Transportation awards $11M task order for end-user support to Science Applications International Corp

Contract Overview

Contract Amount: $11,086,004 ($11.1M)

Contractor: Science Applications International Corp

Awarding Agency: Department of Transportation

Start Date: 2021-07-30

End Date: 2024-07-29

Contract Duration: 1,095 days

Daily Burn Rate: $10.1K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: TO AWARD A TASK ORDER FOR CFL/WFL END USER SUPPORT.

Place of Performance

Location: LAKEWOOD, JEFFERSON County, COLORADO, 80228

State: Colorado Government Spending

Plain-Language Summary

Department of Transportation obligated $11.1 million to SCIENCE APPLICATIONS INTERNATIONAL CORP for work described as: TO AWARD A TASK ORDER FOR CFL/WFL END USER SUPPORT. Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. Task order duration of 1095 days (3 years) indicates a medium-term commitment. 3. The contract type is Time and Materials, which can pose cost control challenges if not managed closely. 4. Awarded to a large, established contractor, Science Applications International Corp. 5. The service category is Computer Facilities Management Services, a common IT support function. 6. The contract is a delivery order under a larger indefinite-delivery contract, typical for ongoing support needs.

Value Assessment

Rating: fair

The total award amount of $11,086,003.92 for three years of end-user support needs to be benchmarked against similar contracts for Computer Facilities Management Services. Without specific details on the scope of services and the number of users supported, a precise value-for-money assessment is difficult. However, the Time and Materials pricing structure warrants careful monitoring to ensure costs remain within reasonable bounds and do not exceed the anticipated value.

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 all responsible sources were permitted to submit bids. The specific number of bidders is not provided, but this method generally fosters a competitive environment, which can lead to better pricing and service offerings for the government. The open competition suggests the agency sought the best value available in the market for these IT support services.

Taxpayer Impact: A full and open competition is generally favorable for taxpayers as it increases the likelihood of receiving competitive pricing and high-quality services, maximizing the value of government spending.

Public Impact

Federal Highway Administration (FHWA) employees will benefit from reliable end-user IT support. Ensures continuity of IT services critical for the agency's operations. The services are delivered to users within the Department of Transportation, likely concentrated in specific geographic locations where FHWA operates. Supports the IT workforce by providing necessary infrastructure and helpdesk functions.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials contract type can lead to cost overruns if not closely managed.
Lack of specific bidder count makes it difficult to fully assess the intensity of competition.
The raw dollar amount does not provide context on the volume or complexity of services delivered.

Positive Signals

Awarded through full and open competition, suggesting a robust bidding process.
Contract awarded to a reputable contractor with significant experience in government IT services.
The task order duration provides stability for essential IT support services.

Sector Analysis

The IT services sector, particularly Computer Facilities Management, is a significant area of federal spending. Agencies rely heavily on these services to maintain their IT infrastructure and support end-users. This contract falls within the broader IT services market, which is characterized by a mix of large system integrators and specialized service providers. Benchmarking this contract's value would involve comparing its per-user cost or total cost against similar IT support contracts within the federal government or the commercial sector.

Small Business Impact

The data indicates this contract was not specifically set aside for small businesses (ss: false, sb: false). Science Applications International Corp. is a large business. While there is no direct indication of small business subcontracting requirements from this data alone, large prime contractors are often encouraged or required to subcontract portions of their work to small businesses, which can benefit the small business ecosystem.

Oversight & Accountability

Oversight for this task order would typically fall under the Federal Highway Administration's contracting officer and program managers. The Department of Transportation's Office of Inspector General may also conduct audits or investigations into contract performance and spending. Transparency is generally maintained through contract award databases like FPDS, where basic information is publicly available.

