Air Force awards $27.5M contract for continuous improvement support to HUMANIT SOLUTIONS LLC
Contract Overview
Contract Amount: $27,471,967 ($27.5M)
Contractor: Humanit Solutions LLC
Awarding Agency: Department of Defense
Start Date: 2023-08-16
End Date: 2026-06-18
Contract Duration: 1,037 days
Daily Burn Rate: $26.5K/day
Competition Type: NOT COMPETED
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: DCIDS CONTINUOUS IMPROVEMENT SUPPORT PHASE III SBIR
Place of Performance
Location: BEAVERCREEK TOWNSHIP, GREENE County, OHIO, 45431
State: Ohio Government Spending
Plain-Language Summary
Department of Defense obligated $27.5 million to HUMANIT SOLUTIONS LLC for work described as: DCIDS CONTINUOUS IMPROVEMENT SUPPORT PHASE III SBIR Key points: 1. Contract awarded on a sole-source basis, limiting price competition. 2. Duration of over 1000 days suggests a long-term need for these services. 3. The contract is for computer systems design services, a critical area for defense modernization. 4. The award value is significant, indicating a substantial investment in process improvement. 5. Performance is in Ohio, potentially impacting the local economy and workforce. 6. The firm fixed-price structure aims to control costs, but the lack of competition may inflate the price.
Value Assessment
Rating: fair
The contract value of $27.5 million over approximately 3 years represents a significant investment. Without a competitive bidding process, it is difficult to benchmark the value for money. The firm fixed-price structure provides some cost certainty, but the absence of competition raises concerns about whether the government is receiving the best possible price for these computer systems design services. Further analysis would require comparison to similar sole-source contracts for similar services.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was awarded on a sole-source basis, meaning only one vendor, HUMANIT SOLUTIONS LLC, was solicited. This significantly limits price discovery and competitive pressure. While sole-source awards can be justified in specific circumstances, such as unique capabilities or urgent needs, the lack of competition here means the government did not benefit from multiple offers, potentially leading to a higher price than if it had been competed.
Taxpayer Impact: Taxpayers may be paying a premium for these services due to the absence of a competitive bidding process. The government missed an opportunity to leverage market forces to secure a more favorable price.
Public Impact
The Department of the Air Force benefits from continuous improvement support, aiming to enhance operational efficiency and effectiveness. Services delivered include computer systems design, crucial for modernizing defense infrastructure. The geographic impact is concentrated in Ohio, where the contractor is located. Workforce implications may include job creation or utilization of specialized skills within HUMANIT SOLUTIONS LLC.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition may lead to inflated pricing.
- Sole-source award raises questions about the justification and necessity of not competing.
- Limited transparency into the selection process due to sole-source nature.
Positive Signals
- Firm fixed-price contract provides cost certainty.
- Focus on continuous improvement suggests a commitment to enhancing Air Force operations.
- Long-term contract duration indicates a sustained need and potential for stable service delivery.
Sector Analysis
This contract falls within the IT services sector, specifically computer systems design. The federal IT services market is vast, with significant spending allocated to modernization, cybersecurity, and operational support. Benchmarking this contract's value would require comparing it to other sole-source or competed contracts for similar system design and improvement services within the Department of Defense or other federal agencies. The SBIR (Small Business Innovation Research) designation suggests a focus on innovative solutions, though the prime contractor is not identified as a small business.
Small Business Impact
The data indicates this contract was not competed and the small business set-aside flag is false. Therefore, there is no direct indication of small business participation through a set-aside. Subcontracting opportunities for small businesses are not explicitly detailed in the provided data. The impact on the small business ecosystem is likely minimal unless HUMANIT SOLUTIONS LLC voluntarily engages small businesses for subcontracting.
Oversight & Accountability
Oversight mechanisms for this contract would typically involve the contracting officer's representative (COR) and the contracting officer (CO) within the Department of the Air Force. Accountability measures are inherent in the firm fixed-price contract type, requiring delivery of specified services. Transparency is limited due to the sole-source nature of the award. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.
