DOJ's $34.9M FY09 Task Order for Peraton Enterprise Solutions Faces Limited Competition
Contract Overview
Contract Amount: $34,944,071 ($34.9M)
Contractor: Peraton Enterprise Solutions LLC
Awarding Agency: Department of Justice
Start Date: 2008-10-01
End Date: 2009-09-30
Contract Duration: 364 days
Daily Burn Rate: $96.0K/day
Competition Type: COMPETITIVE DELIVERY ORDER
Number of Offers Received: 1
Pricing Type: FIXED PRICE INCENTIVE
Sector: IT
Official Description: EDS - FY09 MAIN TASK ORDER
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20226
Plain-Language Summary
Department of Justice obligated $34.9 million to PERATON ENTERPRISE SOLUTIONS LLC for work described as: EDS - FY09 MAIN TASK ORDER Key points: 1. The contract value of $34.9 million for FY09 is a significant expenditure. 2. Competition was limited, raising questions about price discovery and potential overspending. 3. The fixed-price incentive contract type suggests an attempt to control costs, but the limited competition may undermine this. 4. The sector appears to be IT services, given the nature of the task order.
Value Assessment
Rating: questionable
The contract value of $34.9 million for a single year's task order is substantial. Without more comparable contracts, it's difficult to definitively assess pricing, but the limited competition raises concerns about whether the government achieved the best possible price.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was awarded as a competitive delivery order, but the data indicates limited competition. This suggests that while multiple bids may have been solicited, only a few were viable or submitted, potentially impacting the government's ability to secure the most competitive pricing.
Taxpayer Impact: Limited competition can lead to higher prices, meaning taxpayers may be paying more than necessary for the services rendered under this contract.
Public Impact
Taxpayers may be overpaying due to limited competition on this significant contract. The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) relies on this contract for essential services. The effectiveness of the services provided and their impact on ATF's mission are not detailed here.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition
- High contract value for a single year
Positive Signals
- Fixed Price Incentive contract type aims for cost control
Sector Analysis
This task order likely falls within the Information Technology (IT) sector, providing services to the Department of Justice. IT spending for federal agencies can vary widely, but a $34.9 million task order for a single year is a notable investment.
Small Business Impact
The data does not indicate whether small businesses were involved in bidding or subcontracting for this task order. Further analysis would be needed to determine the extent of small business participation.
Oversight & Accountability
The contract was awarded by the Bureau of Alcohol, Tobacco, Firearms and Explosives Acquisition and Property Management Division. Oversight would involve monitoring contract performance and expenditures to ensure value and compliance.
Related Government Programs
- Department of Justice Contracting
- Bureau of Alcohol, Tobacco, Firearms and Explosives Acquisition and Property Management Division Programs
Risk Flags
- Limited competition may have led to inflated pricing.
- Lack of detail on specific services procured hinders value assessment.
- Potential for taxpayer overspending due to competitive constraints.
- No clear indication of small business participation.
Tags
department-of-justice, dc, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Justice awarded $34.9 million to PERATON ENTERPRISE SOLUTIONS LLC. EDS - FY09 MAIN TASK ORDER
Who is the contractor on this award?
The obligated recipient is PERATON ENTERPRISE SOLUTIONS LLC.
Which agency awarded this contract?
Awarding agency: Department of Justice (Bureau of Alcohol, Tobacco, Firearms and Explosives Acquisition and Property Management Division).
What is the total obligated amount?
The obligated amount is $34.9 million.
What is the period of performance?
Start: 2008-10-01. End: 2009-09-30.
What specific IT services were procured under this task order, and how do they align with the ATF's mission objectives?
The provided data does not specify the exact IT services procured. However, given the agency (ATF) and the contract type, it likely encompasses a range of IT support, infrastructure, software development, or maintenance critical to the ATF's law enforcement and regulatory functions. Understanding these specifics is key to assessing the contract's value and effectiveness in supporting the agency's mission.
What factors contributed to the limited competition for this $34.9 million task order, and what was the impact on the final price?
The reasons for limited competition are not detailed in the data. Potential factors could include highly specialized requirements, a small pool of qualified vendors, or specific solicitation strategies. The impact on price is a concern; limited competition often results in higher costs for the government compared to a robustly competitive environment, potentially leading to taxpayer overpayment.
How effectively did the Fixed Price Incentive contract structure manage costs and incentivize performance given the limited competition?
The Fixed Price Incentive (FPI) contract aims to share cost savings and overruns between the government and contractor, incentivizing efficient performance. However, with limited competition, the contractor may have had less pressure to achieve cost efficiencies. The effectiveness of the FPI structure here depends on the specific target costs, incentive formulas, and the government's ability to monitor performance and costs closely.
Competition & Pricing
Extent Competed: COMPETITIVE DELIVERY ORDER
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: FIXED PRICE INCENTIVE (L)
Evaluated Preference: NONE
Contractor Details
Parent Company: HP, Inc. (UEI: 009122532)
Address: 13600 EDS DR, HERNDON, VA, 11
Business Categories: AbilityOne Program Participant, Category Business, Not Designated a Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $34,944,071
Exercised Options: $34,944,071
Current Obligation: $34,944,071
Parent Contract
Parent Award PIID: DCA20002D5007
IDV Type: IDC
Timeline
Start Date: 2008-10-01
Current End Date: 2009-09-30
Potential End Date: 2009-09-30 00:00:00
Last Modified: 2011-08-18
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