DOJ awards $24.6M for PC refresh, with World Wide Technology LLC securing the contract

Contract Overview

Contract Amount: $24,581,782 ($24.6M)

Contractor: World Wide Technology LLC

Awarding Agency: Department of Justice

Start Date: 2024-09-19

End Date: 2025-11-18

Contract Duration: 425 days

Daily Burn Rate: $57.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: PC REFRESH FY2024

Place of Performance

Location: SAINT LOUIS, SAINT LOUIS County, MISSOURI, 63146

State: Missouri Government Spending

Plain-Language Summary

Department of Justice obligated $24.6 million to WORLD WIDE TECHNOLOGY LLC for work described as: PC REFRESH FY2024 Key points: 1. Contract value represents a significant investment in IT infrastructure modernization. 2. Competition dynamics suggest a potentially competitive bidding process for this service. 3. Fixed-price contract type may offer cost certainty for the government. 4. Contract duration of over a year indicates a substantial project scope. 5. The award falls within the 'Other Computer Related Services' NAICS code, a broad category. 6. Geographic focus on Missouri for delivery order execution.

Value Assessment

Rating: good

The contract value of $24.6 million for a PC refresh appears reasonable given the scope and duration. Benchmarking against similar large-scale IT refresh contracts across federal agencies would provide a more precise value-for-money assessment. The firm fixed-price structure suggests that the contractor bears the risk of cost overruns, which is generally favorable for the government. However, without specific details on the number of units or service level agreements, a definitive value assessment is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. This approach generally fosters a competitive environment, potentially leading to better pricing and service offerings. The number of bidders is not specified, but the 'full and open' designation suggests a robust competition was intended and likely achieved.

Taxpayer Impact: Full and open competition is the most taxpayer-favorable method, as it maximizes the pool of potential bidders and drives down prices through market forces.

Public Impact

Federal employees within the Department of Justice will benefit from updated computer hardware, improving productivity and security. The services delivered include the provision and potential deployment of new personal computers. The primary geographic impact is within Missouri, where the delivery order is to be executed. Workforce implications are minimal for the DOJ, but may involve IT support staff for deployment and setup.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if refresh cycles are not managed effectively.
Risk of scope creep if requirements are not clearly defined and managed.
Dependence on a single vendor for a large-scale hardware refresh.

Positive Signals

Modernization of IT assets leading to improved performance and reduced downtime.
Firm fixed-price contract provides cost predictability.
Award to a known entity (World Wide Technology LLC) may indicate a track record of performance.

Sector Analysis

This contract falls within the broader IT services sector, specifically focusing on hardware procurement and related services. The federal IT market is substantial, with significant annual spending on hardware, software, and services. This contract represents a portion of the government's ongoing investment in maintaining and upgrading its technological infrastructure to meet operational demands and cybersecurity requirements. Comparable spending benchmarks would involve analyzing other large-scale PC refresh contracts awarded by various federal agencies.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (sb: false) and does not explicitly mention subcontracting requirements for small businesses. Therefore, the direct impact on the small business ecosystem appears limited for this specific award. However, the prime contractor, World Wide Technology LLC, may have its own small business subcontracting goals on other contracts, but this particular award does not reflect a direct set-aside.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of Justice's contracting officers and program managers. Accountability measures are embedded in the firm fixed-price contract terms, requiring delivery of specified goods and services. Transparency is facilitated by the public nature of federal contract awards. Inspector General jurisdiction would apply if any fraud, waste, or abuse related to the contract were suspected.

Related Government Programs

IT Hardware Procurement
Personal Computer Refresh Programs
Federal IT Modernization Initiatives
Department of Justice IT Spending

Risk Flags

Potential for supply chain disruptions affecting hardware delivery timelines.
Risk of technology obsolescence if refresh cycle extends beyond expected useful life.
Need for robust change management to handle evolving agency IT needs.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $24.6 million to WORLD WIDE TECHNOLOGY LLC. PC REFRESH FY2024

Who is the contractor on this award?