Related Government Programs
- Defense IT Modernization Programs
- Air Force Systems Engineering Support
- Federal IT Services Contracts
- SBIR Program Contracts
Risk Flags
- Sole-source award lacks competitive justification.
- Potential for inflated pricing due to lack of competition.
- Limited transparency into contractor selection process.
Tags
it-services, computer-systems-design, department-of-defense, department-of-the-air-force, sole-source, firm-fixed-price, delivery-order, ohio, continuous-improvement, sbir
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $27.5 million to HUMANIT SOLUTIONS LLC. DCIDS CONTINUOUS IMPROVEMENT SUPPORT PHASE III SBIR
Who is the contractor on this award?
The obligated recipient is HUMANIT 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 $27.5 million.
What is the period of performance?
Start: 2023-08-16. End: 2026-06-18.
What is the specific justification for awarding this contract on a sole-source basis?
The provided data does not include the specific justification for the sole-source award. Typically, sole-source contracts are awarded when only one responsible source can provide the required supplies or services, such as when there is a unique capability, a critical need that cannot be met through competition, or in certain follow-on scenarios. A thorough review of the contract file and associated documentation would be necessary to ascertain the precise rationale. Without this information, it is difficult to assess whether the sole-source determination was appropriate and in the best interest of the government.
How does the awarded price compare to market rates for similar computer systems design services?
Directly comparing the awarded price to market rates is challenging without more specific details about the services rendered and the contractor's labor mix. The contract is for 'Computer Systems Design Services' under a firm fixed-price structure. To perform a robust comparison, one would need to analyze the scope of work, the level of expertise required, and benchmark against similar sole-source or competitively awarded contracts for comparable services. Given the sole-source nature, there's an inherent risk that the price may not reflect the most competitive market rate. Further analysis would involve accessing contract databases and industry reports for comparable data points.
What are the key performance indicators (KPIs) and deliverables for this contract?
The provided data does not specify the key performance indicators (KPIs) or detailed deliverables for this contract. As a 'Computer Systems Design Services' contract, typical deliverables might include system architecture designs, software development plans, integration strategies, testing protocols, and documentation. Performance would likely be assessed based on the quality, timeliness, and effectiveness of these deliverables in supporting the Air Force's continuous improvement initiatives. The contracting officer's representative (COR) would be responsible for monitoring performance against the contract's statement of work and any established KPIs.
What is the track record of HUMANIT SOLUTIONS LLC in performing similar federal contracts?
Information regarding HUMANIT SOLUTIONS LLC's track record with similar federal contracts is not provided in the data snippet. To assess their performance history, one would need to consult federal procurement databases such as SAM.gov (System for Award Management) or FPDS (Federal Procurement Data System) to review past awards, contract performance evaluations (e.g., CPARS - Contractor Performance Assessment Reporting System), and any reported issues or successes. A positive performance history would lend more confidence to the current award, while a history of issues might raise concerns.
What is the historical spending trend for continuous improvement support services within the Department of the Air Force?
The provided data focuses on a single contract award and does not offer historical spending trends for continuous improvement support services within the Department of the Air Force. To analyze historical spending, one would need to aggregate data from multiple contract awards over several fiscal years, filtering for relevant service categories (e.g., IT consulting, process improvement, systems design) and agencies. This would allow for the identification of patterns, fluctuations in spending, and the overall investment in such services over time.
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: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 4058 COLONEL GLENN HWY, BEAVERCREEK TOWNSHIP, OH, 45431
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $55,471,057
Exercised Options: $28,758,878
Current Obligation: $27,471,967
Actual Outlays: $3,196,361
Subaward Activity
Number of Subawards: 3
Total Subaward Amount: $5,304,394
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: FA877023DB001
IDV Type: IDC
Timeline
Start Date: 2023-08-16
Current End Date: 2026-06-18
Potential End Date: 2028-12-18 00:00:00
Last Modified: 2025-12-15
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