DoD's $23.2M Computer Systems Design Contract with Agile Defense Faces Scrutiny Over Competition and Value
Contract Overview
Contract Amount: $23,255,900 ($23.3M)
Contractor: Agile Defense, LLC
Awarding Agency: Department of Defense
Start Date: 2016-03-17
End Date: 2022-02-12
Contract Duration: 2,158 days
Daily Burn Rate: $10.8K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 10
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: IGF::CT::IGF IPN PATHFINDER
Place of Performance
Location: RESTON, FAIRFAX County, VIRGINIA, 20191
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $23.3 million to AGILE DEFENSE, LLC for work described as: IGF::CT::IGF IPN PATHFINDER Key points: 1. The contract awarded to Agile Defense, LLC for computer systems design services represents a significant investment by the Department of the Air Force. 2. While the contract was awarded under 'Full and Open Competition After Exclusion of Sources,' the specifics of this exclusion warrant further examination for potential competitive limitations. 3. The firm fixed-price contract type suggests a defined scope, but the duration and total value raise questions about cost-effectiveness over time. 4. The lack of small business participation is noted, potentially limiting broader economic impact and diverse solutions.
Value Assessment
Rating: fair
The contract's total value of $23.2 million over approximately 6 years suggests a moderate annual spend. Benchmarking against similar computer systems design services contracts would be necessary to definitively assess value for money, especially given the 'exclusion of sources' aspect.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES.' This specific procurement method implies that while competition was sought, certain sources were excluded, potentially limiting the breadth of competition and impacting price discovery.
Taxpayer Impact: The total value of over $23 million represents a substantial taxpayer investment. Ensuring the most competitive pricing was achieved despite the source exclusion is critical for maximizing taxpayer return.
Public Impact
Taxpayers may be paying more than necessary if the exclusion of sources limited competitive bids. The duration of the contract (over 6 years) means potential inefficiencies could persist for an extended period. Lack of small business involvement means missed opportunities for economic development and potentially innovative solutions from smaller firms.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition due to source exclusion
- Long contract duration
- No small business participation
Positive Signals
- Firm fixed-price contract type
- Awarded by Department of the Air Force
Sector Analysis
Computer Systems Design Services (NAICS 541512) is a broad category encompassing IT consulting, system integration, and related services. The Department of Defense is a major consumer of these services. Benchmarks for this sector vary widely based on complexity and scope.
Small Business Impact
The data indicates that small businesses were not involved in this contract (sb: false). This suggests a potential missed opportunity to leverage the innovation and agility of small businesses within the IT services sector.
Oversight & Accountability
The 'exclusion of sources' clause warrants further review to ensure proper justification and adherence to procurement regulations. Oversight should focus on whether this exclusion was necessary and if it resulted in a fair price.
Related Government Programs
- Computer Systems Design Services
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Potential for inflated costs due to limited competition
- Lack of transparency regarding source exclusion justification
- Extended period of potential inefficiency
- Missed opportunities for small business engagement
Tags
computer-systems-design-services, department-of-defense, va, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $23.3 million to AGILE DEFENSE, LLC. IGF::CT::IGF IPN PATHFINDER
Who is the contractor on this award?
The obligated recipient is AGILE DEFENSE, 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 $23.3 million.
What is the period of performance?
Start: 2016-03-17. End: 2022-02-12.
What was the specific justification for excluding certain sources in this 'Full and Open Competition After Exclusion of Sources' award, and did this exclusion impact the final price paid by the govern
The justification for excluding sources is critical. If the exclusion was not adequately justified or if it significantly reduced the number of potential bidders, it could lead to higher prices than a truly open competition. Further investigation into the procurement file is needed to understand the rationale and its financial implications for the taxpayer.
How does the total contract value of $23.2 million compare to industry benchmarks for similar computer systems design services over a 6-year period, considering the specific services rendered?
Benchmarking this contract's value requires detailed analysis of the specific services provided, the complexity of the systems designed, and prevailing market rates for similar contracts. Without this granular comparison, it's difficult to ascertain if $23.2 million represents a fair price or if potential cost savings were missed due to the procurement method.
What is the potential impact of the lack of small business participation on the overall effectiveness and innovation of the delivered computer systems design services?
While large businesses can deliver complex solutions, excluding small businesses can limit access to niche expertise, innovative approaches, and potentially more agile service delivery models. The government may miss out on specialized solutions or cost efficiencies that smaller, focused firms could offer in the computer systems design domain.
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 AFTER EXCLUSION OF SOURCES
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 10
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 11600 SUNRISE VALLEY DR STE 440, RESTON, VA, 20191
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Other Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $39,967,856
Exercised Options: $27,112,224
Current Obligation: $23,255,900
Actual Outlays: $532,700
Subaward Activity
Number of Subawards: 2
Total Subaward Amount: $1,727,943
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Parent Contract
Parent Award PIID: GS06F0626Z
IDV Type: GWAC
Timeline
Start Date: 2016-03-17
Current End Date: 2022-02-12
Potential End Date: 2023-03-15 00:00:00
Last Modified: 2025-04-24
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