PBGC awards $1.13M for FedRAMP subscription and support to 4 Star Technologies, Inc

Contract Overview

Contract Amount: $1,132,380 ($1.1M)

Contractor: 4 Star Technologies, Inc.

Awarding Agency: Department of the Interior

Start Date: 2024-02-22

End Date: 2027-02-21

Contract Duration: 1,095 days

Daily Burn Rate: $1.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: THE PENSION BENEFIT GUARANTY CORPORATION (PBGC), INFORMATION TECHNOLOGY INFRASTRUCTURE OPERATIONS DEPARTMENT (ITIOD) HAS A REQUIREMENT TO PROVIDE COMMERCIAL BRAND NAME SUBSCRIPTION LICENSE AND SUPPORT FOR THE FEDERAL RISK AND AUTHORIZATION MANAGEMENT

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20037

State: District of Columbia Government Spending

Plain-Language Summary

Department of the Interior obligated $1.1 million to 4 STAR TECHNOLOGIES, INC. for work described as: THE PENSION BENEFIT GUARANTY CORPORATION (PBGC), INFORMATION TECHNOLOGY INFRASTRUCTURE OPERATIONS DEPARTMENT (ITIOD) HAS A REQUIREMENT TO PROVIDE COMMERCIAL BRAND NAME SUBSCRIPTION LICENSE AND SUPPORT FOR THE FEDERAL RISK AND AUTHORIZATION MANAGEMENT Key points: 1. Contract awarded via full and open competition, indicating a competitive bidding process. 2. The contract duration is 3 years, aligning with typical subscription and support cycles. 3. The award is a delivery order, suggesting it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract. 4. The North American Industry Classification System (NAICS) code 541519 points to a broad range of computer-related services. 5. The contract is firm-fixed-price, providing cost certainty for the PBGC. 6. The geographic location of the award is Washington D.C.

Value Assessment

Rating: good

The contract value of $1.13 million over three years for commercial brand name subscription license and support for the Federal Risk and Authorization Management Program (FedRAMP) appears reasonable given the specialized nature of the service. Benchmarking against similar FedRAMP subscription contracts is challenging without specific details on the exact software and support levels. However, the firm-fixed-price structure suggests that the pricing was determined through a competitive process, which generally leads to better value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'full and open competition after exclusion of sources.' This indicates that the solicitation was broadly advertised, and multiple bidders were allowed to submit proposals. The fact that it was competed openly suggests that the PBGC sought to maximize competition to obtain the best possible pricing and terms. The number of bidders is not specified, but the open competition is a positive sign for price discovery.

Taxpayer Impact: A full and open competition ensures that taxpayers benefit from a potentially lower price due to competitive pressures and that the government receives offers from a wide range of qualified vendors.

Public Impact

The Pension Benefit Guaranty Corporation (PBGC) benefits from enhanced cybersecurity posture through the FedRAMP subscription and support. Federal agencies utilizing FedRAMP services will have access to secure cloud environments. The contract supports the operational needs of the PBGC's Information Technology Infrastructure Operations Department. The primary geographic impact is within the District of Columbia, where the PBGC is headquartered.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if the brand name requirement is overly restrictive and limits future competitive options.
Reliance on a single vendor for critical FedRAMP subscription and support could pose a risk if the vendor experiences financial instability or service disruptions.

Positive Signals

The use of FedRAMP aligns with government-wide initiatives to standardize and secure cloud adoption.
The firm-fixed-price contract provides budget predictability for the PBGC.
The contract was awarded through full and open competition, suggesting a robust vetting of potential providers.

Sector Analysis

The contract falls within the Information Technology sector, specifically focusing on cybersecurity and cloud compliance services. The Federal Risk and Authorization Management Program (FedRAMP) is a government-wide program that provides a standardized approach to security assessment, authorization, and continuous monitoring for cloud products and services. Spending in this area is critical for federal agencies to securely adopt cloud technologies. Comparable spending benchmarks would typically involve other agencies procuring similar FedRAMP-authorized software licenses and support services, often on an annual subscription basis.

Small Business Impact

The provided data does not indicate any specific small business set-aside provisions for this contract. As it was awarded under full and open competition, it is unlikely that subcontracting opportunities for small businesses are mandated by a set-aside. However, the prime contractor, 4 Star Technologies, Inc., may voluntarily engage small businesses for subcontracting, depending on their own business practices and the nature of the services required.

