Leidos Inc. awarded $16.3M for FORSCOM Cybersecurity Program Support by DoD
Contract Overview
Contract Amount: $16,325,808 ($16.3M)
Contractor: Leidos, Inc.
Awarding Agency: Department of Defense
Start Date: 2020-09-29
End Date: 2025-05-31
Contract Duration: 1,705 days
Daily Burn Rate: $9.6K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: FORSCOM CYBERSECURITY PROGRAM SUPPORT
Place of Performance
Location: FORT BRAGG, CUMBERLAND County, NORTH CAROLINA, 28310
Plain-Language Summary
Department of Defense obligated $16.3 million to LEIDOS, INC. for work described as: FORSCOM CYBERSECURITY PROGRAM SUPPORT Key points: 1. Contract value represents a significant investment in cybersecurity infrastructure. 2. Competition dynamics suggest a potentially competitive bidding process for this service. 3. Performance duration indicates a long-term commitment to cybersecurity needs. 4. The contract type (Firm Fixed Price) shifts cost risk to the contractor. 5. This award falls within the broader IT services sector for defense agencies.
Value Assessment
Rating: good
The contract value of $16.3 million over its period of performance appears reasonable for comprehensive cybersecurity program support. Benchmarking against similar contracts for IT infrastructure management and cybersecurity services within the Department of Defense suggests this pricing is within expected ranges. The firm-fixed-price structure provides cost certainty for the government, indicating good value if performance objectives are met.
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 specific number of bidders is not provided, but the 'full and open' designation generally implies a competitive environment. This approach is intended to foster price discovery and ensure the government receives the best value by considering a wide range of qualified contractors.
Taxpayer Impact: Taxpayers benefit from the potential for competitive pricing and the assurance that the contract was awarded through a transparent and inclusive process, maximizing the use of public funds.
Public Impact
The U.S. Army Forces Command (FORSCOM) is the primary beneficiary, receiving enhanced cybersecurity capabilities. Services delivered include crucial support for the FORSCOM Cybersecurity Program. The geographic impact is primarily within FORSCOM's operational areas, likely supporting military bases and personnel nationwide. Workforce implications may include the need for specialized cybersecurity personnel within Leidos, and potentially impacts on military personnel relying on secure IT systems.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for scope creep if cybersecurity threats evolve rapidly beyond the initial contract parameters.
- Dependence on a single contractor for critical cybersecurity functions could pose a risk if performance falters.
Positive Signals
- Firm Fixed Price contract structure provides cost predictability.
- Long performance period allows for sustained cybersecurity support.
- Awarded under full and open competition, suggesting a robust selection process.
Sector Analysis
This contract falls within the Information Technology (IT) sector, specifically focusing on cybersecurity services. The market for cybersecurity solutions is rapidly growing, driven by increasing digital threats and the critical need for data protection across all industries, particularly in defense. Comparable spending benchmarks for cybersecurity support services for large federal agencies often run into tens or hundreds of millions of dollars annually, making this $16.3 million award a significant, but not outlier, investment.
Small Business Impact
This contract was not set aside for small businesses, and there is no indication of specific subcontracting requirements for small businesses. Therefore, the direct impact on the small business ecosystem is likely minimal. However, Leidos, as a large prime contractor, may engage small businesses as subcontractors for specialized services, though this is not explicitly detailed in the provided data.
Oversight & Accountability
Oversight for this contract would typically be managed by the Defense Information Systems Agency (DISA) and the U.S. Army Forces Command (FORSCOM) contracting officers and program managers. Accountability measures are embedded within the contract's performance work statement and delivery schedules. Transparency is facilitated through contract award databases, though detailed performance metrics are usually internal. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.
Related Government Programs
- DoD Cybersecurity Strategy
- FORSCOM IT Modernization Programs
- Defense Information Systems Agency (DISA) Contracts
- Cybersecurity Services for Federal Agencies
Risk Flags
- Potential for performance issues impacting critical cybersecurity functions.
- Evolving cyber threat landscape may require scope adjustments.
- Dependence on a single contractor for essential services.
Tags
it, defense, cybersecurity, dod, forscom, leidos, full-and-open-competition, firm-fixed-price, delivery-order, computer-facilities-management-services, north-carolina
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $16.3 million to LEIDOS, INC.. FORSCOM CYBERSECURITY PROGRAM SUPPORT
Who is the contractor on this award?
The obligated recipient is LEIDOS, INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Information Systems Agency).
What is the total obligated amount?
The obligated amount is $16.3 million.
What is the period of performance?
Start: 2020-09-29. End: 2025-05-31.
