DHS Spends $119M on UNISYS BRIDGE SERVICES Task Order, Raising Value Questions

Contract Overview

Contract Amount: $119,364,804 ($119.4M)

Contractor: Unisys Corporation

Awarding Agency: Department of Homeland Security

Start Date: 2017-09-15

End Date: 2018-09-15

Contract Duration: 365 days

Daily Burn Rate: $327.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: IGF::OT::IGF TASPD O&M BRIDGE SERVICES

Place of Performance

Location: ALEXANDRIA, FAIRFAX County, VIRGINIA, 22315

State: Virginia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $119.4 million to UNISYS CORPORATION for work described as: IGF::OT::IGF TASPD O&M BRIDGE SERVICES Key points: 1. Significant spending on a single task order for bridge services. 2. UNISYS CORPORATION is the sole awardee, limiting competitive options. 3. The Time and Materials contract type can pose cost control risks. 4. Computer Systems Design Services sector sees substantial government investment.

Value Assessment

Rating: questionable

The $119.4M award for 365 days of service is substantial. Without detailed performance metrics or comparison to similar bridge service contracts, assessing value for money is difficult. The Time and Materials pricing model, while flexible, can lead to cost overruns if not closely managed.

Cost Per Unit: $327,027

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive process initially. However, this specific award is a delivery order, and the details of the competition for this particular order are not fully elaborated, potentially impacting price discovery.

Taxpayer Impact: The $119.4M expenditure represents a significant allocation of taxpayer funds for IT support services. Effective management and oversight are crucial to ensure this spending delivers intended value and avoids waste.

Public Impact

Taxpayers fund critical IT infrastructure maintenance and support. The large contract value highlights reliance on external IT service providers. Potential for cost overruns due to Time and Materials pricing. Ensuring data security and system integrity is paramount.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under Computer Systems Design Services, a sector crucial for government IT operations. The $119.4M spend is significant, reflecting the ongoing need for specialized IT support. Benchmarks for similar O&M bridge services contracts would provide better context for value assessment.

Small Business Impact

The data does not indicate any specific subcontracting goals or participation by small businesses in this particular delivery order. The primary awardee is a large corporation, suggesting limited direct opportunities for small businesses on this specific contract.

Oversight & Accountability

The contract was awarded via a delivery order, implying oversight exists within the larger contract framework. However, the Time and Materials nature necessitates robust oversight to control costs and ensure efficient service delivery. Further details on specific oversight mechanisms are needed.

Related Government Programs

Risk Flags

Tags

computer-systems-design-services, department-of-homeland-security, va, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $119.4 million to UNISYS CORPORATION. IGF::OT::IGF TASPD O&M BRIDGE SERVICES

Who is the contractor on this award?

The obligated recipient is UNISYS CORPORATION.

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 $119.4 million.

What is the period of performance?

Start: 2017-09-15. End: 2018-09-15.

What specific bridge services were provided under this task order, and how did their necessity justify the $119.4M cost?

The task order likely covered essential IT operational and maintenance support, potentially bridging gaps in existing capabilities or providing specialized expertise for critical systems within U.S. Customs and Border Protection. The high cost suggests complex or extensive services were required, possibly involving system upgrades, ongoing maintenance, or specialized technical support for sensitive infrastructure.

What mechanisms were in place to mitigate cost risks associated with the Time and Materials pricing model for this $119.4M contract?

While the data indicates a Time and Materials (T&M) pricing model, it doesn't detail specific cost control mechanisms. Effective mitigation typically involves establishing fixed-price CLINs for predictable tasks, setting not-to-exceed (NTE) limits, requiring detailed timesheets and justifications, and implementing rigorous project management oversight to monitor labor hours and rates.

How does the $327,027 per-unit cost benchmark compare to industry standards for similar IT O&M bridge services?

The provided per-unit cost of $327,027 is likely an aggregate figure for the entire contract duration or a specific period, not a direct comparison point without knowing the unit of measure (e.g., per hour, per system, per service). A true benchmark would require comparing rates for specific labor categories, service levels, and contract types within the IT O&M sector.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesComputer Systems Design Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 11720 PLAZA AMERICA DR TOWER III, 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: $119,364,804

Exercised Options: $119,364,804

Current Obligation: $119,364,804

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: HSHQDC14DE2013

IDV Type: IDC

Timeline

Start Date: 2017-09-15

Current End Date: 2018-09-15

Potential End Date: 2018-09-15 00:00:00

Last Modified: 2020-02-25

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