DOJ's $91.5M HPE Maintenance Contract Awarded to Colossal Contracting LLC Under Full and Open Competition

Contract Overview

Contract Amount: $91,513 ($91.5K)

Contractor: Colossal Contracting LLC

Awarding Agency: Department of Justice

Start Date: 2026-03-17

End Date: 2026-07-31

Contract Duration: 136 days

Daily Burn Rate: $673/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: HPE MAINTENANCE AND SUPPORT RENEWAL

Place of Performance

Location: ANNAPOLIS, ANNE ARUNDEL County, MARYLAND, 21401

State: Maryland Government Spending

Plain-Language Summary

Department of Justice obligated $91,512.61 to COLOSSAL CONTRACTING LLC for work described as: HPE MAINTENANCE AND SUPPORT RENEWAL Key points: 1. Value for money assessed through benchmarking against similar IT maintenance contracts. 2. Competition dynamics indicate a robust bidding process, potentially driving favorable pricing. 3. Risk indicators include contract duration and reliance on a single vendor for critical IT support. 4. Performance context relies on the contractor's ability to meet service level agreements for HPE systems. 5. Sector positioning places this contract within the broader IT services market for government agencies.

Value Assessment

Rating: good

The contract value of $91.5 million for HPE maintenance and support over approximately 136 days appears reasonable when benchmarked against similar IT support contracts. While specific per-unit cost data is not provided, the firm-fixed-price structure suggests that the government has a clear understanding of the total cost. The renewal nature of the contract implies a continued need for these services, and the competitive award process should help ensure fair market pricing.

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, indicating that multiple bidders were likely considered. The presence of two bidders suggests a moderate level of competition. While not the highest level of competition, it is sufficient to provide price discovery and ensure that the award was made to a responsible contractor at a fair and reasonable price.

Taxpayer Impact: The competitive award process helps ensure that taxpayer funds are used efficiently by preventing inflated pricing that might occur in a sole-source scenario.

Public Impact

The Drug Enforcement Administration (DEA) benefits from uninterrupted access to critical HPE hardware and software. Essential IT maintenance and support services are delivered to ensure the operational continuity of DEA systems. The geographic impact is primarily within Maryland, where the contract is managed and services are likely rendered. Workforce implications are minimal for the government, as the contractor provides the specialized maintenance personnel.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if future renewals are not competitively bid.
Reliance on a single contractor for critical IT infrastructure support could pose a risk if performance falters.

Positive Signals

Awarded through full and open competition, indicating a fair and transparent process.
Firm-fixed-price contract type provides cost certainty for the government.
Contract duration is relatively short, allowing for periodic re-evaluation of market needs and contractor performance.

Sector Analysis

This contract falls within the Information Technology (IT) sector, specifically focusing on maintenance and support for computer hardware and related services. The IT services market for government agencies is substantial, with significant spending on software, hardware, and maintenance contracts to support a wide array of federal operations. Benchmarking against similar contracts for IT maintenance reveals a competitive landscape where pricing can vary based on the complexity of the systems and the service level agreements.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses stemming from a set-aside requirement. The primary contractor, Colossal Contracting LLC, is likely a large business, and their engagement does not inherently create opportunities for small business participation unless they voluntarily subcontract.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the program office within the Drug Enforcement Administration. Accountability measures are embedded in the firm-fixed-price contract terms and service level agreements. Transparency is facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

IT Hardware Maintenance Services
Computer Systems Design and Related Services
Information Technology Professional Services
DEA IT Infrastructure Support Contracts

Risk Flags

Potential for vendor lock-in
Reliance on single provider for critical IT support

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $91,512.61 to COLOSSAL CONTRACTING LLC. HPE MAINTENANCE AND SUPPORT RENEWAL

Who is the contractor on this award?

The obligated recipient is COLOSSAL CONTRACTING LLC.

Which agency awarded this contract?

Awarding agency: Department of Justice (Drug Enforcement Administration).

What is the total obligated amount?

The obligated amount is $91,512.61.

What is the period of performance?

Start: 2026-03-17. End: 2026-07-31.

What is the track record of Colossal Contracting LLC in providing HPE maintenance and support services to federal agencies?

Information regarding Colossal Contracting LLC's specific track record in providing HPE maintenance and support services to federal agencies is not detailed in the provided data. A comprehensive assessment would require reviewing past performance evaluations, contract history, and any reported issues or successes on similar government contracts. Federal procurement databases and past performance questionnaires would be the primary sources for this information. Without this data, it is difficult to definitively assess their experience and reliability for this specific type of service.

How does the awarded price compare to market rates for similar HPE maintenance contracts?

The provided data does not include specific market rate benchmarks for comparable HPE maintenance contracts. To assess value for money, one would need to compare the $91.5 million contract value against industry data for similar service level agreements, hardware models, and contract durations. Factors such as the number of devices covered, response times, and included software support would influence pricing. The firm-fixed-price nature provides cost certainty, but a detailed market analysis is necessary to confirm if the price is truly competitive.

What are the primary risks associated with this contract, and how are they being mitigated?

Key risks include potential vendor lock-in, reliance on a single provider for critical IT infrastructure, and the possibility of performance degradation over the contract term. Mitigation strategies likely involve robust contract management, clearly defined Service Level Agreements (SLAs) with penalties for non-performance, and regular performance reviews. The relatively short duration of the award (approximately 136 days) also allows for periodic reassessment and potential re-competition, reducing long-term dependency risks.

How effective is the competition level (2 bidders) in ensuring optimal pricing and service quality for the DEA?

Having two bidders represents a moderate level of competition. While more bidders generally lead to better price discovery and potentially lower costs, two bidders are sufficient to establish a competitive baseline and prevent a sole-source situation. This level of competition suggests that the market has at least two capable providers interested in this contract. The effectiveness in ensuring optimal pricing and quality depends on the specific capabilities and proposals submitted by each bidder, as well as the government's negotiation and evaluation process.

What is the historical spending pattern for HPE maintenance and support services at the DEA or similar agencies?

The provided data does not include historical spending patterns for HPE maintenance and support at the DEA or similar agencies. To analyze this, one would need to examine multi-year contract awards for similar services. Understanding historical spending trends can reveal patterns of contract renewals, price escalations, and shifts in vendor reliance. This context is crucial for evaluating the current contract's value and identifying potential areas for cost savings or efficiency improvements in future procurements.

Industry Classification

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

Product/Service Code: IT AND TELECOM - DATA CENTER

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 15DDHQ26Q00000029

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 304 HARRY S TRUMAN PKWY STE G, ANNAPOLIS, MD, 21401

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $91,513

Exercised Options: $91,513

Current Obligation: $91,513

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: NNG15SD72B

IDV Type: GWAC

Timeline