Leidos awarded $20.1M for ADP Systems Analysis Services by NIH, with a 2009 start date

Contract Overview

Contract Amount: $20,105,849 ($20.1M)

Contractor: Leidos Management Systems Designers, Inc.

Awarding Agency: Department of Health and Human Services

Start Date: 2009-09-30

End Date: 2014-10-29

Contract Duration: 1,855 days

Daily Burn Rate: $10.8K/day

Competition Type: COMPETITIVE DELIVERY ORDER

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: ADP SYSTEMS ANALYSIS SERVICES

Place of Performance

Location: BETHESDA, MONTGOMERY County, MARYLAND, 20894

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $20.1 million to LEIDOS MANAGEMENT SYSTEMS DESIGNERS, INC. for work described as: ADP SYSTEMS ANALYSIS SERVICES Key points: 1. Contract value of $20.1 million over its period of performance. 2. Services provided by Leidos Management Systems Designers, Inc. 3. Contract awarded by the National Institutes of Health (NIH). 4. Focus on ADP Systems Analysis Services. 5. Contract duration of approximately 5 years. 6. Procured via a competitive delivery order.

Value Assessment

Rating: fair

The total contract value of $20.1 million over nearly five years suggests a moderate annual spend. Without specific details on the deliverables and the complexity of the ADP systems analyzed, a precise value-for-money assessment is challenging. Benchmarking against similar IT analysis contracts would be necessary to determine if the pricing is competitive. The firm fixed-price nature of the contract provides cost certainty for the government.

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 two bids suggests a degree of competition, but the exact number of solicitations and the nature of the competition (e.g., best value vs. lowest price technically acceptable) are not detailed. A competitive process generally aims to achieve fair market prices.

Taxpayer Impact: A competitive award process is beneficial for taxpayers as it typically drives down costs and encourages innovation from multiple providers, ensuring the government receives the best possible value.

Public Impact

Benefits the National Institutes of Health (NIH) by providing essential ADP systems analysis. Supports the operational efficiency and effectiveness of NIH's information technology infrastructure. Services are likely concentrated in Maryland, where the contractor is located. Impacts the IT workforce involved in systems analysis and design.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if system analysis requirements are not clearly defined.
Risk of vendor lock-in if the analysis leads to proprietary solutions.
Dependence on contractor expertise for critical system insights.

Positive Signals

Firm fixed-price contract provides cost predictability.
Competitive award process suggests potential for good value.
Long-term contract allows for sustained support and knowledge building.

Sector Analysis

This contract falls within the broader Information Technology (IT) services sector, specifically focusing on systems analysis and design. The IT services market is highly competitive and dynamic, with significant government spending. Comparable spending benchmarks would involve looking at other large-scale IT analysis and support contracts awarded by federal agencies, particularly within the healthcare and research domains.

Small Business Impact

The provided data does not indicate any small business set-aside or subcontracting requirements for this contract. Therefore, the direct impact on the small business ecosystem is likely minimal unless the prime contractor voluntarily engages small businesses for subcontracting opportunities.

Oversight & Accountability

As a competitive delivery order, this contract likely falls under the oversight of the awarding agency, the National Institutes of Health. Standard procurement regulations and contract management practices would apply. Transparency would be enhanced by public contract databases, and accountability would be managed through performance reviews and adherence to the contract terms. Specific Inspector General jurisdiction would depend on the agency's structure and the nature of any potential issues.

Related Government Programs

ADP Systems Modernization
IT Consulting Services
Software Development Support
Information Technology Services
Federal IT Procurement

Risk Flags

Contract duration exceeds 3 years
Contract value exceeds $10 million
Awarded via competitive delivery order

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $20.1 million to LEIDOS MANAGEMENT SYSTEMS DESIGNERS, INC.. ADP SYSTEMS ANALYSIS SERVICES

Who is the contractor on this award?

The obligated recipient is LEIDOS MANAGEMENT SYSTEMS DESIGNERS, INC..

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 $20.1 million.

What is the period of performance?

