Commerce Awards $507K for Thales Plus Maintenance to New Tech Solutions
Contract Overview
Contract Amount: $50,673 ($50.7K)
Contractor: NEW Tech Solutions, Inc.
Awarding Agency: Department of Commerce
Start Date: 2025-06-30
End Date: 2027-06-29
Contract Duration: 729 days
Daily Burn Rate: $70/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 7
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: OU18-25-NEW-078 THALES PLUS MAINTENANCE PLAN.
Place of Performance
Location: FREMONT, ALAMEDA County, CALIFORNIA, 94538
Plain-Language Summary
Department of Commerce obligated $50,672.6 to NEW TECH SOLUTIONS, INC. for work described as: OU18-25-NEW-078 THALES PLUS MAINTENANCE PLAN. Key points: 1. Contract awarded to New Tech Solutions, Inc. for Thales Plus Maintenance. 2. The contract value is $507,627.60. 3. Awarded by the Department of Commerce, National Institute of Standards and Technology. 4. The contract duration is 729 days. 5. The NAICS code is 541519 (Other Computer Related Services).
Value Assessment
Rating: fair
The contract value of $507,627.60 for a 729-day maintenance plan appears reasonable given the specialized nature of Thales systems. Benchmarking against similar maintenance contracts for complex technology would provide a clearer picture of value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES'. This suggests that while competition was sought, specific circumstances limited the pool of eligible bidders, potentially impacting price discovery.
Taxpayer Impact: Taxpayer funds are being used for this contract. The limited competition may result in a higher price than if full and open competition were achieved.
Public Impact
Ensures continued operation and support for Thales systems critical to NIST's research and development. Supports a specific technology vendor, potentially limiting future flexibility or innovation. The contract's duration of two years provides stability for NIST's operations.
Waste & Efficiency Indicators
Waste Risk Score: 70 / 10
Warning Flags
- Limited competition may lead to suboptimal pricing.
- Reliance on a single vendor for maintenance can create lock-in.
- Specific details on the 'exclusion of sources' are not provided.
Positive Signals
- Awarded to a specific company for a defined service.
- Contract duration is clearly defined.
- Procurement process followed a defined structure.
Sector Analysis
This contract falls under IT services, specifically computer-related services. Spending in this sector is consistently high across government agencies for software, hardware, and maintenance, with benchmarks varying widely based on technology complexity and vendor.
Small Business Impact
The data does not indicate if small businesses were involved in this procurement, either as prime contractors or subcontractors. Further analysis would be needed to determine small business participation.
Oversight & Accountability
The award was made by the National Institute of Standards and Technology (NIST), a component of the Department of Commerce. Oversight would typically involve contract management by NIST officials to ensure adherence to terms and conditions.
Related Government Programs
- Other Computer Related Services
- Department of Commerce Contracting
- National Institute of Standards and Technology Programs
Risk Flags
- Potential for higher costs due to limited competition.
- Risk of vendor lock-in for critical system maintenance.
- Lack of transparency regarding the 'exclusion of sources'.
- Need for detailed justification of value for money.
Tags
other-computer-related-services, department-of-commerce, ca, delivery-order, under-100k
Frequently Asked Questions
What is this federal contract paying for?
Department of Commerce awarded $50,672.6 to NEW TECH SOLUTIONS, INC.. OU18-25-NEW-078 THALES PLUS MAINTENANCE PLAN.
Who is the contractor on this award?
The obligated recipient is NEW TECH SOLUTIONS, INC..
Which agency awarded this contract?
Awarding agency: Department of Commerce (National Institute of Standards and Technology).
What is the total obligated amount?
The obligated amount is $50,672.6.
What is the period of performance?
Start: 2025-06-30. End: 2027-06-29.
What specific Thales systems are covered by this maintenance plan, and what is their criticality to NIST's mission?
The specific Thales systems are not detailed in the provided data. Understanding the criticality of these systems to NIST's research, development, and operational functions is essential for assessing the value and necessity of this maintenance contract. Without this context, it's difficult to definitively gauge the true impact of the spending.
What were the reasons for excluding other sources, and how did this impact the final price compared to a fully open competition?
The exclusion of sources suggests potential proprietary technology, unique capabilities, or specific security requirements that only certain vendors could meet. The impact on price is difficult to quantify without a baseline from open competition. However, limited competition generally leads to higher prices due to reduced market pressure.
How does the per-unit cost of this maintenance plan compare to industry standards for similar Thales equipment or comparable complex technological systems?
A direct per-unit cost benchmark is not available without more detailed information on the specific Thales products and the scope of maintenance services included. Comparing this contract's pricing to industry standards for similar complex IT maintenance contracts would require access to market research data and competitor pricing, which is not provided here.
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 - DELIVERY
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 7
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 4179 BUSINESS CENTER DR, FREMONT, CA, 94538
Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $77,925
Exercised Options: $50,673
Current Obligation: $50,673
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: NNG15SC82B
IDV Type: GWAC
Timeline
Start Date: 2025-06-30
Current End Date: 2027-06-29
Potential End Date: 2028-06-29 00:00:00
Last Modified: 2026-04-10
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