DOJ's $22M IT support contract with CACI-ISS, LLC awarded via full and open competition

Contract Overview

Contract Amount: $22,079,635 ($22.1M)

Contractor: Caci-Iss, LLC

Awarding Agency: Department of Justice

Start Date: 2012-04-26

End Date: 2018-09-21

Contract Duration: 2,339 days

Daily Burn Rate: $9.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 7

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: IGF::OT::IGF OTHER FUNCTION - OFFICE AUTOMATION OPERATIONS AND SUPPORT FOR CRIMINAL DIVISION

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20530

State: District of Columbia Government Spending

Plain-Language Summary

Department of Justice obligated $22.1 million to CACI-ISS, LLC for work described as: IGF::OT::IGF OTHER FUNCTION - OFFICE AUTOMATION OPERATIONS AND SUPPORT FOR CRIMINAL DIVISION Key points: 1. Contract awarded for IT operations and support services, indicating a need for ongoing technical assistance. 2. The duration of the contract (2339 days) suggests a long-term requirement for these services. 3. Awarded as a delivery order, implying it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract. 4. The use of Time and Materials pricing can sometimes lead to cost overruns if not closely managed. 5. The contract was awarded to CACI-ISS, LLC, a known entity in the federal IT services space. 6. The geographic location is Washington D.C., a common hub for federal agency operations.

Value Assessment

Rating: fair

The contract's value of $22 million over approximately 6.4 years for IT support services appears within a reasonable range for federal contracts of this nature. However, without specific details on the scope of services and the number of hours billed, a precise value-for-money assessment is challenging. The Time and Materials (T&M) pricing structure, while flexible, carries inherent risks of cost escalation compared to fixed-price contracts. Benchmarking against similar IT support contracts for agencies of similar size and complexity would be necessary for a more definitive valuation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'full and open competition,' indicating that all responsible sources were permitted to submit offers. This suggests a robust competitive process was intended. The presence of 7 bidders (no) implies a healthy level of interest from the market. A competitive award process generally promotes price discovery and can lead to more favorable pricing for the government.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it maximizes the pool of potential offerors, fostering a competitive environment that can drive down costs and improve service quality.

Public Impact

The Department of Justice benefits from continuous IT operations and support, ensuring the smooth functioning of its criminal division's digital infrastructure. Services delivered include computer systems design and related services, crucial for maintaining and enhancing the agency's technological capabilities. The primary geographic impact is within the District of Columbia, where the Department of Justice is headquartered. The contract supports a workforce skilled in IT operations, potentially including system administrators, network engineers, and technical support specialists.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials (T&M) pricing can lead to costs exceeding initial estimates if not meticulously monitored and controlled.
The long duration of the contract could present challenges in adapting to rapidly evolving IT technologies and security threats.
Reliance on a single contractor for critical IT support functions may pose risks if the contractor experiences performance issues or financial instability.

Positive Signals

Awarded through full and open competition, suggesting a competitive process that likely yielded fair market pricing.
The contract was awarded to CACI-ISS, LLC, a company with a significant presence and track record in providing IT services to the federal government.
The contract duration indicates a stable, long-term need for these services, providing continuity for the agency's IT operations.

Sector Analysis

This contract falls within the Information Technology (IT) sector, specifically focusing on computer systems design and related services. The federal IT services market is substantial, with agencies across the government relying heavily on contractors for everything from software development to network management and cybersecurity. Contracts like this are essential for maintaining the operational capabilities of federal agencies, ensuring they can leverage technology effectively to fulfill their missions. Comparable spending benchmarks would typically involve analyzing IT support contracts awarded to similar-sized agencies or those with comparable mission complexities.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). As a result, large businesses like CACI-ISS, LLC were eligible to bid and were awarded the contract. This means there are likely no direct subcontracting opportunities mandated for small businesses under this specific award. The absence of a small business set-aside means the primary benefits of this contract accrue to the large business prime contractor, rather than directly stimulating the small business IT ecosystem through set-aside awards.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of Justice's contracting officers and program managers. As a delivery order under a potential IDIQ, oversight mechanisms would be tied to the terms of the parent contract and the specific delivery order. Transparency is generally facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse arise related to the contract's performance or execution.

