USACE Awards $4.1M for CWBI/IGP Cloud Support to Trace3 Government

Contract Overview

Contract Amount: $4,108,107 ($4.1M)

Contractor: Trace3 Government, LLC

Awarding Agency: Department of the Interior

Start Date: 2025-09-24

End Date: 2026-09-23

Contract Duration: 364 days

Daily Burn Rate: $11.3K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: UNITED STATES ARMY CORP OF ENGINEER (USACE) CIVIL WORKS BUSINESS INTELLIGENCE (CWBI) AND INSTALLATION GEOSPATIAL PLATFORM (IGP) CLOUD SUPPORT SERVICES

Place of Performance

Location: COLORADO SPRINGS, EL PASO County, COLORADO, 80921

State: Colorado Government Spending

Plain-Language Summary

Department of the Interior obligated $4.1 million to TRACE3 GOVERNMENT, LLC for work described as: UNITED STATES ARMY CORP OF ENGINEER (USACE) CIVIL WORKS BUSINESS INTELLIGENCE (CWBI) AND INSTALLATION GEOSPATIAL PLATFORM (IGP) CLOUD SUPPORT SERVICES Key points: 1. Contract awarded to Trace3 Government, LLC for cloud support services. 2. Services include Civil Works Business Intelligence and Installation Geospatial Platform. 3. The contract is a delivery order with a total value of $4.1M. 4. This falls under Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services. 5. The award was made under full and open competition.

Value Assessment

Rating: good

The $4.1M award for cloud support services appears reasonable given the scope of supporting critical Army Corps of Engineers platforms. Benchmarking against similar IT infrastructure and cloud hosting contracts would provide further validation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, suggesting a robust price discovery process. This method typically leads to competitive pricing as multiple vendors have the opportunity to bid.

Taxpayer Impact: The competitive award process is expected to ensure taxpayer funds are used efficiently for essential cloud support services.

Public Impact

Ensures continued operation of critical USACE business intelligence and geospatial platforms. Supports data management and accessibility for civil works projects. Maintains the integrity and availability of installation geospatial data. Potential impact on project timelines and resource allocation if services are disrupted.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if scope expands beyond initial estimates.
Dependence on a single vendor for critical cloud infrastructure support.

Positive Signals

Awarded through full and open competition.
Supports essential functions of the Army Corps of Engineers.
Clear contract duration and defined services.

Sector Analysis

This contract falls within the IT and data services sector, specifically cloud computing and infrastructure. Spending in this area has seen significant growth as government agencies modernize their IT systems and migrate to cloud-based solutions.

Small Business Impact

The awardee, Trace3 Government, LLC, is not explicitly identified as a small business in the provided data. Further analysis would be needed to determine the extent of small business participation through subcontracting.

Oversight & Accountability

The award is a delivery order under a larger contract, implying existing oversight mechanisms. The Department of the Interior's oversight of this award ensures adherence to federal procurement regulations.

Related Government Programs

Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services
Department of the Interior Contracting
Departmental Offices Programs

Risk Flags

Time and Materials pricing structure.
Potential for vendor lock-in.
Dependence on contractor performance for critical systems.
Cybersecurity risks associated with cloud services.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $4.1 million to TRACE3 GOVERNMENT, LLC. UNITED STATES ARMY CORP OF ENGINEER (USACE) CIVIL WORKS BUSINESS INTELLIGENCE (CWBI) AND INSTALLATION GEOSPATIAL PLATFORM (IGP) CLOUD SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is TRACE3 GOVERNMENT, LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $4.1 million.

What is the period of performance?

Start: 2025-09-24. End: 2026-09-23.

What specific performance metrics will be used to evaluate the effectiveness of Trace3 Government's cloud support services?

Performance metrics are crucial for ensuring the effectiveness of cloud support services. These typically include uptime guarantees, response times for issue resolution, data security compliance, and scalability of resources. The contract should clearly define Service Level Agreements (SLAs) and key performance indicators (KPIs) that Trace3 Government must meet. Regular performance reviews will be essential to track progress and address any deficiencies.

What are the potential risks associated with the time and materials pricing structure for this cloud support contract?

Time and Materials (T&M) contracts can pose a risk of cost overruns if not carefully managed. The government pays for the actual labor hours and material costs incurred by the contractor. Without a firm ceiling or robust oversight, the total cost could exceed initial estimates. This necessitates diligent monitoring of contractor hours and resource utilization to ensure efficiency and prevent scope creep.

How does this contract contribute to the overall modernization goals of the USACE IT infrastructure?

This contract directly supports the modernization of USACE IT infrastructure by ensuring the reliable operation and potential enhancement of its Civil Works Business Intelligence and Installation Geospatial Platform. Cloud-based solutions offer scalability, flexibility, and improved data accessibility, which are key components of modern IT systems. Continued investment in cloud support is vital for USACE to leverage advanced analytics and geospatial capabilities.

Industry Classification

NAICS: Information › Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services › Computing Infrastructure Providers, Data Processing, Web Hosting, and 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: TWO STEP

Solicitation ID: 140D0425Q0050

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Zivaro, Inc.

Address: 3900 E MEXICO AVE, DENVER, CO, 80210

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: $18,516,176

Exercised Options: $4,108,107

Current Obligation: $4,108,107

Actual Outlays: $723,583

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 140D0424D0092

IDV Type: IDC

Timeline