DoD's $63.7M DCGS-A software sustainment contract awarded to MANTECH Advanced Systems International, Inc

Contract Overview

Contract Amount: $63,676,778 ($63.7M)

Contractor: Mantech Advanced Systems International, Inc.

Awarding Agency: Department of Defense

Start Date: 2019-10-26

End Date: 2024-10-25

Contract Duration: 1,826 days

Daily Burn Rate: $34.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: THIS TASK ORDER IS UNDER THE SYSTEMS AND SOFTWARE ENGINEERING SUPPORT NEXT GENERATION (SSES NEXGEN) MULTIPLE AWARD INDEFINITE QUANTITY, INDEFINITE DELIVERY (IDIQ) CONTRACT TO PROVIDE COMMUNICATIONS-ELECTRONICS COMMAND (CECOM) SOFTWARE ENGINEERING CENTER (SEC)WITH POST DEPLOYMENT SOFTWARE SUSTAINMENT (PDSS) AND POST PRODUCTION SOFTWARE SUSTAINMENT (PPSS) FOR THE DISTRIBUTED COMMON GROUND SYSTEM-ARMY (DCGS-A) FAMILY OF SYSTEMS (FOS). THIS TASK ORDER PROVIDES ENGINEERING AND TECHNICAL MAINTENANCE FOR DCGS-A.

Place of Performance

Location: FORT HUACHUCA, COCHISE County, ARIZONA, 85613

State: Arizona Government Spending

Plain-Language Summary

Department of Defense obligated $63.7 million to MANTECH ADVANCED SYSTEMS INTERNATIONAL, INC. for work described as: THIS TASK ORDER IS UNDER THE SYSTEMS AND SOFTWARE ENGINEERING SUPPORT NEXT GENERATION (SSES NEXGEN) MULTIPLE AWARD INDEFINITE QUANTITY, INDEFINITE DELIVERY (IDIQ) CONTRACT TO PROVIDE COMMUNICATIONS-ELECTRONICS COMMAND (CECOM) SOFTWARE ENGINEERING CENTER (SEC)WITH POST DEPLOYMENT … Key points: 1. Contract focuses on critical post-deployment software sustainment for the Army's Distributed Common Ground System (DCGS-A). 2. Awarded under the SSES NEXGEN IDIQ, indicating a pre-competed framework for IT services. 3. The contract's duration of 5 years suggests a long-term need for software maintenance and support. 4. The Cost Plus Fixed Fee (CPFF) pricing structure may present cost control challenges. 5. No small business set-aside was utilized, potentially limiting opportunities for smaller firms. 6. The contract is geographically located in Arizona, impacting regional workforce and economic development.

Value Assessment

Rating: fair

The contract value of $63.7 million over five years for software sustainment appears within a reasonable range for complex military systems. However, the Cost Plus Fixed Fee (CPFF) contract type warrants scrutiny, as it can incentivize cost overruns if not managed tightly. Benchmarking against similar PDSS/PPSS contracts for large-scale defense systems would provide a clearer picture of value for money. The absence of specific performance metrics in the provided data makes a definitive value assessment challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This task order was awarded under the full and open competition framework of the Systems and Software Engineering Support Next Generation (SSES NEXGEN) Multiple Award Indefinite Quantity, Indefinite Delivery (IDIQ) contract. This implies that multiple bidders likely competed for the overarching IDIQ, and then potentially competed for this specific task order, or that this task order was competed among the IDIQ awardees. The level of competition for the IDIQ itself is a key factor in understanding price discovery.

Taxpayer Impact: Full and open competition generally leads to better price discovery and potentially lower costs for taxpayers compared to sole-source or limited competition awards.