Related Government Programs

Department of Justice IT Support Services
Federal IT Operations and Maintenance Contracts
Computer Systems Design Services Contracts
Indefinite Delivery/Indefinite Quantity (IDIQ) IT Contracts
Time and Materials IT Contracts

Risk Flags

Time and Materials Pricing
Long Contract Duration
Potential for Cost Overruns
Reliance on Single Contractor

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $22.1 million to CACI-ISS, LLC. IGF::OT::IGF OTHER FUNCTION - OFFICE AUTOMATION OPERATIONS AND SUPPORT FOR CRIMINAL DIVISION

Who is the contractor on this award?

The obligated recipient is CACI-ISS, LLC.

Which agency awarded this contract?

Awarding agency: Department of Justice (Offices, Boards and Divisions).

What is the total obligated amount?

The obligated amount is $22.1 million.

What is the period of performance?

Start: 2012-04-26. End: 2018-09-21.

What is the specific scope of 'Computer Systems Design Services' covered under this contract?

The provided data indicates the contract falls under NAICS code 541512 for 'Computer Systems Design Services.' This broad category typically encompasses a range of activities including analyzing client's needs for hardware, software, and telecommunications systems; designing and developing integrated IT solutions; and providing consultation services on IT infrastructure. For this specific Department of Justice contract, 'IGF::OT::IGF OTHER FUNCTION - OFFICE AUTOMATION OPERATIONS AND SUPPORT FOR CRIMINAL DIVISION' suggests the services likely involve the design, implementation, and maintenance of office automation systems and operational support for the Criminal Division's IT environment. This could include network design, system integration, software configuration, and ongoing technical support to ensure the efficient operation of the division's computer systems.

How does the $22 million contract value compare to similar IT support contracts awarded by the Department of Justice?

Comparing the $22 million value requires context regarding the contract's duration and scope. This contract spans approximately 6.4 years (2339 days). For IT operations and support services, this value is moderate. The Department of Justice, like other large federal agencies, procures a wide range of IT services, from small, specialized projects to large-scale enterprise-wide support. A $22 million contract over this period for specific division support is not exceptionally large but represents a significant investment. To provide a precise comparison, one would need to analyze other DOJ contracts for similar IT support services, considering factors like the number of users supported, the complexity of the systems managed, and the specific services rendered (e.g., help desk, network management, cybersecurity support).

What are the potential risks associated with the Time and Materials (T&M) pricing structure used in this contract?

The primary risk with Time and Materials (T&M) contracts is the potential for cost overruns. Unlike fixed-price contracts, T&M agreements reimburse the contractor for the actual labor hours and materials used, plus a negotiated profit margin. If the contractor's efficiency is low, or if the scope of work expands without adequate oversight, the total cost can significantly exceed initial estimates. For taxpayers, this means less predictability in spending and a higher risk of paying more than anticipated. Effective oversight, detailed tracking of hours and materials, and clear task definitions are crucial to mitigate these risks and ensure the government receives good value.

Given the 'full and open competition' award, what does this imply about the contractor's (CACI-ISS, LLC) performance and pricing?

An award under 'full and open competition' suggests that CACI-ISS, LLC was selected from a pool of multiple bidders who were all allowed to compete. This process is designed to foster competition, which theoretically leads to better pricing and service quality. The fact that CACI-ISS, LLC won implies their proposal met the government's technical requirements and was deemed the best value, which includes price. It suggests that, at the time of award, their pricing was competitive among the bidders. However, it doesn't guarantee future performance or cost control throughout the contract's life. Ongoing performance monitoring is essential regardless of the competitive nature of the initial award.

How has federal spending on IT support services like this evolved over the contract's period (2012-2018)?

The contract period spans from April 2012 to September 2018. During this time, federal spending on IT services generally saw an increasing trend, driven by the need for modernization, cybersecurity enhancements, and cloud adoption. Agencies like the Department of Justice continuously invest in IT to support their complex missions. While specific figures for 'IT operations and support' are hard to isolate without broader spending data, the overall federal IT budget remained substantial. This contract represents a portion of that spending, reflecting the ongoing demand for essential IT functions. Trends during this period also included a push towards shared services and more efficient IT procurement, though agency-specific needs often dictated direct contract awards like this one.

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: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 7

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: CACI International Inc (UEI: 045534641)

Address: 1100 N GLEBE RD, ARLINGTON, VA, 22201

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

Financial Breakdown

Contract Ceiling: $23,661,157

Exercised Options: $23,661,157

Current Obligation: $22,079,635

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $35,121

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DJJ11C2153

IDV Type: IDC

Timeline