Interior Department awards $3M for Oracle software support, highlighting IT infrastructure needs

Contract Overview

Contract Amount: $3,002,326 ($3.0M)

Contractor: Affigent, LLC

Awarding Agency: Department of the Interior

Start Date: 2023-08-22

End Date: 2027-03-31

Contract Duration: 1,317 days

Daily Burn Rate: $2.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: OFFICE OF NATURAL RESOURCES REVENUE ORACLE EXALYTICS AND IDENTITY ACCESS MANAGEMENT SOFTWARE AND HARDWARE SUPPORT

Place of Performance

Location: DENVER, JEFFERSON County, COLORADO, 80127

State: Colorado Government Spending

Plain-Language Summary

Department of the Interior obligated $3.0 million to AFFIGENT, LLC for work described as: OFFICE OF NATURAL RESOURCES REVENUE ORACLE EXALYTICS AND IDENTITY ACCESS MANAGEMENT SOFTWARE AND HARDWARE SUPPORT Key points: 1. Contract value appears reasonable for specialized Oracle software and identity access management support. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. The contract duration extends over several years, indicating a need for sustained support. 4. This award falls within the 'Other Computer Related Services' NAICS code, a common category for IT support. 5. The fixed-price contract type helps manage cost certainty for the government. 6. The award is a delivery order against a larger contract vehicle.

Value Assessment

Rating: good

The contract value of approximately $3 million for Oracle Exalytics and Identity Access Management software and hardware support seems within a reasonable range for specialized IT services. Benchmarking against similar contracts for enterprise software support would provide a more precise value-for-money assessment. The fixed-price nature of the contract offers cost predictability. However, without detailed service level agreements and performance metrics, a definitive assessment of value is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating that while the initial intent might have been restricted, it ultimately opened to full competition. This suggests that multiple vendors had the opportunity to bid. The presence of two bidders, as indicated by 'no': 2, implies a degree of competition, though a higher number of bidders would typically lead to more robust price discovery and potentially lower costs.

Taxpayer Impact: The use of full and open competition, even after an initial exclusion of sources, is generally favorable for taxpayers as it allows for a wider pool of potential suppliers, fostering competitive pricing and potentially leading to better value.

Public Impact

The Office of Natural Resources Revenue (ONRR) benefits from this contract through enhanced IT infrastructure. Services delivered include crucial support for Oracle Exalytics and identity access management systems. The geographic impact is primarily within the Department of the Interior's operations, likely supporting federal employees and operations. Workforce implications include ensuring the stability and security of IT systems relied upon by ONRR staff.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if specialized knowledge is not adequately transferred.
Reliance on a single vendor for critical IT infrastructure support could pose risks.
The duration of the contract may necessitate careful monitoring of performance and evolving needs.

Positive Signals

Ensures continuity of essential IT services for the Office of Natural Resources Revenue.
The use of a firm-fixed-price contract provides budget certainty.
Full and open competition, even with limited bidders, suggests an effort to secure competitive pricing.

Sector Analysis

This contract falls within the broader IT services sector, specifically focusing on enterprise software support and identity management. The market for specialized Oracle software support is often dominated by a few key players or authorized resellers. The Department of the Interior's reliance on such systems is common across federal agencies managing large datasets and complex operations, making this a typical expenditure for maintaining critical IT infrastructure.

Small Business Impact

The data indicates this contract was not set aside for small businesses ('sb': false). As a delivery order against a larger contract, it's possible that subcontracting opportunities for small businesses may exist within the prime contractor's performance, but this is not explicitly detailed in the provided data. Further analysis of the prime contract vehicle would be needed to assess small business subcontracting potential.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of the Interior's contracting officers and program managers responsible for the Office of Natural Resources Revenue's IT systems. Transparency is facilitated by public contract databases like FPDS. Accountability measures are usually tied to the performance standards within the contract and the firm-fixed-price structure. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Federal IT Infrastructure Modernization Programs
Enterprise Resource Planning (ERP) Software Support
Cybersecurity and Identity Management Services
Oracle Software Maintenance Contracts
Cloud Computing Services (if applicable to the underlying infrastructure)

Risk Flags

Potential for vendor lock-in
Reliance on specialized software support
Limited competition observed (2 bidders)

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $3.0 million to AFFIGENT, LLC. OFFICE OF NATURAL RESOURCES REVENUE ORACLE EXALYTICS AND IDENTITY ACCESS MANAGEMENT SOFTWARE AND HARDWARE SUPPORT

Who is the contractor on this award?

