Agriculture Department awards $42.8M contract for customer experience portal development and operations

Contract Overview

Contract Amount: $42,817,897 ($42.8M)

Contractor: Technology Solutions Provider, LLC

Awarding Agency: Department of Agriculture

Start Date: 2023-08-15

End Date: 2026-08-28

Contract Duration: 1,109 days

Daily Burn Rate: $38.6K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: FPAC FARMERS.GOV CUSTOMER EXPERIENCE PORTAL - DEVELOPMENT AND OPERATIONS/MAINTENANCE

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20250

State: District of Columbia Government Spending

Plain-Language Summary

Department of Agriculture obligated $42.8 million to TECHNOLOGY SOLUTIONS PROVIDER, LLC for work described as: FPAC FARMERS.GOV CUSTOMER EXPERIENCE PORTAL - DEVELOPMENT AND OPERATIONS/MAINTENANCE Key points: 1. Contract aims to enhance the user experience for farmers accessing government services. 2. Technology Solutions Provider, LLC, is the prime contractor for this effort. 3. The contract is structured as a Firm Fixed Price award. 4. Operations and maintenance are included alongside initial development. 5. The contract duration extends over three years. 6. This award represents a significant investment in digital service delivery.

Value Assessment

Rating: good

The contract's value of $42.8 million over approximately three years for a customer experience portal, including development and ongoing operations, appears reasonable. Benchmarking against similar government IT service contracts for portal development and maintenance suggests this pricing is within expected ranges. The firm fixed price structure provides cost certainty for the government, though it places more risk on the contractor to manage costs effectively. Further analysis would require detailed scope of work and comparison to specific, comparable projects.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' which suggests a competitive process but with specific exclusions. While five bids were received, the nature of the exclusions needs further clarification to fully understand the breadth of competition. A limited competition can sometimes lead to less aggressive pricing compared to unrestricted full and open competition, but the presence of multiple bidders indicates some level of market engagement.

Taxpayer Impact: The exclusion of certain sources, even with multiple bidders, may limit the government's ability to secure the absolute lowest price. However, the receipt of five bids suggests a competitive environment that likely benefited taxpayers by driving down costs compared to a sole-source award.

Public Impact

Farmers and agricultural producers will benefit from an improved and more accessible online portal for accessing USDA services and information. The contract will deliver enhanced digital services, potentially streamlining interactions with the Department of Agriculture. The primary geographic impact is national, serving agricultural stakeholders across the United States. The contract supports jobs in the IT sector, specifically in software development, systems design, and IT operations and maintenance.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if requirements are not tightly managed.
Reliance on a single contractor for critical customer experience infrastructure.
Ensuring long-term maintainability and adaptability of the developed portal.

Positive Signals

Focus on customer experience indicates a commitment to user-centric design.
Firm Fixed Price contract provides budget predictability.
Inclusion of operations and maintenance ensures continuity of service.
Competitive award process, even if limited, suggests vendor interest and potential for good value.

Sector Analysis

This contract falls within the broader IT services sector, specifically focusing on custom software development and IT support. The market for government IT services is substantial, with agencies increasingly investing in modernizing their digital platforms and improving citizen engagement. Comparable spending benchmarks would involve looking at other federal contracts for developing and maintaining large-scale customer-facing portals or enterprise resource planning systems. The size of this contract is moderate within the context of major federal IT procurements.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). Therefore, the primary contractor, Technology Solutions Provider, LLC, is likely a larger entity. There is no explicit information on subcontracting plans for small businesses within this award. Without specific subcontracting goals, the direct impact on the small business ecosystem is limited, though the prime contractor may engage small businesses opportunistically.

Oversight & Accountability

Oversight for this contract would typically reside within the Department of Agriculture's Office of the Chief Financial Officer and the relevant program offices utilizing the FPAC Farmers.gov portal. Accountability measures are embedded in the contract's performance work statement and delivery schedules. Transparency is facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

FPAC Farmers.gov
USDA Customer Service Initiatives
Federal IT Modernization Programs
Digital Government Services

Risk Flags

Limited competition may impact price optimization.
Contract performance relies heavily on contractor's technical expertise.
Potential for vendor lock-in if not managed carefully.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $42.8 million to TECHNOLOGY SOLUTIONS PROVIDER, LLC. FPAC FARMERS.GOV CUSTOMER EXPERIENCE PORTAL - DEVELOPMENT AND OPERATIONS/MAINTENANCE

Who is the contractor on this award?

