Leidos Inc. awarded $346M ITESS task order by DHS ICE for professional, scientific, and technical services
Contract Overview
Contract Amount: $346,105,645 ($346.1M)
Contractor: Leidos, Inc.
Awarding Agency: Department of Homeland Security
Start Date: 2005-03-22
End Date: 2010-06-30
Contract Duration: 1,926 days
Daily Burn Rate: $179.7K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: IT
Official Description: IT SERVICES FOR OCIO. STARLIGHT INFORMATION TECHNOLOGY ENGINEERING SUPPORT SERVICES (ITESS) TASK ORDER.
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20536
Plain-Language Summary
Department of Homeland Security obligated $346.1 million to LEIDOS, INC. for work described as: IT SERVICES FOR OCIO. STARLIGHT INFORMATION TECHNOLOGY ENGINEERING SUPPORT SERVICES (ITESS) TASK ORDER. Key points: 1. Contract awarded via full and open competition, suggesting a robust market. 2. Task order type is Cost Plus Fixed Fee, which can incentivize cost control. 3. Duration of 1926 days indicates a long-term need for these services. 4. Services fall under 'All Other Professional, Scientific, and Technical Services,' a broad category. 5. Contract awarded to a single entity, Leidos, Inc., for specific IT engineering support. 6. The contract's value is substantial, reflecting significant IT support requirements.
Value Assessment
Rating: fair
Benchmarking the value of this specific task order is challenging without detailed service breakdowns and comparable contract data. The Cost Plus Fixed Fee (CPFF) pricing structure, while common, requires careful oversight to ensure costs remain reasonable and the fixed fee aligns with the scope of work. Without more granular data on the specific IT engineering support provided and its market rates, a definitive value-for-money assessment is difficult. However, the significant dollar amount suggests a critical need and potentially complex services.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This task order was awarded under a full and open competition, indicating that all responsible sources were permitted to submit offers. This approach generally fosters a competitive environment, allowing the government to solicit proposals from a wide range of qualified contractors. The number of bidders is not specified, but the full and open nature suggests that multiple companies likely vied for this work, potentially leading to better pricing and service options.
Taxpayer Impact: A full and open competition is generally favorable for taxpayers as it maximizes the potential for competitive pricing and encourages contractors to offer their best value to win the award.
Public Impact
The U.S. Immigration and Customs Enforcement (ICE) agency is the primary beneficiary, receiving IT engineering support. Services likely encompass a range of technical and professional support critical to ICE's IT infrastructure and operations. The contract's duration suggests sustained support for ongoing IT needs within the agency. Workforce implications may include the utilization of specialized IT engineering talent by Leidos, Inc.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee contracts can sometimes lead to cost overruns if not managed diligently.
- The broad 'All Other Professional, Scientific, and Technical Services' category makes it difficult to assess the specificity and necessity of all services rendered.
- Lack of specific performance metrics makes it hard to gauge the effectiveness of the IT engineering support provided.
Positive Signals
- Awarded through full and open competition, indicating a competitive bidding process.
- The long duration suggests a stable and ongoing requirement, potentially leading to efficiencies through contractor familiarity.
- Leidos, Inc. is a large, established government contractor with significant experience in IT services.
Sector Analysis
This contract falls within the broader IT services sector, specifically focusing on engineering support. The IT services market for the federal government is vast, with significant spending allocated to maintaining and upgrading complex systems. Contracts like this, supporting critical functions of agencies like DHS, are common. Benchmarks for similar IT engineering support task orders would typically vary based on the specific technologies, security requirements, and the level of expertise required.
Small Business Impact
The data indicates this contract was not set aside for small businesses (ss: false, sb: false). As a large contract awarded to a major prime contractor, it is possible that subcontracting opportunities may exist for small businesses, particularly for specialized IT support functions. However, without specific subcontracting plans or data, the direct impact on the small business ecosystem is not fully discernible from this record alone.
Oversight & Accountability
Oversight for this contract would primarily fall under the Department of Homeland Security's contracting officers and program managers. The Cost Plus Fixed Fee structure necessitates close monitoring of costs and performance to ensure adherence to the contract terms and to manage the fixed fee appropriately. Transparency is generally facilitated through contract databases like FPDS, but detailed operational oversight is internal to the agency. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.
