DHS Awards $23M ServiceNow Support Contract to CACI NSS, LLC for Other Computer Related Services
Contract Overview
Contract Amount: $23,040,670 ($23.0M)
Contractor: CACI NSS, LLC
Awarding Agency: Department of Homeland Security
Start Date: 2025-09-30
End Date: 2026-09-29
Contract Duration: 364 days
Daily Burn Rate: $63.3K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: TIME AND MATERIALS
Sector: IT
Official Description: SUPPORT SERVICES FOR SERVICENOW DEVELOPMENT & ARCHITECTURE
Place of Performance
Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22203
State: Virginia Government Spending
Plain-Language Summary
Department of Homeland Security obligated $23.0 million to CACI NSS, LLC for work described as: SUPPORT SERVICES FOR SERVICENOW DEVELOPMENT & ARCHITECTURE Key points: 1. Contract value of $23.04 million over 1 year. 2. Competition was full and open, indicating market availability. 3. Risk appears moderate given the Time and Materials pricing structure. 4. Sector is IT services, specifically computer related services.
Value Assessment
Rating: good
The contract's Time and Materials (T&M) pricing is common for IT support services where scope can evolve. Benchmarking against similar ServiceNow development contracts is difficult without detailed labor categories and rates, but the overall value seems reasonable for a year of specialized support.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition via a BPA Call. This method suggests multiple vendors could have bid, and the agency likely sought competitive pricing. The BPA Call mechanism can streamline procurement for established agreements.
Taxpayer Impact: Taxpayer funds are being used for essential IT infrastructure support. The competitive award process aims to ensure value for money, mitigating excessive costs.
Public Impact
Ensures continued operation and development of critical ServiceNow platform for DHS. Supports agency-wide workflows and digital transformation initiatives. Potential for improved efficiency and service delivery through platform enhancements.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Time and Materials pricing can lead to cost overruns if not closely managed.
- Reliance on a single vendor for critical support could pose continuity risks.
- Scope creep is a potential concern with T&M contracts.
Positive Signals
- Full and open competition ensures a competitive marketplace.
- BPA Call mechanism can offer efficiency in procurement.
- Contract supports essential IT infrastructure for a major federal agency.
Sector Analysis
This contract falls within the IT services sector, specifically 'Other Computer Related Services'. Spending in this area is substantial across government, supporting critical digital infrastructure and modernization efforts. Benchmarks vary widely based on service type and complexity.
Small Business Impact
The data indicates this contract was not set aside for small businesses and the awardee, CACI NSS, LLC, is a large business. There is no indication of small business participation in this specific award.
Oversight & Accountability
The Office of Procurement Operations within DHS is responsible for this award. Oversight will involve monitoring contract performance, expenditures, and adherence to T&M limitations to ensure accountability and value.
Related Government Programs
- Other Computer Related Services
- Department of Homeland Security Contracting
- Office of Procurement Operations Programs
Risk Flags
- Potential for cost overruns due to Time and Materials pricing.
- Lack of specific performance metrics or KPIs in the provided data.
- No clear indication of small business subcontracting goals.
- Dependence on a single vendor for critical platform support.
Tags
other-computer-related-services, department-of-homeland-security, va, bpa-call, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $23.0 million to CACI NSS, LLC. SUPPORT SERVICES FOR SERVICENOW DEVELOPMENT & ARCHITECTURE
Who is the contractor on this award?
The obligated recipient is CACI NSS, LLC.
Which agency awarded this contract?
Awarding agency: Department of Homeland Security (Office of Procurement Operations).
What is the total obligated amount?
The obligated amount is $23.0 million.
What is the period of performance?
Start: 2025-09-30. End: 2026-09-29.
What specific ServiceNow modules or functionalities will CACI NSS, LLC be supporting, and how does this align with DHS's strategic IT priorities?
The contract details are broad, focusing on 'Development & Architecture' support for ServiceNow. To assess value, it's crucial to understand if the support targets high-priority DHS initiatives like digital transformation, cybersecurity enhancements, or operational efficiency improvements. Without this alignment, the $23M could be supporting less critical functions, impacting overall strategic value.
What mechanisms are in place to manage the Time and Materials pricing and prevent potential cost overruns or scope creep?
Given the T&M nature, robust oversight is essential. DHS should implement strict monitoring of labor hours, rates, and task completion. Establishing clear ceilings, requiring detailed justifications for hours worked, and conducting regular performance reviews with CACI NSS, LLC are critical. Proactive scope management and change control processes are necessary to mitigate risks associated with evolving requirements.
How does the awarded price compare to industry benchmarks for similar ServiceNow development and architecture support services, considering the full and open competition?
While full and open competition suggests a competitive price was achieved, a direct benchmark is challenging without granular data on labor categories, experience levels, and specific deliverables. However, the $23M for a 1-year contract implies a significant level of effort. DHS should have compared CACI's proposed rates and total estimated cost against independent government estimates (IGEs) and market research data for similar IT support contracts.
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 - END USER
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Parent Company: CACI International Inc
Address: 14370 NEWBROOK DR, CHANTILLY, VA, 20151
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: $23,040,670
Exercised Options: $23,040,670
Current Obligation: $23,040,670
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NOT OBTAINED - WAIVED
Parent Contract
Parent Award PIID: 70RTAC25A00000015
IDV Type: BPA
Timeline
Start Date: 2025-09-30
Current End Date: 2026-09-29
Potential End Date: 2026-09-29 00:00:00
Last Modified: 2025-09-30
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