The obligated recipient is TECHNOLOGY SOLUTIONS PROVIDER, LLC.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Office of the Chief Financial Officer).

What is the total obligated amount?

The obligated amount is $42.8 million.

What is the period of performance?

Start: 2023-08-15. End: 2026-08-28.

What is the track record of Technology Solutions Provider, LLC in delivering similar government IT projects, particularly customer-facing portals?

A thorough review of Technology Solutions Provider, LLC's past performance is crucial. This would involve examining their contract history for similar projects, including the size, complexity, and duration of those efforts. Specifically, assessing their success in developing and maintaining customer experience portals for federal agencies would provide insight into their capabilities. Past performance evaluations, if available, and any documented issues or successes on prior contracts would be key indicators. Understanding their experience with USDA systems or similar agricultural data platforms would also be relevant. Without specific data on their past projects, it's difficult to definitively assess their track record, but a review of federal procurement databases and agency performance reports would be the next step.

How does the awarded price compare to market rates for similar custom software development and IT operations/maintenance services?

To benchmark the $42.8 million award, one would compare the contract's estimated value and duration against market data for comparable IT services. This involves analyzing average hourly rates for software developers, system architects, project managers, and IT support staff in the Washington D.C. metropolitan area (where the contract is registered) and nationally. Furthermore, comparing the cost per user or cost per function delivered for similar government portals can provide context. The firm fixed price nature means the government is paying for a defined outcome, so the value is assessed against the scope of work delivered. If the contractor's proposed labor mix and rates align with industry averages for similar skill sets and experience levels, the pricing is likely fair. A detailed cost breakdown from the contractor, if available, would allow for a more granular comparison.

What are the specific risks associated with the 'Full and Open Competition After Exclusion of Sources' award type for this contract?

The 'Full and Open Competition After Exclusion of Sources' award type presents a nuanced risk profile. While it implies a competitive process, the exclusion of certain sources means the pool of potential bidders was intentionally narrowed. The primary risk is that this limitation could have reduced the overall level of competition, potentially leading to a higher price than if all eligible sources were allowed to bid. It also raises questions about the justification for the exclusions – were they based on specific technical requirements, past performance issues with certain vendors, or other factors? If the exclusions were not well-justified or were overly broad, the government might have missed out on innovative solutions or more cost-effective proposals from excluded vendors. The risk is that the government may not have achieved the best possible value due to this restricted competition.

What are the key performance indicators (KPIs) that will be used to measure the success of the FPAC Farmers.gov Customer Experience Portal?

Key performance indicators (KPIs) for this contract would likely focus on user satisfaction, system performance, and service delivery efficiency. For user satisfaction, metrics could include Net Promoter Score (NPS), user feedback surveys, and task completion rates. System performance KPIs might involve website uptime, page load times, and response times for critical functions. Service delivery efficiency could be measured by the reduction in support calls, the speed of information retrieval for users, and the successful processing of online requests or applications. The contract's Performance Work Statement (PWS) would detail these specific KPIs, along with acceptable performance thresholds and any associated award fees or penalties. Regular reporting and performance reviews would track progress against these metrics.

How does this $42.8M contract fit into the broader historical spending patterns for USDA's IT modernization and customer service initiatives?

This $42.8 million contract represents a significant, but not unprecedented, investment in IT modernization and customer service within the USDA. Historical spending patterns for the department show consistent investment in IT infrastructure, data management, and digital service delivery across its various agencies. The FPAC Farmers.gov portal initiative aligns with a government-wide trend towards improving citizen engagement through digital platforms. To contextualize this specific award, one would examine USDA's IT budget over the past 5-10 years, identifying similar procurements for portal development, CRM systems, or large-scale IT operations. This contract's value should be compared against the average size and frequency of such awards to determine if it signifies an acceleration, a continuation, or a shift in spending priorities for USDA's digital service initiatives.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 12314423R0007

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: ABT Global LLC

Address: 11490 COMMERCE PARK DRIVE, SUITE 200, RESTON, VA, 20191

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, Indian (Subcontinent) American Owned Business, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $77,424,204

Exercised Options: $42,817,897

Current Obligation: $42,817,897

Actual Outlays: $35,106,252

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 75N98120D00092

IDV Type: GWAC

Timeline