Related Government Programs

IT End User Support Services
Computer Facilities Management
IT Services Contracts
Department of Transportation IT Spending
Federal Highway Administration Contracts

Risk Flags

Potential for cost overruns due to Time and Materials pricing structure.
Scope creep risk if not managed tightly under T&M.
Dependence on a single large contractor for critical IT support functions.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $11.1 million to SCIENCE APPLICATIONS INTERNATIONAL CORP. TO AWARD A TASK ORDER FOR CFL/WFL END USER SUPPORT.

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 (Federal Highway Administration).

What is the total obligated amount?

The obligated amount is $11.1 million.

What is the period of performance?

Start: 2021-07-30. End: 2024-07-29.

What is the track record of Science Applications International Corp. (SAIC) in delivering similar IT support services to federal agencies?

Science Applications International Corp. (SAIC) is a well-established government contractor with a long history of providing a wide range of IT services, including end-user support and facilities management, to various federal agencies. They have a significant presence in the federal IT market and have held numerous large contracts for similar services. Their track record generally includes experience with complex IT infrastructures and large user bases. However, like any large contractor, performance can vary by contract. Specific performance metrics for this particular task order would be found in internal agency performance reviews and potentially in past performance evaluations during future recompetes. SAIC's extensive experience suggests a capacity to handle the requirements, but diligent oversight is still crucial to ensure consistent delivery and value.

How does the $11.08 million total value compare to other federal contracts for end-user IT support?

The $11.08 million total value for three years of end-user support represents an average annual cost of approximately $3.69 million. To assess its competitiveness, this figure needs to be compared against contracts with similar scope, user volume, and service level agreements (SLAs). For instance, contracts supporting tens of thousands of users might have significantly higher total costs, while smaller, more localized support contracts could be lower. The nature of the services (e.g., help desk, hardware/software support, device management) and the specific technologies involved also influence pricing. Without these details, it's challenging to definitively state if $11.08 million is high or low. However, it falls within a common range for medium-sized IT support task orders for federal agencies.

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

The primary risk with a Time and Materials (T&M) contract, like this one, is the potential for cost overruns. Unlike fixed-price contracts, T&M contracts reimburse the contractor for the actual labor hours and materials used, plus a fixed fee or percentage for profit. If the scope of work is not well-defined, or if the contractor's efficiency is low, the costs can escalate beyond initial estimates. For IT support, this could manifest as extended troubleshooting times, unnecessary hardware replacements, or inefficient labor allocation. To mitigate these risks, the government agency must implement robust oversight, closely monitor labor hours and material costs, establish clear ceilings, and ensure efficient task execution by the contractor.

What is the significance of this contract being a 'Delivery Order'?

This contract is a 'Delivery Order,' which means it is a specific order issued under a larger, pre-existing indefinite-delivery/indefinite-quantity (IDIQ) contract or a similar type of basic ordering agreement. IDIQ contracts allow agencies to procure a range of supplies or services over a set period, with specific quantities and delivery dates defined by individual orders. Being a delivery order signifies that this $11.08 million award is one of potentially many orders placed against a parent contract. This approach provides flexibility for the agency to acquire services as needed, while the underlying IDIQ contract likely established terms, conditions, and potentially pricing structures that apply to all orders issued under it.

How does the service category 'Computer Facilities Management Services' (NAICS 541513) typically translate into spending patterns?

NAICS code 541513, Computer Facilities Management Services, encompasses a broad range of IT infrastructure management activities. Spending in this category typically covers services such as managing and operating computer systems, data centers, network infrastructure, and providing technical support. Federal agencies allocate significant budgets to these services to ensure the reliability, security, and performance of their IT environments. Spending patterns within this category can vary widely based on the size and complexity of the agency's IT infrastructure, the level of outsourcing, and the specific services required (e.g., cloud management, cybersecurity operations, help desk support). This $11 million task order represents a portion of the federal government's overall investment in maintaining its digital operational capabilities.

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: $11,753,698

Exercised Options: $11,204,531

Current Obligation: $11,086,004

Actual Outlays: $10,680,890

Subaward Activity

Number of Subawards: 21

Total Subaward Amount: $5,366,498

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