Commerce Awards $94.4M for Computer Systems Design Services to Harmonia Holdings Group, LLC
Contract Overview
Contract Amount: $94,369,046 ($94.4M)
Contractor: Harmonia Holdings Group, LLC
Awarding Agency: Department of Commerce
Start Date: 2018-08-24
End Date: 2023-07-31
Contract Duration: 1,802 days
Daily Burn Rate: $52.4K/day
Competition Type: COMPETED UNDER SAP
Number of Offers Received: 2
Pricing Type: TIME AND MATERIALS
Sector: IT
Official Description: DITD AWARD
Place of Performance
Location: SUITLAND, PRINCE GEORGES County, MARYLAND, 20746
State: Maryland Government Spending
Plain-Language Summary
Department of Commerce obligated $94.4 million to HARMONIA HOLDINGS GROUP, LLC for work described as: DITD AWARD Key points: 1. The award totals $94.4 million over its duration. 2. Harmonia Holdings Group, LLC is the sole awardee. 3. The contract was competed under SAP (Simplified Acquisition Procedures). 4. The sector is Information Technology (IT) services. 5. The contract type is Time and Materials.
Value Assessment
Rating: fair
The contract is a Time and Materials (T&M) award, which can lead to higher costs if not managed closely. Benchmarking T&M contracts is challenging due to variable labor rates and scope creep potential. The awarded amount of $94.4M over 5 years suggests a significant but not exceptionally high annual spend.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was competed under SAP, indicating it was likely a limited competition. While SAP aims for efficiency, it may not always achieve the best price discovery compared to full and open competition. The specific details of the SAP competition are not provided.
Taxpayer Impact: The use of SAP and T&M pricing may result in higher taxpayer costs if not rigorously managed for scope and labor rates.
Public Impact
Supports critical U.S. Census Bureau operations through IT services. Ensures continuity of essential government IT infrastructure. Potential for cost overruns due to Time and Materials contract type.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Time and Materials contract type
- Limited competition under SAP
- Potential for scope creep
Positive Signals
- Awarded to a single vendor for continuity
- Supports a critical agency function
Sector Analysis
This contract falls within the IT services sector, specifically computer systems design. Spending in this area is substantial across government, with benchmarks varying widely based on service complexity and agency needs. The $94.4M award over five years represents a moderate annual spend for specialized IT support.
Small Business Impact
The data indicates the awardee is not a small business (sb: false). Therefore, this specific award does not appear to directly benefit small businesses through subcontracting opportunities, unless Harmonia Holdings Group, LLC has its own small business subcontracting plan not detailed here.
Oversight & Accountability
Oversight would focus on the U.S. Census Bureau's management of the Time and Materials contract to prevent cost overruns and ensure adherence to the Statement of Work. Regular performance reviews and audits are crucial for accountability.
Related Government Programs
- Computer Systems Design Services
- Department of Commerce Contracting
- U.S. Census Bureau Programs
Risk Flags
- Time and Materials contract type increases cost risk.
- Limited competition may not yield best value.
- Potential for scope creep without strong oversight.
- Lack of transparency on specific services provided.
- No indication of small business subcontracting.
Tags
computer-systems-design-services, department-of-commerce, md, bpa-call, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Commerce awarded $94.4 million to HARMONIA HOLDINGS GROUP, LLC. DITD AWARD
Who is the contractor on this award?
The obligated recipient is HARMONIA HOLDINGS GROUP, LLC.
Which agency awarded this contract?
Awarding agency: Department of Commerce (U.S. Census Bureau).
What is the total obligated amount?
The obligated amount is $94.4 million.
What is the period of performance?
Start: 2018-08-24. End: 2023-07-31.
What specific computer systems design services are being provided under this contract, and how do they align with the Census Bureau's mission objectives?
The contract is for 'Computer Systems Design Services' (NAICS 541512). These services likely encompass the design, development, integration, and maintenance of complex IT systems supporting the U.S. Census Bureau's data collection, processing, and dissemination activities. This directly aligns with the agency's core mission of conducting censuses and providing statistical data to the nation.
What measures are in place to mitigate the risks associated with a Time and Materials contract, particularly regarding potential cost overruns and scope creep?
Effective oversight of T&M contracts requires robust task order management, clear definition of deliverables, and continuous monitoring of labor hours and rates. The Census Bureau should implement strict approval processes for all work performed, conduct regular performance reviews with Harmonia Holdings Group, LLC, and establish clear ceilings or CLINs (Contract Line Item Numbers) to control spending and prevent unauthorized scope expansion.
How does the pricing of this contract compare to similar IT services contracts awarded by other federal agencies, considering the limited competition?
Benchmarking this T&M contract's pricing is difficult without detailed labor rates and specific service descriptions. However, the limited competition under SAP suggests that the price discovery might not be as robust as in full and open competitions. A comparative analysis would require access to detailed pricing data from similar contracts, factoring in variations in service complexity, geographic location, and vendor experience.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS
Competition & Pricing
Extent Competed: COMPETED UNDER SAP
Solicitation Procedures: SIMPLIFIED ACQUISITION
Offers Received: 2
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Address: 2020 KRAFT DR STE 1000, BLACKSBURG, VA, 24060
Business Categories: Category Business, Economically Disadvantaged Women Owned Small Business, HUBZone Firm, Limited Liability Corporation, Minority Owned Business, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $97,740,055
Exercised Options: $94,369,046
Current Obligation: $94,369,046
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Parent Contract
Parent Award PIID: DOCYA132315BU0037
IDV Type: BPA
Timeline
Start Date: 2018-08-24
Current End Date: 2023-07-31
Potential End Date: 2024-07-31 00:00:00
Last Modified: 2025-01-31
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