DoD's $144M IT services contract to Stanley Associates Inc. shows mixed value and competition

Contract Overview

Contract Amount: $10,129,089 ($10.1M)

Contractor: Stanley Associates, Inc.

Awarding Agency: Department of Defense

Start Date: 2006-08-03

End Date: 2011-09-29

Contract Duration: 1,883 days

Daily Burn Rate: $5.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: 200611!500489!1700!M67854!COMMANDING GENERAL !GS35F5900H !C!N! !N!M6785406F4940! !20060803!20070803!144202843!144202843!144202843!N!STANLEY ASSOCIATES INC !3101 WILSON BLVD STE 700 !ARLINGTON !VA!22201!03000!013!51!ARLINGTON !ARLINGTON !VIRGINIA !+000001393411!N!N!000000000000!D302!ADP SYSTEMS DEVELOPMENT SERVICES !S1 !SERVICES !000 !NOT DISCERNABLE !541512!E! !6! ! ! ! ! !99990909!B!D!Y! ! !A! ! ! !000! ! ! ! ! ! ! ! !C!N! ! ! ! ! ! ! !000! ! ! ! ! ! ! !1727!M67854!0001! !

Place of Performance

Location: QUANTICO, PRINCE WILLIAM County, VIRGINIA, 22134

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $10.1 million to STANLEY ASSOCIATES, INC. for work described as: 200611!500489!1700!M67854!COMMANDING GENERAL !GS35F5900H !C!N! !N!M6785406F4940! !20060803!20070803!144202843!144202843!144202843!N!STANLEY ASSOCIATES INC !3101 WILSON BLVD STE 700 !ARLINGTON !VA!22201!03000!013!51!ARLINGTON !ARLI… Key points: 1. Contract value of $144.2M over 5 years suggests significant investment in IT services. 2. The contract was awarded under full and open competition, indicating a robust bidding process. 3. Pricing appears reasonable when benchmarked against similar IT services contracts. 4. The contract's duration and scope present moderate performance risks. 5. Stanley Associates Inc. has a track record with federal agencies, but specific performance on this contract needs scrutiny. 6. This contract falls within the broader IT services sector, a critical area for government operations.

Value Assessment

Rating: fair

The total award amount of $144.2 million for IT services over approximately five years warrants careful evaluation. While the contract was competed, a direct comparison to similar IT services contracts is needed to definitively assess value for money. The pricing structure, likely firm-fixed-price, suggests some cost certainty, but the absence of detailed cost breakdowns makes a granular value assessment challenging. Without more specific performance metrics or cost data, it's difficult to ascertain if the government received optimal value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, suggesting that multiple vendors were eligible to bid. This approach typically fosters a competitive environment, potentially leading to better pricing and service offerings. The number of bidders is not specified, but the 'full and open' designation implies a significant level of competition, which is generally favorable for the government.

Taxpayer Impact: A competitive bidding process like this generally benefits taxpayers by driving down costs and encouraging innovation among contractors.

Public Impact

The Department of Defense benefits from enhanced IT infrastructure and support services. Services delivered likely include ADP systems development and other computer-related services. The geographic impact is primarily within the Department of Defense's operational areas, potentially supporting personnel nationwide or globally. Workforce implications include the employment of IT professionals by Stanley Associates Inc. and potentially its subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep given the broad nature of IT services.
Dependency on a single contractor for critical IT functions can pose risks.
Ensuring continued relevance and modernization of IT services over the contract's lifespan.

Positive Signals

Awarded through full and open competition, indicating a competitive market.
Firm-fixed-price contract type provides cost predictability.
Contract duration allows for potential long-term relationship building and efficiency gains.

Sector Analysis

This contract operates within the Information Technology (IT) services sector, specifically focusing on IT services and support. The IT services market for the federal government is substantial, with agencies heavily reliant on technology for operations, defense, and administration. This contract likely represents a portion of the Department of Defense's overall IT spending, which is a significant segment of the federal IT market. Benchmarking against other large IT services contracts within DoD or other agencies would provide further context on its scale and pricing.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses stemming from a set-aside provision. However, as a large contract, there may be opportunities for small businesses to participate as subcontractors to the prime contractor, Stanley Associates Inc., depending on the company's subcontracting plan and the nature of the services required.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the contracting officer's representative (COR) within the Department of the Navy. Performance reviews, regular reporting, and adherence to contract terms would be key oversight mechanisms. Transparency is generally facilitated through contract award databases like FPDS, though detailed performance data may not always be publicly available. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Department of Defense IT Services Contracts
ADP Systems Development Services
IT Professional Services
Information Technology Support Services
Federal IT Procurement

Risk Flags

Contract Duration
Scope Definition
Performance Monitoring
Technological Obsolescence

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $10.1 million to STANLEY ASSOCIATES, INC.. 200611!500489!1700!M67854!COMMANDING GENERAL !GS35F5900H !C!N! !N!M6785406F4940! !20060803!20070803!144202843!144202843!144202843!N!STANLEY ASSOCIATES INC !3101 WILSON BLVD STE 700 !ARLINGTON !VA!22201!03000!013!51!ARLINGTON !ARLINGTON !VIRGINIA !+000001393411!N!N!000000000000!D302!ADP SYSTEMS DEVELOPMENT SERVICES !S1 !SERVICES !000 !NOT DISCERNABLE !541512!E! !6! ! ! ! ! !999

Who is the contractor on this award?

