DOJ's $101M RHEL Satellite & Ansible Tower Licenses Awarded to V3GATE, LLC
Contract Overview
Contract Amount: $101,220 ($101.2K)
Contractor: V3gate, LLC
Awarding Agency: Department of Justice
Start Date: 2020-09-01
End Date: 2021-08-31
Contract Duration: 364 days
Daily Burn Rate: $278/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 13
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: RHEL SATELLITE SERVER LICENSES AND ANSIBLE TOWER PREMIUM
Place of Performance
Location: COLORADO SPRINGS, EL PASO County, COLORADO, 80918
State: Colorado Government Spending
Plain-Language Summary
Department of Justice obligated $101,220.3 to V3GATE, LLC for work described as: RHEL SATELLITE SERVER LICENSES AND ANSIBLE TOWER PREMIUM Key points: 1. Spending focuses on IT infrastructure and automation software. 2. V3GATE, LLC is the sole awardee for this contract. 3. Potential risk exists due to single-vendor reliance. 4. IT services sector sees significant investment in automation tools.
Value Assessment
Rating: fair
The contract value of $101.2M for a 1-year period suggests a potentially high per-unit cost for RHEL Satellite Server licenses and Ansible Tower Premium. Benchmarking against similar enterprise software licensing agreements is crucial for a definitive assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating a limited competition. This method may not have yielded the most competitive pricing, as alternative vendors were excluded.
Taxpayer Impact: Taxpayer funds are utilized for IT infrastructure and software. The limited competition raises concerns about whether the best possible price was achieved, potentially impacting the overall value for taxpayers.
Public Impact
Ensures operational continuity for Department of Justice IT systems. Supports automation of IT tasks, potentially increasing efficiency. Reliance on a single vendor may limit future flexibility and cost savings.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition
- Single-source award
- Potential for vendor lock-in
Positive Signals
- Supports critical IT infrastructure
- Utilizes automation software
Sector Analysis
This spending falls within the IT services sector, specifically related to software licensing and support for enterprise IT management. Benchmarks for similar large-scale software license agreements vary widely based on vendor, features, and user count.
Small Business Impact
The data does not indicate whether small businesses were involved in this contract, either as prime contractors or subcontractors. Further analysis would be needed to determine small business participation.
Oversight & Accountability
The award was a delivery order under a larger contract. Oversight would typically involve monitoring performance, adherence to terms, and ensuring fair pricing throughout the contract lifecycle.
Related Government Programs
- Other Computer Related Services
- Department of Justice Contracting
- Office of Justice Programs Programs
Risk Flags
- Limited competition may lead to suboptimal pricing.
- Reliance on a single vendor poses a risk.
- Lack of transparency in source exclusion.
- Potential for cost escalation in future renewals.
Tags
other-computer-related-services, department-of-justice, co, delivery-order, 100k-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Justice awarded $101,220.3 to V3GATE, LLC. RHEL SATELLITE SERVER LICENSES AND ANSIBLE TOWER PREMIUM
Who is the contractor on this award?
The obligated recipient is V3GATE, LLC.
Which agency awarded this contract?
Awarding agency: Department of Justice (Office of Justice Programs).
What is the total obligated amount?
The obligated amount is $101,220.3.
What is the period of performance?
Start: 2020-09-01. End: 2021-08-31.
What is the specific justification for excluding other sources in this limited competition?
The justification for excluding other sources is not provided in the data. Typically, such exclusions are based on factors like existing infrastructure compatibility, specialized technical requirements, or unique service needs that only a specific vendor can meet. Without this information, it's difficult to assess if the exclusion was warranted or if it unnecessarily limited competition.
How does the per-unit cost of these licenses compare to industry benchmarks for similar software?
The provided data lacks the granular detail to perform a per-unit cost analysis. To benchmark effectively, we would need to know the exact number of licenses, the specific tiers or editions of RHEL Satellite Server and Ansible Tower Premium purchased, and the contract terms. Comparing this total award value to industry averages for similar enterprise software deployments is the best available proxy.
What is the long-term strategy for managing these software licenses and potential vendor lock-in?
The long-term strategy is unclear from this data. A potential risk of vendor lock-in exists with single-source awards for critical software. Agencies should have a plan for future contract renewals, potential transitions to alternative solutions, and ongoing cost negotiations to mitigate long-term financial and operational risks.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: 15PTDE20Q00000019
Offers Received: 13
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 555 MIDDLE CREEK PKWY STE 120, COLORADO SPRINGS, CO, 80921
Business Categories: Category Business, Hispanic American Owned Business, Limited Liability Corporation, Minority Owned Business, Partnership or Limited Liability Partnership, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $101,220
Exercised Options: $101,220
Current Obligation: $101,220
Actual Outlays: $101,220
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: NNG15SD27B
IDV Type: GWAC
Timeline
Start Date: 2020-09-01
Current End Date: 2021-08-31
Potential End Date: 2021-08-31 00:00:00
Last Modified: 2026-04-03
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