DHS awards $55.4M for TSA program management and maintenance to Leidos

Contract Overview

Contract Amount: $55,389,732 ($55.4M)

Contractor: Leidos Security Detection & Automation, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2015-10-01

End Date: 2016-09-30

Contract Duration: 365 days

Daily Burn Rate: $151.8K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Transportation

Official Description: IGF::CT::IGF TASK ORDER HSTS04-15-J-CT3022 (TO1) IS TO PROCURE THE PROGRAM MANAGEMENT SUPPORT AND PREVENTATIVE AND CORRECTIVE MAINTENANCE SERVICE FOR THE PERIOD OF 10/1/2015 THROUGH 9/30/2016.

Place of Performance

Location: WOBURN, MIDDLESEX County, MASSACHUSETTS, 01801

State: Massachusetts Government Spending

Plain-Language Summary

Department of Homeland Security obligated $55.4 million to LEIDOS SECURITY DETECTION & AUTOMATION, INC. for work described as: IGF::CT::IGF TASK ORDER HSTS04-15-J-CT3022 (TO1) IS TO PROCURE THE PROGRAM MANAGEMENT SUPPORT AND PREVENTATIVE AND CORRECTIVE MAINTENANCE SERVICE FOR THE PERIOD OF 10/1/2015 THROUGH 9/30/2016. Key points: 1. Contract awarded to Leidos for program management and maintenance services. 2. Services include preventative and corrective maintenance for a 1-year period. 3. The contract was not competed, raising potential value concerns. 4. The sector is Transportation Security Administration, a key area for DHS.

Value Assessment

Rating: questionable

The contract value of $55.4M for a single year of program management and maintenance services appears high without competitive benchmarking. Further analysis is needed to determine if this price is reasonable compared to similar services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This limits price discovery and may result in a higher cost to taxpayers compared to a competitively awarded contract.

Taxpayer Impact: The lack of competition for a $55.4M contract raises concerns about potential overspending and inefficient use of taxpayer funds.

Public Impact

Ensures continued operation of critical TSA systems through maintenance and support. Impacts passenger screening and security operations at airports. Potential for increased costs due to non-competitive award.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the IT and support services sector, specifically for the Transportation Security Administration. Spending benchmarks for similar program management and maintenance contracts are typically driven by the complexity and criticality of the systems supported.

Small Business Impact

This contract was awarded to Leidos Security Detection & Automation, Inc., a large business. There is no indication of small business participation in this specific award.

Oversight & Accountability

The non-competitive nature of this award warrants close oversight to ensure the government is receiving fair value for the services provided. Accountability for performance and cost management is crucial.

Related Government Programs

Risk Flags

Tags

other-electronic-and-precision-equipment, department-of-homeland-security, ma, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $55.4 million to LEIDOS SECURITY DETECTION & AUTOMATION, INC.. IGF::CT::IGF TASK ORDER HSTS04-15-J-CT3022 (TO1) IS TO PROCURE THE PROGRAM MANAGEMENT SUPPORT AND PREVENTATIVE AND CORRECTIVE MAINTENANCE SERVICE FOR THE PERIOD OF 10/1/2015 THROUGH 9/30/2016.

Who is the contractor on this award?

The obligated recipient is LEIDOS SECURITY DETECTION & AUTOMATION, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $55.4 million.

What is the period of performance?

Start: 2015-10-01. End: 2016-09-30.

What was the justification for awarding this contract on a sole-source basis?

The justification for a sole-source award typically involves unique capabilities, urgent needs, or a lack of available sources. Without further documentation, it's difficult to assess the validity of this justification and whether it truly precluded competition, potentially leading to a less favorable price for the government.

How does the $55.4M cost compare to industry benchmarks for similar program management and maintenance services?

Benchmarking this $55.4M contract against industry standards for similar program management and maintenance services is challenging without more detailed service descriptions and performance metrics. However, given the lack of competition, it is prudent to assume the cost may be higher than if it had been competitively bid.

What mechanisms are in place to ensure the effectiveness and efficiency of Leidos's performance under this contract?

Effectiveness and efficiency are typically ensured through performance metrics, service level agreements (SLAs), and regular reporting requirements outlined in the contract. The government should actively monitor these aspects to hold Leidos accountable for delivering the contracted services as expected.

Industry Classification

NAICS: Other Services (except Public Administration)Electronic and Precision Equipment Repair and MaintenanceOther Electronic and Precision Equipment Repair and Maintenance

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENTMAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: L-3 Communications Holdings, Inc. (UEI: 008898843)

Address: 10E COMMERCE WAY, WOBURN, MA, 01801

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

Financial Breakdown

Contract Ceiling: $55,389,732

Exercised Options: $55,389,732

Current Obligation: $55,389,732

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HSTS0415DCT3000

IDV Type: IDC

Timeline

Start Date: 2015-10-01

Current End Date: 2016-09-30

Potential End Date: 2016-09-30 00:00:00

Last Modified: 2018-04-24

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