Public Impact

The primary beneficiaries are the Department of the Army, specifically the Communications-Electronics Command (CECOM) Software Engineering Center (SEC), who receive essential software sustainment. The contract delivers post-deployment software sustainment (PDSS) and post-production software sustainment (PPSS) for the Distributed Common Ground System-Army (DCGS-A) family of systems. The geographic impact is concentrated in Arizona, where the contractor is located, potentially creating or sustaining jobs in that region. The contract supports the operational readiness and effectiveness of intelligence, surveillance, and reconnaissance (ISR) capabilities for Army personnel.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee (CPFF) contract type can lead to higher costs if not managed effectively.
Lack of specific performance metrics makes it difficult to assess the contractor's efficiency and effectiveness.
The long duration of the contract requires ongoing oversight to ensure continued value and relevance.
Reliance on a single contractor for sustainment of a critical system like DCGS-A could pose a risk if the contractor faces financial or operational difficulties.

Positive Signals

Awarded under a pre-competed IDIQ (SSES NEXGEN), suggesting a structured procurement process.
The contract addresses a critical need for software sustainment of a key military intelligence system.
The contractor, MANTECH Advanced Systems International, Inc., likely has experience with similar defense IT contracts.
The fixed fee component of CPFF provides some level of cost predictability for the government.

Sector Analysis

This contract falls within the Custom Computer Programming Services (NAICS 541511) sector, a significant segment of the IT services industry supporting government operations. The market for defense software sustainment is substantial, driven by the continuous need to update and maintain complex weapon systems and intelligence platforms. This contract for DCGS-A sustainment is a component of broader DoD IT spending, which aims to ensure technological superiority and operational effectiveness. Comparable spending benchmarks would involve analyzing other large-scale software sustainment contracts for major defense systems.

Small Business Impact

This contract was not set aside for small businesses, as indicated by 'sb': false. This means that the competition was open to all eligible large and small businesses. While this maximizes the pool of potential offerors, it does not specifically prioritize or guarantee opportunities for small businesses on this particular award. Subcontracting opportunities for small businesses may exist at the discretion of the prime contractor, MANTECH Advanced Systems International, Inc., but are not explicitly mandated by the contract details provided.

Oversight & Accountability

Oversight for this contract would typically be managed by the Department of the Army's Communications-Electronics Command (CECOM) Software Engineering Center (SEC). Accountability measures would be embedded within the contract's terms, including performance standards, reporting requirements, and payment schedules tied to deliverables. Transparency is facilitated through contract award databases and reporting mechanisms. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Systems and Software Engineering Support Next Generation (SSES NEXGEN) IDIQ
Distributed Common Ground System-Army (DCGS-A)
Department of the Army Software Sustainment Programs
Defense Intelligence Information Systems

Risk Flags

Cost Overrun Risk (CPFF)
Performance Measurement Gaps
Long-Term System Dependency

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $63.7 million to MANTECH ADVANCED SYSTEMS INTERNATIONAL, INC.. THIS TASK ORDER IS UNDER THE SYSTEMS AND SOFTWARE ENGINEERING SUPPORT NEXT GENERATION (SSES NEXGEN) MULTIPLE AWARD INDEFINITE QUANTITY, INDEFINITE DELIVERY (IDIQ) CONTRACT TO PROVIDE COMMUNICATIONS-ELECTRONICS COMMAND (CECOM) SOFTWARE ENGINEERING CENTER (SEC)WITH POST DEPLOYMENT SOFTWARE SUSTAINMENT (PDSS) AND POST PRODUCTION SOFTWARE SUSTAINMENT (PPSS) FOR THE DISTRIBUTED COMMON GROUND SYSTEM-ARMY (DCGS-A) FAMILY OF SYSTEMS (FOS). THIS TASK ORDER PROVIDES ENGINEERING AND TECHNICAL MAINTENANCE F

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 (Department of the Army).

What is the total obligated amount?

The obligated amount is $63.7 million.

What is the period of performance?

Start: 2019-10-26. End: 2024-10-25.

What is the track record of MANTECH Advanced Systems International, Inc. with similar large-scale software sustainment contracts for the Department of Defense?

MANTECH Advanced Systems International, Inc. has a history of performing various IT and engineering support services for the Department of Defense. While specific details on past DCGS-A sustainment performance are not provided here, their presence as an awardee on the SSES NEXGEN IDIQ suggests they possess the necessary qualifications and experience to compete for and execute such contracts. A deeper dive into their contract history, including past performance evaluations and any reported issues on similar projects, would be necessary for a comprehensive assessment. Reviewing federal procurement databases and CPARS reports (Contractor Performance Assessment Reporting System) would offer more granular insights into their reliability and effectiveness in delivering complex software sustainment solutions.

