HUD's $10.1M contract with Leidos Aspen Systems Corp for IT services awarded in 1999

Contract Overview

Contract Amount: $10,115,245 ($10.1M)

Contractor: Leidos Aspen Systems Corp

Awarding Agency: Department of Housing and Urban Development

Start Date: 1999-10-07

End Date: 1999-09-30

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Place of Performance

Location: ROCKVILLE, MONTGOMERY County, MARYLAND, 20850

State: Maryland Government Spending

Plain-Language Summary

Department of Housing and Urban Development obligated $10.1 million to LEIDOS ASPEN SYSTEMS CORP for work described as: Key points: 1. Contract awarded in 1999, indicating a long-standing relationship and potential for outdated technology or service delivery models. 2. The Cost Plus Fixed Fee (CPFF) contract type can incentivize cost overruns if not managed carefully. 3. Awarded as 'Other Direct Costs' (ODC) suggests a focus on specific, potentially variable, project expenses. 4. The contract's duration and specific services are not detailed, making a comprehensive value assessment challenging. 5. Limited information on performance metrics or outcomes makes it difficult to gauge effectiveness. 6. The contractor, Leidos Aspen Systems Corp, has a history of federal contracts, suggesting established capabilities.

Value Assessment

Rating: questionable

Given the award date of 1999, a direct comparison to current market rates for IT services is difficult. The Cost Plus Fixed Fee (CPFF) structure, while common, requires diligent oversight to ensure value for money, as it can lead to increased costs if not managed effectively. Without specific details on the services rendered and performance outcomes, it's challenging to definitively assess the value proposition. The contract's age suggests potential inefficiencies compared to modern IT solutions and service delivery.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This competitive process is generally favorable for price discovery and ensuring the government receives competitive pricing. However, the specific number of bids received and the evaluation criteria are not provided, which limits a deeper analysis of the competitive dynamics.

Taxpayer Impact: Full and open competition suggests that taxpayer dollars were likely used efficiently by leveraging market forces to secure the best possible offer at the time of award.

Public Impact

Beneficiaries likely include Department of Housing and Urban Development (HUD) staff and potentially the public through improved IT systems supporting housing programs. Services delivered are presumed to be IT-related, supporting HUD's operational needs. Geographic impact is likely national, given HUD's mission, but specific deployment locations are not detailed. Workforce implications could involve IT professionals employed by the contractor to fulfill the contract requirements.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Contract awarded in 1999, raising concerns about the relevance and efficiency of services in the current technological landscape.
Cost Plus Fixed Fee (CPFF) contract type can lead to cost escalations if not rigorously managed.
Lack of detailed performance metrics makes it difficult to assess contractor effectiveness and value for money.
Limited information on the specific IT services provided hinders a thorough analysis of the contract's impact.

Positive Signals

Awarded under full and open competition, suggesting a potentially competitive pricing environment at the time of award.
The contractor, Leidos Aspen Systems Corp, has a history of federal contracting, indicating experience and established processes.

Sector Analysis

This contract falls within the Information Technology (IT) sector, specifically supporting government administrative and operational functions. The IT services market is vast and dynamic, with significant government spending allocated to software development, maintenance, and support. Benchmarking this contract's value is challenging due to its age and lack of specific service details, but it represents a portion of the broader federal IT spending aimed at modernizing and maintaining government systems.

Small Business Impact

There is no indication that this contract included small business set-asides. The contract was awarded to Leidos Aspen Systems Corp, a large business. Further analysis would be needed to determine if subcontracting opportunities were made available to small businesses.

Oversight & Accountability

Oversight mechanisms for this contract would typically involve contract officers, program managers, and potentially an Inspector General's office within HUD. The effectiveness of oversight depends on the diligence applied to monitoring performance, costs, and adherence to contract terms, especially given the CPFF structure. Transparency is limited by the available public data.

