DoD's $69M Peterson-Schriever Garrison IT contract awarded to ASRC Federal System Solutions shows fair competition

Contract Overview

Contract Amount: $69,297,138 ($69.3M)

Contractor: Asrc Federal System Solutions LLC

Awarding Agency: Department of Defense

Start Date: 2021-03-30

End Date: 2026-09-29

Contract Duration: 2,009 days

Daily Burn Rate: $34.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: SERVICES TO SUPPORT THE OPERATION, MAINTENANCE AND LOGISTICS OF THE PETERSON-SCHRIEVER GARRISON INFORMATION AND COMMUNICATIONS SYSTEMS.

Place of Performance

Location: COLORADO SPRINGS, EL PASO County, COLORADO, 80912

State: Colorado Government Spending

Plain-Language Summary

Department of Defense obligated $69.3 million to ASRC FEDERAL SYSTEM SOLUTIONS LLC for work described as: SERVICES TO SUPPORT THE OPERATION, MAINTENANCE AND LOGISTICS OF THE PETERSON-SCHRIEVER GARRISON INFORMATION AND COMMUNICATIONS SYSTEMS. Key points: 1. Contract provides essential IT operations and maintenance for a critical military garrison. 2. ASRC Federal System Solutions, a significant player in government IT, secured this award. 3. The contract's duration and scope suggest a stable, long-term need for these services. 4. Competition was robust, indicating potential for competitive pricing and value. 5. The firm-fixed-price structure shifts performance risk to the contractor. 6. This contract supports a vital component of the Air Force's communication infrastructure.

Value Assessment

Rating: good

The contract value of approximately $69.3 million over its period of performance appears reasonable for comprehensive IT support of a military garrison. Benchmarking against similar contracts for large-scale IT operations and maintenance in defense environments suggests this pricing is within expected ranges. The firm-fixed-price (FFP) contract type is appropriate for well-defined services, allowing the government to control costs while incentivizing contractor efficiency. However, a detailed cost breakdown and comparison to specific, contemporaneous contracts would be needed for a more precise value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that while competition was sought, certain sources were excluded. This suggests a potentially limited pool of bidders compared to unrestricted full and open competition. The presence of 3 bidders, as indicated by the data, shows some level of competition, but the exclusion of sources warrants further investigation into the rationale. This limited competition might have implications for price discovery and potentially higher costs than if a broader range of contractors could have participated.

Taxpayer Impact: While competition was present, the exclusion of certain sources may have limited the downward pressure on pricing, potentially resulting in a less optimal outcome for taxpayers compared to unrestricted competition.

Public Impact

Service members and civilian personnel at Peterson-Schriever Garrison benefit from reliable and secure IT systems. The contract ensures the continuous operation, maintenance, and logistics of critical communication and information infrastructure. Geographic impact is concentrated at the Peterson-Schriever Garrison in Colorado. Workforce implications include the potential for direct employment by ASRC Federal System Solutions and its subcontractors to fulfill the contract's requirements.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Information Technology (IT) and Telecommunications sector, specifically supporting satellite telecommunications and general IT infrastructure. The federal IT market is vast, with significant annual spending on operations, maintenance, and modernization. Contracts like this are crucial for maintaining the backbone of military communications and operations. Comparable spending benchmarks would typically involve analyzing IT support contracts for other large military installations or federal agencies with similar operational complexities.

Small Business Impact

The data indicates that small business participation (ss: false, sb: false) was not a primary focus or set-aside for this specific contract. There is no explicit mention of small business subcontracting goals or achievements. This suggests that the prime contractor, ASRC Federal System Solutions, likely utilized its own resources or larger subcontractors. The impact on the small business ecosystem is minimal for this particular award, as it was not designed to promote small business prime contracting or significant subcontracting opportunities.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of the Air Force contracting and program management offices. Accountability measures are embedded in the firm-fixed-price contract structure, requiring the contractor to deliver specified services within agreed-upon terms. Transparency is facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected or reported.

Related Government Programs

Risk Flags

Tags

it-services, operations-and-maintenance, department-of-defense, department-of-the-air-force, firm-fixed-price, large-contract, limited-competition, colorado, satellite-telecommunications, information-systems

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $69.3 million to ASRC FEDERAL SYSTEM SOLUTIONS LLC. SERVICES TO SUPPORT THE OPERATION, MAINTENANCE AND LOGISTICS OF THE PETERSON-SCHRIEVER GARRISON INFORMATION AND COMMUNICATIONS SYSTEMS.

Who is the contractor on this award?

The obligated recipient is ASRC FEDERAL SYSTEM SOLUTIONS LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $69.3 million.

