DHS awards $91.9M engineering services contract to Booz Allen Hamilton, spanning over 5 years

Contract Overview

Contract Amount: $91,883,560 ($91.9M)

Contractor: Booz Allen Hamilton Inc

Awarding Agency: Department of Homeland Security

Start Date: 2005-08-25

End Date: 2010-08-31

Contract Duration: 1,832 days

Daily Burn Rate: $50.2K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: NOT REPORTED

Sector: Other

Official Description: DHS/SETA

Place of Performance

Location: MC LEAN, FAIRFAX County, VIRGINIA, 22102

State: Virginia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $91.9 million to BOOZ ALLEN HAMILTON INC for work described as: DHS/SETA Key points: 1. Contract value represents a significant investment in engineering support for the Department of Homeland Security. 2. Booz Allen Hamilton, a large and established government contractor, secured this award. 3. The contract's duration of over 5 years suggests a need for long-term, consistent support. 4. The specific engineering services provided are crucial for the operational effectiveness of DHS. 5. The award was made under full and open competition, indicating a broad market search. 6. The contract type (BPA) suggests it may be a framework for future task orders.

Value Assessment

Rating: good

The contract value of $91.9 million over approximately five years averages to about $18.4 million annually. Without specific details on the scope of engineering services, direct comparison to similar contracts is challenging. However, Booz Allen Hamilton is a major player in the federal contracting space, and their pricing is generally considered competitive for the breadth of services they offer. The value appears reasonable for a large, multi-year engineering support contract with a major agency like DHS.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'Full and Open Competition After Exclusion of Sources,' which implies that while the competition was broad, certain sources may have been excluded for specific reasons. The fact that it was full and open competition suggests that multiple bidders were likely considered, leading to a more competitive pricing environment. The exclusion of sources, if significant, could potentially limit the range of specialized expertise available.

Taxpayer Impact: A full and open competition generally benefits taxpayers by fostering a competitive environment that can drive down costs and improve service quality, ensuring the government receives the best value for its investment.

Public Impact

The Department of Homeland Security benefits from specialized engineering expertise to support its diverse missions. Services likely include technical analysis, system design, and engineering support for various DHS components. The geographic impact is national, as DHS operates across the United States. The contract supports a workforce of skilled engineers and technical professionals, primarily employed by Booz Allen Hamilton.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if task orders under the BPA are not tightly managed.
Reliance on a single large contractor may limit flexibility in acquiring highly specialized, niche engineering skills.
The exclusion of certain sources, if not well-justified, could represent a missed opportunity for innovative solutions or cost savings.

Positive Signals

Award to a reputable contractor with a proven track record in government services.
The use of a BPA can streamline procurement for future needs, potentially reducing administrative burden and lead times.
Full and open competition, even with exclusions, suggests a structured procurement process aimed at achieving value.

Sector Analysis

Engineering services, classified under NAICS code 541330, represent a significant segment of the federal contracting market, encompassing a wide range of technical and design support. This contract fits within the broader professional services sector, where large firms like Booz Allen Hamilton often compete for substantial, long-term engagements. Comparable spending benchmarks in this sector vary widely based on the specific engineering disciplines and project complexity, but a contract of this magnitude indicates a substantial need for specialized expertise within DHS.

Small Business Impact

This contract does not appear to have a small business set-aside component, as indicated by 'sb: false'. Booz Allen Hamilton is a large business, and there is no explicit mention of subcontracting goals for small businesses within the provided data. This means that the primary contract value will flow to a large entity, and the direct impact on the small business ecosystem through this specific award is likely minimal unless Booz Allen Hamilton voluntarily engages small businesses as subcontractors.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of Homeland Security's contracting officers and program managers. The agency's procurement operations office is listed as the servicing agency. Transparency is generally maintained through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected or identified during the contract's performance.

Related Government Programs

DHS IT Support Services
DHS Program Management Support
Federal Engineering and Technical Services
Department of Defense Engineering Contracts
Professional Services Administration (GSA) Schedules

Risk Flags

Potential for vendor lock-in due to large contract size and duration.
Exclusion of sources may limit competitive landscape.
Need for robust oversight to manage task orders under BPA effectively.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $91.9 million to BOOZ ALLEN HAMILTON INC. DHS/SETA

Who is the contractor on this award?

The obligated recipient is BOOZ ALLEN HAMILTON INC.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (Office of Procurement Operations).

What is the total obligated amount?

The obligated amount is $91.9 million.

What is the period of performance?

Start: 2005-08-25. End: 2010-08-31.

What specific types of engineering services are being procured under this contract?

The provided data indicates the contract is for 'Engineering Services' under NAICS code 541330. While the specific sub-disciplines are not detailed, this category typically includes services such as civil engineering, mechanical engineering, electrical engineering, aerospace engineering, and systems engineering. For a large agency like DHS, these services could range from infrastructure design and analysis to complex system integration, cybersecurity engineering, and operational support for critical national security systems. Further details would likely be found in the contract's statement of work or task orders issued under the BPA.

How does the $91.9 million award compare to historical DHS spending on engineering services?

Historical spending data for DHS engineering services would be necessary for a precise comparison. However, a single award of $91.9 million suggests a significant and ongoing requirement for engineering expertise within the department. DHS, being a large federal agency with diverse operational needs, consistently requires substantial engineering support across its various components, including border security, cybersecurity, emergency management, and infrastructure. This award likely represents a portion of the department's overall engineering budget, potentially consolidating or replacing previous contracts.

What is the significance of the contract type being a BPA (Blanket Purchase Agreement)?

A Blanket Purchase Agreement (BPA) is a simplified method of filling anticipated repetitive needs for supplies or services. It's essentially a charge account or agreement established with qualified contractors. For DHS, using a BPA with Booz Allen Hamilton for engineering services means they have a pre-negotiated agreement in place. This allows for faster ordering and delivery of services as needs arise, without requiring a new competitive procurement for each individual task. It streamlines the acquisition process for recurring engineering requirements.

What are the potential risks associated with awarding a large contract to a single vendor like Booz Allen Hamilton?

Awarding a large contract to a single vendor, even a reputable one like Booz Allen Hamilton, carries potential risks. These can include vendor lock-in, where the agency becomes overly reliant on the contractor's specific processes and personnel, making it difficult to switch or integrate other solutions. There's also the risk that competition may be stifled for future related procurements if the incumbent has a significant advantage. Furthermore, if the contractor's performance falters or their pricing becomes uncompetitive over time, the agency may have limited immediate recourse due to the scale and duration of the contract.

What does 'Full and Open Competition After Exclusion of Sources' imply for the procurement process?

This contract type indicates that the procurement was initially intended for full and open competition, meaning all responsible sources were permitted to submit offers. However, 'after exclusion of sources' suggests that certain potential bidders were deliberately excluded from the competition. The reasons for exclusion must be justified and documented, often related to specific technical requirements, security clearances, or proprietary information. While it aims to ensure the most suitable candidates are considered, it can also limit the breadth of competition and potentially exclude innovative solutions from excluded firms.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: NOT REPORTED (NO)

Evaluated Preference: NONE

Contractor Details

Parent Company: Booz Allen Hamilton Holding Corporation (UEI: 964725688)

Address: 8283 GREENSBORO DR # 700, MC LEAN, VA, 90

Business Categories: Category Business, Not Designated a Small Business

Parent Contract

Parent Award PIID: HSHQPA05A00058

IDV Type: BPA

Timeline