Related Government Programs

Federal IT Modernization Programs
Government IT Services Contracts
Department of Housing and Urban Development IT Support

Risk Flags

Contract Age
Cost Plus Fixed Fee Structure
Lack of Performance Data
Potential for Technological Obsolescence

Frequently Asked Questions

What is this federal contract paying for?

Department of Housing and Urban Development awarded $10.1 million to LEIDOS ASPEN SYSTEMS CORP. See the official description on USAspending.

Who is the contractor on this award?

The obligated recipient is LEIDOS ASPEN SYSTEMS CORP.

Which agency awarded this contract?

Awarding agency: Department of Housing and Urban Development (Department of Housing and Urban Development).

What is the total obligated amount?

The obligated amount is $10.1 million.

What is the period of performance?

Start: 1999-10-07. End: 1999-09-30.

What specific IT services were provided under this contract?

The provided data does not specify the exact IT services rendered under this contract. Contracts awarded in 1999 could have encompassed a wide range of services, including software development, system maintenance, network support, hardware procurement, or IT consulting. Without more granular information, it is impossible to detail the specific technical or functional contributions made by Leidos Aspen Systems Corp to the Department of Housing and Urban Development (HUD).

How does the Cost Plus Fixed Fee (CPFF) structure impact value for money in this contract?

The Cost Plus Fixed Fee (CPFF) contract structure allows the contractor to recover all allowable costs plus a predetermined fixed fee. While it can be useful for projects with uncertain cost elements, it carries a risk of cost overruns if not managed stringently. The government pays the actual costs incurred by the contractor, plus the agreed-upon fee. This means the government bears the risk of cost increases. Effective oversight is crucial to ensure that costs are reasonable and allocable, and that the fixed fee adequately compensates the contractor for their effort without incentivizing excessive spending. The value for money is thus highly dependent on the government's ability to monitor and control costs throughout the contract's lifecycle.

What is the track record of Leidos Aspen Systems Corp with federal contracts?

Leidos Aspen Systems Corp, as part of the broader Leidos entity, has a significant history of performing federal contracts across various agencies and sectors. Leidos is a major government contractor known for providing a wide range of services, including IT, defense, and intelligence solutions. While this specific contract dates back to 1999, the company's continued presence in the federal contracting space suggests a sustained ability to meet government requirements and secure new awards. A deeper dive into their contract history would reveal specific performance ratings, past issues, and areas of expertise.

How does the 1999 award date affect the assessment of this contract's relevance and cost-effectiveness?

An award date of 1999 places this contract firmly in the pre-cloud, pre-mobile era of IT. Technology has evolved dramatically since then, meaning the systems, software, and methodologies used at the time may be outdated, less efficient, and more costly to maintain compared to modern solutions. Assessing cost-effectiveness is challenging without knowing if the services were continuously updated or if this was a legacy system. It's plausible that the cost of maintaining or operating under such an old contract could be higher than adopting newer, more streamlined technologies. Furthermore, security protocols and data management practices have also advanced significantly, raising potential concerns about the contract's alignment with current standards.

What are the potential risks associated with a contract awarded over two decades ago?

Several risks are associated with a contract awarded over two decades ago. Firstly, technological obsolescence is a major concern; the systems and services provided may no longer be efficient, secure, or compatible with current infrastructure. Secondly, the cost structure might not reflect current market rates, potentially leading to overpayment. Thirdly, the contractor's personnel and methodologies may not align with modern best practices in IT service delivery. Fourthly, security vulnerabilities could be present in older systems, posing a risk to sensitive government data. Finally, the lack of updated performance metrics or service level agreements (SLAs) makes it difficult to ensure the contractor is meeting contemporary standards of performance and accountability.

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Contractor Details

Parent Company: Lockheed Martin Corp (UEI: 834951691)

Address: 2277 RESEARCH BLVD, ROCKVILLE, MD, 08

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $-353,289

Exercised Options: $10,115,245

Current Obligation: $10,115,245

Parent Contract

Parent Award PIID: COPC21191

IDV Type: IDC

Timeline