CACI INC - FEDERAL awarded $131.5M for IT Support Services, with 51 delivery orders over 4 years
Contract Overview
Contract Amount: $131,468,955 ($131.5M)
Contractor: CACI Inc - Federal
Awarding Agency: Department of Defense
Start Date: 2006-10-01
End Date: 2010-09-10
Contract Duration: 1,440 days
Daily Burn Rate: $91.3K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 51
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: IT SUPPORT SERVICES - LABOR
Place of Performance
Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22209
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $131.5 million to CACI INC - FEDERAL for work described as: IT SUPPORT SERVICES - LABOR Key points: 1. Value for money appears reasonable given the scale and duration of the contract. 2. The contract was awarded under full and open competition, suggesting a competitive pricing environment. 3. Risk indicators are moderate, with a long performance period and multiple delivery orders. 4. Performance context shows a significant IT support services contract for the Department of Defense. 5. Sector positioning is within IT services, specifically computer systems design. 6. The contract's total value of $131.5M is substantial for IT support services.
Value Assessment
Rating: good
The contract's total value of $131.5M over four years, encompassing 51 delivery orders, suggests a consistent need for IT support services. Benchmarking against similar large-scale IT support contracts within the Department of Defense indicates that the overall award value is within a typical range for such comprehensive services. The firm-fixed-price contract type generally provides cost certainty for the government, assuming CACI's performance met expectations.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of 51 delivery orders suggests a sustained requirement over the contract's duration. While the number of bidders is not explicitly stated, full and open competition generally fosters a competitive environment, which can lead to more favorable pricing for the government compared to sole-source or limited competition awards.
Taxpayer Impact: Full and open competition is beneficial for taxpayers as it maximizes the potential for competitive pricing and encourages a wider pool of contractors to vie for government business, potentially leading to cost savings.
Public Impact
The Department of Defense, specifically the Defense Information Systems Agency, benefits from enhanced IT support services. Services delivered include computer systems design and related IT support, crucial for military operations. The geographic impact is primarily within Virginia, where the contract was administered. Workforce implications include employment opportunities for IT professionals supporting CACI's contract.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long contract duration (4 years) could lead to potential cost increases if not managed effectively.
- Reliance on a single large contractor (CACI) for critical IT support services.
- Potential for scope creep across multiple delivery orders if not tightly managed.
- The firm-fixed-price nature requires careful monitoring to ensure quality is not sacrificed for cost.
- Lack of specific data on the number of bidders limits a full assessment of competitive pressure.
Positive Signals
- Awarded through full and open competition, indicating a competitive bidding process.
- Firm-fixed-price contract type provides cost predictability for the government.
- Multiple delivery orders suggest a structured approach to tasking and management.
- Significant contract value indicates a substantial and ongoing need for these services.
- CACI's established presence in federal IT contracting suggests experience and capability.
Sector Analysis
The IT support services sector is a critical component of government operations, enabling the functioning of various agencies. This contract falls under computer systems design services, a broad category encompassing system integration, IT consulting, and support. The market for these services is highly competitive, with numerous large and small businesses vying for federal contracts. Comparable spending benchmarks for large-scale IT support contracts within the Department of Defense often run into hundreds of millions of dollars over several years, making this $131.5M award significant but not extraordinary within its context.
Small Business Impact
This contract does not indicate any specific small business set-aside provisions (ss: false, sb: false). Therefore, the primary impact on small businesses would be through subcontracting opportunities, if CACI chose to engage them. Without explicit subcontracting plans or data, it's difficult to assess the extent to which small businesses benefited from this particular award. The absence of set-asides means larger, established firms were the primary focus of this competition.
Oversight & Accountability
The contract was administered by the Defense Information Systems Agency (DISA), a component of the Department of Defense, which has established oversight mechanisms for its contracts. The firm-fixed-price nature of the contract provides a degree of cost control. Transparency is generally maintained through contract award databases like FPDS. Accountability would be managed through contract performance reviews and delivery order management by DISA contracting officers. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.
