DoD's $283M PEO EIS COSC Services Contract Awarded to Peraton Enterprise Solutions LLC
Contract Overview
Contract Amount: $283,407,059 ($283.4M)
Contractor: Peraton Enterprise Solutions LLC
Awarding Agency: Department of Defense
Start Date: 2010-10-01
End Date: 2011-09-30
Contract Duration: 364 days
Daily Burn Rate: $778.6K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: FIXED PRICE AWARD FEE
Sector: IT
Official Description: PEO EIS COSC SERVICES
Place of Performance
Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22202
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $283.4 million to PERATON ENTERPRISE SOLUTIONS LLC for work described as: PEO EIS COSC SERVICES Key points: 1. Significant contract value of $283.4 million for IT services. 2. Awarded to a single vendor, raising questions about competition. 3. Fixed Price Award Fee contract type suggests performance incentives. 4. The 'Other Computer Related Services' NAICS code indicates a broad scope.
Value Assessment
Rating: questionable
The contract's total value is substantial. Without a benchmark for 'Other Computer Related Services' of this scale and duration, it's difficult to definitively assess pricing fairness. The fixed price award fee structure implies some cost control, but the lack of competitive bidding complicates a full valuation.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed, indicating a sole-source or limited competition award. This significantly limits price discovery and potentially leads to higher costs for taxpayers compared to a fully competitive process.
Taxpayer Impact: The lack of competition likely resulted in a higher cost to taxpayers than if multiple vendors had vied for the contract.
Public Impact
Taxpayers may have overpaid due to the absence of competitive bidding. The Department of the Navy received IT services without exploring potentially more cost-effective options. The specific services provided under 'Other Computer Related Services' are not detailed, impacting public understanding of the expenditure.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of Competition
- Potential for Overpayment
- Limited Transparency on Services
Positive Signals
- Fixed Price Award Fee structure can incentivize performance
Sector Analysis
This contract falls under the Information Technology sector, specifically 'Other Computer Related Services'. Government IT spending is a significant portion of the federal budget, and competitive procurement is crucial for ensuring value for money in this rapidly evolving field.
Small Business Impact
The contract was awarded to Peraton Enterprise Solutions LLC, and there is no indication that small businesses were involved as subcontractors or partners in this specific award. Further investigation would be needed to determine any small business participation.
Oversight & Accountability
The 'NOT COMPETED' status warrants further oversight to understand the justification for bypassing a competitive process. Accountability for ensuring fair pricing and effective service delivery in sole-source awards is paramount.
Related Government Programs
- Other Computer Related Services
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Sole-source award lacks competition
- Potential for inflated pricing
- Lack of transparency on specific services
- No clear indication of small business participation
Tags
other-computer-related-services, department-of-defense, va, delivery-order, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $283.4 million to PERATON ENTERPRISE SOLUTIONS LLC. PEO EIS COSC 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 (Department of the Navy).
What is the total obligated amount?
The obligated amount is $283.4 million.
What is the period of performance?
Start: 2010-10-01. End: 2011-09-30.
What was the specific justification for awarding this contract on a sole-source basis, and were any market research efforts conducted to ensure fair and reasonable pricing?
The justification for a sole-source award is critical for understanding why competition was bypassed. Agencies typically need to document extensive market research, including price analysis and justification for the chosen vendor, to demonstrate that the award is in the government's best interest and that the price is fair and reasonable. Without this documentation, it's difficult to assess the validity of the procurement.
What specific 'Other Computer Related Services' were provided under this contract, and how did their performance impact the Department of the Navy's operations?
Understanding the precise nature of the services procured is essential for evaluating their necessity and effectiveness. 'Other Computer Related Services' is a broad category, and without specific details, it's challenging to assess if the $283 million expenditure was justified by tangible operational improvements or mission support for the Navy. Performance metrics would further illuminate the value delivered.
Given the fixed price award fee structure, what were the performance metrics and award fee criteria, and how were they applied to ensure accountability and value for money?
The fixed price award fee structure implies that a base price was set, with potential for additional fees based on performance. Details on the specific performance standards, evaluation methods, and the actual award fee amounts paid are crucial for assessing whether the contractor met expectations and if the government received good value. This information helps determine if the incentive structure was effective.
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: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: N0003909R0052
Offers Received: 1
Pricing Type: FIXED PRICE AWARD FEE (M)
Evaluated Preference: NONE
Contractor Details
Parent Company: HP, Inc.
Address: 13600 EDS DR, HERNDON, VA, 20171
Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $283,407,059
Exercised Options: $283,407,059
Current Obligation: $283,407,059
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: N0003910D0010
IDV Type: IDC
Timeline
Start Date: 2010-10-01
Current End Date: 2011-09-30
Potential End Date: 2011-09-30 00:00:00
Last Modified: 2024-03-29
More Contracts from Peraton Enterprise Solutions LLC
- Federal Contract — $1.2B (Department of Health and Human Services)
- Other ADP & Telecommunications Services — $771.5M (Department of Defense)
- THE Agency Consolidated End-User Services (aces)contract Will Provide and Manage Nasa's Personal Computing Hardware, Agency Standard Software, Mobile IT Services, Peripherals and Accessories, Associated End-User Services, and Supporting Infrastructure — $769.2M (National Aeronautics and Space Administration)
- THE Above Solicitation Number IS a Continuation of Solicitation Numbers Hshqdc-07-Q-00050a and Hshqdc-07-Q-00050b. This Number IS for the Down Select Process and Shall Start With Base Notice Even Though ALL Amendments ARE Attached From Phase ONE — $749.5M (Department of Homeland Security)
- Other ADP & Telecommunications Services — $674.7M (Department of Defense)
View all Peraton Enterprise Solutions LLC federal contracts →
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)