DHS awards $33.15M for TIM System design and development to Accenture Federal Services

Contract Overview

Contract Amount: $85,789,523 ($85.8M)

Contractor: Accenture Federal Services LLC

Awarding Agency: Department of Homeland Security

Start Date: 2012-08-01

End Date: 2014-10-31

Contract Duration: 821 days

Daily Burn Rate: $104.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 8

Pricing Type: COST PLUS AWARD FEE

Sector: IT

Official Description: THIS PR 21-12-202TTC221 FOR $33,151,300 IS TO FUND THE DESIGN AND DEVELOPMENT CONTRACT IN SUPPORT OF THE TIM SYSTEM. THE CONTRACTOR IS TO DEVELOP THE SYSTEM WITHIN THE DHS DATACENTERS TO THE SPECIFICATIONS OF THE SOW. CONTRACT #: TBD CONTRACTOR: TBD CO: RENEE GRACE COR: ALISON YOUNG POC: BRENDAN FARR 240-568-3501 SANDI REYNOLDS 572-227-1962

Place of Performance

Location: ANNAPOLIS JUNCTION, HOWARD County, MARYLAND, 20701

State: Maryland Government Spending

Plain-Language Summary

Department of Homeland Security obligated $85.8 million to ACCENTURE FEDERAL SERVICES LLC for work described as: THIS PR 21-12-202TTC221 FOR $33,151,300 IS TO FUND THE DESIGN AND DEVELOPMENT CONTRACT IN SUPPORT OF THE TIM SYSTEM. THE CONTRACTOR IS TO DEVELOP THE SYSTEM WITHIN THE DHS DATACENTERS TO THE SPECIFICATIONS OF THE SOW. CONTRACT #: TBD CONTRACTOR: TBD CO: RENEE GRACE COR: ALISON YO… Key points: 1. Contract focuses on system design and development within DHS datacenters. 2. Accenture Federal Services, a major IT contractor, is the awardee. 3. The contract type is Cost Plus Award Fee, indicating performance incentives. 4. Duration of 821 days suggests a substantial development effort. 5. The contract is for Computer Systems Design Services, a key IT sector. 6. Awarded by the Transportation Security Administration (TSA) under DHS.

Value Assessment

Rating: fair

The contract value of $33.15 million for system design and development over approximately 2.2 years appears within a reasonable range for complex IT projects. Benchmarking against similar system development contracts within DHS or TSA would provide a more precise value-for-money assessment. The Cost Plus Award Fee (CPAF) structure allows for flexibility but requires careful monitoring of performance to ensure cost efficiency and achievement of objectives.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting that multiple vendors had the opportunity to bid. The presence of 8 bidders indicates a competitive environment, which generally benefits the government by driving down prices and encouraging innovation. The specific details of the bidding process and the evaluation criteria would further illuminate the effectiveness of this competition in securing the best value.

Taxpayer Impact: Full and open competition is favorable for taxpayers as it increases the likelihood of receiving competitive pricing and high-quality services due to a wider pool of potential offerors.

Public Impact

The primary beneficiaries are the Department of Homeland Security, specifically the Transportation Security Administration, through the development of the TIM System. The services delivered include the design and development of a new IT system. The geographic impact is primarily within Maryland, where the contractor is located. Workforce implications include employment for IT professionals involved in system design and development.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Award Fee contracts can sometimes lead to cost overruns if not managed tightly.
The specific functionalities and performance metrics of the TIM System are not detailed, making it difficult to assess the full scope of work.
The duration of the contract (821 days) is substantial, requiring sustained oversight.

Positive Signals

Awarded under full and open competition, suggesting a competitive bidding process.
The contractor, Accenture Federal Services, is a well-established IT services provider.
The contract aims to develop a critical system for TSA operations.

Sector Analysis

This contract falls within the Computer Systems Design Services sector, a significant segment of the IT industry. The market for such services is large and competitive, with numerous firms offering specialized design and development capabilities. This contract represents a typical government investment in modernizing or developing essential IT infrastructure to support agency missions. Comparable spending benchmarks for similar system development projects within federal agencies can vary widely based on complexity and scope.

Small Business Impact

The contract does not indicate any specific small business set-aside. As a large contract awarded to a major IT services provider, it is unlikely to have direct subcontracting opportunities specifically targeted at small businesses unless mandated by the prime contractor or agency policy. The impact on the small business ecosystem would be minimal unless subcontracting plans are actively pursued.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the contracting officer's representative (COR) within the TSA. Performance monitoring, financial reviews, and adherence to the Statement of Work (SOW) are key accountability measures. Transparency would be enhanced through regular reporting requirements and potential audits by the DHS Office of Inspector General, depending on the contract's risk profile and value.

Related Government Programs

DHS IT Modernization Programs
TSA Systems Development Contracts
Federal Enterprise Architecture Initiatives
Computer Systems Design Services Contracts

Risk Flags

Potential for scope creep in system development.
Cybersecurity risks associated with new IT systems.
Integration challenges with existing DHS infrastructure.
Need for robust performance monitoring under CPAF.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $85.8 million to ACCENTURE FEDERAL SERVICES LLC. THIS PR 21-12-202TTC221 FOR $33,151,300 IS TO FUND THE DESIGN AND DEVELOPMENT CONTRACT IN SUPPORT OF THE TIM SYSTEM. THE CONTRACTOR IS TO DEVELOP THE SYSTEM WITHIN THE DHS DATACENTERS TO THE SPECIFICATIONS OF THE SOW. CONTRACT #: TBD CONTRACTOR: TBD CO: RENEE GRACE COR: ALISON YOUNG POC: BRENDAN FARR 240-568-3501 SANDI REYNOLDS 572-227-1962

Who is the contractor on this award?

The obligated recipient is ACCENTURE FEDERAL SERVICES LLC.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (Transportation Security Administration).

What is the total obligated amount?

The obligated amount is $85.8 million.

What is the period of performance?

Start: 2012-08-01. End: 2014-10-31.

What is the specific purpose and expected outcome of the TIM System?

The provided data indicates the contract is for the 'design and development contract in support of the TIM System.' However, the specific functionalities, objectives, and expected outcomes of the TIM System are not detailed in the provided information. To fully assess the contract's value and impact, understanding what the TIM System is intended to achieve for the Transportation Security Administration (TSA) is crucial. This could range from improving passenger screening processes, enhancing data management for security operations, or streamlining internal administrative functions. Without this context, it's challenging to evaluate if the $33.15 million investment is aligned with critical mission needs or if the system's development will yield significant operational improvements for TSA.

How does the Cost Plus Award Fee (CPAF) structure influence contractor performance and cost control for this contract?

The Cost Plus Award Fee (CPAF) contract structure allows the contractor, Accenture Federal Services, to be reimbursed for allowable costs plus a fee that is composed of a fixed base fee and an award amount. The award amount is determined by the government based on the contractor's performance against pre-defined criteria outlined in the contract. This structure incentivizes the contractor to perform well and meet or exceed performance objectives to maximize their fee. For this $33.15 million contract supporting the TIM System, the CPAF model suggests the government has specific performance expectations for the design and development phases. Effective management by the Contracting Officer's Representative (COR) is critical to ensure that the award fee criteria are objective, measurable, and directly tied to the successful design and development of the system, thereby controlling costs and ensuring value delivery.

What is Accenture Federal Services' track record with similar system design and development contracts within DHS or TSA?

Accenture Federal Services (AFS) is a major contractor with extensive experience in IT services, including system design and development for various federal agencies. While specific details on AFS's past performance on contracts identical to the TIM System project are not provided in this data snippet, their general profile suggests a capacity to handle complex IT projects. A comprehensive assessment would require reviewing AFS's past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS) for similar contracts, particularly those within the Department of Homeland Security (DHS) or the Transportation Security Administration (TSA). This would help gauge their reliability, technical expertise, and ability to deliver within budget and schedule on projects of comparable scope and complexity.

What are the potential risks associated with developing a new IT system within DHS datacenters?

Developing a new IT system within Department of Homeland Security (DHS) datacenters carries several inherent risks. These include cybersecurity threats, as the system must be secured against potential breaches and ensure data integrity and confidentiality, especially given the sensitive nature of DHS operations. Integration risks are also significant; the new TIM System must seamlessly interface with existing DHS IT infrastructure, which can be complex and prone to compatibility issues. Furthermore, there are risks related to scope creep, where project requirements may expand beyond the initial Statement of Work, leading to cost overruns and schedule delays. Ensuring the system meets the specific operational needs of the Transportation Security Administration (TSA) and is user-friendly for its personnel are also critical success factors that carry risk if not adequately addressed during the design and development phases.

How does this $33.15 million contract compare to historical IT spending by the TSA for system development?

To compare this $33.15 million contract for the TIM System with historical IT spending by the TSA for system development, one would need access to TSA's historical IT budget and contract data. Without that specific data, a direct comparison is difficult. However, $33.15 million represents a significant investment for a single system design and development effort. It suggests a project of considerable scope and complexity. TSA, like many large federal agencies, invests substantial amounts in IT to maintain and upgrade its operational systems. This contract's value should be assessed in the context of TSA's overall IT portfolio and its strategic priorities for modernization and capability enhancement. Understanding the average cost and duration of similar system development projects within TSA over the past several years would provide a valuable benchmark.

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

Offers Received: 8

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Parent Company: Accenture Public Limited Company (UEI: 985015354)

Address: 800 NORTH GLEBE RD #300, ARLINGTON, VA, 22203

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $89,930,819

Exercised Options: $85,789,523

Current Obligation: $85,789,523

Subaward Activity

Number of Subawards: 17

Total Subaward Amount: $15,596,894

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HSTS0212DTTC221

IDV Type: IDC

Timeline