DoD's $24.5M logistics support contract awarded to CSRA LLC shows potential for cost savings

Contract Overview

Contract Amount: $24,518,552 ($24.5M)

Contractor: Csra LLC

Awarding Agency: Department of Defense

Start Date: 2005-11-29

End Date: 2008-03-31

Contract Duration: 853 days

Daily Burn Rate: $28.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: LABOR HOURS

Sector: Other

Official Description: TAS::57 3400::TAS 200603!000061!5700!FA4452!HQ AMC/A7KF !GS35F4381G !C!N! !Y!FA445206F0026! !20051129!20060930!043991108!043991108!009581091!N!COMPUTER SCIENCES CORPORATION !3160 FAIRVIEW PARK DRIVE !FALLS CHURCH !VA!22042!66729!163!17!SAINT CLAIR !ST. CLAIR !ILLINOIS !+000005770011!N!N!000000000000!R706!LOGISTICS SUPPORT SERVICES !S1 !SERVICES !000 !NOT DISCERNABLE !541614!E! !6! ! ! ! ! !99990909!B!E!Y! ! !A! ! ! !000! ! ! ! ! ! ! ! !C!N! ! ! ! ! ! ! !000! ! ! ! ! ! ! ! ! !0001! !

Place of Performance

Location: SCOTT AFB, SAINT CLAIR County, ILLINOIS, 62225

State: Illinois Government Spending

Plain-Language Summary

Department of Defense obligated $24.5 million to CSRA LLC for work described as: TAS::57 3400::TAS 200603!000061!5700!FA4452!HQ AMC/A7KF !GS35F4381G !C!N! !Y!FA445206F0026! !20051129!20060930!043991108!043991108!009581091!N!COMPUTER SCIENCES CORPORATION !3160 FAIRVIEW PARK DRIVE !FALLS CHURCH !VA!22042!66729!163!17!SAINT CLAIR !ST. CLAIR !ILLINOIS !+000005770… Key points: 1. The contract's value of $24.5 million over its period of performance suggests a significant investment in logistics support services. 2. Competition dynamics for this contract are favorable, indicating a full and open competition process. 3. The duration of the contract (853 days) and its delivery order nature warrant scrutiny for potential scope creep or extensions. 4. Performance context is crucial, as the effectiveness of logistics support directly impacts operational readiness. 5. This contract falls within the 'Other Computer Related Services' category, highlighting a focus on IT-enabled logistics. 6. The use of labor hours as the contract type can introduce variability in final costs based on actual effort expended.

Value Assessment

Rating: fair

Benchmarking this contract's value requires more granular data on the specific services provided. However, a $24.5 million award over approximately two years for logistics support services, particularly those involving IT components, is substantial. Without comparable contract data or detailed service breakdowns, it's difficult to definitively assess value for money. The use of labor hours could lead to cost overruns if not managed tightly, suggesting a need for robust oversight to ensure efficient resource utilization and prevent pricing that exceeds market rates for similar IT-enabled logistics support.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under a full and open competition, which is a positive indicator for price discovery and potentially competitive pricing. The data indicates there were at least 3 bidders, suggesting a reasonable level of competition. A competitive environment generally encourages contractors to offer more favorable terms and pricing to secure the award. The specific details of the bidding process, such as the number of proposals received and the evaluation criteria, would provide further insight into the strength of the competition.

Taxpayer Impact: A full and open competition typically benefits taxpayers by fostering a market where multiple companies vie for the contract, driving down prices and improving the quality of services offered.

Public Impact

The primary beneficiaries are likely military units and personnel relying on efficient logistics operations managed or supported by this contract. Services delivered include logistics support, likely encompassing supply chain management, inventory control, and transportation coordination, potentially with an IT systems component. The geographic impact is centered around USTRANSCOM's operational areas, which could be global, supporting the movement of personnel and materiel. Workforce implications may involve the employment of skilled personnel in logistics, IT, and administrative roles, both within the contractor's organization and potentially government personnel overseeing the contract.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns due to the 'labor hours' contract type if not closely monitored.
The broad nature of 'logistics support services' could lead to scope creep if not clearly defined and managed.
Reliance on a single awardee for a significant duration (853 days) could create vendor lock-in if not managed proactively.
The specific IT components of the logistics support are not detailed, making it hard to assess technological relevance and potential obsolescence.

Positive Signals

Awarded through full and open competition, suggesting a robust and fair bidding process.
The contract is managed by USTRANSCOM, a key agency for global logistics, implying strategic importance.
The contractor, CSRA LLC, is a known entity in government contracting, suggesting established capabilities.
The contract duration, while long, allows for sustained support and potential for economies of scale in service delivery.

Sector Analysis

This contract falls under the 'Other Computer Related Services' (NAICS 541519) sector, which encompasses a wide range of IT services not elsewhere classified. The broader IT services market is highly competitive and dynamic, with significant government spending allocated to support defense and logistical operations. This contract likely represents a portion of the Department of Defense's overall investment in modernizing and maintaining its complex logistical infrastructure, which is critical for global reach and operational effectiveness. Comparable spending benchmarks would depend on the specific nature of the IT-enabled logistics services provided.

Small Business Impact

The data indicates this contract was not a small business set-aside (ss: false) and there is no explicit mention of subcontracting goals for small businesses. This suggests that the primary award went to a large business (CSRA LLC). While large contracts can sometimes include subcontracting opportunities for small businesses, the absence of specific set-aside provisions or reported subcontracting plans means the direct impact on the small business ecosystem for this particular award is likely limited unless CSRA LLC voluntarily engages small businesses.

