DoD Awards $40.4M for Air Force Mobility IT Services to Alethix, LLC
Contract Overview
Contract Amount: $40,404,315 ($40.4M)
Contractor: Alethix, LLC
Awarding Agency: Department of Defense
Start Date: 2019-05-22
End Date: 2024-06-30
Contract Duration: 1,866 days
Daily Burn Rate: $21.7K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 5
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: MOBILITY ENTERPRISE INFORMATION SERVICES SUSTAINMENT
Place of Performance
Location: FAIRFAX, FAIRFAX County, VIRGINIA, 22030
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $40.4 million to ALETHIX, LLC for work described as: MOBILITY ENTERPRISE INFORMATION SERVICES SUSTAINMENT Key points: 1. Contract value of $40.4M over 5 years. 2. Awarded to Alethix, LLC under full and open competition. 3. Focuses on custom computer programming services for mobility. 4. Potential for significant taxpayer impact due to long duration.
Value Assessment
Rating: good
The contract value of $40.4M over approximately 5 years suggests a reasonable annual spend. Benchmarking against similar custom computer programming services contracts would provide a clearer picture of its value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating a competitive bidding process. This method generally leads to better price discovery and potentially lower costs for the government.
Taxpayer Impact: The total contract value of $40.4M spread over nearly 6 years represents a significant investment. Effective management and delivery of services are crucial to ensure taxpayer funds are used efficiently.
Public Impact
Ensures continued IT support for critical Air Force mobility operations. Supports a private sector company, Alethix, LLC, contributing to the economy. Long-term contract provides stability for service delivery and planning.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long contract duration (5 years) may lead to scope creep or evolving needs.
- Reliance on a single vendor for critical IT services.
- Potential for cost overruns if not closely managed.
Positive Signals
- Awarded through full and open competition.
- Clear service area (Mobility Enterprise Information Services Sustainment).
- Firm Fixed Price contract type helps control costs.
Sector Analysis
This contract falls within the IT services sector, specifically custom computer programming. The annual spend of approximately $8M is moderate for a federal IT contract of this nature, but specific benchmarks depend on the complexity and criticality of the mobility services provided.
Small Business Impact
This contract was awarded to Alethix, LLC, and there is no indication of small business subcontracting in the provided data. Further analysis would be needed to determine if small businesses were involved or had opportunities.
Oversight & Accountability
The contract is managed by the Department of the Air Force, a component of the Department of Defense. Standard DoD oversight mechanisms for contract performance and financial management should be in place.
Related Government Programs
- Custom Computer Programming Services
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Long-term contract duration.
- Potential for scope creep.
- Reliance on a single vendor.
- Need for robust oversight to ensure value for money.
Tags
custom-computer-programming-services, department-of-defense, va, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $40.4 million to ALETHIX, LLC. MOBILITY ENTERPRISE INFORMATION SERVICES SUSTAINMENT
Who is the contractor on this award?
The obligated recipient is ALETHIX, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Air Force).
What is the total obligated amount?
The obligated amount is $40.4 million.
What is the period of performance?
Start: 2019-05-22. End: 2024-06-30.
What specific mobility enterprise information services are being sustained, and how critical are they to Air Force operations?
The contract details are for 'MOBILITY ENTERPRISE INFORMATION SERVICES SUSTAINMENT.' This likely refers to the IT infrastructure, software, and support systems that enable the Air Force's global mobility operations, including logistics, personnel transport, and command and control. The criticality is high, as disruptions could significantly impede military readiness and deployment capabilities.
What is the benchmark for custom computer programming services of this scale and duration in the federal market?
Benchmarking custom computer programming services requires detailed comparison based on specific requirements, complexity, and service level agreements. For a $40.4M contract over five years, the annual average of $8.08M is within a typical range for large-scale federal IT sustainment. However, without knowing the exact scope, it's difficult to provide a precise benchmark; similar contracts for mission-critical systems might command higher or lower rates.
How effectively does the Firm Fixed Price (FFP) contract type mitigate risks associated with evolving IT needs over a five-year period?
The FFP contract type is designed to provide cost certainty by fixing the price regardless of the contractor's actual costs. While beneficial for budget predictability, it can pose risks if the scope of work significantly changes over the five-year period. The government must carefully manage contract modifications and change orders to prevent uncontrolled cost increases or ensure the contractor adequately addresses evolving requirements without compromising the FFP structure.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Custom Computer Programming 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
Offers Received: 5
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 4114 LEGATO RD STE 440, FAIRFAX, VA, 22033
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Economically Disadvantaged Women Owned Small Business, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $40,714,263
Exercised Options: $40,714,263
Current Obligation: $40,404,315
Actual Outlays: $10,887,198
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: GS35F443CA
IDV Type: FSS
Timeline
Start Date: 2019-05-22
Current End Date: 2024-06-30
Potential End Date: 2024-06-30 00:00:00
Last Modified: 2024-03-29
More Contracts from Alethix, LLC
- Services for Product Engineering and Enterprise Delivery (speed) — $124.8M (Department of Homeland Security)
- ELM 4 Call Order Money ART O&M This Call Order IS to Acquire Agile Teams Skilled and Experienced With the Technologies Indicated in This SOO. the Scope of This Effort Supports Conservation Financial Assistance and Farm Bill Updates or Other LE — $77.1M (Department of Agriculture)
- Enterprise Gateway and Integration Services (egis) — $69.2M (Department of Homeland Security)
- DHS ICE Requires Devsecops Services for the Homeland Security Investigations (HSI) Repository for Analytics in Virtualized Environment (raven) Program — $46.7M (Department of Homeland Security)
- Enterprise Reporting Support Services - UTS — $45.0M (Department of Commerce)
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)