The obligated recipient is WORLD WIDE TECHNOLOGY LLC.

Which agency awarded this contract?

Awarding agency: Department of Justice (Offices, Boards and Divisions).

What is the total obligated amount?

The obligated amount is $24.6 million.

What is the period of performance?

Start: 2024-09-19. End: 2025-11-18.

What is the historical spending pattern of the Department of Justice on PC refreshes?

Analyzing the Department of Justice's historical spending on PC refreshes requires access to detailed procurement data over several fiscal years. Typically, federal agencies undertake periodic hardware refresh cycles to maintain operational efficiency and security. Spending patterns can fluctuate based on budget allocations, agency-wide modernization initiatives, and the lifecycle of existing equipment. For instance, a significant refresh might occur every 3-5 years per user base. Without specific historical data for the DOJ's PC refresh programs, it's difficult to provide precise figures, but it's reasonable to assume consistent, albeit variable, annual expenditures on IT hardware maintenance and replacement.

How does the awarded price compare to market rates for similar PC hardware and services?

A direct comparison of the awarded price ($24.6 million) to market rates for similar PC hardware and services requires detailed specifications of the equipment and services procured. Factors such as the specific models of computers, quantities, warranty terms, and any included deployment or support services significantly influence pricing. Federal procurement vehicles and negotiated discounts can also affect the final price. To benchmark effectively, one would need to compare the per-unit cost of the procured PCs against commercial price lists, other government contracts (like GSA schedules), and industry analyses for comparable enterprise-level hardware solutions. The firm fixed-price nature suggests a negotiated price that the government deemed acceptable based on anticipated market conditions at the time of award.

What is World Wide Technology LLC's track record with the Department of Justice and similar agencies?

World Wide Technology LLC (WWT) is a large federal contractor with a significant presence across various government agencies, including the Department of Justice. Their track record typically involves providing a wide range of IT solutions, including hardware, software, and professional services. Assessing their specific performance on past DOJ contracts, particularly those involving PC refreshes or similar large-scale hardware deployments, would involve reviewing contract performance reports (CPARS) and past performance questionnaires. Generally, WWT is recognized for its capabilities in complex IT environments. However, a detailed review of their specific performance history with the DOJ would be necessary to fully evaluate their reliability and past success on similar projects.

What are the key performance indicators (KPIs) for this PC refresh contract?

Key Performance Indicators (KPIs) for a PC refresh contract typically focus on timely delivery, quality of hardware, successful deployment, and user satisfaction. Specific KPIs might include: 1. On-time delivery rate of hardware according to the schedule. 2. Percentage of hardware meeting specified technical requirements and quality standards. 3. Successful deployment rate, ensuring new PCs are functional and integrated into the network. 4. Minimal disruption to end-users during the transition. 5. Post-deployment support effectiveness and issue resolution time. 6. User acceptance and satisfaction levels. These KPIs help ensure the contractor meets the government's objectives for modernizing its IT infrastructure efficiently and effectively.

What is the potential risk associated with the contract duration of 425 days?

A contract duration of 425 days (approximately 14 months) for a PC refresh project indicates a substantial undertaking, likely involving procurement, staging, deployment, and potentially initial support phases. The primary risks associated with this duration include potential delays in delivery due to supply chain issues, changes in technology standards during the project lifecycle, and the possibility of evolving agency requirements. Furthermore, a longer duration might increase the risk of price fluctuations if the contract terms are not sufficiently robust. Effective project management, clear communication channels, and contingency planning by both the government and the contractor are crucial to mitigate these risks and ensure the project stays on track and within budget.

Industry Classification

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

Product/Service Code: IT AND TELECOM - IT MANAGEMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1 WORLD WIDE WAY, SAINT LOUIS, MO, 63146

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

Financial Breakdown

Contract Ceiling: $24,581,782

Exercised Options: $24,581,782

Current Obligation: $24,581,782

Actual Outlays: $24,562,057

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: NNG15SC55B

IDV Type: GWAC

Timeline