Guidehouse Digital LLC awarded $4.6M contract for Enterprise Vocabulary Services by Department of the Interior

Contract Overview

Contract Amount: $4,637,070 ($4.6M)

Contractor: Guidehouse Digital LLC

Awarding Agency: Department of the Interior

Start Date: 2026-02-18

End Date: 2027-03-12

Contract Duration: 387 days

Daily Burn Rate: $12.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: ENTERPRISE VOCABULARY SERVICES

Place of Performance

Location: BETHESDA, MONTGOMERY County, MARYLAND, 20892

State: Maryland Government Spending

Plain-Language Summary

Department of the Interior obligated $4.6 million to GUIDEHOUSE DIGITAL LLC for work described as: ENTERPRISE VOCABULARY SERVICES Key points: 1. The contract value of $4.6M appears reasonable for a multi-year IT services engagement. 2. Full and open competition suggests a healthy market for these services. 3. The contract duration of 387 days indicates a need for sustained support. 4. The North American Industry Classification System (NAICS) code 541512 points to a standard IT service offering. 5. The award was made under a Time and Materials pricing structure. 6. The contractor, Guidehouse Digital LLC, has a track record of performing federal contracts. 7. The Department of the Interior's need for Enterprise Vocabulary Services highlights data management priorities.

Value Assessment

Rating: good

The contract value of approximately $4.6 million over its period of performance is within a typical range for enterprise-level IT services, particularly those involving complex data management and system design. Benchmarking against similar contracts for vocabulary management or data governance solutions would provide a more precise value assessment. The Time and Materials (T&M) pricing structure, while common, requires careful monitoring to ensure cost efficiency and prevent scope creep. Without specific per-unit cost data, a direct comparison is challenging, but the overall award amount suggests a significant but not exorbitant investment for the services rendered.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple vendors were eligible to bid. The presence of 5 bids suggests a competitive marketplace for Enterprise Vocabulary Services. A competitive bidding process generally leads to better price discovery and potentially more favorable terms for the government. The fact that the agency opted for full and open competition implies that they did not identify any specific restrictions or justifications for limiting the pool of potential offerors.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it encourages a wider range of vendors to offer their services, driving down prices and increasing the likelihood of securing the best value for the government's investment.

Public Impact

The Department of the Interior benefits from enhanced data management and consistency through improved vocabulary services. Federal agencies will have access to standardized terminology, improving data interoperability and reducing ambiguity. The contract supports the IT workforce within the contractor's organization, potentially creating or sustaining jobs. Improved data governance can lead to more efficient operations and better-informed decision-making across the department.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns due to the Time and Materials pricing model if not closely managed.
Risk of vendor lock-in if the vocabulary services become deeply integrated without clear exit strategies.
Dependence on a single contractor for critical data management infrastructure.
Ensuring the delivered solution meets evolving federal data standards and interoperability requirements.
Potential challenges in knowledge transfer and sustainment post-contract if documentation is inadequate.

Positive Signals

Awarded through full and open competition, indicating a competitive market and potential for good value.
The contractor, Guidehouse Digital LLC, is an established entity with experience in federal IT services.
The contract duration suggests a commitment to a stable solution for Enterprise Vocabulary Services.
The Department of the Interior's focus on Enterprise Vocabulary Services aligns with broader federal data management initiatives.
The specific NAICS code indicates a well-defined service category, reducing ambiguity in scope.

Sector Analysis

Enterprise Vocabulary Services fall within the broader IT services sector, specifically focusing on data management, governance, and standardization. This market is characterized by a growing demand for solutions that can help organizations manage complex data landscapes, improve data quality, and ensure compliance with regulations. The market includes a range of providers, from large system integrators to specialized software and services firms. The Department of the Interior's investment in this area is consistent with trends across government and industry to leverage data as a strategic asset. Comparable spending benchmarks for similar data governance or vocabulary management contracts can vary significantly based on scope, complexity, and the specific technologies employed.

Small Business Impact

This contract was not set aside for small businesses, and the data indicates no small business participation (sb: false). As a result, there are no direct subcontracting opportunities for small businesses mandated by this specific award. The primary focus appears to be on a large, established IT services provider. The impact on the small business ecosystem is neutral in terms of direct set-aside benefits, but it highlights the competitive nature of larger federal IT contracts which often favor prime contractors with extensive resources and past performance.

Oversight & Accountability

Oversight for this contract will likely be managed by the contracting officer and program managers within the Department of the Interior. Performance will be monitored through regular progress reports, milestone reviews, and adherence to the contract's deliverables and service level agreements. Transparency is facilitated by the public nature of contract awards and the availability of data through federal procurement databases. Inspector General jurisdiction would apply if any investigations into fraud, waste, or abuse related to the contract were initiated.

