Commerce Department awards $16M+ for IT support, with full and open competition

Contract Overview

Contract Amount: $16,067,989 ($16.1M)

Contractor: Goldbelt Hawk L.L.C.

Awarding Agency: Department of Commerce

Start Date: 2021-08-31

End Date: 2025-02-19

Contract Duration: 1,268 days

Daily Burn Rate: $12.7K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: LABOR HOURS

Sector: IT

Official Description: SUPPORT- MANAGEMENT: OTHER

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20230

State: District of Columbia Government Spending

Plain-Language Summary

Department of Commerce obligated $16.1 million to GOLDBELT HAWK L.L.C. for work described as: SUPPORT- MANAGEMENT: OTHER Key points: 1. Contract value exceeds $16 million over its period of performance. 2. Services are categorized under 'Other Computer Related Services'. 3. The contract was awarded using full and open competition. 4. The period of performance extends through February 2025. 5. The contract type is Labor Hours, indicating payment based on hours worked. 6. The primary contractor is GOLDBELT HAWK L.L.C.

Value Assessment

Rating: fair

The total award amount of over $16 million for IT support services appears to be within a reasonable range for a multi-year federal contract of this nature. However, without specific details on the scope of services, labor categories, and hourly rates, a precise value-for-money assessment is challenging. Benchmarking against similar IT support contracts within the Department of Commerce or other agencies would provide a clearer picture of whether the pricing reflects competitive market rates. The Labor Hours contract type suggests flexibility but also necessitates careful monitoring of hours to prevent cost overruns.

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 a bid. The data does not specify the number of bidders, which is crucial for understanding the intensity of the competition. A robust competition typically leads to better pricing and service offerings for the government. The use of full and open competition suggests the agency sought to maximize value and innovation by engaging a broad range of potential contractors.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that drives down prices and encourages efficiency. This approach increases the likelihood that the government is receiving services at a fair market value.

Public Impact

The Department of Commerce benefits from essential IT support services. These services likely ensure the smooth operation of the agency's technological infrastructure. The contract supports IT-related functions within the District of Columbia. The contract may indirectly support federal employees by ensuring reliable IT systems.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics makes it difficult to assess service quality.
The Labor Hours contract type can lead to cost overruns if not closely managed.
Limited transparency on the number of bidders hinders a full competition assessment.

Positive Signals

Awarded through full and open competition, suggesting a competitive bidding process.
The contract has a defined period of performance, allowing for planning and budgeting.
The contractor, GOLDBELT HAWK L.L.C., is established as the awardee.

Sector Analysis

The IT services sector within the federal government is vast, encompassing a wide range of support, development, and maintenance activities. This contract falls under 'Other Computer Related Services,' a broad category that can include help desk support, network administration, and system maintenance. Federal spending on IT services consistently ranks among the largest categories of government expenditure. Comparable contracts often involve significant dollar values and long-term commitments, reflecting the critical role of technology in government operations.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses stemming from a small business set-aside. The primary contractor, GOLDBELT HAWK L.L.C., is likely a large business, given the contract value. This means opportunities for small business participation would depend on the prime contractor's subcontracting plan, if any, which is not detailed in the provided data.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the program office within the Department of Commerce's Office of the Secretary. Accountability measures are inherent in the contract terms, including performance standards and payment schedules. Transparency is facilitated by the contract award notice, which is publicly available. Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse arise concerning the contract's execution.

Related Government Programs

IT Professional Services
IT Operations and Maintenance
Computer Systems Design Services
Management and Technical Consulting Services

Risk Flags

Potential for cost overruns due to Labor Hours contract type.
Lack of specific performance metrics in award data.
Limited transparency on the number of bidders in the competition.

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $16.1 million to GOLDBELT HAWK L.L.C.. SUPPORT- MANAGEMENT: OTHER

Who is the contractor on this award?

The obligated recipient is GOLDBELT HAWK L.L.C..

Which agency awarded this contract?

Awarding agency: Department of Commerce (Office of the Secretary).

What is the total obligated amount?

The obligated amount is $16.1 million.

What is the period of performance?

Start: 2021-08-31. End: 2025-02-19.

What is the specific scope of 'Other Computer Related Services' covered under this contract?

The provided data categorizes the contract under NAICS code 541519, 'Other Computer Related Services.' This broad category typically encompasses a wide array of IT support functions that do not fit into more specific classifications. Examples can include IT help desk support, network monitoring and maintenance, system administration, IT equipment troubleshooting, and potentially specialized IT consulting. Without the full contract statement of work (SOW), the precise services rendered remain general. However, given the 'Labor Hours' contract type, it suggests services are provided on an as-needed basis, billed according to the time and labor expended by the contractor's personnel.

How does the $16 million award compare to typical IT support spending at the Department of Commerce?

Assessing the $16 million award against typical IT support spending at the Department of Commerce requires historical spending data for similar services. Federal procurement data systems (like USASpending.gov) can provide benchmarks. Generally, a multi-year contract of this value for IT support is not uncommon for a department the size of Commerce, which relies heavily on technology. However, without specific comparative data on the number of similar contracts, their durations, and their total values within Commerce, it's difficult to definitively state if this award is high, low, or average. Factors like the specific services, number of users supported, and geographic reach also influence spending levels.

What are the potential risks associated with a 'Labor Hours' contract type for IT support?

The 'Labor Hours' contract type, while offering flexibility, carries inherent risks, primarily related to cost control and contractor performance. A key risk is the potential for cost overruns if the contractor's hours are not efficiently managed or if the scope of work expands unexpectedly without adequate oversight. This can lead to the total cost exceeding initial estimates. Another risk is ensuring the quality and productivity of the labor provided; without clear deliverables tied to specific hours, it can be challenging to measure value for money. Effective oversight, detailed timesheet verification, and strong program management are crucial to mitigate these risks and ensure the government receives the intended value.

What does the 'full and open competition' designation imply for contractor performance and pricing?

The 'full and open competition' designation implies that the Department of Commerce solicited bids from all interested and qualified sources. This process is designed to foster a competitive environment, which theoretically leads to better pricing, higher quality services, and increased innovation from contractors vying for the award. For taxpayers, it suggests that the government likely secured a fair market price through the competitive process. However, the actual impact on performance and pricing also depends on the clarity of the solicitation requirements, the evaluation criteria used, and the number of bids received. A robust competition with multiple strong bidders is more likely to yield optimal results than a competition with few participants.

What is the track record of GOLDBELT HAWK L.L.C. in performing federal IT support contracts?

Information regarding the specific track record of GOLDBELT HAWK L.L.C. in performing federal IT support contracts is not detailed in the provided data snippet. To assess their track record, one would need to consult federal procurement databases (such as SAM.gov or USASpending.gov) to review past contract awards, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any history of contract disputes or terminations. A thorough review would examine the types of IT services they have previously provided, the agencies they have served, the contract values, and their performance ratings on those contracts to gauge their reliability and capability in delivering similar services.

Industry Classification

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

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 603 PILOT HOUSE DR STE 400, NEWPORT NEWS, VA, 23606

Business Categories: Alaskan Native Corporation Owned Firm, Category Business, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $16,156,835

Exercised Options: $16,067,989

Current Obligation: $16,067,989

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 1331L518A13OS0022

IDV Type: BPA

Timeline