DoD's $23.5M IT Services Contract with CDO Technologies Faces Scrutiny Over Competition and Value

Contract Overview

Contract Amount: $23,542,941 ($23.5M)

Contractor: CDO Technologies Inc

Awarding Agency: Department of Defense

Start Date: 2015-10-01

End Date: 2020-09-30

Contract Duration: 1,826 days

Daily Burn Rate: $12.9K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 8

Pricing Type: LABOR HOURS

Sector: IT

Official Description: IGF::OT::IGF INFORMATION TECHNOLOGY SERVICES

Place of Performance

Location: ROME, ONEIDA County, NEW YORK, 13441

State: New York Government Spending

Plain-Language Summary

Department of Defense obligated $23.5 million to CDO TECHNOLOGIES INC for work described as: IGF::OT::IGF INFORMATION TECHNOLOGY SERVICES Key points: 1. Significant contract value of $23.5 million over five years. 2. Competition method raises questions about potential price discovery limitations. 3. Lack of small business participation noted. 4. IT sector spending benchmark analysis needed for full context.

Value Assessment

Rating: questionable

The contract's total value of $23.5 million over five years requires further analysis against industry benchmarks for similar IT services. Without detailed cost breakdowns or comparisons to other contracts, assessing the value for money is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' which suggests a competitive process but may have limited the pool of potential bidders. This method can impact price discovery if not managed carefully.

Taxpayer Impact: The total taxpayer impact is $23.5 million. The effectiveness of the competition method in securing the best price for taxpayers warrants further review.

Public Impact

Taxpayers funded $23.5 million for IT services over five years. The Department of the Air Force awarded this contract. CDO Technologies Inc. was the primary contractor. The contract supported wired telecommunications carriers.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Information Technology sector, specifically for wired telecommunications carriers. IT services spending is a significant portion of federal budgets, and benchmarks vary widely based on service type and duration.

Small Business Impact

The data indicates that small businesses were not involved in this contract (ss: false, sb: false). Federal policy aims to increase small business participation, and this contract missed an opportunity to do so.

Oversight & Accountability

Oversight of this contract would involve monitoring performance, ensuring adherence to contract terms, and verifying that the services provided meet the Department of the Air Force's needs and represent good value.

Related Government Programs

Risk Flags

Tags

wired-telecommunications-carriers, department-of-defense, ny, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $23.5 million to CDO TECHNOLOGIES INC. IGF::OT::IGF INFORMATION TECHNOLOGY SERVICES

Who is the contractor on this award?

The obligated recipient is CDO TECHNOLOGIES INC.

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 $23.5 million.

What is the period of performance?

Start: 2015-10-01. End: 2020-09-30.

What specific IT services were procured under this contract, and how do their costs compare to market rates for similar services?

The contract was for wired telecommunications carriers (NAICS 517110). A detailed breakdown of the services procured and their associated costs is needed to compare against market rates. Without this, it's difficult to definitively assess if the $23.5 million spent represents good value for money or if alternative, more cost-effective solutions were available.

How did the 'Full and Open Competition After Exclusion of Sources' method impact the competitiveness and final pricing of this contract?

This procurement method implies that while the competition was technically 'full and open,' certain sources were excluded, potentially limiting the number of bidders. This could have influenced the final price, possibly leading to a higher cost than if a broader range of competitors had been allowed to bid. Further investigation into the reasons for exclusion and the bidding pool is warranted.

What was the strategic importance of this IT services contract to the Department of the Air Force, and did it achieve its intended mission objectives effectively?

The contract supported wired telecommunications carriers, suggesting a foundational role in the Air Force's communication infrastructure. Assessing its strategic importance requires understanding the specific mission-critical functions it enabled. Evaluating effectiveness would involve reviewing performance metrics, user feedback, and whether the services contributed to the Air Force's overall operational readiness and objectives.

Industry Classification

NAICS: InformationWired and Wireless Telecommunications (except Satellite)Wired Telecommunications Carriers

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: FA875115R0002

Offers Received: 8

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 5200 SPRINGFIELD ST STE 320, DAYTON, OH, 45431

Business Categories: Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $28,480,926

Exercised Options: $26,168,926

Current Obligation: $23,542,941

Subaward Activity

Number of Subawards: 10

Total Subaward Amount: $1,713,085

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: FA873215D0024

IDV Type: IDC

Timeline

Start Date: 2015-10-01

Current End Date: 2020-09-30

Potential End Date: 2020-09-30 00:00:00

Last Modified: 2022-04-18

More Contracts from CDO Technologies Inc

View all CDO Technologies Inc federal contracts →

Other Department of Defense Contracts

View all Department of Defense contracts →

Explore Related Government Spending