Related Government Programs

Federal Data Strategy
Enterprise Data Management
IT Services
Data Governance
Vocabulary Management Systems
Department of the Interior IT Modernization

Risk Flags

Time and Materials pricing structure requires diligent oversight to control costs.
Potential for scope creep in complex IT service contracts.
Ensuring long-term data governance strategy alignment.
Contractor performance monitoring for sustained quality.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $4.6 million to GUIDEHOUSE DIGITAL LLC. ENTERPRISE VOCABULARY SERVICES

Who is the contractor on this award?

The obligated recipient is GUIDEHOUSE DIGITAL LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $4.6 million.

What is the period of performance?

Start: 2026-02-18. End: 2027-03-12.

What is Guidehouse Digital LLC's track record with the federal government, particularly in IT services and data management?

Guidehouse Digital LLC, formerly Navigant Consulting, has a significant history of performing federal contracts across various agencies. Their expertise spans IT modernization, cybersecurity, data analytics, and management consulting. Within the realm of data management, they have been involved in projects related to data governance, data warehousing, and the implementation of enterprise-wide data solutions. Their past performance indicates experience with complex IT procurements and a capacity to handle large-scale projects. A detailed review of their contract history, including past performance evaluations and any reported issues, would provide a more granular understanding of their reliability and effectiveness in delivering similar services to the federal government.

How does the $4.6 million contract value compare to similar Enterprise Vocabulary Services contracts awarded by other federal agencies?

The $4.6 million award for Enterprise Vocabulary Services by the Department of the Interior is a moderate-sized contract for this type of IT service. Similar contracts can range from a few hundred thousand dollars for smaller, more focused vocabulary tools to tens of millions for comprehensive enterprise-wide data governance platforms. Factors influencing cost include the scope of vocabulary managed, the complexity of integration with existing systems, the level of customization required, and the duration of the contract. Given the 387-day period of performance, this award suggests a substantial effort in establishing or enhancing the department's vocabulary management capabilities. Benchmarking against contracts with similar NAICS codes (e.g., 541512) and service descriptions would be necessary for a precise comparison.

What are the primary risks associated with a Time and Materials (T&M) contract for IT services like Enterprise Vocabulary Services?

The primary risk with Time and Materials (T&M) contracts, such as this one for Enterprise Vocabulary Services, is the potential for cost overruns. Unlike fixed-price contracts, T&M agreements compensate the contractor based on the actual hours worked and the cost of materials used. This structure can incentivize longer project durations or less efficient work if not managed rigorously. For the government, it necessitates strong oversight to ensure that the labor hours are reasonable and necessary for the work performed. Scope creep is another significant risk, as changes or additions to the project can easily inflate costs. Clear task definitions, regular progress monitoring, and defined ceilings or labor hour limitations are crucial mitigation strategies for T&M contracts.

How effective are Enterprise Vocabulary Services in improving data interoperability and reducing ambiguity across federal agencies?

Enterprise Vocabulary Services (EVS) are highly effective tools for improving data interoperability and reducing ambiguity across federal agencies. By establishing a common, standardized set of terms, definitions, and relationships, EVS ensures that data is understood consistently across different systems, departments, and even agencies. This reduces the likelihood of misinterpretation, duplicate data entry, and errors stemming from varied terminology. For instance, a standardized term for 'citizen' ensures that all systems capture and report on this demographic consistently, regardless of the specific program or application. This consistency is fundamental to effective data sharing, analytics, and the implementation of data-driven policies, ultimately enhancing the government's ability to operate efficiently and make informed decisions.

What is the typical duration and cost range for federal contracts related to Computer Systems Design Services (NAICS 541512)?

Contracts under NAICS code 541512, Computer Systems Design Services, exhibit a wide range in duration and cost, reflecting the diverse nature of IT projects. Durations can span from short-term, project-specific engagements lasting a few months to multi-year contracts supporting ongoing system development, maintenance, and modernization efforts, often with option periods extending several years. Similarly, costs vary dramatically, from tens of thousands of dollars for specialized consulting or small system modifications to hundreds of millions for large-scale system implementations or enterprise-wide IT overhauls. The $4.6 million award for 387 days by the Department of the Interior falls within a common mid-range for significant IT service engagements focused on specific system design or enhancement, such as Enterprise Vocabulary Services.

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 › IT AND TELECOM - APLLICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 5

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 1676 INTERNATIONAL DRIVE, MCLEAN, VA, 22102

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

Financial Breakdown

Contract Ceiling: $32,285,903

Exercised Options: $6,457,181

Current Obligation: $4,637,070

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: HHSN316201300006W

IDV Type: GWAC

Timeline