Deloitte Consulting LLP awarded $100.9M for MISCELLANEOUS ITEMS by HHS, National Institutes of Health

Contract Overview

Contract Amount: $100,904,218 ($100.9M)

Contractor: Deloitte Consulting LLP

Awarding Agency: Department of Health and Human Services

Start Date: 2007-06-26

End Date: 2009-11-30

Contract Duration: 888 days

Daily Burn Rate: $113.6K/day

Competition Type: COMPETITIVE DELIVERY ORDER

Number of Offers Received: 2

Pricing Type: OTHER (APPLIES TO AWARDS WHERE NONE OF THE ABOVE APPLY)

Sector: IT

Official Description: MISCELLANEOUS ITEMS

Place of Performance

Location: FORT BELVOIR, FAIRFAX County, VIRGINIA, 22060, UNITED STATES OF AMERICA

State: Virginia Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $100.9 million to DELOITTE CONSULTING LLP for work described as: MISCELLANEOUS ITEMS Key points: 1. Contract value of $100.9M for miscellaneous items suggests a broad scope of services or goods. 2. The award was made to a large, well-established contractor, Deloitte Consulting LLP. 3. The contract duration of 888 days indicates a medium-term engagement. 4. The contract was awarded under the GSA Federal Supply Schedule (FSS), suggesting a pre-competed framework. 5. The specific nature of 'MISCELLANEOUS ITEMS' warrants further investigation to understand the exact services or goods procured. 6. The contract was a competitive delivery order, implying some level of competition within the FSS. 7. The contract was not set aside for small businesses.

Value Assessment

Rating: fair

The total award amount of $100.9 million for 'MISCELLANEOUS ITEMS' over 888 days is substantial. Without specific details on the items or services provided, a direct value-for-money assessment is challenging. However, the contract was awarded through a competitive delivery order under the GSA Federal Supply Schedule, which generally implies some level of pre-negotiated pricing and competition. Benchmarking against similar 'miscellaneous items' contracts is difficult due to the vague description. The per-unit cost is not applicable without knowing the specific items.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded as a competitive delivery order under the GSA Federal Supply Schedule. This indicates that multiple vendors on the schedule were likely solicited, and the contract was awarded based on factors including price and technical qualifications. The presence of two bids suggests a moderate level of competition for this specific delivery order.

Taxpayer Impact: The competitive nature of this award, even within a schedule, is beneficial for taxpayers as it likely led to more favorable pricing than a sole-source procurement.

Public Impact

The primary beneficiary is the National Institutes of Health (NIH), a division of HHS, which received the miscellaneous items or services. The services or goods procured likely support the research and operational activities of the NIH. The geographic impact is primarily within Virginia, where the contractor is located. Workforce implications would depend on the nature of the 'miscellaneous items,' potentially involving specialized technical or support personnel.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The broad and undefined nature of 'MISCELLANEOUS ITEMS' raises concerns about the clarity of the procurement and potential for scope creep.
Lack of specific performance metrics or deliverables in the provided data makes it difficult to assess the contractor's performance objectively.
The significant contract value without clear itemization could indicate a lack of detailed planning or a need for flexibility that might come at a premium.

Positive Signals

Awarded through a competitive delivery order under the GSA Federal Supply Schedule, indicating adherence to established procurement procedures.
The contractor, Deloitte Consulting LLP, is a large and reputable firm with extensive experience in government contracting.
The contract was awarded to a single entity, suggesting a clear point of accountability for the delivery of goods or services.

Sector Analysis

The procurement falls under the 'Computer Systems Design Services' (NAICS 541512) category, which is a significant sector within federal IT spending. This sector encompasses a wide range of services, from custom software development to IT infrastructure management. Federal spending in this area is consistently high, driven by the need for modernizing legacy systems, cybersecurity, and data analytics capabilities across various agencies. Comparable spending benchmarks would typically involve analyzing other contracts for similar IT services, but the 'miscellaneous items' description makes direct comparison difficult.

Small Business Impact

This contract was not set aside for small businesses, and the data does not indicate any subcontracting plans or requirements. The award to a large prime contractor like Deloitte Consulting LLP suggests that the primary focus was on the capabilities of the large business, rather than specifically fostering small business participation through this particular award.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and program managers within the National Institutes of Health. As a GSA Federal Supply Schedule contract, it operates under the broader oversight framework of the General Services Administration. Transparency is limited by the general description of 'MISCELLANEOUS ITEMS'; detailed performance reports and spending breakdowns would be necessary for a thorough assessment. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

GSA Federal Supply Schedule Contracts
IT Professional Services
Department of Health and Human Services Contracts
National Institutes of Health IT Support
Computer Systems Design Services

Risk Flags

Vague contract description ('MISCELLANEOUS ITEMS')
Lack of specific performance metrics in provided data
Potential for scope creep due to undefined requirements

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $100.9 million to DELOITTE CONSULTING LLP. MISCELLANEOUS ITEMS

Who is the contractor on this award?

The obligated recipient is DELOITTE CONSULTING LLP.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (National Institutes of Health).

What is the total obligated amount?

The obligated amount is $100.9 million.

