GSA's $33.7M IT services contract for FORSCOM command and control systems awarded competitively

Contract Overview

Contract Amount: $33,712,912 ($33.7M)

Contractor: Booz Allen Hamilton Inc

Awarding Agency: General Services Administration

Start Date: 2003-02-28

End Date: 2007-06-30

Contract Duration: 1,583 days

Daily Burn Rate: $21.3K/day

Competition Type: COMPETITIVE DELIVERY ORDER

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: THE OBJECTIVE OF THIS WORK STATEMENT IS TO DELIVER COMPREHENSIVE, INTEGRATED, END-TO-END INFORMATION TECHNOLOGY SERVICES FOR COMMAND AND CONTROL, IN THE FOLLOWING MANAGED SERVICES: NETWORK OPERATIONS (FORSCOM SYSTEMS MANAGEMENT CENTER), SYSTEM ADMINISTRATION, SYSTEM INTEGRATION AND TESTING, INFORMATION AND NETWORK SECURITY, TRAINING, FIELDING, QUALITY CONTROL, HELP DESK AND SPECIAL PROJECTS. THIS SOW COVERS THE SUPPORT REQUIREMENTS FOR ALL HQ FORSCOM NETWORKS AND ASSOCIATED NETWORKS AND REMOTE SITES.

Place of Performance

Location: ATLANTA, GEORGIA, 30330

State: Georgia Government Spending

Plain-Language Summary

General Services Administration obligated $33.7 million to BOOZ ALLEN HAMILTON INC for work described as: THE OBJECTIVE OF THIS WORK STATEMENT IS TO DELIVER COMPREHENSIVE, INTEGRATED, END-TO-END INFORMATION TECHNOLOGY SERVICES FOR COMMAND AND CONTROL, IN THE FOLLOWING MANAGED SERVICES: NETWORK OPERATIONS (FORSCOM SYSTEMS MANAGEMENT CENTER), SYSTEM ADMINISTRATION, SYSTEM INTEGRATION … Key points: 1. Contract provides comprehensive IT services including network operations, system administration, security, and help desk support. 2. Services are critical for FORSCOM's command and control capabilities across various networks and remote sites. 3. Awarded as a competitive delivery order, indicating a degree of market engagement. 4. Contract duration of approximately 4.3 years suggests a need for sustained IT support. 5. The contract type (Time and Materials) can pose cost control challenges if not managed diligently. 6. Focus on end-to-end IT solutions highlights the integrated nature of the support required.

Value Assessment

Rating: fair

The contract's value of $33.7 million over roughly 4.3 years averages to approximately $7.8 million annually. Without specific benchmarks for similar comprehensive IT support for military command and control systems, a precise value-for-money assessment is challenging. However, the Time and Materials pricing structure, while flexible, can lead to higher costs if not closely monitored for efficiency and necessity of hours billed. The absence of a fixed price or cost-plus-incentive-fee structure suggests a potential for cost overruns if not managed proactively.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded as a 'COMPETITIVE DELIVERY ORDER' under a larger indefinite-delivery indefinite-quantity (IDIQ) contract, suggesting that multiple vendors had the opportunity to bid. The specific number of bidders for this particular delivery order is not detailed, but the 'full-and-open' competition designation implies a robust bidding process. This level of competition is generally expected to drive more favorable pricing and service offerings.

Taxpayer Impact: A competitive award process helps ensure that taxpayer dollars are used efficiently by leveraging market forces to obtain the best possible value for IT services essential to military operations.

Public Impact

FORSCOM (U.S. Army Forces Command) personnel benefit from reliable and integrated IT systems for command and control. Services delivered include network operations, system administration, information security, and help desk support. Geographic impact covers HQ FORSCOM networks and associated remote sites, ensuring operational continuity. Workforce implications include the need for skilled IT professionals to manage and maintain complex systems.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials contract type can lead to cost escalation if not strictly managed.
Lack of specific performance metrics in the provided data makes it difficult to assess service quality outcomes.
The broad scope of IT services could lead to potential integration challenges between different support functions.

