NASA's $92.4M ACES BRIDGE Contract Awarded to Peraton Enterprise Solutions LLC Under Sole-Source Basis

Contract Overview

Contract Amount: $92,443,746 ($92.4M)

Contractor: Peraton Enterprise Solutions LLC

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2018-11-01

End Date: 2019-08-31

Contract Duration: 303 days

Daily Burn Rate: $305.1K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: AGENCY CONSOLIDATED END-USER SERVICES CONTRACT (ACES BRIDGE)

Place of Performance

Location: STENNIS SPACE CENTER, HANCOCK County, MISSISSIPPI, 39529

State: Mississippi Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $92.4 million to PERATON ENTERPRISE SOLUTIONS LLC for work described as: AGENCY CONSOLIDATED END-USER SERVICES CONTRACT (ACES BRIDGE) Key points: 1. The contract, valued at $92.4 million, was awarded to Peraton Enterprise Solutions LLC. 2. This was a sole-source award, indicating limited competition. 3. The contract falls under Computer Systems Design Services (NAICS 541512). 4. The contract duration was 303 days, with a firm fixed price. 5. No small business participation was noted.

Value Assessment

Rating: questionable

The contract's value of $92.4 million for a 303-day period for end-user services seems high, especially given the lack of competition. Benchmarking against similar IT support contracts would be necessary to determine fair pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was not competed, which significantly limits price discovery and potentially leads to higher costs for taxpayers. A sole-source award suggests a lack of available vendors or a specific justification for awarding to a single entity.

Taxpayer Impact: The lack of competition in this sole-source award may have resulted in a higher price than could have been achieved through a competitive bidding process, impacting taxpayer value.

Public Impact

Taxpayers may have paid a premium due to the absence of competitive bidding. The sole-source nature raises questions about the government's ability to secure the best value for IT services. Lack of small business involvement limits opportunities for smaller, potentially more agile, IT service providers.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the IT services sector, specifically computer systems design. Spending in this area is substantial across government agencies, with benchmarks varying widely based on service scope and complexity. Sole-source awards in IT can be problematic if not rigorously justified.

Small Business Impact

The contract explicitly states no small business participation (ss: false, sb: false). This indicates that opportunities for small businesses were not pursued or were deemed unsuitable for this specific requirement, potentially missing out on innovative solutions and economic benefits.

Oversight & Accountability

The sole-source nature of this award warrants scrutiny regarding the justification for not competing the requirement. Oversight should focus on ensuring the necessity of a sole-source procurement and the reasonableness of the price negotiated.

Related Government Programs

Risk Flags

Tags

computer-systems-design-services, national-aeronautics-and-space-administr, ms, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $92.4 million to PERATON ENTERPRISE SOLUTIONS LLC. AGENCY CONSOLIDATED END-USER SERVICES CONTRACT (ACES BRIDGE)

Who is the contractor on this award?

The obligated recipient is PERATON ENTERPRISE SOLUTIONS LLC.

Which agency awarded this contract?

Awarding agency: National Aeronautics and Space Administration (National Aeronautics and Space Administration).

What is the total obligated amount?

The obligated amount is $92.4 million.

What is the period of performance?

Start: 2018-11-01. End: 2019-08-31.

What was the specific justification for awarding this significant IT services contract on a sole-source basis, and were alternative solutions explored?

The provided data indicates the contract was 'NOT COMPETED' and is a 'SOLE SOURCE'. A thorough review of the contract file and agency justifications would be required to understand the specific reasons. Typically, sole-source awards are made when only one responsible source can provide the required supplies or services, or in cases of urgent and compelling need. Without further documentation, it's impossible to confirm if alternatives were adequately explored.

How does the $92.4 million price for a 303-day contract compare to industry benchmarks for similar end-user IT support services?

Benchmarking this contract's price against industry standards for end-user IT support services over a 10-month period is challenging without detailed service scope. However, $92.4 million for approximately 303 days suggests a very high per-diem or per-user cost. A detailed cost analysis comparing labor rates, overhead, and profit margins to similar government or commercial contracts would be necessary to assess its reasonableness.

What was the impact of the lack of competition on the final price and overall value for the taxpayer?

The absence of competition in a sole-source award typically leads to a higher price than would be achieved in a competitive environment. Without a bidding process, Peraton Enterprise Solutions LLC likely faced less pressure to offer the most cost-effective solution. This lack of price discovery directly impacts taxpayer value, as funds may have been expended at a rate exceeding fair market value.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesComputer Systems Design Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONSADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Peraton Solutions Inc. (UEI: 081218565)

Address: 13600 EDS DR A3S, HERNDON, VA, 20171

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: $124,990,339

Exercised Options: $104,529,003

Current Obligation: $92,443,746

Actual Outlays: $10,232,741

Subaward Activity

Number of Subawards: 42

Total Subaward Amount: $13,398,741

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2018-11-01

Current End Date: 2019-08-31

Potential End Date: 2019-08-31 00:00:00

Last Modified: 2021-02-28

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