DoD's DHA Spends $173.8M on IT Support Services via Full and Open Competition
Contract Overview
Contract Amount: $173,805,854 ($173.8M)
Contractor: Peraton Enterprise Solutions LLC
Awarding Agency: Department of Defense
Start Date: 2015-11-10
End Date: 2021-05-14
Contract Duration: 2,012 days
Daily Burn Rate: $86.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 5
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: IGF::OT::IGF DEFENSE HEALTH AGENCY GLOBAL SERVICE CENTER SUPPORT SERVICES
Place of Performance
Location: SAN ANTONIO, BEXAR County, TEXAS, 78205
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $173.8 million to PERATON ENTERPRISE SOLUTIONS LLC for work described as: IGF::OT::IGF DEFENSE HEALTH AGENCY GLOBAL SERVICE CENTER SUPPORT SERVICES Key points: 1. Significant investment in IT support services for the Defense Health Agency. 2. Contract awarded to Peraton Enterprise Solutions LLC, a major player in government contracting. 3. Full and open competition was utilized, suggesting a robust price discovery process. 4. The contract spans over five years, indicating a long-term need for these services.
Value Assessment
Rating: good
The contract's total value of $173.8 million over five years appears reasonable given the scope of IT support services for a major agency like DHA. Benchmarking against similar large-scale IT support contracts would provide further validation.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The use of full and open competition is a positive indicator for price discovery, allowing multiple vendors to bid and potentially driving down costs. This method generally leads to more competitive pricing.
Taxpayer Impact: Taxpayers benefit from a competitive bidding process that aims to secure services at the best possible value for the government.
Public Impact
Ensures continued IT operational support for critical Defense Health Agency functions. Supports the technological infrastructure necessary for military healthcare services. Potential for innovation and improved service delivery through competitive pressures.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Contract duration and value may warrant ongoing performance monitoring.
- Dependence on a single vendor for critical IT support.
Positive Signals
- Full and open competition utilized.
- Firms fixed price contract type can limit cost overruns.
Sector Analysis
This contract falls within the IT services sector, specifically computer systems design. Spending benchmarks for similar large-scale IT support contracts within the federal government can vary widely based on scope and agency needs.
Small Business Impact
The data does not indicate any specific subcontracting goals or awards to small businesses for this contract. Further analysis would be needed to determine the extent of small business participation.
Oversight & Accountability
Awarded via a delivery order under a larger contract vehicle, oversight would likely be managed by the Defense Health Agency contracting office. The fixed-price nature provides some cost control.
Related Government Programs
- Computer Systems Design Services
- Department of Defense Contracting
- Defense Health Agency Programs
Risk Flags
- Significant contract value.
- Long contract duration.
- Potential for vendor lock-in.
- Critical IT support services.
Tags
computer-systems-design-services, department-of-defense, tx, delivery-order, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $173.8 million to PERATON ENTERPRISE SOLUTIONS LLC. IGF::OT::IGF DEFENSE HEALTH AGENCY GLOBAL SERVICE CENTER SUPPORT SERVICES
Who is the contractor on this award?
The obligated recipient is PERATON ENTERPRISE SOLUTIONS LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Health Agency).
What is the total obligated amount?
The obligated amount is $173.8 million.
What is the period of performance?
Start: 2015-11-10. End: 2021-05-14.
What specific IT systems and services are covered under this contract, and how do they align with DHA's mission objectives?
The contract, NAICS 541512, covers Computer Systems Design Services. This likely includes a broad range of IT support, such as network management, system maintenance, cybersecurity, and potentially software development or integration, all crucial for the Defense Health Agency's operations in delivering healthcare services to military personnel and their families.
Are there any identified risks associated with Peraton Enterprise Solutions LLC's performance on this contract?
While the contract was awarded through full and open competition and uses a firm fixed price, potential risks could include vendor lock-in, performance degradation over time, or unforeseen technical challenges. Continuous monitoring of performance metrics and adherence to service level agreements are essential to mitigate these risks.
How effectively has this contract contributed to the modernization and efficiency of DHA's IT infrastructure?
The effectiveness of this contract in modernizing DHA's IT infrastructure is not directly quantifiable from the provided data. However, the five-year duration and significant investment suggest a strategic intent to maintain and potentially upgrade critical systems. Performance reviews and system uptime data would be key indicators of its success.
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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: HT001515R0018
Offers Received: 5
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Peraton Solutions Inc. (UEI: 081218565)
Address: 15050 CONFERENCE CENTER DR, CHANTILLY, VA, 20151
Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $183,450,727
Exercised Options: $173,877,969
Current Obligation: $173,805,854
Subaward Activity
Number of Subawards: 17
Total Subaward Amount: $1,420,881
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: HHSN316201200026W
IDV Type: GWAC
Timeline
Start Date: 2015-11-10
Current End Date: 2021-05-14
Potential End Date: 2021-05-14 00:00:00
Last Modified: 2021-03-30
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