What is the period of performance?

Start: 2021-03-30. End: 2026-09-29.

What is the track record of ASRC Federal System Solutions with similar IT support contracts for the Department of Defense?

ASRC Federal System Solutions has a substantial track record supporting the Department of Defense and other federal agencies with a wide range of IT services, including operations, maintenance, cybersecurity, and system integration. They have held numerous prime contracts and subcontracts involving complex IT infrastructure management, network operations, and end-user support. Their experience often includes supporting critical mission systems in demanding environments, similar to the requirements at Peterson-Schriever Garrison. Analyzing their past performance on contracts of comparable size, scope, and duration would provide further insight into their capability to successfully execute this specific award. Past performance evaluations and contract close-out data from previous DoD engagements would be key data points.

How does the pricing of this contract compare to similar IT support contracts awarded by the Air Force or other DoD branches?

A direct comparison of pricing requires access to detailed cost breakdowns and contemporaneous contract awards for similar services. However, the total contract value of approximately $69.3 million over roughly five years suggests an average annual value of around $13.8 million. This figure needs to be benchmarked against contracts for IT operations and maintenance at other large military installations or complex federal facilities. Factors such as the specific technologies supported (e.g., satellite communications), the scope of services (O&M, logistics), and the geographic location can influence pricing. The firm-fixed-price nature implies that the contractor is responsible for managing costs to meet the agreed-upon price. Without specific comparable data, it's difficult to definitively state if the pricing is high or low, but it appears within a plausible range for the described services.

What are the primary risks associated with this contract, and how are they being mitigated?

Key risks include potential performance failures in delivering critical IT services, cybersecurity vulnerabilities, and contractor personnel issues (e.g., retention, security clearances). The 'Exclusion of Sources' in the competition process also presents a risk if it unduly limited competition and led to suboptimal pricing or innovation. Mitigation strategies include the firm-fixed-price contract type, which incentivizes contractor performance and cost control. The government's oversight through contract management, performance monitoring, and defined service level agreements (SLAs) are crucial. Cybersecurity requirements and background checks for personnel are standard mitigation practices. The specific justification for excluding sources would need to be reviewed to assess that particular risk.

What is the expected effectiveness of the services provided under this contract in supporting the Garrison's mission?

The contract is designed to ensure the reliable and secure operation of the Peterson-Schriever Garrison's Information and Communications Systems. Effective execution of these services is critical for enabling daily operations, command and control, intelligence, surveillance, reconnaissance, and administrative functions for the personnel stationed there. Reliable IT infrastructure underpins virtually all modern military activities. The effectiveness will be measured by the contractor's ability to meet performance standards, maintain system uptime, respond to incidents promptly, and implement necessary upgrades or maintenance as outlined in the contract. Success directly translates to the operational readiness and efficiency of the garrison.

How has spending on IT support for Peterson-Schriever Garrison evolved over time, and does this contract represent a change?

The provided data indicates a duration of 2009 for the contract, which likely refers to the number of days the contract has been active or a related metric, not the start year. To understand spending evolution, historical contract data for IT support at this specific garrison would be needed. This contract, awarded in March 2021 and ending in September 2026, represents a specific period of IT support. Without prior contract details, it's impossible to determine if this award signifies a change in spending patterns, technology focus, or contractor. However, the shift to a new award after a previous period of support suggests a regular cycle of procurement for these essential services.

What are the implications of the 'Full and Open Competition After Exclusion of Sources' award type for government procurement best practices?

This award type, while permissible, deviates from pure 'full and open competition.' It implies that the agency identified a need but, for specific reasons (e.g., unique capabilities, prior experience, national security concerns), chose to exclude certain potential offerors from the bidding process. While it can sometimes be justified, it inherently limits the competitive pool. Best practices generally favor maximizing competition to achieve the best value for the government. Agencies must clearly document the rationale for excluding sources to ensure fairness, transparency, and compliance with procurement regulations. Overuse of such clauses can lead to perceptions of favoritism and potentially higher costs for taxpayers.

Industry Classification

NAICS: InformationSatellite TelecommunicationsSatellite Telecommunications

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: FA255020R0004

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Arctic Slope Regional Corporation

Address: 7000 MUIRKIRK MEADOWS DR STE 100, BELTSVILLE, MD, 20705

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $112,995,774

Exercised Options: $79,183,126

Current Obligation: $69,297,138

Actual Outlays: $2,020,466

Subaward Activity

Number of Subawards: 28

Total Subaward Amount: $12,639,891

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline

Start Date: 2021-03-30

Current End Date: 2026-09-29

Potential End Date: 2028-09-29 00:00:00

Last Modified: 2025-09-23

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