HHS Awards $97M for NHLBI IT Operations to DLH, LLC, with Full and Open Competition

Contract Overview

Contract Amount: $97,079,536 ($97.1M)

Contractor: DLH, LLC

Awarding Agency: Department of Health and Human Services

Start Date: 2021-04-16

End Date: 2026-04-15

Contract Duration: 1,825 days

Daily Burn Rate: $53.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: NHLBI SERVICE DESK, CONFIGURATION MANAGEMENT, AND INFRASTRUCTURE OPERATIONS AND MAINTENANCE

Place of Performance

Location: BETHESDA, MONTGOMERY County, MARYLAND, 20892

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $97.1 million to DLH, LLC for work described as: NHLBI SERVICE DESK, CONFIGURATION MANAGEMENT, AND INFRASTRUCTURE OPERATIONS AND MAINTENANCE Key points: 1. Contract value of $97.1M over 5 years. 2. DLH, LLC is the awardee for Computer Facilities Management Services. 3. Competition was full and open, suggesting potential for competitive pricing. 4. The sector is IT services, a critical area for government operations.

Value Assessment

Rating: good

The contract value of $97.1M over five years appears reasonable for comprehensive IT infrastructure operations and maintenance services. Benchmarking against similar large-scale IT service contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically fosters competitive bidding and can lead to more favorable pricing for the government. The BPA Call award mechanism suggests a streamlined process within an existing framework.

Taxpayer Impact: Full and open competition is generally beneficial for taxpayers as it aims to secure the best value through a competitive marketplace.

Public Impact

Ensures continued IT support for the National Heart, Lung, and Blood Institute (NHLBI). Supports critical research and public health initiatives by maintaining essential IT infrastructure. DLH, LLC's role in configuration management and operations is vital for data integrity and system availability.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if not managed effectively.
Reliance on a single vendor for critical IT infrastructure.

Positive Signals

Full and open competition utilized.
Long-term contract provides stability for IT services.
Firm Fixed Price contract type limits cost overruns.

Sector Analysis

This contract falls within the IT services sector, specifically focusing on computer facilities management. Spending in this area is substantial across federal agencies, supporting everything from basic network operations to complex data management and research computing.

Small Business Impact

The data indicates this contract was not awarded to small businesses, as 'sb' is false. Further analysis would be needed to determine if small business participation was incorporated through subcontracting opportunities.

Oversight & Accountability

The award was made by the Department of Health and Human Services (HHS) for the National Institutes of Health (NIH), indicating established oversight structures. The use of a BPA Call suggests adherence to pre-existing procurement regulations.

Related Government Programs

Computer Facilities Management Services
Department of Health and Human Services Contracting
National Institutes of Health Programs

Risk Flags

Potential for vendor lock-in.
Reliance on a single vendor for critical IT infrastructure.
Need for ongoing performance monitoring to ensure value.
Scope definition critical for evolving IT needs.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $97.1 million to DLH, LLC. NHLBI SERVICE DESK, CONFIGURATION MANAGEMENT, AND INFRASTRUCTURE OPERATIONS AND MAINTENANCE

Who is the contractor on this award?

The obligated recipient is DLH, LLC.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (National Institutes of Health).

What is the total obligated amount?

The obligated amount is $97.1 million.

What is the period of performance?

Start: 2021-04-16. End: 2026-04-15.

What is the specific scope of 'Configuration Management and Infrastructure Operations and Maintenance' to ensure it aligns with NHLBI's evolving needs?

The scope likely encompasses managing hardware and software configurations, ensuring system uptime, performing routine maintenance, implementing security patches, and providing help desk support. It's crucial that the contract's performance work statement (PWS) clearly defines these responsibilities and includes mechanisms for adapting to technological advancements and changing research priorities within NHLBI to maintain optimal operational effectiveness.

How will the government ensure continued cost-effectiveness and value from DLH, LLC throughout the 5-year contract duration?

The government can ensure cost-effectiveness through regular performance reviews, benchmarking against industry standards, and potentially exercising contract options judiciously. The Firm Fixed Price structure provides cost certainty, but ongoing monitoring of service levels and market rates for similar services will be key to verifying continued value and negotiating future renewals or modifications effectively.

What are the key performance indicators (KPIs) used to measure the success of DLH, LLC's service delivery for NHLBI?

Key performance indicators likely include system availability/uptime percentages, help desk response and resolution times, successful patch deployment rates, and adherence to configuration management protocols. Measuring these KPIs rigorously allows the government to objectively assess DLH, LLC's performance, identify areas for improvement, and ensure that the critical IT infrastructure supporting NHLBI's mission remains robust and reliable.

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 - IT MANAGEMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 75N92120R0001

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: DLH Holdings Corp

Address: 6720B ROCKLEDGE DR STE 777, BETHESDA, MD, 20817

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business

Financial Breakdown

Contract Ceiling: $111,786,658

Exercised Options: $107,319,407

Current Obligation: $97,079,536

Actual Outlays: $86,080,827

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HHSN268201800004B

IDV Type: BPA

Timeline