HHS Awards $52.3M for NIH OIT Support Services to DLH, LLC

Contract Overview

Contract Amount: $52,272,288 ($52.3M)

Contractor: DLH, LLC

Awarding Agency: Department of Health and Human Services

Start Date: 2021-07-09

End Date: 2025-07-31

Contract Duration: 1,483 days

Daily Burn Rate: $35.2K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: OIT SUPPORT SERVICES

Place of Performance

Location: FREDERICK, FREDERICK County, MARYLAND, 21703

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $52.3 million to DLH, LLC for work described as: OIT SUPPORT SERVICES Key points: 1. Contract value of $52.3M over 4 years. 2. DLH, LLC is the sole awardee. 3. Competition method: Full and open after exclusion of sources. 4. Sector: Information Technology (Computer Systems Design Services).

Value Assessment

Rating: fair

The contract is a Time and Materials type, which can lead to cost overruns if not managed closely. The award value is substantial for IT support services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating a limited competition. This method may not have yielded the most competitive pricing.

Taxpayer Impact: Taxpayers may be paying more than necessary due to the limited competition and Time and Materials pricing structure.

Public Impact

Ensures continued IT support for the National Institutes of Health. Potential for increased costs due to T&M contract type. Limited competition may reduce innovation and cost savings.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition
Time and Materials pricing
Potential for cost overruns

Positive Signals

Ensures critical IT support continuity
Awarded to a single, established vendor

Sector Analysis

This contract falls within the IT sector, specifically Computer Systems Design Services. Spending benchmarks for similar IT support contracts vary widely based on scope and complexity.

Small Business Impact

The data indicates this contract was not awarded to a small business (ss: false, sb: false). There is no direct small business participation noted.

Oversight & Accountability

Oversight is crucial given the Time and Materials contract type and limited competition to ensure cost-effectiveness and prevent scope creep.

Related Government Programs

Computer Systems Design Services
Department of Health and Human Services Contracting
National Institutes of Health Programs

Risk Flags

Limited competition may lead to higher costs.
Time and Materials contract type poses cost overrun risk.
Lack of small business participation.
Justification for source exclusion not provided.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $52.3 million to DLH, LLC. OIT SUPPORT SERVICES

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 $52.3 million.

What is the period of performance?

Start: 2021-07-09. End: 2025-07-31.

What specific IT support services are included in this $52.3M contract, and how do they align with NIH's strategic IT goals?

The contract covers Computer Systems Design Services (NAICS 541512). While the specific services aren't detailed here, they are expected to support NIH's operational and strategic IT infrastructure. A deeper dive into the SOW would clarify alignment with NIH's mission and technology roadmaps, ensuring taxpayer funds are directed towards essential, value-adding IT functions.

What were the justifications for excluding other sources, and what was the competitive landscape prior to this award?

The justification for excluding other sources is not provided in the data. Understanding this rationale is key to assessing if the limited competition was warranted or if it potentially restricted the government's ability to secure better pricing and innovative solutions from a broader range of vendors.

How will the performance and costs of this Time and Materials contract be monitored to ensure value for money?

Effective oversight will involve rigorous monitoring of labor hours, rates, and material costs against the Statement of Work. Establishing clear performance metrics and regular reviews will be essential to manage potential cost overruns inherent in T&M contracts and ensure the services delivered provide demonstrable value to the NIH.

Industry Classification

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

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 06/22/2021

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

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, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business

Financial Breakdown

Contract Ceiling: $57,721,505

Exercised Options: $52,272,288

Current Obligation: $52,272,288

Actual Outlays: $51,157,943

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: HHSN316201200145W

IDV Type: GWAC

Timeline