Leidos Inc. awarded $27.9M for Student Administration and Scheduling System (SASS) by DHS
Contract Overview
Contract Amount: $27,906,559 ($27.9M)
Contractor: Leidos, Inc.
Awarding Agency: Department of Homeland Security
Start Date: 2006-06-01
End Date: 2011-09-29
Contract Duration: 1,946 days
Daily Burn Rate: $14.3K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 8
Pricing Type: COST PLUS AWARD FEE
Sector: IT
Official Description: STUDENT ADMINISTRATION AND SCHEDULING SYSTEM (SASS)
Place of Performance
Location: BRUNSWICK, GLYNN County, GEORGIA, 31524
State: Georgia Government Spending
Plain-Language Summary
Department of Homeland Security obligated $27.9 million to LEIDOS, INC. for work described as: STUDENT ADMINISTRATION AND SCHEDULING SYSTEM (SASS) Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract type is Cost Plus Award Fee, which incentivizes contractor performance. 3. The duration of the contract is 1946 days, indicating a long-term service requirement. 4. The contract was awarded by the Department of Homeland Security (DHS) to support the Federal Law Enforcement Training Center. 5. The North American Industry Classification System (NAICS) code 541512 points to computer systems design services. 6. The contract value of $27.9M over its duration averages approximately $14,340 per day.
Value Assessment
Rating: fair
The contract value of $27.9 million over approximately 5.3 years for a student administration and scheduling system appears to be within a reasonable range for a system of this nature, though specific benchmarks are difficult to ascertain without more detailed scope information. The Cost Plus Award Fee (CPAF) structure allows for flexibility in costs while incentivizing performance, which can be beneficial for complex IT projects. However, CPAF contracts can sometimes lead to higher overall costs if award fees are consistently met without stringent cost controls.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded under a full and open competition, indicating that all responsible sources were permitted to submit a bid. With 8 bidders, the level of competition suggests a healthy market for these services. A higher number of bidders generally leads to better price discovery and can drive down costs for the government, although the specific pricing outcomes depend on the bids submitted and the negotiation process.
Taxpayer Impact: The full and open competition with multiple bidders is beneficial for taxpayers as it likely resulted in a more competitive price than a sole-source or limited competition award. This process helps ensure that taxpayer funds are used efficiently by leveraging market forces.
Public Impact
The primary beneficiaries are federal law enforcement agencies utilizing the Federal Law Enforcement Training Center. The contract delivers essential IT services for student administration and scheduling, crucial for training operations. The geographic impact is centered in Georgia, where the Federal Law Enforcement Training Center is located. The contract supports the IT workforce involved in the design, development, and maintenance of the SASS system.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Award Fee contracts can sometimes lead to cost overruns if not managed carefully, as the government pays costs plus a fee that can increase with performance.
- The long duration of the contract (1946 days) increases the risk of scope creep or the system becoming outdated before its end-of-life if not actively managed and updated.
- Without detailed performance metrics and award fee criteria, it's difficult to assess if the 'award' portion of the fee truly reflects exceptional value or simply meeting baseline requirements.
Positive Signals
- Awarded through full and open competition with 8 bidders, indicating a competitive market and potential for good value.
- The Cost Plus Award Fee structure incentivizes contractor performance, aiming for higher quality and efficiency.
- The contract supports a critical function for the Federal Law Enforcement Training Center, ensuring operational continuity.
Sector Analysis
The contract falls within the Computer Systems Design Services sector, a significant segment of the IT industry. This sector is characterized by a wide range of companies, from large system integrators like Leidos to smaller specialized firms. The market size for government IT services is substantial, with agencies continually investing in modernizing their systems. This contract for a student administration and scheduling system is a common requirement for large training institutions, fitting within the broader trend of digital transformation in government.
Small Business Impact
This contract was not set aside for small businesses, and the prime contractor, Leidos, Inc., is a large corporation. There is no explicit information provided regarding subcontracting plans for small businesses. Therefore, the direct impact on the small business ecosystem is likely minimal unless Leidos actively engages small businesses for subcontracting opportunities, which is not detailed in the provided data.
Oversight & Accountability
Oversight for this contract would typically be managed by the contracting officer and the program management office within the Department of Homeland Security's Federal Law Enforcement Training Center. Performance monitoring, cost tracking, and adherence to the Cost Plus Award Fee criteria would be key oversight mechanisms. Transparency is generally facilitated through contract award databases and reporting requirements, though detailed operational oversight specifics are not provided.
Related Government Programs
- Student Information Systems
- Learning Management Systems
- Federal Law Enforcement Training Programs
- IT System Modernization Contracts
- Department of Homeland Security IT Spending
Risk Flags
- Potential for cost overruns due to CPAF structure
- Risk of scope creep over the contract's long duration
- System obsolescence if not actively managed and updated
- Dependence on contractor performance for award fee achievement
Tags
it, computer-systems-design-services, department-of-homeland-security, federal-law-enforcement-training-center, cost-plus-award-fee, full-and-open-competition, large-contract, georgia, leidos-inc
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $27.9 million to LEIDOS, INC.. STUDENT ADMINISTRATION AND SCHEDULING SYSTEM (SASS)
Who is the contractor on this award?