Positive Signals

Awarded through a competitive process, suggesting potential for good value.
Focus on end-to-end IT services indicates a comprehensive approach to system support.
Longer contract duration allows for stability and continuity in critical IT operations.

Sector Analysis

This contract falls within the Computer Systems Design Services sector, a significant segment of the IT services market. The federal government is a major consumer of these services, particularly for maintaining complex operational systems like those used for military command and control. Spending in this area is driven by the need for secure, reliable, and integrated IT infrastructure to support national defense and other government functions. Comparable spending benchmarks would typically involve analyzing other large-scale IT support contracts for defense agencies.

Small Business Impact

The provided data indicates that this contract was not specifically set aside for small businesses (ss: false, sb: false). As a result, large businesses likely competed for and were awarded this contract. There is no explicit information on subcontracting plans for small businesses within this specific delivery order, which could limit opportunities for the small business ecosystem in this particular instance.

Oversight & Accountability

Oversight for this contract would typically be managed by the General Services Administration (GSA) and the relevant contracting officers within the agency receiving the services (FORSCOM). The delivery order mechanism under an IDIQ contract usually includes defined reporting requirements and performance monitoring. Transparency is generally facilitated through contract databases like FPDS, though detailed performance reviews are often internal. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

FORSCOM IT Support Services
Command and Control Systems IT
Network Operations and Security Contracts
IT Services for Defense Agencies
General Services Administration IT Contracts

Risk Flags

Potential for cost overruns due to Time and Materials pricing.
Lack of specific performance metrics in provided data.
Scope definition clarity for complex IT integration.
Dependency on contractor for critical command and control IT infrastructure.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $33.7 million to BOOZ ALLEN HAMILTON INC. THE OBJECTIVE OF THIS WORK STATEMENT IS TO DELIVER COMPREHENSIVE, INTEGRATED, END-TO-END INFORMATION TECHNOLOGY SERVICES FOR COMMAND AND CONTROL, IN THE FOLLOWING MANAGED SERVICES: NETWORK OPERATIONS (FORSCOM SYSTEMS MANAGEMENT CENTER), SYSTEM ADMINISTRATION, SYSTEM INTEGRATION AND TESTING, INFORMATION AND NETWORK SECURITY, TRAINING, FIELDING, QUALITY CONTROL, HELP DESK AND SPECIAL PROJECTS. THIS SOW COVERS THE SUPPORT REQUIREMENTS FOR ALL HQ FORSCOM NETWORKS AND ASSOCIATED NETWORKS AND REMOTE

Who is the contractor on this award?

The obligated recipient is BOOZ ALLEN HAMILTON INC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $33.7 million.

What is the period of performance?

Start: 2003-02-28. End: 2007-06-30.

What is the track record of Booz Allen Hamilton Inc. in delivering similar IT services for defense agencies?

Booz Allen Hamilton Inc. has a long-standing and extensive track record of providing a wide array of IT and management consulting services to various U.S. federal agencies, including significant support for defense and intelligence communities. They have historically been involved in large-scale IT modernization, cybersecurity, systems integration, and operational support contracts for entities like the Department of Defense, Army, Navy, and Air Force. Their experience often encompasses complex command and control systems, network infrastructure management, and data analytics. While this specific contract was awarded in 2003 and concluded in 2007, it aligns with their core competencies. Assessing their performance on this particular contract would require reviewing performance reports, customer satisfaction surveys, and any documented issues or commendations from the period. Generally, their extensive portfolio suggests a capacity to handle such requirements, though the success of any individual contract depends on specific execution and oversight.

How does the average annual cost of this contract compare to similar IT support contracts for military command and control systems?

