Social Security Administration awards $23.2M bridge contract for engineering support to MicroTechnologies LLC

Contract Overview

Contract Amount: $23,221,980 ($23.2M)

Contractor: Microtechnologies LLC

Awarding Agency: Social Security Administration

Start Date: 2013-03-31

End Date: 2014-02-14

Contract Duration: 320 days

Daily Burn Rate: $72.6K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: LABOR HOURS

Sector: IT

Official Description: ENGINEERING SUPPORT SERVICES BRIDGE CONTRACT (SS00-12-60077) TASK ORDER 0003 IGF::OT::IGF OTHER FUNCTIONS

Place of Performance

Location: VIENNA, FAIRFAX County, VIRGINIA, 22182

State: Virginia Government Spending

Plain-Language Summary

Social Security Administration obligated $23.2 million to MICROTECHNOLOGIES LLC for work described as: ENGINEERING SUPPORT SERVICES BRIDGE CONTRACT (SS00-12-60077) TASK ORDER 0003 IGF::OT::IGF OTHER FUNCTIONS Key points: 1. Contract awarded to MicroTechnologies LLC for engineering support services. 2. The contract is a bridge contract, indicating a potential gap in service. 3. The award value is $23,221,980. 4. The NAICS code 541519 suggests 'Other Computer Related Services'. 5. The contract was not competed.

Value Assessment

Rating: questionable

The contract's pricing is based on labor hours, making direct comparison difficult without detailed labor rates. The award value of $23.2M for a 320-day duration suggests a significant investment, but the lack of competition hinders a robust price assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, falling under a sole-source or limited competition category. This limits price discovery and potentially leads to higher costs for taxpayers as competitive pressures are absent.

Taxpayer Impact: The lack of competition for a $23.2M contract raises concerns about potential overspending and inefficient use of taxpayer funds.

Public Impact

Taxpayers may be paying a premium due to the absence of competitive bidding. The Social Security Administration's reliance on a single vendor for critical engineering support raises questions about long-term strategy and vendor lock-in. The bridge contract nature suggests potential planning or procurement process issues within the agency.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the IT services sector, specifically 'Other Computer Related Services'. Spending benchmarks for similar engineering support services can vary widely based on scope and duration, but a $23.2M award for less than a year warrants scrutiny, especially without competition.

Small Business Impact

The data indicates this contract was not awarded to small businesses (ss: false, sb: false). There is no indication of subcontracting opportunities for small businesses within this award.

Oversight & Accountability

The 'NOT COMPETED' status suggests potential issues with the procurement process. Further oversight is needed to understand why this significant contract was not opened to competitive bidding and if proper justification was documented.

Related Government Programs

Risk Flags

Tags

other-computer-related-services, social-security-administration, va, do, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Social Security Administration awarded $23.2 million to MICROTECHNOLOGIES LLC. ENGINEERING SUPPORT SERVICES BRIDGE CONTRACT (SS00-12-60077) TASK ORDER 0003 IGF::OT::IGF OTHER FUNCTIONS

Who is the contractor on this award?

The obligated recipient is MICROTECHNOLOGIES LLC.

Which agency awarded this contract?

Awarding agency: Social Security Administration (Social Security Administration).

What is the total obligated amount?

The obligated amount is $23.2 million.

What is the period of performance?

Start: 2013-03-31. End: 2014-02-14.

What was the justification for not competing this $23.2M engineering support contract?

The justification for not competing this contract is not provided in the data. Typically, sole-source or limited competition awards require detailed documentation outlining reasons such as urgency, unique capabilities, or lack of other responsible sources. Without this justification, it's difficult to assess the necessity of this procurement approach.

What are the risks associated with awarding a bridge contract of this magnitude without competition?

The primary risks include paying inflated prices due to the absence of competitive pressure, potential for vendor lock-in, and the possibility that the agency did not explore all available options. Bridge contracts, by nature, are temporary, so this award may also indicate underlying issues with the agency's long-term procurement planning or execution.

How does the lack of competition impact the effectiveness of this engineering support service acquisition?

The lack of competition significantly hinders the effectiveness of this acquisition. It removes the incentive for the vendor to offer the most cost-effective solution or the highest quality service. The agency may not be receiving the best value for its investment, and the absence of market comparison makes it difficult to gauge true effectiveness relative to potential alternatives.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesOther Computer Related Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONSADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 8330 BOONE BLVD STE 600, VIENNA, VA, 11

Business Categories: 8(a) Program Participant, Category Business, Hispanic American Owned Business, Limited Liability Corporation, Minority Owned Business, Not Designated a Small Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Small Disadvantaged Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $25,641,914

Exercised Options: $23,221,980

Current Obligation: $23,221,980

Subaward Activity

Number of Subawards: 3

Total Subaward Amount: $7,842,798

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: SS001260077

IDV Type: IDC

Timeline

Start Date: 2013-03-31

Current End Date: 2014-02-14

Potential End Date: 2014-03-31 00:00:00

Last Modified: 2014-01-31

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