Related Government Programs
- IT Professional Services
- Computer Systems Design Services
- Defense Information Systems Agency Contracts
- Department of Defense IT Support
- Information Technology Services
Risk Flags
- Long-term contract duration
- High contract value
- Reliance on a single prime contractor
- Potential for scope creep
- Firm-fixed-price contract type requires careful performance monitoring
Tags
it-services, computer-systems-design, department-of-defense, defense-information-systems-agency, virginia, full-and-open-competition, delivery-order, firm-fixed-price, large-contract, it-support
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $131.5 million to CACI INC - FEDERAL. IT SUPPORT SERVICES - LABOR
Who is the contractor on this award?
The obligated recipient is CACI INC - FEDERAL.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Information Systems Agency).
What is the total obligated amount?
The obligated amount is $131.5 million.
What is the period of performance?
Start: 2006-10-01. End: 2010-09-10.
What is CACI INC - FEDERAL's track record with the Department of Defense for IT support services?
CACI INC - FEDERAL has a substantial track record with the Department of Defense, having been awarded numerous contracts for IT support and related services over many years. This specific contract, valued at approximately $131.5 million, represents a significant engagement for IT support services. Their history with the DoD suggests a familiarity with military IT infrastructure, security requirements, and operational needs. Analyzing their past performance on similar contracts, including on-time delivery, budget adherence, and quality of service, would provide further insight into their reliability and capability in fulfilling such large-scale IT support requirements for the agency.
How does the value of this contract compare to other IT support services contracts awarded by the DoD?
The $131.5 million award to CACI INC - FEDERAL for IT support services is a substantial sum, indicative of a comprehensive, multi-year requirement. When compared to other IT support services contracts awarded by the Department of Defense, this contract falls within the mid-to-large range. The DoD frequently awards large, complex IT contracts, often in the hundreds of millions or even billions of dollars, to support its vast and technologically advanced operations. This particular contract's value suggests a significant scope of work, potentially encompassing system design, integration, maintenance, and user support across various defense entities. Its value is consistent with the DoD's ongoing investment in maintaining and modernizing its IT infrastructure.
What are the primary risks associated with a contract of this size and duration for IT support services?
A contract of this magnitude ($131.5M over 4 years) for IT support services carries several inherent risks. One primary risk is vendor lock-in, where the government becomes heavily reliant on a single provider, potentially limiting future flexibility or negotiation leverage. Another risk is cost overruns or scope creep, especially with multiple delivery orders, if requirements are not meticulously defined and managed. Performance degradation over time is also a concern, as maintaining consistent high-quality service delivery for an extended period can be challenging. Furthermore, technological obsolescence is a risk in the fast-paced IT sector; the services provided must remain relevant and effective throughout the contract's life. Finally, security vulnerabilities associated with IT support services are a constant concern for defense agencies.
What does the 'Computer Systems Design Services' classification imply about the services rendered under this contract?
The 'Computer Systems Design Services' (NAICS code 541512) classification indicates that the services procured under this contract likely involve the design of computer systems that integrate hardware, software, and communication technologies. This can encompass a wide range of activities, including analyzing user needs, designing system architecture, developing and implementing software solutions, configuring hardware, and providing ongoing technical support and maintenance. It suggests a focus on creating or improving IT infrastructure and ensuring that different technological components work together effectively to meet the specific operational requirements of the Defense Information Systems Agency or other DoD entities.
How has federal spending on IT support services evolved, and where does this contract fit in?
Federal spending on IT support services has consistently been a significant portion of government expenditures, driven by the increasing reliance on technology across all agencies. Over the years, there has been a trend towards consolidating IT services and outsourcing to specialized contractors to leverage expertise and potentially achieve economies of scale. This contract, awarded in 2006 for a period ending in 2010, reflects a substantial investment during a period of significant technological advancement and military operations. It fits within the broader pattern of the DoD outsourcing complex IT functions to large, capable contractors like CACI to manage and maintain its critical systems, ensuring operational readiness and modernization.
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
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 51
Pricing Type: FIRM FIXED PRICE (J)
Contractor Details
Parent Company: CACI International Inc
Address: 1100 N. GLEBE RD, ARLINGTON, VA, 22201
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $131,468,955
Exercised Options: $131,468,955
Current Obligation: $131,468,955
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Parent Contract
Parent Award PIID: GS07T00BGD0021
IDV Type: GWAC
Timeline
Start Date: 2006-10-01
Current End Date: 2010-09-10
Potential End Date: 2010-09-10 00:00:00
Last Modified: 2023-03-07
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