The average annual cost for this contract was approximately $7.8 million ($33.7M / 4.3 years). Benchmarking this against similar contracts is challenging without access to a comprehensive database of IT support contracts for military command and control systems, including their scope, duration, and specific services. However, IT support for defense agencies is typically complex and high-value due to security requirements, integration needs, and the critical nature of operations. Contracts for comprehensive end-to-end IT services, encompassing network operations, system administration, and security for a large command, can range from several million to tens or even hundreds of millions of dollars annually, depending on the size and complexity of the supported organization. The $7.8 million annual average appears to be within a plausible range for substantial IT support, but a definitive comparison would require detailed analysis of comparable contract vehicles and their specific deliverables.

What are the primary risks associated with a Time and Materials (T&M) contract for IT services of this nature?

The primary risk associated with a Time and Materials (T&M) contract, like the one used here, is the potential for cost overruns. Unlike fixed-price contracts, T&M agreements reimburse the contractor for the actual labor hours and material costs incurred. If the scope of work is not clearly defined, or if project management and oversight are insufficient, the contractor may incur more hours or use more expensive materials than anticipated, leading to a higher final cost than initially projected. For the government, this necessitates robust monitoring of labor hours, rates, and material expenses to ensure efficiency and prevent unnecessary charges. There's also a risk that the contractor might be incentivized to extend the time spent on tasks rather than focusing on rapid completion, although the competitive nature of the award and potential for future contracts can mitigate this. Effective oversight, clear task definitions, and strong communication are crucial to managing these risks.

How effective was the 'full-and-open' competition in ensuring value for this specific delivery order?

The 'full-and-open' competition designation for this delivery order suggests that the contract was awarded after a process where all responsible sources were permitted to submit bids. This competitive environment is generally considered the most effective mechanism for ensuring value for taxpayer money, as it encourages multiple vendors to offer their best pricing and technical solutions to win the contract. While the specific number of bidders for this particular delivery order is not provided, the competitive nature itself implies that the government sought to leverage market forces. The effectiveness in ensuring value is also contingent on the clarity of the Statement of Work (SOW), the evaluation criteria used, and the diligence of the contracting officers in assessing proposals. A competitive award is a strong indicator of potential value, but actual value realization depends on ongoing contract management and performance.

What are the implications of this contract's IT services scope on FORSCOM's operational readiness?

The scope of this contract, encompassing comprehensive, integrated, end-to-end IT services for command and control, has direct and significant implications for FORSCOM's operational readiness. By ensuring the reliable functioning of networks, systems administration, information security, and help desk support, the contract directly supports the infrastructure upon which FORSCOM's command and control capabilities depend. Reliable IT systems are fundamental for communication, intelligence dissemination, logistical coordination, and strategic planning. Any disruption or degradation in these IT services could impede FORSCOM's ability to command and control its forces effectively, potentially impacting readiness for missions. Therefore, the successful execution of this contract is critical for maintaining FORSCOM's operational effectiveness and responsiveness.

How has federal spending on Computer Systems Design Services (NAICS 541512) evolved since this contract was awarded?

Federal spending on Computer Systems Design Services (NAICS 541512) has generally seen a significant upward trend since this contract was awarded in 2003. The increasing reliance on technology across all government functions, coupled with evolving cybersecurity threats and the need for sophisticated IT infrastructure, has driven consistent growth in this sector. Agencies across defense, civilian, and intelligence communities continue to invest heavily in IT modernization, cloud migration, data analytics, and cybersecurity solutions, all of which fall under this NAICS code. While specific year-over-year fluctuations occur based on budget cycles and emerging priorities, the overall trajectory for federal spending on computer systems design and related IT services has been one of sustained increase, reflecting the critical role of IT in government operations.

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: COMPETITIVE DELIVERY ORDER

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Contractor Details

Parent Company: Booz Allen Hamilton Holding Corporation (UEI: 964725688)

Address: 8283 GREENSBORO DR # 700, MC LEAN, VA, 90

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $33,909,307

Exercised Options: $33,712,912

Current Obligation: $33,712,912

Parent Contract

Parent Award PIID: GS09K99BHD0002

IDV Type: GWAC

Timeline