DoD's Air Force awards $23M IT contract to Peraton Enterprise Solutions LLC under full and open competition
Contract Overview
Contract Amount: $22,971,655 ($23.0M)
Contractor: Peraton Enterprise Solutions LLC
Awarding Agency: Department of Defense
Start Date: 2024-01-01
End Date: 2024-06-30
Contract Duration: 181 days
Daily Burn Rate: $126.9K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: COST NO FEE
Sector: IT
Official Description: INFORMATION TECHNOLOGY CAPABILITIES CONTRACT II HARDWARE SOFTWARE PURCHASES
Place of Performance
Location: OFFUTT AFB, SARPY County, NEBRASKA, 68113
State: Nebraska Government Spending
Plain-Language Summary
Department of Defense obligated $23.0 million to PERATON ENTERPRISE SOLUTIONS LLC for work described as: INFORMATION TECHNOLOGY CAPABILITIES CONTRACT II HARDWARE SOFTWARE PURCHASES Key points: 1. Contract value of $22.97M for IT hardware and software. 2. Awarded to Peraton Enterprise Solutions LLC. 3. Competition type: Full and Open. 4. Sector: Information Technology. 5. Duration: 181 days.
Value Assessment
Rating: good
The contract value of $22.97M for a 6-month period suggests a reasonable scope. Benchmarking against similar IT hardware and software purchase contracts would provide a clearer picture of value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating a broad solicitation process. This method generally promotes competitive pricing and allows for a wide range of potential contractors to bid.
Taxpayer Impact: Full and open competition is expected to yield fair market prices, maximizing taxpayer value for the IT capabilities procured.
Public Impact
Ensures the Department of the Air Force has necessary IT hardware and software. Supports operational readiness and mission accomplishment through technology. Potential for technological advancements through competitive bidding.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Short contract duration (181 days) may limit long-term strategic IT planning.
- Lack of specific performance metrics or outcomes in provided data.
- No indication of small business participation.
Positive Signals
- Awarded through full and open competition, promoting market efficiency.
- Addresses critical IT needs for the Department of the Air Force.
- Clear contract award to a named vendor.
Sector Analysis
This contract falls within the Information Technology sector, specifically for computer systems design services and hardware/software purchases. Spending in this sector is consistently high across government agencies, driven by modernization efforts and operational needs.
Small Business Impact
The provided data indicates that small business participation was not a factor in this award (ss: false, sb: false). Further analysis would be needed to determine if opportunities were missed or if the scope was not suitable for small businesses.
Oversight & Accountability
The contract is managed by the Department of the Air Force, a component of the Department of Defense. Standard oversight mechanisms for federal contracts are presumed to be in place, but specific details on accountability are not provided.
Related Government Programs
- Computer Systems Design Services
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Short contract duration may indicate a temporary solution or lack of long-term planning.
- Absence of small business participation noted.
- Limited detail on specific IT items procured.
- Potential for cost creep under 'COST NO FEE' structure without strong oversight.
Tags
computer-systems-design-services, department-of-defense, ne, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $23.0 million to PERATON ENTERPRISE SOLUTIONS LLC. INFORMATION TECHNOLOGY CAPABILITIES CONTRACT II HARDWARE SOFTWARE PURCHASES
Who is the contractor on this award?
The obligated recipient is PERATON ENTERPRISE 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 $23.0 million.
What is the period of performance?
Start: 2024-01-01. End: 2024-06-30.
What specific IT hardware and software were procured under this contract, and how do they align with the Air Force's current and future technological requirements?
The provided data does not specify the exact hardware and software components. To assess alignment, a detailed breakdown of the procured items is necessary. This would allow for an evaluation of their relevance to the Air Force's strategic IT roadmap, ensuring investments support modernization goals and address evolving operational demands rather than simply fulfilling immediate, potentially short-sighted, needs.
Given the short 181-day duration, what is the plan for ensuring continuity and potential upgrades of these IT capabilities beyond the contract's end date?
The short duration suggests this contract may be for immediate needs or a bridge to a larger, longer-term solution. The Air Force likely has contingency plans for follow-on contracts or integration into existing enterprise agreements. Without further information, it's unclear if this is a standalone purchase or part of a phased approach, highlighting a potential risk in long-term IT strategy and resource allocation.
How does the pricing structure ('COST NO FEE') impact the government's ability to ensure cost-effectiveness and prevent potential overruns, especially in a competitive environment?
A 'COST NO FEE' contract implies the government reimburses the contractor for allowable costs but does not pay an additional fee. While this can be beneficial for R&D or uncertain projects, it places a strong emphasis on government oversight to control costs. In this IT hardware/software context, it necessitates rigorous auditing of expenses to ensure efficiency and prevent inflated costs, as the contractor has less direct financial incentive to minimize expenses compared to fixed-price contracts.
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 › IT AND TELECOM - APLLICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Pricing Type: COST NO FEE (S)
Evaluated Preference: NONE
Contractor Details
Address: 15050 CONFERENCE CENTER DR, CHANTILLY, VA, 20151
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $22,971,655
Exercised Options: $22,971,655
Current Obligation: $22,971,655
Actual Outlays: $88,498
Subaward Activity
Number of Subawards: 81
Total Subaward Amount: $36,990,070
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: FA460021D0001
IDV Type: IDC
Timeline
Start Date: 2024-01-01
Current End Date: 2024-06-30
Potential End Date: 2024-06-30 00:00:00
Last Modified: 2024-12-05
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