What is the period of performance?

Start: 2007-06-26. End: 2009-11-30.

What specific 'MISCELLANEOUS ITEMS' were procured under this contract?

The provided data does not specify the exact 'MISCELLANEOUS ITEMS' procured. This contract, awarded to Deloitte Consulting LLP by the National Institutes of Health (NIH) under NAICS code 541512 (Computer Systems Design Services), has a total value of $100.9 million and a duration of 888 days. The vagueness of 'MISCELLANEOUS ITEMS' suggests it could encompass a wide array of goods or services related to IT support, consulting, or potentially even specialized equipment not easily categorized. Without further details from the contract's statement of work or delivery orders, it is impossible to ascertain the precise nature of the items. This lack of specificity hinders a detailed analysis of value, performance, and impact.

How does the $100.9 million award compare to typical spending for 'MISCELLANEOUS ITEMS' at NIH?

Directly comparing the $100.9 million award for 'MISCELLANEOUS ITEMS' to typical spending at NIH is challenging due to the extremely broad and non-specific nature of the description. Federal procurement data often categorizes spending more granularly. If 'MISCELLANEOUS ITEMS' refers to general IT support or consulting services, then $100.9 million over approximately 2.4 years (888 days) is a significant investment. However, without knowing the specific services or goods, it's difficult to benchmark against other IT contracts. It's possible this represents a consolidated procurement for various needs or a flexible contract vehicle. Further investigation into the specific delivery orders issued against this contract would be necessary for a meaningful comparison.

What is Deloitte Consulting LLP's track record with similar contracts at HHS or NIH?

Deloitte Consulting LLP is a major federal contractor with a substantial history of awards across numerous agencies, including the Department of Health and Human Services (HHS) and its sub-agencies like the National Institutes of Health (NIH). While this specific $100.9 million contract for 'MISCELLANEOUS ITEMS' is noted, Deloitte has a broad portfolio encompassing IT services, consulting, and system integration. Their track record generally indicates experience with large-scale, complex projects. To assess their performance on similar contracts, one would need to examine specific past performance evaluations, contract modifications, and the nature of services delivered on other HHS/NIH contracts within the Computer Systems Design Services category or related areas. Their size and market position suggest a capacity to handle such significant awards.

What are the potential risks associated with a vaguely described contract like this?

The primary risk associated with a contract described as 'MISCELLANEOUS ITEMS' is a lack of clarity regarding the scope of work, deliverables, and expected outcomes. This ambiguity can lead to several issues: 1) Scope Creep: The contractor may interpret 'miscellaneous' broadly, leading to increased costs and extended timelines for services or goods not originally envisioned. 2) Difficulty in Performance Measurement: Without clearly defined tasks, it becomes challenging for the agency to objectively assess whether the contractor is meeting performance expectations. 3) Inefficient Resource Allocation: Funds might be spent on items or services that are not the highest priority for the agency. 4) Potential for Overpricing: Vague requirements can sometimes allow contractors to charge higher rates if the specific value or effort is not well-defined. 5) Accountability Issues: It can be harder to hold a contractor accountable for specific outcomes when the initial requirements are not precise.

How does the competitive delivery order mechanism impact price discovery for 'MISCELLANEOUS ITEMS'?

A competitive delivery order, especially when issued under an existing Federal Supply Schedule (FSS) contract like this one (awarded under GSA schedule), generally enhances price discovery compared to a sole-source award. It implies that multiple vendors holding relevant FSS contracts were solicited, and the NIH evaluated proposals based on factors including price. The fact that two bids were received indicates some level of competition. This process allows the agency to compare offerings and select the best value, likely resulting in a more competitive price than if only one vendor had been approached. However, the extent of price discovery is also influenced by the clarity of the specific requirements within the delivery order itself and the number of competing vendors.

What is the historical spending trend for NAICS 541512 (Computer Systems Design Services) at NIH?

Historical spending trends for NAICS 541512 (Computer Systems Design Services) at the National Institutes of Health (NIH) generally show a significant and often increasing investment over the years. Agencies like NIH rely heavily on IT services for managing vast amounts of research data, supporting scientific computing, maintaining electronic health records, and ensuring robust cybersecurity. Spending in this category typically reflects the ongoing need for system modernization, software development, cloud migration, data analytics, and specialized IT support for biomedical research. While the specific $100.9 million award to Deloitte is a single data point, the broader trend for this NAICS code at NIH indicates a sustained demand for these services, reflecting the agency's mission-critical reliance on advanced IT infrastructure and capabilities.

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

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 2

Pricing Type: OTHER (APPLIES TO AWARDS WHERE NONE OF THE ABOVE APPLY) (3)

Evaluated Preference: NONE

Contractor Details

Parent Company: Deloitte LLP (UEI: 014127109)

Address: 1725 DUKE ST, ALEXANDRIA, VA, 22314

Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership

Financial Breakdown

Contract Ceiling: $189,152,059

Exercised Options: $131,064,033

Current Obligation: $100,904,218

Contract Characteristics

Multi-Year Contract: Yes

Parent Contract

Parent Award PIID: 263010052

IDV Type: IDC

Timeline