Leidos, Inc. awarded $17.9M for engineering services, with a 5-year duration

Contract Overview

Contract Amount: $17,909,054 ($17.9M)

Contractor: Leidos, Inc.

Awarding Agency: General Services Administration

Start Date: 2005-02-01

End Date: 2010-02-28

Contract Duration: 1,853 days

Daily Burn Rate: $9.7K/day

Competition Type: COMPETITIVE DELIVERY ORDER

Number of Offers Received: 3

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: SHALL PROVIDE LIFE CYCLE TECHNICAL AND PROGRAMMATIC ANALYSES SUPPORT

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35898

State: Alabama Government Spending

Plain-Language Summary

General Services Administration obligated $17.9 million to LEIDOS, INC. for work described as: SHALL PROVIDE LIFE CYCLE TECHNICAL AND PROGRAMMATIC ANALYSES SUPPORT Key points: 1. Contract awarded on a competitive basis, suggesting potential for price discovery. 2. The contract type is Time and Materials, which can pose cost control risks if not managed closely. 3. Performance period spans over 5 years, indicating a long-term need for these services. 4. The award was made by the General Services Administration, a common contracting vehicle. 5. Engineering services are critical for various government functions, implying broad applicability. 6. The contract was not set aside for small businesses, suggesting larger prime contractors were involved.

Value Assessment

Rating: fair

The total value of $17.9 million over five years averages to approximately $3.58 million per year. Without specific benchmarks for similar life cycle technical and programmatic analysis support, it is difficult to definitively assess value for money. The Time and Materials (T&M) contract type, while flexible, carries inherent risks of cost overruns if not meticulously managed and monitored for efficiency. Benchmarking against other T&M contracts for similar engineering services would be necessary for a more robust assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded as a competitive delivery order, indicating that multiple vendors likely had the opportunity to bid. The presence of competition is generally positive for price discovery and ensuring the government receives a fair market price. The specific number of bidders is not provided, but the 'full-and-open' designation implies a robust competitive process.

Taxpayer Impact: A competitive award process helps ensure taxpayer dollars are used efficiently by fostering a marketplace where contractors vie for the best price and performance.

Public Impact

The primary beneficiaries are government agencies requiring technical and programmatic analysis support. Services delivered likely include strategic planning, technical assessments, and program management assistance. The geographic impact is not specified but likely supports federal operations nationwide. Workforce implications may involve engineers, analysts, and program managers employed by the contractor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

Engineering services represent a significant segment of the federal contracting market, encompassing a wide range of specialized expertise. This contract falls within the professional, scientific, and technical services sector. Comparable spending benchmarks for similar technical and programmatic support contracts can vary widely based on scope, duration, and agency. The federal government consistently spends billions annually on engineering and related professional services to support its diverse missions.

Small Business Impact

The provided data indicates this contract was not set aside for small businesses (ss: false, sb: false). This suggests that the primary award went to a large business, Leidos, Inc. While there is no direct information on subcontracting plans, large prime contractors are often encouraged or required to subcontract a portion of the work to small businesses. The absence of a small business set-aside means that opportunities for direct prime contracting were likely limited for smaller firms in this specific award.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the relevant program office within the agency that awarded the contract (General Services Administration). Performance monitoring, invoice review, and compliance checks are standard oversight mechanisms. Transparency is generally facilitated through contract databases like FPDS, which provide award details. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Risk Flags

Tags

engineering-services, general-services-administration, leidos-inc, time-and-materials, competitive-delivery-order, professional-services, technical-support, programmatic-analysis, long-term-contract, federal-acquisition-service, alabama, >$10m

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $17.9 million to LEIDOS, INC.. SHALL PROVIDE LIFE CYCLE TECHNICAL AND PROGRAMMATIC ANALYSES SUPPORT

Who is the contractor on this award?

The obligated recipient is LEIDOS, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $17.9 million.

What is the period of performance?

Start: 2005-02-01. End: 2010-02-28.

What is the historical spending pattern for this specific contract vehicle or for Leidos, Inc. with the GSA for similar services?

