Forest Service awards $28.7M for computer systems design, with a significant portion for IT support

Contract Overview

Contract Amount: $28,686,400 ($28.7M)

Contractor: Excel Technologies, LLC

Awarding Agency: Department of Agriculture

Start Date: 2019-01-31

End Date: 2023-01-31

Contract Duration: 1,461 days

Daily Burn Rate: $19.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 16

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: CSICS, AAR APPROVED, EXCEL TECHNOLOGIES V8, POP 2/1/2019-2/28/2023, AQM SUZAN STAGE, COR ANGIE MITCHELL, PM KAREN MOON

Place of Performance

Location: HERNDON, FAIRFAX County, VIRGINIA, 20170

State: Virginia Government Spending

Plain-Language Summary

Department of Agriculture obligated $28.7 million to EXCEL TECHNOLOGIES, LLC for work described as: CSICS, AAR APPROVED, EXCEL TECHNOLOGIES V8, POP 2/1/2019-2/28/2023, AQM SUZAN STAGE, COR ANGIE MITCHELL, PM KAREN MOON Key points: 1. Contract value of $28.7M over four years suggests a substantial need for ongoing IT services. 2. The contract was awarded using full and open competition, indicating a competitive bidding process. 3. The fixed-price contract type may offer cost certainty but could limit flexibility for evolving IT needs. 4. The award to Excel Technologies, LLC, represents a significant investment in IT infrastructure for the Forest Service. 5. The contract duration of 1461 days (approx. 4 years) aligns with typical IT system lifecycle management. 6. The primary service category is Computer Systems Design Services, a broad area encompassing various IT functions.

Value Assessment

Rating: good

The contract's value of $28.7M over four years for computer systems design services appears reasonable given the scope of IT support typically required by a large agency like the Forest Service. Benchmarking against similar large-scale IT service contracts within the federal government would provide a more precise value-for-money assessment. The firm fixed-price structure suggests an expectation of stable requirements, which can be advantageous for budget predictability.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, meaning all responsible sources were permitted to submit bids. With 16 bids received, this indicates a healthy level of interest and competition for this IT services requirement. A higher number of bidders generally suggests a more robust price discovery process and potentially better pricing outcomes for the government.

Taxpayer Impact: The extensive competition for this contract is beneficial for taxpayers as it likely drove down prices and ensured the Forest Service received competitive offers for its IT systems design needs.

Public Impact

The Forest Service benefits from enhanced IT systems and design services, crucial for its operational efficiency. This contract supports the delivery of essential IT infrastructure and design capabilities to facilitate the agency's mission. The geographic impact is likely nationwide, supporting the Forest Service's dispersed operations. The contract supports a workforce skilled in computer systems design and IT support, contributing to the federal IT sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if requirements are not clearly defined within the fixed-price structure.
Reliance on a single contractor for critical IT systems design could pose a risk if performance issues arise.
Ensuring continued innovation and adaptation to new technologies within a fixed-price framework can be challenging.

Positive Signals

The use of full and open competition suggests a well-defined requirement that attracted multiple capable bidders.
The firm fixed-price contract type provides budget certainty for the Forest Service.
The contract duration of approximately four years allows for stable IT support and system development.

Sector Analysis

The federal IT services market is vast and highly competitive, with agencies like the Department of Agriculture (USDA) consistently investing in computer systems design and related services. This contract falls within the broader IT services sector, which includes everything from software development to network management and cybersecurity. Comparable spending benchmarks for similar IT design and support contracts within federal agencies can range from millions to hundreds of millions of dollars annually, depending on the complexity and scale of the services required.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). As a result, the primary contractor, Excel Technologies, LLC, will likely be responsible for managing the entire scope of work. There is no explicit information on subcontracting plans for small businesses within this data, suggesting that opportunities for small business participation may be limited unless proactively pursued by the prime contractor.

Oversight & Accountability

Oversight for this contract is likely managed by the Contracting Officer's Representative (COR) and Program Manager (PM) as indicated in the data (AQM SUZAN STAGE, COR ANGIE MITCHELL, PM KAREN MOON). The firm fixed-price contract type provides a degree of accountability by linking payment to deliverables. Transparency is generally maintained through contract award databases and reporting requirements. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

USDA IT Modernization Initiatives
Forest Service IT Infrastructure Support
Federal Civilian IT Services Contracts
Computer Systems Design and Related Services

Risk Flags

Potential for scope creep in fixed-price IT contracts.
Reliance on contractor for critical IT system design.
Ensuring adaptability to evolving technology within fixed-price terms.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $28.7 million to EXCEL TECHNOLOGIES, LLC. CSICS, AAR APPROVED, EXCEL TECHNOLOGIES V8, POP 2/1/2019-2/28/2023, AQM SUZAN STAGE, COR ANGIE MITCHELL, PM KAREN MOON

Who is the contractor on this award?