What is Leidos Inc.'s track record with similar cybersecurity contracts for the Department of Defense?
Leidos Inc. has a substantial track record of performing IT and cybersecurity services for the Department of Defense and other federal agencies. They have been awarded numerous contracts for network security, information assurance, and cyber defense solutions. Their experience often includes managing complex IT infrastructures, developing and implementing security protocols, and responding to cyber threats. While specific performance metrics for past contracts are not detailed here, their consistent award of significant contracts suggests a generally positive performance history and capability to meet DoD requirements. Further analysis would involve reviewing past performance evaluations and any reported issues on previous DoD cybersecurity awards.
How does the $16.3 million contract value compare to other cybersecurity support contracts awarded by DISA or FORSCOM?
The $16.3 million contract value for FORSCOM Cybersecurity Program Support awarded to Leidos Inc. is a substantial sum, reflecting the critical nature and scope of cybersecurity services. When compared to other cybersecurity support contracts awarded by DISA or FORSCOM, this figure appears to be within a moderate to significant range. DISA, in particular, manages a vast portfolio of IT and cybersecurity contracts, many of which can exceed hundreds of millions of dollars annually for comprehensive support. FORSCOM's needs, while extensive, might see contracts of this magnitude for specific program support. Benchmarking requires detailed comparison of contract scope, duration, and specific services rendered, but $16.3 million is indicative of a key program investment rather than a minor task order.
What are the primary risks associated with this cybersecurity support contract?
The primary risks associated with this cybersecurity support contract include the evolving nature of cyber threats, which could necessitate scope adjustments or increased effort beyond initial projections. There's also the risk of contractor performance issues, where Leidos might not meet the required service levels or security standards, potentially impacting FORSCOM's operational security. Dependence on a single contractor for critical functions poses a risk if the contractor faces financial instability, legal challenges, or significant operational disruptions. Furthermore, the integration of new technologies or solutions by the contractor could introduce unforeseen vulnerabilities if not managed properly. Finally, data breaches or security incidents occurring under the contractor's watch, even if not directly their fault, could lead to significant reputational and operational damage for both the contractor and the government.
How effective is the 'full and open competition' approach in ensuring value for taxpayer money in this context?
The 'full and open competition' approach is generally considered the most effective method for ensuring value for taxpayer money in federal contracting, including for cybersecurity services. By allowing all responsible sources to bid, it fosters a competitive environment where contractors are incentivized to offer their best technical solutions at the most competitive prices. This process increases the likelihood of discovering innovative approaches and achieving economies of scale. For a critical area like cybersecurity, where technology and threats evolve rapidly, open competition can bring a wider array of expertise to the forefront. While it requires a robust evaluation process to select the best value offer, it fundamentally serves as a market mechanism to drive efficiency and cost-effectiveness, thereby maximizing the return on taxpayer investment.
What is the historical spending trend for FORSCOM cybersecurity program support?
Historical spending data specifically for 'FORSCOM Cybersecurity Program Support' is not directly available in the provided snippet. However, overall spending on cybersecurity within the Department of Defense has seen a consistent upward trend over the past decade, driven by increasing global cyber threats and the digitization of military operations. FORSCOM, as a major command within the Army, would be a significant contributor to this trend. Analyzing broader DoD or Army IT and cybersecurity budgets would likely show substantial and growing investments. This $16.3 million award should be viewed within that larger context of increasing defense cybersecurity expenditures.
What are the implications of the 'Firm Fixed Price' contract type for cost management and risk?
The 'Firm Fixed Price' (FFP) contract type places the majority of the cost risk on the contractor, Leidos Inc., in this case. This means that the contractor is obligated to complete the work for the agreed-upon price, regardless of their actual costs incurred. This is highly beneficial for the government (taxpayers) as it provides cost certainty and predictability, protecting against cost overruns. For Leidos, it incentivizes efficient performance and cost control. However, FFP contracts can sometimes lead to contractors being less flexible in accommodating changes or incorporating new requirements if they are not formally documented through change orders, which can be costly. It also requires a well-defined scope of work upfront to avoid disputes.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Facilities Management Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: HC102818R0024
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Leidos Holdings, Inc.
Address: 11951 FREEDOM DR FL 15, RESTON, VA, 20190
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $16,325,808
Exercised Options: $16,325,808
Current Obligation: $16,325,808
Subaward Activity
Number of Subawards: 4
Total Subaward Amount: $820,038
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: HC102820D0001
IDV Type: IDC
Timeline
Start Date: 2020-09-29
Current End Date: 2025-05-31
Potential End Date: 2025-05-31 00:00:00
Last Modified: 2025-10-30
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