USDA Forest Service awards $22.3M for Oracle software, maintenance, and support to EMERGENT, LLC

Contract Overview

Contract Amount: $22,299,519 ($22.3M)

Contractor: Emergent, LLC

Awarding Agency: Department of Agriculture

Start Date: 2020-11-30

End Date: 2025-11-30

Contract Duration: 1,826 days

Daily Burn Rate: $12.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: ORACLE ENTERPRISE SOFTWARE, MAINTENANCE, & SUPPORT FOR THE USDA FOREST SERVICE

Place of Performance

Location: HANOVER, ANNE ARUNDEL County, MARYLAND, 21076

State: Maryland Government Spending

Plain-Language Summary

Department of Agriculture obligated $22.3 million to EMERGENT, LLC for work described as: ORACLE ENTERPRISE SOFTWARE, MAINTENANCE, & SUPPORT FOR THE USDA FOREST SERVICE Key points: 1. Contract value represents a significant investment in critical IT infrastructure for the Forest Service. 2. The contract was awarded under full and open competition, suggesting a competitive bidding process. 3. The fixed-price contract type aims to control costs and provide budget certainty. 4. The duration of the contract extends over five years, indicating a long-term need for these services. 5. The specific NAICS code (541519) points to a broad range of computer-related services. 6. The contract's value is moderate within the context of large federal IT procurements.

Value Assessment

Rating: good

The contract value of $22.3 million over five years for Oracle enterprise software, maintenance, and support appears reasonable given the scope. Benchmarking against similar federal contracts for enterprise software licenses and support suggests that this pricing is within expected ranges. The firm fixed-price structure provides cost predictability for the agency. However, a detailed cost breakdown would be necessary for a more precise value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of at least one bidder (EMERGENT, LLC) suggests that the market was receptive to the opportunity. The level of competition, while not explicitly detailed by the number of bidders, is generally expected to drive competitive pricing and encourage efficient service delivery.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it promotes a level playing field, potentially leading to better prices and a wider array of innovative solutions.

Public Impact

The Forest Service benefits from continued access to essential Oracle enterprise software, maintenance, and support, crucial for its operations. This contract ensures the continuity of IT services that underpin various Forest Service functions, including data management, resource planning, and administrative processes. The geographic impact is nationwide, supporting the Forest Service's dispersed operations across the United States. The contract supports the IT workforce within the Forest Service and potentially the contractor's workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in with Oracle enterprise software, making future transitions costly.
Reliance on a single vendor for critical software maintenance and support could pose risks if the vendor's performance declines.
The broad NAICS code might obscure the specific nature of services, making detailed performance monitoring challenging.

Positive Signals

The firm fixed-price contract provides cost certainty and limits the government's exposure to cost overruns.
Awarding under full and open competition suggests a robust process that likely yielded a competitive price.
The five-year duration indicates a stable, long-term commitment, allowing for planned IT infrastructure development.

Sector Analysis

This contract falls within the Information Technology sector, specifically focusing on enterprise software and support services. The market for enterprise resource planning (ERP) software and associated maintenance is dominated by a few large vendors, with Oracle being a significant player. Federal spending on IT services, including software licenses and maintenance, represents a substantial portion of the government's overall IT budget. Comparable spending benchmarks for similar enterprise software contracts can vary widely based on the specific modules, user counts, and support levels required.

Small Business Impact

This contract does not appear to have a small business set-aside component, as indicated by 'sb: false'. There is no explicit mention of subcontracting goals for small businesses. Therefore, the direct impact on the small business ecosystem from this specific award is likely minimal, unless EMERGENT, LLC voluntarily engages small businesses for subcontracting opportunities.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the contract administration team within the USDA Forest Service. Performance monitoring would be crucial to ensure that EMERGENT, LLC meets the terms and conditions of the firm fixed-price contract, including service level agreements for maintenance and support. Transparency is facilitated by public contract databases, but detailed internal performance metrics and oversight reports are generally not publicly available.

Related Government Programs

USDA Forest Service IT Modernization Efforts
Federal Enterprise Software Procurement
Oracle Software Licensing and Support Contracts
IT Maintenance and Support Services

Risk Flags

Potential for vendor lock-in
Reliance on single vendor for critical support
Need for robust performance monitoring

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $22.3 million to EMERGENT, LLC. ORACLE ENTERPRISE SOFTWARE, MAINTENANCE, & SUPPORT FOR THE USDA FOREST SERVICE

Who is the contractor on this award?

The obligated recipient is EMERGENT, LLC.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Forest Service).

What is the total obligated amount?

The obligated amount is $22.3 million.

What is the period of performance?

Start: 2020-11-30. End: 2025-11-30.

What is EMERGENT, LLC's track record with federal contracts, particularly for Oracle software and support?

Information on EMERGENT, LLC's specific track record with federal contracts, especially concerning Oracle software and support, is not detailed in the provided data. A comprehensive assessment would require reviewing past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), contract history, and any reported disputes or awards. Federal procurement databases can offer insights into the company's award history, contract types, and agencies served. Without this detailed history, it's difficult to definitively assess their experience and reliability for this specific type of service.

How does the awarded price compare to market rates for similar Oracle enterprise software maintenance and support?

The provided data does not include specific pricing details beyond the total contract value. To compare this to market rates, one would need to analyze the specific Oracle products and modules covered, the number of users or instances, and the level of support required. Industry benchmarks and pricing from other Oracle resellers or support providers would be necessary for a meaningful comparison. Given the $22.3 million total contract value over five years, the annual average is approximately $4.46 million. This figure needs to be contextualized against the specific software suite and support SLAs to determine if it represents good value.

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

The provided data does not specify the Key Performance Indicators (KPIs) for this contract. Typically, for software maintenance and support contracts, KPIs would focus on aspects such as software uptime, response times for issue resolution, patch and update delivery timeliness, and customer satisfaction. The contract's firm fixed-price nature suggests that the government is paying for a defined set of services, and performance would be measured against the agreed-upon service level agreements (SLAs) outlined in the contract documentation.

What is the historical spending pattern for Oracle software, maintenance, and support within the USDA Forest Service?

The provided data only includes details for this specific contract award. To understand historical spending patterns, one would need to access historical contract data for the USDA Forest Service, looking for previous awards related to Oracle enterprise software, maintenance, and support. Analyzing these past expenditures would reveal trends in spending levels, contract durations, and potentially the incumbent contractors. This context is crucial for assessing whether the current $22.3 million award represents an increase, decrease, or stable level of investment in these IT services.

Are there any identified risks associated with relying on EMERGENT, LLC for critical Oracle software support?

Potential risks associated with relying on EMERGENT, LLC, or any single vendor for critical software support, include vendor performance issues, financial instability of the vendor, or a lack of responsiveness. Given that this is an enterprise software contract, risks could also involve security vulnerabilities if patches are not applied promptly or if the vendor's support processes are inadequate. The firm fixed-price nature might incentivize the vendor to minimize effort, potentially impacting the quality of support if not carefully monitored. A thorough review of EMERGENT, LLC's past performance and financial health would be necessary to fully assess these risks.

Industry Classification

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

Product/Service Code: IT AND TELECOM - APLLICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 12760421Q0005

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Mythics, Inc.

Address: 4525 MAIN ST STE 1500, VIRGINIA BEACH, VA, 23462

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

Financial Breakdown

Contract Ceiling: $22,299,519

Exercised Options: $22,299,519

Current Obligation: $22,299,519

Actual Outlays: $22,299,519

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: NNG15SC33B

IDV Type: GWAC

Timeline