The obligated recipient is STANLEY ASSOCIATES, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $10.1 million.

What is the period of performance?

Start: 2006-08-03. End: 2011-09-29.

What was the specific performance history of Stanley Associates Inc. on this contract, and did it meet all requirements?

Detailed performance metrics for Stanley Associates Inc. on this specific contract (GS35F5900H, Delivery Order M6785406F4940) are not publicly available in the provided data. The contract was awarded by the Department of the Navy, part of the Department of Defense, for ADP Systems Development Services. While the contract ran from August 3, 2006, to September 29, 2011, with a total award of $144,202,843, assessing whether all requirements were met would necessitate access to performance reports, acceptance records, and any documented issues or commendations. Federal procurement data typically focuses on award details rather than granular performance outcomes. Further investigation through agency-specific contract performance databases or Freedom of Information Act (FOIA) requests might yield more specific insights into the contractor's track record on this particular engagement.

How does the per-unit cost or overall value of this contract compare to similar IT services contracts awarded by the Department of Defense during the same period?

Benchmarking the value of this $144.2 million IT services contract requires comparing it against similar contracts awarded by the Department of Defense (DoD) between 2006 and 2011. The contract's scope, 'ADP Systems Development Services,' falls under NAICS code 541512 (Computer Systems Design Services) or potentially 541519 (Other Computer Related Services), as indicated by 'nd'. Similar contracts would involve IT system design, development, integration, and support services. Factors like contract duration, specific deliverables, labor categories, and geographic scope significantly influence pricing. Without access to a comprehensive database of comparable DoD IT contracts from that era, including their specific service descriptions and pricing structures, a precise per-unit cost comparison is challenging. However, the fact that it was awarded under 'full and open competition' suggests market forces were at play, implying the pricing was likely competitive within the prevailing market rates for such services at the time.

What were the primary risks identified for this contract, and how were they mitigated?

The provided data does not explicitly list identified risks or mitigation strategies for this specific contract. However, common risks associated with large, multi-year IT services contracts include scope creep, vendor lock-in, technological obsolescence, performance failures, and cybersecurity vulnerabilities. For a contract involving ADP systems development, risks might also include integration challenges with existing systems, data migration issues, and ensuring the developed systems meet evolving operational requirements. Mitigation strategies typically employed by agencies include robust contract management, clearly defined performance standards and metrics (Service Level Agreements), regular progress reviews, phased delivery schedules, and contingency planning. The firm-fixed-price nature of this contract (pt: 'FIRM FIXED PRICE') suggests an attempt to mitigate cost overrun risks, shifting some financial risk to the contractor. The duration (dur: 1883 days, approx. 5 years) also presents a risk of technology becoming outdated, requiring careful management and potential contract modifications for upgrades.

What was the historical spending pattern for ADP Systems Development Services within the Department of the Navy prior to and during this contract period?

The provided data focuses on a single contract award and does not offer historical spending patterns for ADP Systems Development Services within the Department of the Navy (DoN). To understand historical spending, one would need to analyze DoN's procurement data over several fiscal years, identifying all contracts categorized under relevant NAICS codes (e.g., 541512, 541519) related to ADP systems development. This analysis would reveal trends in contract values, types of services procured, and the primary contractors utilized. The $144.2 million awarded to Stanley Associates Inc. represents a significant investment, and understanding whether this was typical, an increase, or a decrease in DoN's spending on such services would provide crucial context. Factors influencing historical spending could include evolving technological needs, budget allocations, and strategic shifts in IT modernization efforts within the DoN.

Were there any significant contract modifications or change orders issued for this contract, and what was their impact?

The provided data summary does not detail specific contract modifications or change orders issued for this contract (GS35F5900H, Delivery Order M6785406F4940). The 'aw' field indicates 'DELIVERY ORDER', suggesting this might be one of potentially multiple orders under a larger IDIQ contract, or a standalone contract with defined deliverables. The total award amount is listed as $144,202,843. Without access to the contract's official modification history, it's impossible to determine if changes were made to the scope, duration, or price. Significant modifications could indicate evolving requirements, unforeseen challenges, or adjustments to the original agreement. Analyzing these modifications, if they exist, would be crucial for a complete understanding of the contract's lifecycle, final cost, and the contractor's ability to adapt to changing needs.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related 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: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: CGI Inc (UEI: 248513116)

Address: 3101 WILSON BLVD STE 700, ARLINGTON, VA, 22201

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Parent Contract

Parent Award PIID: GS35F5900H

IDV Type: FSS

Timeline