GSA's $263M Computer Systems Design Services Contract with Leidos, Inc. Awarded in 2000
Contract Overview
Contract Amount: $263,353,378 ($263.4M)
Contractor: Leidos, Inc.
Awarding Agency: General Services Administration
Start Date: 2000-01-15
End Date: 2009-01-12
Contract Duration: 3,285 days
Daily Burn Rate: $80.2K/day
Competition Type: COMPETITIVE DELIVERY ORDER
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: IT
Place of Performance
Location: MC LEAN, FAIRFAX County, VIRGINIA, 22102
State: Virginia Government Spending
Plain-Language Summary
General Services Administration obligated $263.4 million to LEIDOS, INC. for work described as: Key points: 1. Contract value of $263.35M over its lifetime. 2. Awarded to Leidos, Inc. for Computer Systems Design Services. 3. Procured via a competitive delivery order, indicating some price discovery. 4. Sector is IT services, specifically computer systems design.
Value Assessment
Rating: fair
The contract's total award value is substantial. Without specific unit pricing or comparison data for similar services during the 2000-2009 period, a precise value assessment is difficult. The firm-fixed-price structure provides some cost certainty.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
This was a competitive delivery order, suggesting multiple bids were considered. However, the limited details on the specific competition mechanism prevent a full assessment of price discovery effectiveness.
Taxpayer Impact: The competitive nature of the delivery order likely resulted in a more favorable price for taxpayers compared to a sole-source award, though the exact savings are not quantifiable.
Public Impact
Significant IT services procurement impacting federal agency operations. Long-term contract (2000-2009) highlights sustained need for these services. Potential for technology obsolescence given the contract's duration.
Waste & Efficiency Indicators
Waste Risk Score: 80 / 10
Warning Flags
- Contract duration is long, potentially leading to outdated technology.
- Limited information on the specific competitive process for the delivery order.
Positive Signals
- Competitive award mechanism.
- Firm-fixed-price contract type.
Sector Analysis
This contract falls within the Information Technology sector, specifically computer systems design. Benchmarks for IT services vary widely based on complexity and duration, but a $263M contract over nearly a decade represents a significant investment.
Small Business Impact
The data indicates this was not awarded to a small business. Further analysis would be needed to determine if small business subcontracting opportunities were pursued or mandated.
Oversight & Accountability
The General Services Administration (GSA) managed this contract through its Federal Acquisition Service. Oversight would involve monitoring performance, adherence to contract terms, and financial expenditures throughout the contract's lifecycle.
Related Government Programs
- Computer Systems Design Services
- General Services Administration Contracting
- Federal Acquisition Service Programs
Risk Flags
- Potential for technology obsolescence due to contract length.
- Limited transparency on the specific competitive bidding process.
- Lack of detailed performance metrics or user feedback.
- No clear indication of small business participation.
Tags
computer-systems-design-services, general-services-administration, va, do, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
General Services Administration awarded $263.4 million to LEIDOS, INC.. See the official description on USAspending.
Who is the contractor on this award?
The obligated recipient is LEIDOS, INC..
Which agency awarded this contract?
Awarding agency: General Services Administration (Federal Acquisition Service).
What is the total obligated amount?
The obligated amount is $263.4 million.
What is the period of performance?
Start: 2000-01-15. End: 2009-01-12.
What was the specific competitive process used for this delivery order, and how did it ensure optimal pricing?
The data states 'COMPETITIVE DELIVERY ORDER,' implying multiple vendors submitted proposals. However, the exact nature of this competition (e.g., number of bidders, evaluation criteria, negotiation process) is not detailed. A more robust competition, potentially involving best-value trade-offs or extensive negotiations, would typically yield better pricing outcomes for the government.
Given the contract's 2000 start date, what risks are associated with technology obsolescence and performance?
A contract spanning from 2000 to 2009 in the rapidly evolving IT sector carries a significant risk of technology obsolescence. The systems and services provided may no longer be cutting-edge or compatible with newer federal IT infrastructure, potentially impacting performance and requiring costly upgrades or replacements.
How effectively did the firm-fixed-price structure manage cost overruns for this extensive IT services contract?
The firm-fixed-price (FFP) structure is designed to shift cost overrun risk to the contractor. For this $263M contract, FFP likely provided budget certainty for the government. However, the effectiveness in preventing excessive contractor profit or ensuring value depends on the initial pricing accuracy and the contractor's efficiency.
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: COMPETITIVE DELIVERY ORDER
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Contractor Details
Parent Company: Leidos Holdings, Inc. (UEI: 611641312)
Address: 1710 SAIC DR, MCLEAN, VA, 90
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $194,937,499
Exercised Options: $194,937,499
Current Obligation: $263,353,378
Parent Contract
Parent Award PIID: GS00T99ALD0210
IDV Type: GWAC
Timeline
Start Date: 2000-01-15
Current End Date: 2009-01-12
Potential End Date: 2009-01-12 00:00:00
Last Modified: 2011-03-24
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