The obligated recipient is EXCEL TECHNOLOGIES, LLC.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Forest Service).

What is the total obligated amount?

The obligated amount is $28.7 million.

What is the period of performance?

Start: 2019-01-31. End: 2023-01-31.

What is the historical spending pattern for computer systems design services by the Forest Service over the past five years?

Analyzing historical spending for computer systems design services by the Forest Service over the past five years would reveal trends in IT investment. This data point, representing a $28.7M award over four years, suggests a significant and sustained commitment to these services. Previous years might show fluctuations based on specific project needs, technology upgrades, or shifts in agency priorities. Understanding this pattern helps contextualize the current award's scale and duration, indicating whether it represents a continuation of existing investment levels, an increase due to new initiatives, or a decrease reflecting project completion. Without specific historical data, it's difficult to definitively state the pattern, but this award implies a consistent need for these specialized IT capabilities within the agency.

How does the per-unit cost or pricing structure of this contract compare to similar IT services contracts awarded by other federal agencies?

Benchmarking the pricing structure of this $28.7M contract against similar IT services contracts awarded by other federal agencies is crucial for assessing value for money. As a firm fixed-price contract, the government pays a set amount regardless of the actual costs incurred by Excel Technologies, LLC. This structure is advantageous when requirements are well-defined. However, comparing 'per-unit' costs is challenging without knowing the specific units of service (e.g., hours of design, number of systems supported, specific deliverables). A comprehensive comparison would involve analyzing the scope of work, contract duration, and the specific IT services provided against contracts of similar size and complexity across agencies like the Department of the Interior or other land management agencies. A higher number of bidders (16 in this case) generally supports more competitive pricing.

What are the key performance indicators (KPIs) used to measure the success of this computer systems design contract?

Key Performance Indicators (KPIs) for a computer systems design services contract like this one are essential for ensuring the Forest Service receives the expected value. While not explicitly detailed in the provided data, typical KPIs would likely include metrics related to system performance, uptime, successful implementation of new designs or upgrades, adherence to project timelines, and user satisfaction. For instance, KPIs might track the percentage of systems meeting specified performance benchmarks, the number of critical bugs identified post-deployment, or the timeliness of delivering design documentation. The COR and PM would be responsible for monitoring these KPIs, and contract performance would be evaluated against them, potentially influencing future contract awards or renewals.

What is the track record of Excel Technologies, LLC in delivering similar IT services to the federal government?

Excel Technologies, LLC's track record in delivering similar IT services to the federal government is a critical factor in assessing the risk and potential success of this $28.7M contract. As a recipient of this award, the company has presumably demonstrated capability through past performance evaluations in previous federal contracts. A review of their contract history would reveal the types of IT services they have provided, the agencies they have served, and their performance ratings. Positive past performance, especially on contracts of similar scope and value, would indicate a lower risk for the Forest Service. Conversely, any history of performance issues, contract disputes, or unmet requirements could raise concerns about their ability to meet the current contract's obligations effectively.

What are the potential risks associated with the firm fixed-price contract type for this specific IT services requirement?

The firm fixed-price (FFP) contract type for this computer systems design services contract carries specific risks for both the government and the contractor. For the Forest Service, the primary risk is that if the contractor, Excel Technologies, LLC, underestimates the effort or encounters unforeseen technical challenges, they might cut corners on quality or scope to maintain profitability. This could lead to suboptimal system designs or incomplete deliverables. Conversely, if the contractor significantly overestimates the effort, the government might end up paying a premium. The FFP structure also offers less flexibility for incorporating changes or incorporating new technological advancements during the contract period, which can be a significant drawback in the rapidly evolving IT landscape. Clear and detailed SOWs are crucial to mitigate these risks.

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 › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 12760418Q0015

Offers Received: 16

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: J2X Technologies LLC

Address: 607 HERNDON PKWY, HERNDON, VA, 20170

Business Categories: Category Business, Limited Liability Corporation, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $28,686,400

Exercised Options: $28,686,400

Current Obligation: $28,686,400

Actual Outlays: $25,786,415

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QTCA18D0088

IDV Type: FSS

Timeline