How does the $63.7 million cost compare to similar DCGS-A sustainment efforts or comparable intelligence system sustainment contracts?

The $63.7 million contract value over five years for DCGS-A software sustainment needs to be benchmarked against similar efforts. Without specific data on prior DCGS-A sustainment costs or comparable intelligence system sustainment contracts, a direct comparison is difficult. However, the annual cost averages around $12.7 million. This figure should be compared against industry benchmarks for maintaining complex, mission-critical software systems, considering factors like system complexity, user base, and the scope of sustainment activities (e.g., bug fixes, updates, security patches, feature enhancements). The Cost Plus Fixed Fee (CPFF) structure also influences how this cost is realized, potentially allowing for variations based on actual effort expended.

What are the primary risks associated with the Cost Plus Fixed Fee (CPFF) contract type for this software sustainment effort?

The primary risk associated with the Cost Plus Fixed Fee (CPFF) contract type for this software sustainment effort is the potential for cost overruns. In a CPFF contract, the government agrees to pay the contractor's allowable costs plus a fixed fee representing profit. While the fee is fixed, the total cost is not. This structure can incentivize contractors to incur higher costs, as their profit margin (the fixed fee) remains constant regardless of the total expenditure. Effective government oversight, robust cost tracking, and clear definition of allowable costs are crucial to mitigate this risk and ensure the government receives good value. Without stringent management, CPFF contracts can become more expensive than fixed-price alternatives.

What is the expected impact of this contract on the operational effectiveness of DCGS-A and the intelligence capabilities it supports?

This contract is expected to have a positive impact on the operational effectiveness of DCGS-A by ensuring its continued functionality, security, and relevance. Post-Deployment Software Sustainment (PDSS) and Post-Production Software Sustainment (PPSS) are critical for addressing software defects, implementing necessary updates, incorporating security patches, and potentially adding minor enhancements. By maintaining the DCGS-A family of systems, this contract directly supports the intelligence, surveillance, and reconnaissance (ISR) capabilities relied upon by Army personnel and other defense agencies. Reliable and up-to-date software is fundamental to the accurate and timely processing and dissemination of intelligence information, thereby enhancing decision-making on the battlefield.

How has federal spending on DCGS-A or similar intelligence software sustainment programs evolved over the past five years?

Analyzing historical spending trends for DCGS-A or similar intelligence software sustainment programs over the past five years requires access to detailed federal procurement data. Generally, spending on sustainment for major defense systems tends to be relatively stable, reflecting the long lifecycle of these platforms. However, fluctuations can occur based on modernization priorities, system upgrades, or changes in operational tempo. For DCGS-A specifically, spending might have been influenced by its role in ongoing military operations and evolving intelligence requirements. A comprehensive review of budget documents and contract awards related to DCGS-A and comparable systems would reveal patterns of increasing, decreasing, or stable investment in sustainment activities.

Are there any specific performance metrics or Key Performance Indicators (KPIs) associated with this contract that indicate success?

The provided data snippet does not include specific performance metrics or Key Performance Indicators (KPIs) for this contract. Typically, software sustainment contracts include metrics related to response times for critical issues, resolution times for defects, system uptime/availability, security vulnerability remediation timelines, and user satisfaction. The effectiveness of this contract in delivering value for money and ensuring the operational readiness of DCGS-A is directly tied to the achievement of these KPIs. Without visibility into these metrics, a thorough assessment of the contractor's performance and the overall success of the sustainment effort is limited.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Custom Computer Programming 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: 6

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Mantech International Corporation

Address: 12015 LEE JACKSON MEMORIAL HWY, FAIRFAX, VA, 22033

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

Financial Breakdown

Contract Ceiling: $135,753,514

Exercised Options: $111,560,714

Current Obligation: $63,676,778

Actual Outlays: $4,564,453

Subaward Activity

Number of Subawards: 20

Total Subaward Amount: $64,809,444

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W15P7T12DE005

IDV Type: IDC

Timeline