HHS CDC Awards $140M IT Support Contract to NTT DATA Services Under Full and Open Competition
Contract Overview
Contract Amount: $140,038,150 ($140.0M)
Contractor: NTT Data Services Federal Government, LLC
Awarding Agency: Department of Health and Human Services
Start Date: 2019-09-01
End Date: 2025-03-14
Contract Duration: 2,021 days
Daily Burn Rate: $69.3K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: INFORMATION TECHNOLOGY INFRASTRUCTURE SUPPORT SERVICES (ITISS)
Place of Performance
Location: HERNDON, FAIRFAX County, VIRGINIA, 20171
State: Virginia Government Spending
Plain-Language Summary
Department of Health and Human Services obligated $140.0 million to NTT DATA SERVICES FEDERAL GOVERNMENT, LLC for work described as: INFORMATION TECHNOLOGY INFRASTRUCTURE SUPPORT SERVICES (ITISS) Key points: 1. The contract is for IT Infrastructure Support Services (ITISS) valued at $140M. 2. NTT DATA SERVICES FEDERAL GOVERNMENT, LLC is the sole awardee. 3. The contract was awarded under full and open competition. 4. The period of performance extends through March 2025.
Value Assessment
Rating: good
The contract value of $140M over approximately 5.5 years suggests a reasonable annual spend. Benchmarking against similar IT support contracts would provide a more precise assessment of value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The award was made under full and open competition, indicating a competitive bidding process. This method generally leads to better price discovery and potentially lower costs for the government.
Taxpayer Impact: The competitive nature of the award is expected to yield fair pricing, maximizing taxpayer value for essential IT infrastructure support.
Public Impact
Ensures continuity of critical IT infrastructure for the Centers for Disease Control and Prevention. Supports public health initiatives by maintaining essential technological systems. Provides employment opportunities within the IT sector through the awarded contract.
Waste & Efficiency Indicators
Waste Risk Score: 69 / 10
Warning Flags
- Contract duration extends beyond typical IT support cycles, potentially leading to vendor lock-in.
- Lack of specific performance metrics or KPIs in the provided data.
Positive Signals
- Awarded through full and open competition, suggesting competitive pricing.
- Supports a critical government agency (HHS CDC).
Sector Analysis
This contract falls within the Information Technology sector, specifically Computer Systems Design Services. The $140M value is significant for this type of service, reflecting the scale of CDC's IT needs.
Small Business Impact
The data indicates this contract was not set aside for small businesses and was awarded to NTT DATA SERVICES FEDERAL GOVERNMENT, LLC, a large business. There is no indication of small business participation in this specific award.
Oversight & Accountability
The award process under full and open competition suggests a degree of oversight. However, ongoing monitoring of performance and cost-effectiveness by HHS and CDC is crucial for accountability.
Related Government Programs
- Computer Systems Design Services
- Department of Health and Human Services Contracting
- Centers for Disease Control and Prevention Programs
Risk Flags
- Long contract duration may lead to vendor lock-in.
- Potential for cost increases if market conditions change significantly.
- Lack of detailed performance metrics in the provided summary.
- No explicit small business participation noted.
Tags
computer-systems-design-services, department-of-health-and-human-services, va, delivery-order, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $140.0 million to NTT DATA SERVICES FEDERAL GOVERNMENT, LLC. INFORMATION TECHNOLOGY INFRASTRUCTURE SUPPORT SERVICES (ITISS)
Who is the contractor on this award?
The obligated recipient is NTT DATA SERVICES FEDERAL GOVERNMENT, LLC.
Which agency awarded this contract?
Awarding agency: Department of Health and Human Services (Centers for Disease Control and Prevention).
What is the total obligated amount?
The obligated amount is $140.0 million.
What is the period of performance?
Start: 2019-09-01. End: 2025-03-14.
What are the specific IT infrastructure support services included in this contract?
The contract is for Information Technology Infrastructure Support Services (ITISS). While the specific services are not detailed in the provided data, they typically encompass a broad range of support including network management, system administration, help desk support, cybersecurity maintenance, and hardware/software lifecycle management to ensure the operational readiness of the CDC's IT environment.
What is the risk of cost overruns or inefficiencies given the contract duration?
The contract duration of over five years presents a moderate risk of cost overruns or inefficiencies if not actively managed. While the firm-fixed-price structure provides some cost control, market shifts in technology and labor costs could impact the vendor's profitability and potentially lead to requests for modification or reduced service quality if margins are squeezed.
How effectively does this contract support the CDC's mission-critical functions?
This contract is crucial for supporting the CDC's mission-critical functions by ensuring the reliable operation of its IT infrastructure. Stable and secure IT systems are fundamental for data collection, analysis, public health surveillance, and communication, all of which are central to the CDC's ability to respond to health threats and advance public health.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: 75D30119Q69851
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 2551 DULLES VIEW DR #400, HERNDON, VA, 20171
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Foreign-Owned and U.S.-Incorporated Business, Not Designated a Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $142,091,340
Exercised Options: $140,050,023
Current Obligation: $140,038,150
Actual Outlays: $86,582,629
Subaward Activity
Number of Subawards: 14
Total Subaward Amount: $31,282,000
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Parent Contract
Parent Award PIID: 47QTCK18D0028
IDV Type: GWAC
Timeline
Start Date: 2019-09-01
Current End Date: 2025-03-14
Potential End Date: 2025-03-14 00:00:00
Last Modified: 2025-06-06
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