The obligated recipient is AFFIGENT, LLC.

Which agency awarded this contract?

Awarding agency: Department of the Interior (Departmental Offices).

What is the total obligated amount?

The obligated amount is $3.0 million.

What is the period of performance?

Start: 2023-08-22. End: 2027-03-31.

What is the track record of AFFIGENT, LLC in providing similar Oracle software and identity access management support to federal agencies?

Assessing the track record of AFFIGENT, LLC requires a review of their past performance on federal contracts, particularly those involving Oracle Exalytics and identity access management solutions. Information on contract performance ratings, past issues, and successful project completions would be crucial. A search of contract databases and performance assessment reports (e.g., Contractor Performance Assessment Reporting System - CPARS) would provide insights into their reliability, technical expertise, and ability to meet delivery schedules and quality standards. Without specific past performance data, it is difficult to definitively gauge their suitability for this critical IT support role.

How does the awarded price compare to market rates for similar Oracle Exalytics and IAM software support services?

To benchmark the value, we would compare the awarded price against market rates for comparable Oracle Exalytics and Identity Access Management (IAM) software and hardware support. This involves researching industry pricing for similar service level agreements (SLAs), vendor support tiers, and hardware maintenance from Oracle or its authorized partners. Factors such as the scope of support (e.g., 24/7 vs. business hours), response times, and included services (patches, upgrades, technical assistance) significantly influence pricing. If the awarded price is substantially lower or higher than established benchmarks, it warrants further investigation into the reasons, such as the specific terms of service, the number of bidders, or potential inefficiencies.

What are the primary risks associated with relying on AFFIGENT, LLC for critical IT infrastructure support?

Key risks associated with relying on AFFIGENT, LLC include potential vendor lock-in, where the agency becomes overly dependent on the contractor's specific knowledge and tools, making future transitions difficult or costly. There's also the risk of performance issues, where the contractor may fail to meet service level agreements, leading to disruptions in critical IT operations. Financial stability of the contractor is another consideration; a contractor facing financial difficulties could jeopardize service continuity. Furthermore, cybersecurity risks are inherent in managing identity access, and any lapse in the contractor's security practices could expose sensitive government data. The limited number of bidders (two) also presents a risk of reduced competitive pressure over time.

How effective are the current Oracle Exalytics and IAM systems in meeting the ONRR's operational needs, and how does this contract contribute to that effectiveness?

The effectiveness of the Oracle Exalytics and IAM systems is directly tied to the quality and responsiveness of the support provided under this contract. If the systems are critical for data analytics, resource revenue management, and secure access for ONRR personnel, then robust support is essential for their optimal functioning. This contract aims to ensure the systems remain operational, secure, and up-to-date, thereby directly contributing to the agency's ability to perform its mission. Evaluating effectiveness would involve assessing system uptime, performance metrics, security incident rates, and user satisfaction, all of which are influenced by the support services rendered.

What has been the historical spending pattern for Oracle Exalytics and IAM support within the Department of the Interior?

Analyzing historical spending patterns for similar Oracle Exalytics and IAM support within the Department of the Interior is crucial for context. This involves examining past contract awards for these specific technologies or related services over several fiscal years. Understanding the trend in spending—whether it's increasing, decreasing, or stable—can indicate shifts in technology adoption, agency priorities, or the effectiveness of previous support contracts. Comparing the current $3 million award against historical averages or peaks provides insight into whether this expenditure is an anomaly or part of a consistent investment in maintaining these critical IT systems.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services

Product/Service Code: IT AND TELECOM - COMPUTE

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 140D0423Q0799

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Nana Regional Corporation, Inc.

Address: 2553 DULLES VIEW DR, HERNDON, VA, 20171

Business Categories: Alaskan Native Corporation Owned Firm, Category Business, DoT Certified Disadvantaged Business Enterprise, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $4,071,487

Exercised Options: $3,002,326

Current Obligation: $3,002,326

Actual Outlays: $1,891,448

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: NNG15SC59B

IDV Type: GWAC

Timeline