Six companies share $3 billion pot for DEIS II

It was deja vu last week for the Defense Enterprise Integration Services II buy. The
Defense Information Systems Agency awarded five-year contracts jointly worth up to $3
billion to the six original DEIS contractors.

The follow-on nearly triples the procurement authority of the original buy and vastly
expands the range of engineering and technical services available.

The DEIS contractors are BDM International Inc., Boeing Co., Computer Sciences Corp.,
Electronic Data Systems Corp., Lockheed Martin Corp. and Unisys Corp. The contractors will
compete for individual task orders. Each is guaranteed only $100,000 worth of business
under DEIS II.

The six companies will be supported by a total of 245 subcontractors, 70 percent of
which were not on the previous contracts, DISA officials said. Twenty percent of the value
of DEIS II is reserved for small, small disadvantaged, woman-owned or historically black
college or university subcontractors, which make up 58 percent of all subcontractors on

"This is a tremendous vehicle," said Anthony Valletta, deputy assistant
secretary of Defense for command, control, communications and intelligence. "It has
better prices, better quality and better services than any comparable federal

The customer base and work performed under DEIS II will be considerably different from
the original contract. Whereas DEIS was used primarily by Defense agencies and centers
such as DISA and the Joint Logistics Systems Center, DEIS II is geared to support the
services and the regional commanders-in-chief, according to DISA.

And though contractors on DEIS were limited to business process re-engineering and
prototype system development, on DEIS II they will be expected to field operational
systems and offer full lifecycle support, including program management and maintenance.
All development task orders on the new contract will be required to show compliance with
the Defense Information Infrastructure Common Operating Environment.

A total of $500 million of the $3 billion maximum value of DEIS II is reserved for task
orders from civilian agencies. DISA took only four months to award DEIS II after releasing
the request for proposals.

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