DOT awards $7.8M EITSS support contract to SAIC, with $0 obligated initially

Contract Overview

Contract Amount: $7,842,321 ($7.8M)

Contractor: Science Applications International Corp

Awarding Agency: Department of Transportation

Start Date: 2022-10-01

End Date: 2026-09-30

Contract Duration: 1,460 days

Daily Burn Rate: $5.4K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: EITSS ENDUSER SUPPORT SERVICES. AWARDED WITH $0 OBLIGATED, SUBJECT TO THE AVAILABILITY OF FY23 FUNDS.

Place of Performance

Location: CAMBRIDGE, MIDDLESEX County, MASSACHUSETTS, 02142

State: Massachusetts Government Spending

Plain-Language Summary

Department of Transportation obligated $7.8 million to SCIENCE APPLICATIONS INTERNATIONAL CORP for work described as: EITSS ENDUSER SUPPORT SERVICES. AWARDED WITH $0 OBLIGATED, SUBJECT TO THE AVAILABILITY OF FY23 FUNDS. Key points: 1. Contract awarded for end-user IT support services, indicating a need for ongoing technical assistance. 2. The initial $0 obligation suggests funding is contingent on future appropriations, posing a potential risk. 3. Full and open competition was utilized, theoretically promoting competitive pricing. 4. The contract duration of 1460 days (4 years) suggests a long-term need for these services. 5. The contractor, Science Applications International Corp (SAIC), is a large, established entity in the federal contracting space. 6. The NAICS code 541513 points to computer facilities management services, a critical IT function.

Value Assessment

Rating: fair

The total award amount is $7,842,321.35, with an initial $0 obligation. Benchmarking this against similar IT support contracts is difficult without more specific service details. The Time and Materials pricing structure can lead to cost overruns if not closely managed. The contract's value appears moderate for a four-year IT support engagement.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting multiple vendors had the opportunity to bid. This method is generally preferred for ensuring fair pricing and access to a wide range of capabilities. The number of bidders is not specified, which would provide further insight into the level of competition.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it typically drives down prices through market forces, ensuring the government receives competitive offers.

Public Impact

The Department of Transportation's Immediate Office of the Secretary will benefit from enhanced end-user IT support. Services include computer facilities management, crucial for the daily operations of the agency. The geographic impact is likely concentrated within the agency's primary operating locations. Workforce implications include the potential for SAIC to utilize its own IT support personnel, rather than relying on government staff.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Initial $0 obligation raises concerns about funding certainty and potential program disruption.
Time and Materials contract type can lead to cost escalation if not meticulously monitored.
Lack of specific performance metrics or KPIs makes it difficult to assess contractor performance proactively.

Positive Signals

Awarded through full and open competition, indicating a robust bidding process.
Contractor (SAIC) is a reputable firm with extensive experience in federal IT services.
Long contract duration suggests a stable, ongoing need for reliable IT support.

Sector Analysis

This contract falls within the IT services sector, specifically computer facilities 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 broader IT spending, aimed at ensuring operational efficiency and user support.

Small Business Impact

The contract indicates that small business participation was not a primary consideration, as the 'ss' (small business set-aside) field is false and the 'sb' (small business) field is also false. This suggests the primary award was not specifically targeted towards small businesses. Subcontracting opportunities for small businesses may exist but are not explicitly detailed in the provided data.

Oversight & Accountability

Oversight will likely be managed by the contracting officer's representative (COR) within the Immediate Office of the Secretary of Transportation. Accountability measures are tied to the performance requirements outlined in the contract's statement of work. Transparency is facilitated through federal procurement databases, but detailed performance data may not be publicly available.

Related Government Programs

IT End User Support Services
Computer Facilities Management Services
Department of Transportation IT Contracts
Science Applications International Corp Contracts

Risk Flags

Funding Contingency
Time and Materials Pricing Risk
Lack of Specific Performance Metrics
Potential for Cost Overruns

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $7.8 million to SCIENCE APPLICATIONS INTERNATIONAL CORP. EITSS ENDUSER SUPPORT SERVICES. AWARDED WITH $0 OBLIGATED, SUBJECT TO THE AVAILABILITY OF FY23 FUNDS.

Who is the contractor on this award?

The obligated recipient is SCIENCE APPLICATIONS INTERNATIONAL CORP.