Analyzing historical spending for this contract vehicle (if it's a recurring ID) or Leidos's broader contract portfolio with GSA for engineering and technical support would provide context. For instance, if Leidos has consistently performed well on similar T&M contracts with GSA, it might indicate a reliable track record. Conversely, a history of cost overruns or performance issues on comparable contracts could raise concerns. Without access to specific historical data for this award ID or detailed performance reviews, it's challenging to establish a definitive pattern. However, the 5-year duration and $17.9M value suggest a significant, ongoing relationship that likely has some established performance history within GSA's systems.

How does the awarded amount compare to the estimated value or budget for this type of engineering support?

The awarded amount of $17.9 million over five years, averaging approximately $3.58 million annually, needs to be benchmarked against the government's estimated budget or the typical cost for similar life cycle technical and programmatic analysis support. Without knowing the government's initial estimate or data from comparable contracts, it's difficult to ascertain if this award represents a good or fair price. The Time and Materials (T&M) nature of the contract means the final cost is dependent on actual hours worked and material used, making a direct comparison to a fixed-price contract challenging. A thorough analysis would require access to the government's cost estimates and data on similar T&M awards.

What are the specific performance metrics or Key Performance Indicators (KPIs) associated with this contract?

The provided data does not specify the performance metrics or Key Performance Indicators (KPIs) for this contract. For a Time and Materials contract, effective oversight often relies on tracking labor hours, material costs, and ensuring deliverables meet defined quality standards and timelines. The absence of explicit KPIs in the summary data makes it difficult to assess how contractor performance is measured and managed. Robust contracts typically include clauses that allow for remedies or adjustments if performance falls short. Understanding these metrics is crucial for evaluating the contractor's value and the overall success of the engagement.

What is the potential risk associated with the Time and Materials (T&M) contract type for this specific service?

The Time and Materials (T&M) contract type carries inherent risks, primarily related to cost control. Unlike fixed-price contracts, T&M agreements reimburse the contractor for direct labor hours at specified hourly rates and for the actual cost of materials. This structure can lead to cost overruns if the effort required is greater than anticipated or if labor hours are not efficiently utilized. For engineering services involving complex technical and programmatic analysis, predicting the exact effort can be challenging. Effective risk mitigation requires stringent oversight, detailed tracking of hours and materials, and clear definitions of what constitutes 'materials'. Without robust monitoring, the $17.9 million ceiling could be exceeded.

What is the track record of Leidos, Inc. in delivering similar engineering and programmatic analysis support to the federal government?

Leidos, Inc. is a major government contractor with a substantial track record across various federal agencies and service areas, including engineering and technical support. While specific performance details for this particular $17.9 million GSA contract are not detailed here, Leidos generally has extensive experience in complex program management and technical analysis. Their past performance on similar contracts would be a key factor in the GSA's decision-making process. A comprehensive assessment would involve reviewing past performance evaluations, any contract disputes, and their overall success rate in delivering comparable services to government clients.

How does the duration of this contract (5 years) impact the overall risk and value proposition?

A five-year duration for a $17.9 million contract indicates a long-term need for the engineering and programmatic analysis support being provided. This extended period offers potential benefits, such as fostering a deeper understanding of agency needs and allowing for the development of more integrated solutions. However, it also increases risks. The longer timeframe heightens the possibility of scope creep, evolving technological requirements, or changes in agency priorities that may not align with the original contract scope. Furthermore, the T&M nature of the contract means that costs can accumulate over a longer period, necessitating sustained and rigorous oversight to ensure value for money throughout the contract's life.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering Services

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

Competition & Pricing

Extent Competed: COMPETITIVE DELIVERY ORDER

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 4TWP21057902

Offers Received: 3

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Leidos Holdings, Inc. (UEI: 611641312)

Address: 1710 SAIC DRIVE, ROOM #8033, MCLEAN, VA, 90

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $31,386,480

Exercised Options: $17,974,795

Current Obligation: $17,909,054

Parent Contract

Parent Award PIID: GS23F0107J

IDV Type: FSS

Timeline

Start Date: 2005-02-01

Current End Date: 2010-02-28

Potential End Date: 2010-02-28 00:00:00

Last Modified: 2014-09-04

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