HHS Spends $123.6M on Computer Systems Design Services with NTT DATA, Awarded via Full and Open Competition
Contract Overview
Contract Amount: $123,644,749 ($123.6M)
Contractor: NTT Data Services Federal Government, LLC
Awarding Agency: Department of Health and Human Services
Start Date: 2014-06-25
End Date: 2020-09-29
Contract Duration: 2,288 days
Daily Burn Rate: $54.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: TIME AND MATERIALS
Sector: IT
Official Description: IGF::CT::IGF
Place of Performance
Location: ATLANTA, DEKALB County, GEORGIA, 30329
State: Georgia Government Spending
Plain-Language Summary
Department of Health and Human Services obligated $123.6 million to NTT DATA SERVICES FEDERAL GOVERNMENT, LLC for work described as: IGF::CT::IGF Key points: 1. Significant contract value of $123.6 million over 6 years. 2. Awarded to NTT DATA SERVICES FEDERAL GOVERNMENT, LLC, indicating a major player in the IT services sector. 3. The contract was awarded under full and open competition, suggesting a robust price discovery process. 4. The sector is Computer Systems Design Services, a critical area for government operations.
Value Assessment
Rating: fair
The contract's value of $123.6 million over approximately 6 years suggests a substantial investment. Benchmarking against similar large-scale IT service contracts would be necessary to definitively assess value for money, but the duration and scope imply a significant commitment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which typically leads to more competitive pricing and a wider range of potential contractors. This method allows for the best possible price and technical solution to be identified.
Taxpayer Impact: Full and open competition generally benefits taxpayers by ensuring that government funds are used efficiently and that the most cost-effective solutions are pursued.
Public Impact
Impacts the Centers for Disease Control and Prevention (CDC) by providing essential IT infrastructure and support. Ensures continuity of critical public health data systems and services. Supports the operational efficiency of a key federal health agency.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Contract duration is long (6 years), potentially leading to vendor lock-in or missed opportunities for innovation.
- Time and Materials pricing could lead to cost overruns if not managed tightly.
- Lack of specific performance metrics or outcomes makes it difficult to assess true value.
Positive Signals
- Awarded through full and open competition, indicating a competitive bidding process.
- Contract supports a critical agency (CDC) with essential IT services.
- The contractor, NTT DATA, is a well-established IT services provider.
Sector Analysis
Computer Systems Design Services are crucial for modern government operations, encompassing IT infrastructure, software development, and system integration. Spending in this sector can vary widely based on agency needs, but significant investments are common for agencies like the CDC that rely heavily on data management and IT systems.
Small Business Impact
While the contract was awarded under full and open competition, there is no specific information provided regarding small business participation or subcontracting goals. Further analysis would be needed to determine if small businesses had a fair opportunity to compete or participate.
Oversight & Accountability
The contract was awarded as a delivery order under a larger contract vehicle (GA). Oversight would involve monitoring the contractor's performance against the terms of the delivery order and ensuring adherence to the pricing structure, especially given the Time and Materials nature.
Related Government Programs
- Computer Systems Design Services
- Department of Health and Human Services Contracting
- Centers for Disease Control and Prevention Programs
Risk Flags
- Potential for cost overruns due to Time and Materials pricing.
- Long contract duration may limit flexibility and innovation.
- Lack of detailed performance metrics makes value assessment difficult.
- No explicit information on small business participation.
Tags
computer-systems-design-services, department-of-health-and-human-services, ga, delivery-order, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $123.6 million to NTT DATA SERVICES FEDERAL GOVERNMENT, LLC. IGF::CT::IGF
Who is the contractor on this award?
The obligated recipient is NTT DATA SERVICES FEDERAL GOVERNMENT, LLC.
Which agency awarded this contract?
Awarding agency: Department of Health and Human Services (Centers for Disease Control and Prevention).
What is the total obligated amount?
The obligated amount is $123.6 million.
What is the period of performance?
Start: 2014-06-25. End: 2020-09-29.
What was the specific scope of work for these computer systems design services, and how did it align with the CDC's strategic IT objectives?
The provided data does not detail the specific scope of work beyond 'Computer Systems Design Services.' To assess alignment, one would need to review the contract's statement of work (SOW) and compare it against the CDC's IT modernization plans and public health mission priorities. Understanding the deliverables and expected outcomes is crucial for evaluating the contract's strategic relevance and effectiveness.
Given the Time and Materials (T&M) pricing structure, what mechanisms were in place to control costs and prevent potential overruns over the 6-year period?
Time and Materials contracts, while flexible, carry inherent risks of cost escalation. Effective oversight would require robust monitoring of labor hours, rates, and material costs, along with clear ceiling limitations and regular reviews by the contracting officer. The absence of specific cost control details in the summary data raises a potential concern regarding fiscal accountability and taxpayer value.
How was the performance of NTT DATA evaluated throughout the contract's duration, and were there any performance-related issues or successes documented?
The provided data does not include performance evaluation metrics or outcomes for this contract. Assessing performance would necessitate reviewing contractor performance reports, past performance questionnaires, and any documented feedback from the agency. Understanding how the contractor met or exceeded expectations is vital for judging the overall success and effectiveness of the IT services provided.
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
Solicitation ID: 2010N11852
Offers Received: 2
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Address: 8270 WILLOW OAKS CORPORATE DR, FAIRFAX, VA, 22031
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $147,842,168
Exercised Options: $137,842,168
Current Obligation: $123,644,749
Subaward Activity
Number of Subawards: 18
Total Subaward Amount: $34,215,786
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: HHSD200201037209I
IDV Type: IDC
Timeline
Start Date: 2014-06-25
Current End Date: 2020-09-29
Potential End Date: 2020-09-29 00:00:00
Last Modified: 2024-12-06
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