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 $7.8 million.

What is the period of performance?

Start: 2022-10-01. End: 2026-09-30.

What is the specific breakdown of services covered under 'EITSS ENDUSER SUPPORT SERVICES'?

The provided data indicates the NAICS code is 541513, which corresponds to Computer Facilities Management Services. This typically includes a range of IT support functions such as help desk operations, desktop support, network troubleshooting, hardware and software installation, and maintenance for end-user devices and related infrastructure. The specific tasks and deliverables would be detailed in the contract's Statement of Work (SOW), which is not included in the provided data. However, the 'EITSS' acronym likely stands for something akin to 'Enterprise IT End-User Support Services,' emphasizing its role in supporting the daily technological needs of agency personnel.

How does the initial $0 obligation impact the certainty of this contract's execution?

An initial $0 obligation means that while the contract has been awarded, no funds have been committed by the government at the time of award. Funding is subject to the availability of future appropriations, likely from Fiscal Year 2023 funds as indicated. This introduces a degree of uncertainty, as the contract's execution depends on Congress approving the necessary budget. If funds are not appropriated, the contract could be terminated or significantly delayed, potentially disrupting the IT support services the Department of Transportation relies on. This approach is sometimes used to secure a vendor and pricing while awaiting final budget allocations.

What are the potential risks associated with a Time and Materials (T&M) contract type for IT support?

Time and Materials (T&M) contracts, like the one awarded to SAIC, carry inherent risks for the government. The primary risk is cost escalation, as the contractor is reimbursed for direct labor hours at specified rates and for the cost of materials. Unlike fixed-price contracts, T&M does not provide a ceiling on the total cost unless a contract ceiling is explicitly stated and enforced. This can lead to higher-than-anticipated expenditures if the scope of work is not well-defined, if inefficiencies arise, or if the duration of tasks extends beyond initial estimates. Effective oversight, detailed tracking of labor hours and materials, and clear task definitions are crucial to mitigate these risks and ensure value for money.

What is SAIC's track record with the Department of Transportation and similar IT support contracts?

Science Applications International Corporation (SAIC) is a major federal contractor with a significant history of providing IT services across various government agencies, including the Department of Transportation (DOT). While the provided data does not detail SAIC's specific performance history with DOT on this particular contract type, SAIC generally has a strong presence in the federal IT landscape. Their experience typically encompasses a wide array of services, including enterprise IT, cybersecurity, cloud computing, and end-user support. Agencies often select large, established contractors like SAIC for complex IT needs due to their demonstrated capabilities, existing infrastructure, and security clearances. A deeper dive into contract databases would reveal specific past performance ratings and contract vehicles utilized by SAIC with DOT.

How does this contract's value compare to other federal IT support spending?

The total award value of approximately $7.8 million over four years places this contract in the moderate-to-large category for specific IT support services within a single agency office. Federal spending on IT is in the tens of billions annually across all agencies. Contracts for broader IT infrastructure, enterprise-wide solutions, or cybersecurity often reach hundreds of millions or even billions of dollars. This DOT contract appears focused on end-user support for a specific component of the agency. Benchmarking requires comparing it to similar 'Computer Facilities Management Services' contracts awarded to agencies of comparable size and complexity, considering factors like geographic scope and the number of users supported.

What are the potential implications of this contract being awarded as a Delivery Order (DO) under a larger contract vehicle?

The 'AW' field indicates 'DELIVERY ORDER', suggesting this award is a task order issued under a pre-existing indefinite-delivery, indefinite-quantity (IDIQ) contract or a similar master agreement, likely a Multiple Award Schedule (MAS) given the 'st': 'MA' designation. This means the underlying contract vehicle itself was previously competed. Delivery Orders allow agencies to procure specific services or supplies as needed. For taxpayers, this can be efficient as the foundational contract has already undergone competition. However, the specific pricing and terms of the Delivery Order are critical. The 'br': 5371 value might represent a baseline or reference price from the IDIQ, which this DO's pricing should align with or improve upon.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Facilities Management Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - END USER

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

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: $9,841,656

Exercised Options: $7,842,321

Current Obligation: $7,842,321

Actual Outlays: $5,261,673

Subaward Activity

Number of Subawards: 4

Total Subaward Amount: $863,896

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 693JK420D500002

IDV Type: IDC

Timeline