NOAA Awards $60.4M for Satellite Operations Support to Earth Resources Technology, LLC
Contract Overview
Contract Amount: $60,383,604 ($60.4M)
Contractor: Earth Resources Technology, LLC
Awarding Agency: Department of Commerce
Start Date: 2021-03-29
End Date: 2026-03-28
Contract Duration: 1,825 days
Daily Burn Rate: $33.1K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: TIME AND MATERIALS
Sector: IT
Official Description: PRODUCT AND APPLICATIONS (TASK ORDER 4) SUPPORT UNDER THE SATELLITE OPERATIONS, MAINTENANCE, AND SUSTAINMENT (OMS) TASK ORDER
Place of Performance
Location: SUITLAND, PRINCE GEORGES County, MARYLAND, 20746
State: Maryland Government Spending
Plain-Language Summary
Department of Commerce obligated $60.4 million to EARTH RESOURCES TECHNOLOGY, LLC for work described as: PRODUCT AND APPLICATIONS (TASK ORDER 4) SUPPORT UNDER THE SATELLITE OPERATIONS, MAINTENANCE, AND SUSTAINMENT (OMS) TASK ORDER Key points: 1. Contract value of $60.4M over 5 years. 2. Awarded under full and open competition. 3. Focuses on IT services for satellite operations. 4. Potential for significant taxpayer impact due to IT spending.
Value Assessment
Rating: good
The contract value of $60.4M over five years for IT support appears reasonable given the scope of satellite operations and maintenance. Benchmarking against similar IT service contracts for government agencies would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, suggesting a robust process for price discovery and selection of the most advantageous offer. This method generally leads to competitive pricing.
Taxpayer Impact: The $60.4M award represents a significant investment of taxpayer funds for critical satellite operations. Effective management and delivery of services are key to ensuring value for money.
Public Impact
Ensures continuity of vital satellite operations and data. Supports national interests in Earth observation and resource management. Potential impact on scientific research and weather forecasting.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Reliance on a single vendor for critical IT support.
- Potential for cost overruns in Time and Materials contract type.
Positive Signals
- Awarded via full and open competition.
- Supports essential government functions.
- Long-term contract provides stability.
Sector Analysis
This contract falls within the IT services sector, specifically related to specialized computer services for government operations. Spending benchmarks for similar IT support contracts can vary widely based on complexity and duration.
Small Business Impact
The contract was not awarded to a small business. Analysis of subcontracting opportunities for small businesses is not provided in the data.
Oversight & Accountability
Oversight will be crucial to ensure Earth Resources Technology, LLC meets performance requirements and manages costs effectively under the Time and Materials contract. NOAA's contracting officers will monitor progress.
Related Government Programs
- Other Computer Related Services
- Department of Commerce Contracting
- National Oceanic and Atmospheric Administration Programs
Risk Flags
- Time and Materials contract type increases cost risk.
- No indication of small business subcontracting.
- Potential for vendor lock-in due to specialized nature of services.
- Long duration could lead to technology obsolescence if not managed.
Tags
other-computer-related-services, department-of-commerce, md, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Commerce awarded $60.4 million to EARTH RESOURCES TECHNOLOGY, LLC. PRODUCT AND APPLICATIONS (TASK ORDER 4) SUPPORT UNDER THE SATELLITE OPERATIONS, MAINTENANCE, AND SUSTAINMENT (OMS) TASK ORDER
Who is the contractor on this award?
The obligated recipient is EARTH RESOURCES TECHNOLOGY, LLC.
Which agency awarded this contract?
Awarding agency: Department of Commerce (National Oceanic and Atmospheric Administration).
What is the total obligated amount?
The obligated amount is $60.4 million.
What is the period of performance?
Start: 2021-03-29. End: 2026-03-28.
What is the projected cost per year for this contract, and how does it compare to industry averages for similar satellite operations IT support?
The total contract value is $60.4M over 1825 days (5 years), averaging approximately $12.08M per year. Comparing this to industry averages requires detailed analysis of specific IT support functions for satellite systems, which are highly specialized. However, this annual figure provides a baseline for future cost-effectiveness assessments.
What are the specific risks associated with a Time and Materials contract for satellite operations, and what mitigation strategies are in place?
Time and Materials contracts carry inherent risks of cost escalation if not closely managed, as they reimburse actual labor and material costs plus a fixed fee. For satellite operations, risks include scope creep and inefficient resource utilization. Mitigation strategies typically involve robust oversight, detailed task order management, and clear performance metrics to control costs and ensure efficient service delivery.
How will the effectiveness of Earth Resources Technology, LLC's support be measured to ensure NOAA's satellite operations are maintained and sustained?
Effectiveness will likely be measured through Key Performance Indicators (KPIs) tied to satellite uptime, data processing accuracy, system responsiveness, and adherence to maintenance schedules. NOAA's contracting officers will monitor performance against these metrics, with potential for award fee adjustments or penalties based on outcomes, ensuring the contractor delivers on the critical mission requirements.
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 - APLLICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Address: 14401 SWEITZER LN STE 300, LAUREL, MD, 20707
Business Categories: Asian Pacific American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Not Designated a Small Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $62,186,847
Exercised Options: $62,186,847
Current Obligation: $60,383,604
Actual Outlays: $33,394,089
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 1332KP21DNEEB0011
IDV Type: IDC
Timeline
Start Date: 2021-03-29
Current End Date: 2026-03-28
Potential End Date: 2026-03-28 00:00:00
Last Modified: 2025-09-15
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