Commerce Department Renews SMARTNET CISCO Contract for $3M with DISYS Solutions, Inc

Contract Overview

Contract Amount: $2,998,314 ($3.0M)

Contractor: Disys Solutions, Inc.

Awarding Agency: Department of Commerce

Start Date: 2025-03-03

End Date: 2027-03-02

Contract Duration: 729 days

Daily Burn Rate: $4.1K/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: SMARTNET CISCO RENEWAL

Place of Performance

Location: GAITHERSBURG, MONTGOMERY County, MARYLAND, 20899

State: Maryland Government Spending

Plain-Language Summary

Department of Commerce obligated $3.0 million to DISYS SOLUTIONS, INC. for work described as: SMARTNET CISCO RENEWAL Key points: 1. Contract value of $2,998,313.72 for a 2-year period. 2. Awarded to DISYS SOLUTIONS, INC. under a BPA Call. 3. Classified under NAICS code 541519 (Other Computer Related Services). 4. Procurement method was Competed Under SAP, indicating some level of competition.

Value Assessment

Rating: fair

The contract value of $2,998,313.72 for 729 days suggests a daily rate of approximately $4,113. This rate needs to be benchmarked against similar Cisco renewal contracts for IT support services to determine if it's competitive.

Cost Per Unit: $4,113

Competition Analysis

Competition Level: limited

The contract was 'Competed Under SAP' (Simplified Acquisition Procedures), which typically involves a limited number of quotes. While some competition occurred, the extent and effectiveness of price discovery may be limited compared to full and open competition.

Taxpayer Impact: Taxpayer funds are being utilized for this renewal. The effectiveness of the competition method will directly impact the value for money achieved.

Public Impact

Ensures continued operation of critical IT infrastructure for the Department of Commerce. Supports the Office of the Secretary's technological needs. Potential for service disruptions if renewal was not secured. Impact on federal IT service providers and the broader IT sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the IT services sector, specifically focusing on computer-related services. Spending benchmarks for similar Cisco maintenance and support renewals vary widely based on the scope of services and hardware involved.

Small Business Impact

The data does not indicate if small businesses were involved in this procurement. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

The contract was awarded under a BPA Call, suggesting it might be part of a larger framework agreement. Oversight would involve monitoring performance against the contract terms and ensuring adherence to the BPA Call's guidelines.

Related Government Programs

Risk Flags

Tags

other-computer-related-services, department-of-commerce, md, bpa-call, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $3.0 million to DISYS SOLUTIONS, INC.. SMARTNET CISCO RENEWAL

Who is the contractor on this award?

The obligated recipient is DISYS SOLUTIONS, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $3.0 million.

What is the period of performance?

Start: 2025-03-03. End: 2027-03-02.

What is the specific scope of services covered by this SMARTNET CISCO renewal, and how does it compare to previous contract periods?

The provided data lacks specifics on the scope of services. Understanding the exact services (e.g., hardware support, software updates, network management) and comparing them to prior periods is crucial for assessing value. Without this, it's difficult to determine if the $3M expenditure is justified by the services rendered or if there's scope creep.

How effective was the 'Competed Under SAP' process in achieving competitive pricing for this Cisco renewal?

SAP allows for simplified procedures, often involving fewer quotes than full and open competition. While it ensures some level of price discovery, it may not always yield the most advantageous pricing. Benchmarking the per-unit cost against similar contracts and market rates is essential to evaluate if the $4,113 daily rate represents good value or if a more robust competition could have secured better terms.

What are the potential risks associated with renewing a Cisco support contract with DISYS SOLUTIONS, INC. for two years, particularly regarding vendor lock-in or service quality?

Renewing with the same vendor for an extended period can lead to vendor lock-in, potentially limiting future negotiation leverage. Risks include potential degradation of service quality over time if not actively managed, or unforeseen price increases in subsequent renewals. The agency should have performance metrics and contingency plans in place to mitigate these risks.

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 TELECOMMUNICATIONSIT AND TELECOM - NETWORK

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Dexian, LLC

Address: 44670 CAPE CT STE 100, ASHBURN, VA, 20147

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

Financial Breakdown

Contract Ceiling: $4,463,339

Exercised Options: $4,463,339

Current Obligation: $2,998,314

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 1331L521A13ES0040

IDV Type: BPA

Timeline

Start Date: 2025-03-03

Current End Date: 2027-03-02

Potential End Date: 2027-09-02 00:00:00

Last Modified: 2026-03-04

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