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
- Limited competition effectiveness
- Lack of small business participation
- Unclear value for money
Positive Signals
- Contract awarded under full and open competition
- Long-term IT services support
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
- Wired Telecommunications Carriers
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Potential for limited competition impact on price
- Lack of small business participation
- Insufficient data to assess value for money
- Need for detailed service cost analysis
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: Information › Wired 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
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