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
- Limited competition under SAP may not yield the best price.
- Lack of detailed performance metrics in provided data.
- Reliance on a single vendor for renewal could pose future risks.
Positive Signals
- Contract renewal ensures continuity of essential IT services.
- Procurement followed a competitive process, albeit under SAP.
- Firm Fixed Price contract provides cost certainty.
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
- Other Computer Related Services
- Department of Commerce Contracting
- Office of the Secretary Programs
Risk Flags
- Limited competition.
- Potential for uncompetitive pricing.
- Lack of detailed scope of services.
- No indication of small business participation.
- Potential for vendor lock-in.
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 Services › Computer Systems Design and Related Services › Other Computer Related Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT 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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