Oversight & Accountability

Oversight for this Department of Defense contract would typically be managed by the U.S. Transportation Command (USTRANSCOM) contracting office and potentially program managers responsible for logistics operations. Accountability measures would be defined in the contract's Performance Work Statement (PWS) and include metrics for service delivery, timeliness, and quality. Transparency is generally facilitated through contract award databases like FPDS-NG, though detailed performance reports are often internal. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Defense Logistics Agency (DLA) Contracts
General Services Administration (GSA) IT Schedule Contracts
USTRANSCOM Transportation and Logistics Services
Department of Defense Information Technology Services
Supply Chain Management Services Contracts

Risk Flags

Labor Hours Contract Type Risk
Potential for Scope Creep
Long Contract Duration
Lack of Specific Service Details

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $24.5 million to CSRA LLC. TAS::57 3400::TAS 200603!000061!5700!FA4452!HQ AMC/A7KF !GS35F4381G !C!N! !Y!FA445206F0026! !20051129!20060930!043991108!043991108!009581091!N!COMPUTER SCIENCES CORPORATION !3160 FAIRVIEW PARK DRIVE !FALLS CHURCH !VA!22042!66729!163!17!SAINT CLAIR !ST. CLAIR !ILLINOIS !+000005770011!N!N!000000000000!R706!LOGISTICS SUPPORT SERVICES !S1 !SERVICES !000 !NOT DISCERNABLE !541614!E! !6! ! ! ! ! !99990909!B!E!Y! ! !A! ! ! !000! ! ! ! ! ! ! ! !C!N! ! ! ! ! ! ! !000! ! ! ! ! ! ! ! ! !0001! !

Who is the contractor on this award?

The obligated recipient is CSRA LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (USTRANSCOM).

What is the total obligated amount?

The obligated amount is $24.5 million.

What is the period of performance?

Start: 2005-11-29. End: 2008-03-31.

What specific IT systems or software are being supported or developed under this contract, and how do they enhance logistics operations?

The provided data does not specify the exact IT systems or software involved. However, given the NAICS code (541519 - Other Computer Related Services) and the agency (USTRANSCOM), it is highly probable that the contract supports logistics management systems, inventory tracking software, transportation planning tools, or communication platforms essential for coordinating the movement of goods and personnel. These systems likely aim to improve efficiency, reduce transit times, enhance visibility across the supply chain, and provide real-time data for decision-making. Without more detailed documentation, the precise nature and impact of these IT components remain unclear.

How does the $24.5 million cost compare to similar logistics support contracts awarded by DoD or other agencies?

Directly comparing the $24.5 million cost is challenging without knowing the specific scope, duration, and services rendered. However, for a contract spanning approximately 2 years and 8 months (from Nov 2005 to Mar 2008) with a full and open competition, this figure appears within a reasonable range for complex IT-enabled logistics support for a major command like USTRANSCOM. Larger, multi-year contracts for similar services can easily reach hundreds of millions or even billions. The key is to assess if the price reflects the value delivered, considering factors like the criticality of the support, the complexity of the systems managed, and the efficiency gains achieved. Further analysis would require benchmarking against contracts with similar service descriptions and performance metrics.

What were the primary risks identified during the solicitation and award process for this contract, and how were they mitigated?

The provided data does not detail the specific risks identified during the solicitation and award process. However, common risks for large IT-enabled logistics contracts include technical risks (system integration, performance, obsolescence), cost risks (overruns due to labor hours, scope creep), schedule risks (delays in delivery or implementation), and performance risks (failure to meet service level agreements). Mitigation strategies typically involve robust performance work statements, clear evaluation criteria, strong contract management, regular performance reviews, and contingency planning. The 'labor hours' contract type itself presents a cost risk that requires diligent oversight to manage.

What is the track record of CSRA LLC (the contractor) in delivering similar logistics support services to the federal government?

CSRA LLC, and its predecessor entities, have a significant track record in providing IT and professional services to the federal government, including the Department of Defense. While the specific entity name 'CSRA LLC' might reflect a particular corporate structure or merger at the time of the award (2005), the company has historically been involved in large-scale IT support, systems integration, and mission support for various government agencies. Their experience would likely include managing complex projects, adhering to security requirements, and delivering services within demanding operational environments. A deeper dive into their contract history with DoD and USTRANSCOM would provide more specific insights into their performance on similar logistics and IT support contracts.

How has spending on logistics support services by USTRANSCOM evolved over time, and does this contract represent a significant shift?

The provided data focuses on a single contract award from 2005-2008 and does not offer historical spending trends for USTRANSCOM. To assess evolution, one would need to analyze USTRANSCOM's budget allocations and contract awards for logistics support services over multiple fiscal years. This contract, valued at $24.5 million, represents a substantial investment for its period, indicating a continued reliance on contracted support for critical logistics functions. Whether it represents a 'significant shift' would depend on whether it introduced new technologies, significantly changed service delivery models, or marked a major increase/decrease in overall spending compared to previous or subsequent contracts.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: LABOR HOURS (Z)

Contractor Details

Address: 3170 FAIRVIEW PARK DR, FALLS CHURCH, VA, 22042

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

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Parent Contract

Parent Award PIID: GS35F4381G

IDV Type: FSS

Timeline