Navy Ship Maintenance IT Support Contract Exceeds $126M for Engineering Services

Contract Overview

Contract Amount: $126,426,432 ($126.4M)

Contractor: Mantech Advanced Systems International, Inc.

Awarding Agency: Department of Defense

Start Date: 2014-05-16

End Date: 2018-05-18

Contract Duration: 1,463 days

Daily Burn Rate: $86.4K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: IGF::OT::IGF THIS CONTRACT PROVIDES UNINTERRUPTED ENTERPRISE SUPPORT TO THE NAVY SHIP MAINTENANCE AND LOGISTICS INFORMATION SYSTEMS (SMLIS) PROGRAM, INCLUDING ENGINEERING SUPPORT IN THE AREAS OF INFORMATION TECHNOLOGY LIFE CYCLE PLANNING, OPERATIONS AND SUSTAINMENT, DOCUMENTATION, PROGRAM MANAGEMENT, APPLICATION TECHNICAL REFRESH, TESTING, TRAINING, AND DEPLOYMENT. THESE EFFORTS ARE REQUIRED TO ENSURE THE SUCCESSFUL DEVELOPMENT, DEPLOYMENT, IMPLEMENTATION, AND OPERATION OF THE SMLIS PROGRAM MANAGED BY NAVSEA S PROGRAM MANAGEMENT OFFICE FOR INFORMATION TECHNOLOGY (PMO-IT).

Place of Performance

Location: HERNDON, FAIRFAX County, VIRGINIA, 20171

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $126.4 million to MANTECH ADVANCED SYSTEMS INTERNATIONAL, INC. for work described as: IGF::OT::IGF THIS CONTRACT PROVIDES UNINTERRUPTED ENTERPRISE SUPPORT TO THE NAVY SHIP MAINTENANCE AND LOGISTICS INFORMATION SYSTEMS (SMLIS) PROGRAM, INCLUDING ENGINEERING SUPPORT IN THE AREAS OF INFORMATION TECHNOLOGY LIFE CYCLE PLANNING, OPERATIONS AND SUSTAINMENT, DOCUMENTATION… Key points: 1. Contract supports critical Navy IT systems for ship maintenance and logistics. 2. Significant funding allocated to engineering, IT lifecycle, operations, and sustainment. 3. Sole-source award raises questions about competition and potential cost efficiencies. 4. Defense sector IT spending remains high, with ongoing needs for system modernization.

Value Assessment

Rating: fair

The contract value of $126.4M over four years for engineering and IT support appears substantial. Benchmarking against similar large-scale IT support contracts for defense programs is necessary to assess value, as specific per-unit costs are not provided.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was awarded sole-source, indicating a lack of competition. This method may limit price discovery and potentially lead to higher costs compared to a competitively bid contract.

Taxpayer Impact: The sole-source nature of this large contract means taxpayers may not be receiving the best possible price due to the absence of competitive pressure.

Public Impact

Ensures operational readiness of Navy's ship maintenance and logistics IT systems. Supports critical functions like IT lifecycle planning, sustainment, and training. Impacts thousands of Navy personnel relying on these systems for daily operations. Contributes to the modernization and efficiency of naval operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competition.
High contract value requires robust oversight.
Potential for cost overruns without competitive pressure.

Positive Signals

Provides essential support for critical Navy programs.
Ensures continuity of operations for SMLIS.
Addresses complex IT lifecycle and sustainment needs.

Sector Analysis

This contract falls within the IT services sector, specifically supporting defense logistics and maintenance systems. Defense IT spending is a significant portion of the federal budget, often characterized by complex requirements and long-term sustainment needs.

Small Business Impact

The data does not indicate any specific provisions or subcontracting opportunities for small businesses within this contract. Further analysis would be needed to determine if small businesses were involved or could have been.

Oversight & Accountability

As a sole-source award, this contract warrants close oversight from the Department of Defense and relevant oversight bodies to ensure fair pricing and effective service delivery. Regular performance reviews and cost audits are crucial.

Related Government Programs

Engineering Services
Department of Defense Contracting
Defense Contract Management Agency Programs

Risk Flags

Lack of competition may lead to higher costs.
Sole-source award requires strong justification and oversight.
Potential for cost overruns in CPFF contracts.
Need for clear performance metrics to ensure effectiveness.
Limited transparency on small business participation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $126.4 million to MANTECH ADVANCED SYSTEMS INTERNATIONAL, INC.. IGF::OT::IGF THIS CONTRACT PROVIDES UNINTERRUPTED ENTERPRISE SUPPORT TO THE NAVY SHIP MAINTENANCE AND LOGISTICS INFORMATION SYSTEMS (SMLIS) PROGRAM, INCLUDING ENGINEERING SUPPORT IN THE AREAS OF INFORMATION TECHNOLOGY LIFE CYCLE PLANNING, OPERATIONS AND SUSTAINMENT, DOCUMENTATION, PROGRAM MANAGEMENT, APPLICATION TECHNICAL REFRESH, TESTING, TRAINING, AND DEPLOYMENT. THESE EFFORTS ARE REQUIRED TO ENSURE THE SUCCESSFUL DEVELOPMENT, DEPLOYMENT, IMPLEMENTATION, AND OPERATION OF THE SMLIS PROGRAM MANA

Who is the contractor on this award?

The obligated recipient is MANTECH ADVANCED SYSTEMS INTERNATIONAL, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $126.4 million.

What is the period of performance?

Start: 2014-05-16. End: 2018-05-18.

What was the justification for awarding this contract sole-source, and were alternative competitive strategies considered?

The justification for a sole-source award typically involves unique capabilities, urgent needs, or lack of qualified sources. For this contract, the justification would need to be thoroughly documented by NAVSEA PMO-IT. Without this documentation, it's difficult to assess if competitive strategies were adequately explored or if the sole-source determination was fully warranted, potentially impacting overall value for money.

How does the cost structure (Cost Plus Fixed Fee) compare to industry benchmarks for similar IT support services, and what controls are in place to manage cost growth?

Cost Plus Fixed Fee (CPFF) contracts allow the contractor to recover costs plus a fixed fee, which can incentivize cost control but also carries risk if costs escalate significantly. Benchmarking CPFF contracts for comparable defense IT support is essential. Robust oversight, detailed cost reporting, and clear performance metrics are critical to managing cost growth and ensuring the government receives good value.

What mechanisms are in place to measure the effectiveness and efficiency of the enterprise support provided to the SMLIS program?

Effectiveness is typically measured through Key Performance Indicators (KPIs) tied to system uptime, response times, successful deployments, and user satisfaction. The contract should outline specific metrics and reporting requirements. Regular performance reviews and feedback loops between the government and MANTECH are crucial to ensure the support is meeting the SMLIS program's objectives and delivering tangible benefits.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: N0002414R4110

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Mantech International Corporation

Address: 2251 CORPORATE PARK DRIVE, HERNDON, VA, 20171

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

Financial Breakdown

Contract Ceiling: $133,902,559

Exercised Options: $133,750,327

Current Obligation: $126,426,432

Actual Outlays: $31,235

Subaward Activity

Number of Subawards: 77

Total Subaward Amount: $352,200,337

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline