DHS Awards $82M Network Management Contract to Peraton Enterprise Solutions LLC
Contract Overview
Contract Amount: $82,118,680 ($82.1M)
Contractor: Peraton Enterprise Solutions LLC
Awarding Agency: Department of Homeland Security
Start Date: 2017-09-25
End Date: 2027-04-12
Contract Duration: 3,486 days
Daily Burn Rate: $23.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 7
Pricing Type: LABOR HOURS
Sector: IT
Official Description: IGF::CL::IGF NETWORK MANAGEMENT SUPPORT SERVICES FOR THE NETWORK OPERATIONS CENTER
Place of Performance
Location: SPRINGFIELD, LOUDOUN County, DISTRICT OF COLUMBIA, 20598
Plain-Language Summary
Department of Homeland Security obligated $82.1 million to PERATON ENTERPRISE SOLUTIONS LLC for work described as: IGF::CL::IGF NETWORK MANAGEMENT SUPPORT SERVICES FOR THE NETWORK OPERATIONS CENTER Key points: 1. Contract awarded to Peraton Enterprise Solutions LLC for network management support. 2. Significant value of $82.1 million over its period of performance. 3. Competition method was full and open, suggesting potential for competitive pricing. 4. Sector is IT services, specifically computer systems design. 5. Contract duration is substantial, spanning from 2017 to 2027.
Value Assessment
Rating: fair
The contract's total value is $82.1 million. Without specific unit pricing or detailed task orders, a precise value assessment is difficult. However, the duration and scope suggest a moderate to high price point for network operations center support.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which generally allows for the widest range of potential bidders and can lead to more competitive pricing. The use of delivery orders under a larger contract structure allows for flexibility in tasking.
Taxpayer Impact: Taxpayer funds are being used for essential network operations support. The full and open competition aims to ensure value for money, but ongoing monitoring is needed to confirm cost-effectiveness.
Public Impact
Ensures continuity of critical network operations for U.S. Customs and Border Protection. Supports national security by maintaining robust communication infrastructure. Potential for job creation within the IT services sector. Funds allocated to a private contractor for essential government functions.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long contract duration may lead to price increases over time.
- Lack of specific performance metrics makes value assessment challenging.
- Potential for scope creep given the nature of network management.
Positive Signals
- Full and open competition promotes market efficiency.
- Contract supports critical border security functions.
- Experienced contractor likely provides stable service delivery.
Sector Analysis
This contract falls within the IT services sector, specifically computer systems design. Spending in this area is crucial for government operations, and benchmarks vary widely based on service complexity and duration. The $82.1 million over nearly 10 years suggests a significant, ongoing need.
Small Business Impact
The contract was awarded to Peraton Enterprise Solutions LLC, a large business. There is no indication that small businesses were specifically included or subcontracted in this award, which could be an area for improvement in future solicitations.
Oversight & Accountability
Oversight would typically be managed by the U.S. Customs and Border Protection contracting officer's representative. Regular performance reviews and audits are essential to ensure the contractor meets requirements and that taxpayer funds are used efficiently.
Related Government Programs
- Computer Systems Design Services
- Department of Homeland Security Contracting
- U.S. Customs and Border Protection Programs
Risk Flags
- Long contract duration.
- Lack of detailed performance metrics.
- Potential for cost overruns without strict oversight.
- No explicit small business participation noted.
Tags
computer-systems-design-services, department-of-homeland-security, dc, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $82.1 million to PERATON ENTERPRISE SOLUTIONS LLC. IGF::CL::IGF NETWORK MANAGEMENT SUPPORT SERVICES FOR THE NETWORK OPERATIONS CENTER
Who is the contractor on this award?
The obligated recipient is PERATON ENTERPRISE SOLUTIONS LLC.
Which agency awarded this contract?
Awarding agency: Department of Homeland Security (U.S. Customs and Border Protection).
What is the total obligated amount?
The obligated amount is $82.1 million.
What is the period of performance?
Start: 2017-09-25. End: 2027-04-12.
What specific network management services are included, and how do their costs compare to industry standards for similar government contracts?
The contract specifies network management support services for the Network Operations Center. Without a detailed breakdown of labor categories, hours, and specific tasks, a direct cost comparison is difficult. However, given the $82.1 million total value over a long period, it's crucial that DHS regularly benchmarks these costs against similar IT support contracts to ensure fair pricing and prevent overspending.
What are the key performance indicators (KPIs) for this contract, and how is Peraton's performance measured against them?
Key performance indicators are essential for assessing contract effectiveness and contractor performance. While not detailed in the provided data, typical KPIs for network management include network uptime, response times to incidents, security compliance, and successful implementation of upgrades. Regular performance reviews by CBP officials against these metrics are vital for accountability and ensuring the contractor delivers the required level of service.
How does the long contract duration (ending in 2027) impact the government's ability to adapt to evolving network technologies and security threats?
A long contract duration, like this one ending in 2027, can pose a risk of technological obsolescence if not managed proactively. The government must ensure contract clauses allow for flexibility to incorporate new technologies and address emerging threats. Regular reviews and potential modifications are necessary to keep the network infrastructure modern and secure, mitigating the risk of outdated systems.
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: 7
Pricing Type: LABOR HOURS (Z)
Evaluated Preference: NONE
Contractor Details
Parent Company: Veritas Capital Fund Management, L.L.C.
Address: 15050 CONFERENCE CENTER DR, CHANTILLY, VA, 20151
Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $102,223,832
Exercised Options: $82,118,680
Current Obligation: $82,118,680
Actual Outlays: $36,448,891
Subaward Activity
Number of Subawards: 67
Total Subaward Amount: $35,583,266
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Parent Contract
Parent Award PIID: HHSN316201200026W
IDV Type: GWAC
Timeline
Start Date: 2017-09-25
Current End Date: 2027-04-12
Potential End Date: 2027-04-12 00:00:00
Last Modified: 2026-04-14
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