DOJ's $52.8M LMR System Maintenance Contract Awarded to New Tech Solutions, Inc
Contract Overview
Contract Amount: $52,770,031 ($52.8M)
Contractor: NEW Tech Solutions, Inc.
Awarding Agency: Department of Justice
Start Date: 2020-05-01
End Date: 2027-04-30
Contract Duration: 2,555 days
Daily Burn Rate: $20.7K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: TRUNKED, LAND MOBILE RADIO (LMR) SYSTEM MAINTENANCE SUPPORT SERVICES.
Place of Performance
Location: FREMONT, ALAMEDA County, CALIFORNIA, 94538
Plain-Language Summary
Department of Justice obligated $52.8 million to NEW TECH SOLUTIONS, INC. for work described as: TRUNKED, LAND MOBILE RADIO (LMR) SYSTEM MAINTENANCE SUPPORT SERVICES. Key points: 1. Contract value of $52.8M over 7 years for critical LMR system maintenance. 2. New Tech Solutions, Inc. secured the award under full and open competition. 3. Potential risk associated with reliance on a single vendor for essential communication infrastructure. 4. Spending falls under 'Other Computer Related Services' (NAICS 541519).
Value Assessment
Rating: good
The contract value appears reasonable given the 7-year duration and the critical nature of LMR system maintenance. Benchmarking against similar large-scale communication system support 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 after exclusion of sources, indicating a competitive bidding process. This method generally promotes price discovery and ensures fair market value.
Taxpayer Impact: The competitive award process aims to secure the best value for taxpayers, minimizing potential overspending on essential communication services.
Public Impact
Ensures continued operation of vital communication systems for the Federal Prison System. Supports law enforcement and correctional facility operations through reliable radio services. Potential for service disruptions if maintenance is not adequately performed or if the vendor faces issues.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Vendor lock-in risk for critical infrastructure.
- Potential for cost escalation in future contract renewals.
- Dependence on vendor's technical expertise and personnel stability.
Positive Signals
- Competitive award process.
- Long-term contract provides stability for service provision.
- Supports essential government functions.
Sector Analysis
This contract falls within the IT services sector, specifically focusing on maintenance and support for specialized communication systems. Spending benchmarks for similar government IT maintenance contracts would be relevant for comparison.
Small Business Impact
The data indicates that the awardee is NEW TECH SOLUTIONS, INC., a company. Further analysis would be needed to determine if this company qualifies as a small business, though the contract was awarded under full and open competition.
Oversight & Accountability
The contract was awarded by the Department of Justice for the Federal Prison System. Oversight would involve monitoring performance, adherence to service level agreements, and financial accountability throughout the contract period.
Related Government Programs
- Other Computer Related Services
- Department of Justice Contracting
- Federal Prison System / Bureau of Prisons Programs
Risk Flags
- Critical infrastructure reliance.
- Potential for vendor lock-in.
- Long-term commitment without clear exit strategy.
- Dependence on specific vendor expertise.
Tags
other-computer-related-services, department-of-justice, ca, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Justice awarded $52.8 million to NEW TECH SOLUTIONS, INC.. TRUNKED, LAND MOBILE RADIO (LMR) SYSTEM MAINTENANCE SUPPORT SERVICES.
Who is the contractor on this award?
The obligated recipient is NEW TECH SOLUTIONS, INC..
Which agency awarded this contract?
Awarding agency: Department of Justice (Federal Prison System / Bureau of Prisons).
What is the total obligated amount?
The obligated amount is $52.8 million.
What is the period of performance?
Start: 2020-05-01. End: 2027-04-30.
What is the specific scope of 'maintenance support services' for the LMR system, and how does it align with industry standards for similar systems?
The scope likely includes preventative maintenance, corrective repairs, software updates, and potentially hardware replacements for the Land Mobile Radio (LMR) system. Alignment with industry standards would involve ensuring the services meet reliability, uptime, and technical specifications comparable to commercial or other government LMR systems, crucial for operational continuity.
What are the key performance indicators (KPIs) used to measure the effectiveness of New Tech Solutions, Inc.'s maintenance support, and what are the penalties for non-performance?
Key performance indicators likely include system uptime percentages, response times for service requests, and resolution times for issues. Penalties for non-performance could involve financial deductions, contract termination clauses, or reduced future opportunities. Specific KPIs and penalties would be detailed in the contract's performance work statement.
How does the 'exclusion of sources' clause in the full and open competition impact the potential for innovation and cost savings compared to a purely open bid?
The 'exclusion of sources' clause suggests that while the competition was open, certain pre-qualified vendors or specific technologies were considered, potentially limiting the pool of bidders. This could impact innovation if excluded sources had superior solutions. However, it might also ensure a baseline level of capability or compatibility, potentially streamlining the evaluation process.
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 › ADP AND TELECOMMUNICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: 15BNAS20RCA00007
Offers Received: 3
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: $71,786,118
Exercised Options: $66,015,061
Current Obligation: $52,770,031
Actual Outlays: $29,931,396
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: NNG15SC82B
IDV Type: GWAC
Timeline
Start Date: 2020-05-01
Current End Date: 2027-04-30
Potential End Date: 2028-04-30 00:00:00
Last Modified: 2026-03-20
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