchmarks for IT support services within federal agencies vary widely based on scope and complexity, but this contract appears to be of moderate size.
Small Business Impact
This contract was not set aside for small businesses, and there is no indication of specific small business subcontracting requirements. This means that opportunities for small businesses to participate in this contract are not guaranteed through a set-aside mechanism. The prime contractor, KBR Wyle Services, LLC, may choose to subcontract portions of the work to small businesses, but this is not mandated by the contract terms as presented.
Oversight & Accountability
Oversight for this contract would typically be managed by the contracting officer and the contracting officer's representative (COR) within the Department of Transportation. Accountability measures are inherent in the firm-fixed-price structure, where the contractor is responsible for delivering services within the agreed-upon price. Transparency is facilitated through federal procurement databases like FPDS, where contract awards are reported. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.
Related Government Programs
- Department of Transportation IT Modernization Initiatives
- Federal Civilian Agency IT Support Services
- Information Technology Professional Services (ITPS)
- Management and Administrative Support Services
Risk Flags
- Potential for scope creep due to broad NAICS code.
- Long contract duration may increase risk of technology obsolescence.
- Lack of specified small business subcontracting goals.
Tags
it-support, department-of-transportation, kbr-wyle-services, firm-fixed-price, full-and-open-competition, delivery-order, engineering-services, immediate-office-of-the-secretary, federal-contract, it-services, administrative-support
Frequently Asked Questions
What is this federal contract paying for?
Department of Transportation awarded $11.2 million to KBR WYLE SERVICES, LLC. MISSION INFORMATION TECHNOLOGY SUPPORT (MITS) SUPPORT SERVICES CONTRACT MANAGEMENT AND ADMINISTRATIVE SUPPORT SERVICES
Who is the contractor on this award?
The obligated recipient is KBR WYLE SERVICES, LLC.
Which agency awarded this contract?
Awarding agency: Department of Transportation (Immediate Office of the Secretary of Transportation).
What is the total obligated amount?
The obligated amount is $11.2 million.
What is the period of performance?
Start: 2021-09-28. End: 2026-05-31.
What is the track record of KBR Wyle Services, LLC in delivering similar IT support services to federal agencies?
KBR Wyle Services, LLC has a significant history of performing various services for the federal government, including IT support, engineering, and logistics. Their past performance data, available through federal procurement databases, would detail their experience with similar contracts. Analyzing their performance on previous IT support contracts, including contract values, durations, and any reported issues or commendations, would provide insight into their capability to fulfill this Department of Transportation requirement. It's important to review their record for on-time delivery, adherence to budget, and client satisfaction ratings to assess their reliability for this $11.2 million contract.
How does the pricing of this contract compare to similar IT support contracts awarded by the Department of Transportation or other federal agencies?
A comprehensive value-for-money assessment requires benchmarking this contract's pricing against comparable IT support services. This involves comparing the per-unit costs (if applicable and discernible) or the overall contract value relative to the scope of work and duration against similar awards. Factors such as the specific services rendered (e.g., help desk, network management, cybersecurity support), the level of expertise required, and the geographic location of service delivery influence pricing. Without detailed service breakdowns and market data, a precise comparison is difficult, but the $11.2 million award over approximately 4.7 years suggests an average annual expenditure that can be compared to agency-wide IT support budgets and other similar contracts.
What are the primary risks associated with this contract, and how are they being mitigated?
Key risks for this contract include potential scope creep, contractor underperformance, and cybersecurity vulnerabilities. Scope creep is a risk given the broad 'Engineering Services' NAICS code potentially encompassing IT support, which could lead to cost overruns if not managed tightly. Contractor underperformance is mitigated by the firm-fixed-price structure, which incentivizes the contractor to meet requirements efficiently, and by the Department of Transportation's oversight through a COR. Cybersecurity risks are inherent in IT contracts and are typically addressed through contract clauses mandating compliance with federal security standards (e.g., NIST), background checks for personnel, and incident response protocols. The long duration also presents a risk of technology obsolescence if not proactively managed.
What is the expected effectiveness of the services provided under this contract in supporting the Department of Transportation's mission?
The effectiveness of these IT support services is crucial for the seamless operation of the Department of Transportation's Immediate Office of the Secretary. Reliable IT infrastructure and administrative support enable efficient communication, data management, and the execution of the department's core functions, which include transportation policy, regulation, and infrastructure development. The contract's success will be measured by the contractor's ability to maintain system uptime, provide timely technical assistance, and support administrative processes without disruption. A well-executed IT support contract directly contributes to the agency's ability to achieve its strategic objectives and serve the public.
How has the Department of Transportation's spending on IT support services evolved over the past five years, and where does this contract fit in?
Analyzing the Department of Transportation's historical spending on IT support services over the past five years would reveal trends and priorities. This $11.2 million contract, awarded in late 2021 for services extending to mid-2026, represents a significant, multi-year investment in IT support for a specific office. Understanding whether this represents an increase, decrease, or stable level of spending compared to previous years, and how it aligns with broader IT modernization efforts or budget allocations, provides context. It helps determine if this contract is part of a strategic shift or a continuation of established support models within the agency.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: KBR, Inc.
Address: 8120 MAPLE LAWN BLVD, FULTON, MD, 20759
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $12,018,182
Exercised Options: $11,281,695
Current Obligation: $11,246,695
Actual Outlays: $10,506,095
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 6913G621D300001
IDV Type: IDC
Timeline
Start Date: 2021-09-28
Current End Date: 2026-05-31
Potential End Date: 2026-09-30 00:00:00
Last Modified: 2026-03-25
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