Related Government Programs
- IT Professional Services
- Information Technology Support Services
- Engineering Services
- Department of Homeland Security IT Contracts
- Leidos Inc. Government Contracts
Risk Flags
- Broad service category may obscure specific performance details.
- CPFF contracts require diligent cost oversight.
- Long duration necessitates ongoing performance monitoring.
Tags
it-services, engineering-support, department-of-homeland-security, u-s-immigration-and-customs-enforcement, leidos-inc, cost-plus-fixed-fee, full-and-open-competition, task-order, district-of-columbia, professional-scientific-and-technical-services
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $346.1 million to LEIDOS, INC.. IT SERVICES FOR OCIO. STARLIGHT INFORMATION TECHNOLOGY ENGINEERING SUPPORT SERVICES (ITESS) TASK ORDER.
Who is the contractor on this award?
The obligated recipient is LEIDOS, INC..
Which agency awarded this contract?
Awarding agency: Department of Homeland Security (U.S. Immigration and Customs Enforcement).
What is the total obligated amount?
The obligated amount is $346.1 million.
What is the period of performance?
Start: 2005-03-22. End: 2010-06-30.
What specific IT engineering support services were provided under this task order?
The provided data categorizes this task order under 'All Other Professional, Scientific, and Technical Services' (NAICS 541990) for 'IT SERVICES FOR OCIO. STARLIGHT INFORMATION TECHNOLOGY ENGINEERING SUPPORT SERVICES (ITESS) TASK ORDER.' While the broad category suggests a wide range of potential services, specific details regarding the nature of the IT engineering support (e.g., network engineering, cybersecurity support, software development, systems integration, infrastructure management) are not explicitly detailed in the summary data. Further investigation into the original task order documentation would be required to ascertain the precise services rendered.
How does the Cost Plus Fixed Fee (CPFF) structure impact contractor incentives and government oversight for this contract?
The Cost Plus Fixed Fee (CPFF) contract structure involves the government reimbursing the contractor for allowable costs plus a predetermined fixed fee representing profit. This structure incentivizes the contractor to control costs, as the fee remains constant regardless of the final cost incurred. However, it also places a significant burden on the government to meticulously track and audit all incurred costs to ensure they are reasonable, allocable, and allowable. Effective oversight is crucial to prevent cost overruns and ensure the government receives fair value. For this $346 million task order, rigorous cost accounting and performance monitoring by DHS ICE would be essential.
What is the typical duration for IT engineering support task orders of this magnitude?
Task orders for IT engineering support can vary significantly in duration based on the project's scope, complexity, and the agency's long-term needs. A duration of 1926 days (approximately 5.3 years) for a $346 million task order is substantial, indicating a long-term, potentially mission-critical requirement. Shorter durations (1-3 years) are more common for projects with defined endpoints or evolving technology landscapes. Longer durations like this often reflect ongoing operational support, system sustainment, or phased development efforts where stability and continuity of service are paramount.
What does the 'All Other Professional, Scientific, and Technical Services' (NAICS 541990) classification imply about the services rendered?
The NAICS code 541990, 'All Other Professional, Scientific, and Technical Services,' is a broad classification used when services do not fit into more specific categories. For an IT engineering support task order, this could encompass a wide array of activities, such as specialized consulting, technical analysis, research and development support, program management, or other professional services that are not otherwise classified. Its broadness means that the specific nature of the IT engineering support provided under this contract could be diverse, ranging from high-level strategic advice to detailed technical implementation or support.
What is the significance of awarding this task order to Leidos, Inc. given their track record?
Leidos, Inc. is a major government contractor with extensive experience in providing IT, engineering, and mission support services across various federal agencies, including DHS. Awarding a significant task order like this to an established contractor like Leidos suggests the agency sought a proven entity with the capacity, expertise, and security clearances necessary to handle complex IT engineering requirements. Their track record likely includes successful delivery on similar large-scale contracts, providing the agency with a degree of confidence in their ability to perform.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Science Applications International Corporation (UEI: 078745061)
Address: 10260 CAMPUS POINT DR, SAN DIEGO, CA, 92121
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $633,582,938
Exercised Options: $461,705,071
Current Obligation: $346,105,645
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Parent Contract
Parent Award PIID: HS26301D0046NIH
IDV Type: IDC
Timeline
Start Date: 2005-03-22
Current End Date: 2010-06-30
Potential End Date: 2015-04-24 00:00:00
Last Modified: 2018-04-19
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