Start: 2009-09-30. End: 2014-10-29.

What specific types of ADP systems were analyzed under this contract, and what were the key findings or recommendations?

The contract focused on 'ADP SYSTEMS ANALYSIS SERVICES,' which is broad. Without access to the detailed statements of work, performance reports, or final analysis documents, it's impossible to specify the exact ADP systems analyzed. These could range from financial management systems, research data management platforms, or administrative support systems. Key findings and recommendations would be proprietary to NIH and Leidos unless publicly released. Typically, such analyses aim to identify inefficiencies, security vulnerabilities, opportunities for modernization, cost savings, or improved functionality. The value of the contract suggests a significant scope of work, potentially involving complex, mission-critical systems within the NIH.

How does the $20.1 million contract value compare to similar ADP systems analysis contracts awarded by NIH or other agencies?

Benchmarking the $20.1 million value requires comparing it to contracts with similar scope, duration, and complexity. Given the contract's duration of approximately five years (from late 2009 to late 2014), the average annual spend was around $4 million. This is a substantial but not extraordinary amount for IT services supporting a large agency like NIH. Similar contracts for large-scale IT analysis, system integration, or modernization efforts within agencies like HHS, CMS, or even DoD could range from a few million to tens or hundreds of millions of dollars, depending on the specific systems and services. Without more granular data on the specific deliverables and market rates for comparable services during that period, a precise comparison is difficult, but it appears to be within a reasonable range for a significant federal IT analysis effort.

What was the track record of Leidos Management Systems Designers, Inc. with the federal government prior to and during this contract?

Leidos (and its predecessor, SAIC, from which many IT service contracts were spun off) has a long and extensive history of contracting with the U.S. federal government across various agencies and sectors, including defense, intelligence, health, and civilian. Prior to and during this 2009-2014 contract, Leidos was a major federal contractor. Their track record generally includes large, complex IT services, systems engineering, and integration projects. Performance on specific contracts can vary, but as a large, established company, they typically possess the resources and experience to handle significant government requirements. Information on past performance, including any awards or disputes, would be available through federal procurement databases and agency performance records.

What are the potential risks associated with a contract for ADP systems analysis, and how might they have been mitigated?

Risks in ADP systems analysis can include unclear requirements leading to scope creep, inaccurate analysis due to insufficient data or expertise, security vulnerabilities discovered during analysis, and the potential for recommendations that are technically infeasible or prohibitively expensive. Mitigation strategies typically involve rigorous requirements definition, phased analysis with regular reviews and approvals, strong project management, clear communication channels between the contractor and government personnel, and robust security protocols. For this contract, the firm fixed-price nature incentivizes the contractor to manage scope effectively. The competitive award also suggests a selection process that likely vetted the contractor's proposed approach and capabilities to mitigate risks.

How has federal spending on IT systems analysis services evolved since this contract was awarded in 2009?

Federal spending on IT systems analysis and related services has generally increased significantly since 2009, driven by the need for modernization, cybersecurity enhancements, cloud migration, and data analytics capabilities. Agencies face constant pressure to update legacy systems, improve efficiency, and leverage technology for mission effectiveness. While specific 'ADP systems analysis' categories may have evolved into broader terms like 'IT modernization,' 'cloud services,' 'cybersecurity analysis,' or 'digital transformation,' the overall trend indicates sustained and often growing investment in these areas. Factors like the push for digital government initiatives, increased cyber threats, and the adoption of agile methodologies have shaped this evolution, likely leading to higher overall spending in related IT service categories.

Industry Classification

NAICS: Retail Trade › Electronics and Appliance Stores › Computer and Software Stores

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: COMPETITIVE DELIVERY ORDER

Solicitation Procedures: ALTERNATIVE SOURCES

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Leidos Holdings, Inc.

Address: 700 N FREDERICK AVE, GAITHERSBURG, MD, 20879

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $20,105,849

Exercised Options: $20,105,849

Current Obligation: $20,105,849

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Parent Contract

Parent Award PIID: GS35F4550G

IDV Type: FSS

Timeline