Oversight & Accountability

The oversight for this contract would primarily fall under the Pension Benefit Guaranty Corporation's (PBGC) contracting and program management offices. As a delivery order under a potential IDIQ, the oversight would ensure adherence to the terms and conditions of the base contract and the specific requirements of this order. Transparency is facilitated by the public nature of contract awards. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Federal Risk and Authorization Management Program (FedRAMP)
Cloud Computing Services
Information Technology Infrastructure Operations
Cybersecurity Services

Risk Flags

Brand Name Justification
Potential for Limited Competition
Reliance on Single Vendor

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $1.1 million to 4 STAR TECHNOLOGIES, INC.. THE PENSION BENEFIT GUARANTY CORPORATION (PBGC), INFORMATION TECHNOLOGY INFRASTRUCTURE OPERATIONS DEPARTMENT (ITIOD) HAS A REQUIREMENT TO PROVIDE COMMERCIAL BRAND NAME SUBSCRIPTION LICENSE AND SUPPORT FOR THE FEDERAL RISK AND AUTHORIZATION MANAGEMENT

Who is the contractor on this award?

The obligated recipient is 4 STAR TECHNOLOGIES, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $1.1 million.

What is the period of performance?

Start: 2024-02-22. End: 2027-02-21.

What is the specific FedRAMP-authorized product or service being procured, and what is its market position?

The contract specifies 'commercial brand name subscription license and support for the Federal Risk and Authorization Management.' While the exact product name is not disclosed in the provided data, it pertains to services that enable federal agencies to use cloud services securely by meeting specific government security requirements. FedRAMP authorization is a rigorous process, and products that achieve it are generally considered to be at the forefront of cloud security compliance for government use. The market for FedRAMP-authorized services includes a growing number of cloud service providers offering Infrastructure as a Service (IaaS), Platform as a Service (PaaS), and Software as a Service (SaaS) solutions that have undergone this stringent assessment.

How does the per-unit cost of this FedRAMP subscription compare to similar offerings in the market?

Determining a precise per-unit cost comparison is difficult without knowing the specific product, the number of users or instances covered, and the level of support included. The total contract value is $1.13 million over 1095 days (3 years). If we consider a simplified annual cost, it's approximately $376,666 per year. This figure needs to be contextualized by the scale of deployment and the specific services provided. Market rates for FedRAMP subscriptions can vary significantly. For instance, a SaaS application might be priced per user per month, while an IaaS offering could be based on compute hours or storage. Without these granular details, a direct per-unit benchmark against market rates is not feasible from the provided summary data.

What is the track record of 4 Star Technologies, Inc. in providing similar IT services, particularly FedRAMP-related solutions?

Information regarding 4 Star Technologies, Inc.'s specific track record with FedRAMP-related solutions is not detailed in the provided data. The contract award itself, under full and open competition, suggests they met the technical and financial qualifications required for this type of service. To assess their track record thoroughly, one would need to examine their past performance on similar government contracts, client testimonials, and any publicly available information on their experience with cloud security compliance and subscription management. A deeper dive into contract databases and performance evaluations would be necessary to ascertain their expertise in this niche.

What are the potential risks associated with relying on a 'brand name' requirement for FedRAMP subscription and support?

Relying on a 'brand name' requirement can introduce several risks. Primarily, it can limit competition by excluding potentially capable vendors who offer comparable or superior solutions but do not meet the specific brand name criteria. This can lead to higher costs for the government as competitive pressures are reduced. Furthermore, it can create vendor lock-in, making it difficult and costly to switch to a different provider in the future, even if market conditions or technological advancements favor alternatives. It also assumes the specified brand is the optimal solution without a thorough comparative analysis of all available options that meet FedRAMP requirements.

How does this contract align with the PBGC's overall IT modernization and cybersecurity strategy?

This contract directly supports the PBGC's IT infrastructure by ensuring access to a secure cloud environment through FedRAMP. FedRAMP is a cornerstone of the U.S. government's strategy to adopt secure cloud services. By procuring subscription licenses and support for FedRAMP, the PBGC is demonstrating a commitment to leveraging cloud technologies while adhering to stringent security standards. This aligns with broader government initiatives aimed at modernizing IT systems, enhancing cybersecurity, and improving the efficiency and scalability of IT operations. The contract signifies an investment in maintaining a robust and compliant IT posture.

What is the historical spending pattern of the PBGC on FedRAMP-related services or similar IT infrastructure support?

The provided data does not include historical spending patterns for the PBGC on FedRAMP-related services or similar IT infrastructure support. To analyze this, one would need to review past contract awards made by the PBGC for IT services, cybersecurity solutions, and cloud subscriptions. Understanding historical spending would allow for trend analysis, identification of potential increases or decreases in investment in this area, and a better assessment of whether the current $1.13 million award represents a significant shift or a continuation of established spending levels for such critical IT functions.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 140D0424Q0170

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 585 S BIRDNECK RD, VIRGINIA BEACH, VA, 23451

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $3,835,997

Exercised Options: $1,999,631

Current Obligation: $1,132,380

Actual Outlays: $754,920

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: NNG15SD06B

IDV Type: GWAC

Timeline