The obligated recipient is LEIDOS, INC..
Which agency awarded this contract?
Awarding agency: Department of Homeland Security (Federal Law Enforcement Training Center).
What is the total obligated amount?
The obligated amount is $27.9 million.
What is the period of performance?
Start: 2006-06-01. End: 2011-09-29.
What is the track record of Leidos, Inc. in delivering similar IT systems for government agencies?
Leidos, Inc. has a substantial track record in providing IT services and complex system integration solutions to various government agencies, including defense, intelligence, and civilian sectors. They have experience in developing and managing large-scale IT infrastructure, software development, and cybersecurity solutions. For instance, they have been involved in projects related to data management, cloud migration, and enterprise resource planning systems. While specific details on their performance for the Student Administration and Scheduling System (SASS) contract with DHS are not provided here, their general profile suggests a capacity to handle such requirements. However, a deeper dive into past performance reviews, contract modifications, and any disputes or awards related to their IT system development contracts would be necessary for a comprehensive assessment.
How does the average daily cost of this contract compare to similar student administration systems in the federal government?
The average daily cost for this contract is approximately $14,340 ($27.9M / 1946 days). Benchmarking this against similar student administration and scheduling systems across the federal government is challenging without access to detailed cost breakdowns and scope of work for comparable contracts. Factors such as the complexity of features (e.g., advanced scheduling algorithms, integration with other HR/payroll systems, reporting capabilities), the number of users supported, and the level of customization significantly influence costs. Generally, IT system development and maintenance contracts can vary widely. A system supporting specialized federal law enforcement training might have unique requirements that differ from those of a typical academic institution, potentially impacting cost. A thorough comparison would require analyzing contracts with similar NAICS codes and functional requirements, adjusting for scale and complexity.
What are the primary risks associated with a Cost Plus Award Fee (CPAF) contract for IT system development?
Cost Plus Award Fee (CPAF) contracts carry inherent risks for the government. The primary risk is that the contractor may incur higher costs than necessary because the government agrees to pay all allowable incurred costs plus a fee. The fee is composed of a base fee (typically a small percentage of estimated costs) and an award fee, which is earned based on performance against pre-defined criteria. The risk is that contractors might focus on maximizing the award fee, potentially leading to scope creep or prioritizing easily achievable performance metrics over true value or cost efficiency. Effective oversight is crucial to mitigate these risks, ensuring that costs are reasonable and that the award fee criteria genuinely reflect exceptional performance and value for taxpayer money. Without robust oversight, CPAF can be more expensive than fixed-price contracts.
How effective is the Federal Law Enforcement Training Center (FLETC) in managing its IT contracts to ensure value for money?
Assessing the overall effectiveness of FLETC in managing its IT contracts requires a broader analysis of their procurement history, contract performance metrics, and any audits or reviews conducted by oversight bodies like the DHS Inspector General. The provided data indicates a competitive award for the SASS system, which is a positive sign. However, the effectiveness of ongoing contract management, particularly for a CPAF contract, depends heavily on the diligence of the contracting officer's representatives (CORs) and program managers in monitoring performance, controlling costs, and fairly administering award fees. Information on FLETC's specific IT contract management policies, their success rate in achieving performance targets, and their history of contract disputes or overruns would be needed to provide a definitive assessment of their effectiveness.
What has been the historical spending trend for student administration and scheduling systems at DHS or similar agencies?
Analyzing historical spending trends for student administration and scheduling systems at DHS or similar agencies would require access to historical contract databases and budget information. Generally, government spending on IT systems, including administrative and scheduling platforms, has been on an upward trend as agencies modernize operations and digitize services. Agencies like DHS, responsible for extensive training operations, often require robust systems to manage large volumes of students and complex training schedules. Spending in this category can fluctuate based on the lifecycle of existing systems (replacement needs), new technology adoption, and overall budget allocations. Without specific historical data for DHS or comparable agencies, it's difficult to pinpoint precise trends, but the general expectation is continued investment in such critical IT infrastructure.
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: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: LGL05R00010
Offers Received: 8
Pricing Type: COST PLUS AWARD FEE (R)
Evaluated Preference: NONE
Contractor Details
Parent Company: Leidos Holdings, Inc. (UEI: 611641312)
Address: 10260 CAMPUS POINT DR, SAN DIEGO, CA, 90
Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $27,906,560
Exercised Options: $27,906,559
Current Obligation: $27,906,559
Timeline
Start Date: 2006-06-01
Current End Date: 2011-09-29
Potential End Date: 2011-09-29 00:00:00
Last Modified: 2011-10-01
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