DoD Awards $22.17M for Program Management Support Services to Deloitte Consulting LLP

Contract Overview

Contract Amount: $22,167,585 ($22.2M)

Contractor: Deloitte Consulting LLP

Awarding Agency: Department of Defense

Start Date: 2024-10-01

End Date: 2025-09-30

Contract Duration: 364 days

Daily Burn Rate: $60.9K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: PROGRAM MANAGEMENT SUPPORT SERVICES

Place of Performance

Location: SAN ANTONIO, BEXAR County, TEXAS, 78226

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $22.2 million to DELOITTE CONSULTING LLP for work described as: PROGRAM MANAGEMENT SUPPORT SERVICES Key points: 1. Significant contract value of $22.17 million awarded. 2. Sole-source award to Deloitte Consulting LLP raises questions about competition. 3. Contract duration of 364 days with a firm-fixed-price structure. 4. Services fall under Administrative Management and General Management Consulting.

Value Assessment

Rating: questionable

The contract's firm-fixed-price structure provides cost certainty. However, without competitive bidding, it's difficult to assess if the $22.17 million represents the best value or if the pricing is benchmarked against 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 potentially leads to higher costs for taxpayers compared to a competitive process.

Taxpayer Impact: The lack of competition may result in taxpayers paying a premium for these program management support services.

Public Impact

Taxpayers may be overpaying due to the absence of competitive bidding. The Defense Health Agency relies on Deloitte for critical program management. Transparency in sole-source awards is crucial for public trust.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the professional services sector, specifically management consulting. Benchmarks for similar services can vary widely, but sole-source awards often deviate from competitive market rates.

Small Business Impact

The data indicates that small business participation was not a factor in this award, as the contract was awarded to a large firm and small business set-aside was not applicable.

Oversight & Accountability

Oversight is needed to ensure the Defense Health Agency justifies the sole-source award and that the services provided are essential and cost-effective, despite the lack of competition.

Related Government Programs

Risk Flags

Tags

administrative-management-and-general-ma, department-of-defense, tx, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $22.2 million to DELOITTE CONSULTING LLP. PROGRAM MANAGEMENT SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is DELOITTE CONSULTING LLP.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Health Agency).

What is the total obligated amount?

The obligated amount is $22.2 million.

What is the period of performance?

Start: 2024-10-01. End: 2025-09-30.

What is the justification for awarding this contract on a sole-source basis instead of through a competitive process?

The justification for a sole-source award typically involves specific circumstances such as the urgency of the requirement, the unavailability of other sources, or the unique capabilities of the awarded contractor. Without further details from the agency, it's impossible to ascertain the precise reason, but it warrants scrutiny to ensure it aligns with federal procurement regulations and serves the best interest of the government.

How does the $22.17 million price compare to industry benchmarks for similar program management support services obtained through competitive means?

Direct comparison is challenging without knowing the specific scope of work and service levels. However, sole-source contracts are often priced higher than competitively awarded ones due to the absence of market pressure. A thorough review of the contract's cost elements and comparison with publicly available data on similar, competed contracts would be necessary to assess potential overpricing.

What mechanisms are in place to ensure the effectiveness and value delivered by Deloitte Consulting LLP under this sole-source contract?

Effectiveness and value are typically ensured through performance metrics, service level agreements, and regular progress reviews outlined in the contract. The Defense Health Agency should have established oversight procedures to monitor Deloitte's performance against these requirements and ensure that the services rendered are meeting the program's objectives and providing adequate value for the taxpayer investment.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesManagement, Scientific, and Technical Consulting ServicesAdministrative Management and General Management Consulting Services

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

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: HT001124R0075

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Deloitte Financial Advisory Services LLP

Address: 1919 N LYNN ST, ARLINGTON, VA, 22209

Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $35,897,028

Exercised Options: $22,167,585

Current Obligation: $22,167,585

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline

Start Date: 2024-10-01

Current End Date: 2025-09-30

Potential End Date: 2025-09-30 00:00:00

Last Modified: 2025-11-20

More Contracts from Deloitte Consulting LLP

View all Deloitte Consulting LLP federal contracts →

Other Department of Defense Contracts

View all Department of Defense contracts →

Explore Related Government Spending