NNSA Awards $53.5M for Cybersecurity Support, Highlighting Need for Specialized IT Services

Contract Overview

Contract Amount: $53,554,645 ($53.6M)

Contractor: Criterion Systems, L.L.C.

Awarding Agency: Department of Energy

Start Date: 2023-02-01

End Date: 2024-01-31

Contract Duration: 364 days

Daily Burn Rate: $147.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: NATIONAL NUCLEAR SECURITY ADMINISTRATION (DOE/NNSA) CYBER SECURITY SUPPORT SERVICES

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20585

State: District of Columbia Government Spending

Plain-Language Summary

Department of Energy obligated $53.6 million to CRITERION SYSTEMS, L.L.C. for work described as: NATIONAL NUCLEAR SECURITY ADMINISTRATION (DOE/NNSA) CYBER SECURITY SUPPORT SERVICES Key points: 1. Significant investment in critical cybersecurity infrastructure for nuclear security. 2. Competition method indicates a potentially competitive market for these services. 3. Risk of vendor lock-in or performance issues exists, requiring diligent oversight. 4. IT sector spending is substantial, with cybersecurity being a key focus area.

Value Assessment

Rating: good

The award amount of $53.5M for a one-year contract appears reasonable given the specialized nature of cybersecurity support for a national security agency. Benchmarking against similar large-scale IT support contracts would provide further context.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust price discovery process. This method typically leads to more competitive pricing by allowing all eligible vendors to bid.

Taxpayer Impact: The competitive nature of the award is positive for taxpayers, as it likely resulted in a fair market price for essential cybersecurity services.

Public Impact

Ensures the security of sensitive national nuclear security data and infrastructure. Supports the operational readiness and effectiveness of the NNSA. Contributes to the broader cybersecurity landscape by demanding high-level expertise.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the IT services sector, specifically focusing on computer facilities management and cybersecurity. Spending in this area is consistently high across government agencies due to increasing cyber threats and the digitization of operations.

Small Business Impact

The data indicates this contract was not awarded to a small business. While large contracts often go to prime contractors, opportunities for small businesses may exist as subcontractors.

Oversight & Accountability

Oversight will be crucial to ensure the contractor meets all cybersecurity requirements and performance standards. Regular performance reviews and audits by the Department of Energy are essential for accountability.

Related Government Programs

Risk Flags

Tags

computer-facilities-management-services, department-of-energy, dc, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Energy awarded $53.6 million to CRITERION SYSTEMS, L.L.C.. NATIONAL NUCLEAR SECURITY ADMINISTRATION (DOE/NNSA) CYBER SECURITY SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is CRITERION SYSTEMS, L.L.C..

Which agency awarded this contract?

Awarding agency: Department of Energy (Department of Energy).

What is the total obligated amount?

The obligated amount is $53.6 million.

What is the period of performance?

Start: 2023-02-01. End: 2024-01-31.

What specific cybersecurity capabilities are included in this $53.5M contract, and how do they align with NNSA's evolving threat landscape?

The contract specifies 'Computer Facilities Management Services' (NAICS 541513), which broadly covers IT infrastructure support. For NNSA, this likely includes network security, system monitoring, vulnerability management, incident response, and data protection. Alignment with the evolving threat landscape requires continuous assessment and potential contract modifications to address new vulnerabilities and sophisticated cyberattacks targeting critical infrastructure.

Given the critical nature of NNSA's mission, what are the primary risks associated with this cybersecurity support contract, and how are they being mitigated?

Key risks include potential performance failures leading to security breaches, vendor lock-in, and the challenge of retaining specialized cybersecurity talent. Mitigation strategies likely involve stringent performance metrics, clear contract terms, robust oversight from the Department of Energy, and contingency planning for vendor transition or performance issues. Regular security audits and compliance checks are also vital.

How does this contract contribute to the overall effectiveness and security posture of the National Nuclear Security Administration?

This contract is fundamental to maintaining the operational integrity and security of NNSA's complex IT infrastructure, which underpins its nuclear weapons stockpile stewardship and nonproliferation missions. By ensuring robust cybersecurity, it protects sensitive data, prevents disruptions, and safeguards against cyber espionage or sabotage, thereby directly enhancing the agency's overall effectiveness and national security contribution.

Industry Classification

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

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONSIT AND TELECOM - IT MANAGEMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 8330 BOONE BLVD STE 400, VIENNA, VA, 22182

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

Financial Breakdown

Contract Ceiling: $53,554,645

Exercised Options: $53,554,645

Current Obligation: $53,554,645

Actual Outlays: $53,120,849

Subaward Activity

Number of Subawards: 86

Total Subaward Amount: $21,100,005

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS35F0032V

IDV Type: FSS

Timeline

Start Date: 2023-02-01

Current End Date: 2024-01-31

Potential End Date: 2024-01-31 00:00:00

Last Modified: 2023-09-28

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