Department of Labor awards $8.8M contract for IT support to Agile Decision Sciences, LLC

Contract Overview

Contract Amount: $8,834,902 ($8.8M)

Contractor: Agile Decision Sciences, LLC

Awarding Agency: Department of Labor

Start Date: 2024-02-21

End Date: 2027-02-20

Contract Duration: 1,095 days

Daily Burn Rate: $8.1K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: LABOR HOURS

Sector: IT

Official Description: GSA 8(A) STARS III AWARD FOR OWCP BUSINESS APPLICATION SUPPORT (OBAS) INTEGRATED FEDERAL EMPLOYEES COMPENSATION SYSTEM (IFECS) SERVICES

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35806

State: Alabama Government Spending

Plain-Language Summary

Department of Labor obligated $8.8 million to AGILE DECISION SCIENCES, LLC for work described as: GSA 8(A) STARS III AWARD FOR OWCP BUSINESS APPLICATION SUPPORT (OBAS) INTEGRATED FEDERAL EMPLOYEES COMPENSATION SYSTEM (IFECS) SERVICES Key points: 1. Contract awarded for IT support services, focusing on business application support and integrated federal employees compensation systems. 2. The contract duration is 3 years, with a potential for extension. 3. The award was made under a full and open competition. 4. The contractor, Agile Decision Sciences, LLC, is a small business. 5. The contract type is a delivery order, indicating a specific task or project. 6. The services are categorized under Computer Systems Design Services.

Value Assessment

Rating: good

The contract value of $8.8 million over three years appears reasonable for specialized IT support services. Benchmarking against similar contracts for business application support and system integration within federal agencies is necessary for a definitive value assessment. The pricing structure, based on labor hours, allows for flexibility but requires diligent oversight to ensure efficiency and prevent cost overruns. Without specific performance metrics or detailed cost breakdowns, a precise value-for-money judgment is challenging, but the competitive award suggests a fair market price was likely achieved.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a full and open competition after the exclusion of sources, indicating a robust bidding process. While the specific number of bidders is not provided, this procurement method generally fosters a competitive environment, allowing multiple qualified vendors to submit proposals. The open competition is expected to drive price discovery and ensure the government receives competitive pricing for the services rendered.

Taxpayer Impact: A full and open competition provides taxpayers with assurance that the contract was awarded based on merit and competitive pricing, maximizing the value of federal funds.

Public Impact

Federal employees within the Department of Labor will benefit from improved IT systems and application support. The contract ensures the continued operation and enhancement of the Integrated Federal Employees Compensation System (IFECS). Services delivered will support the Office of Workers' Compensation Programs (OWCP) business application support. The geographic impact is primarily within the Department of Labor's operational locations, likely nationwide. Workforce implications include the potential for skilled IT professionals to be engaged in supporting critical federal functions.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if requirements are not clearly defined and managed.
Reliance on labor hours can lead to cost increases if productivity is not closely monitored.
Ensuring data security and privacy for sensitive federal employee compensation information is paramount.

Positive Signals

Award to a small business (Agile Decision Sciences, LLC) supports federal small business goals.
The use of a GSA schedule contract (8(a) STARS III) streamlines the procurement process.
The contract is for essential IT support, crucial for the efficient functioning of federal programs.

Sector Analysis

The IT services sector, particularly within government contracting, is highly competitive. This contract falls under computer systems design services, a broad category encompassing software development, IT consulting, and system integration. The federal government is a significant consumer of these services, with agencies constantly seeking to modernize legacy systems and implement new technologies to improve efficiency and service delivery. The GSA 8(a) STARS III GWAC is a popular vehicle for agencies to procure IT solutions from small, disadvantaged businesses, reflecting a strategic focus on supporting these entities while acquiring necessary IT capabilities.

Small Business Impact

The contractor, Agile Decision Sciences, LLC, is identified as a small business, and the contract was awarded through the GSA 8(a) STARS III GWAC, which is specifically designed to provide IT solutions from small, disadvantaged businesses. This award directly supports federal small business contracting goals. There is no explicit mention of subcontracting requirements in the provided data, but for contracts of this nature and value, subcontracting to other small businesses, potentially including those with specific niche expertise, is often a component of successful contract performance and further contributes to the small business ecosystem.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of Labor's contracting officers and program managers. The GSA 8(a) STARS III GWAC has its own oversight mechanisms managed by GSA. Transparency is facilitated through contract award databases and reporting requirements. The Inspector General for the Department of Labor would have jurisdiction to investigate any potential fraud, waste, or abuse related to this contract.

Related Government Programs

GSA 8(a) STARS III GWAC
IT Services for Federal Agencies
Business Application Support
Federal Employee Compensation Systems
Office of Workers' Compensation Programs (OWCP)

Risk Flags

Potential for cost overruns due to labor-hour pricing.
Cybersecurity risks associated with handling sensitive federal employee data.
Ensuring contractor performance meets or exceeds defined service levels.
Dependency on a single contractor for critical IT functions.

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $8.8 million to AGILE DECISION SCIENCES, LLC. GSA 8(A) STARS III AWARD FOR OWCP BUSINESS APPLICATION SUPPORT (OBAS) INTEGRATED FEDERAL EMPLOYEES COMPENSATION SYSTEM (IFECS) SERVICES

Who is the contractor on this award?

The obligated recipient is AGILE DECISION SCIENCES, LLC.

Which agency awarded this contract?

Awarding agency: Department of Labor (Office of the Assistant Secretary for Administration and Management).

What is the total obligated amount?

The obligated amount is $8.8 million.

What is the period of performance?

Start: 2024-02-21. End: 2027-02-20.

What is the track record of Agile Decision Sciences, LLC in performing similar federal IT contracts?

Agile Decision Sciences, LLC, as a participant in the GSA 8(a) STARS III GWAC, is expected to have demonstrated capabilities in providing IT services. While specific past performance details for this exact contract are not provided in the summary data, the GSA 8(a) STARS III program itself involves a vetting process for contractors. Agencies typically review past performance during the award decision for delivery orders. To fully assess their track record, one would need to examine their performance on previous federal contracts, including client satisfaction, adherence to schedule and budget, and technical execution. Information on their website or through federal procurement databases like SAM.gov might offer further insights into their project history and client testimonials.

How does the awarded amount compare to similar IT support contracts for federal compensation systems?

The awarded amount of $8.8 million over three years for IT support to the Integrated Federal Employees Compensation System (IFECS) and OWCP business applications needs to be benchmarked against comparable federal contracts. Factors influencing cost include the complexity of the systems, the scope of services (e.g., development, maintenance, integration, help desk), and the labor categories required. Contracts for similar IT modernization or support efforts within agencies like the Department of Veterans Affairs or Social Security Administration, which also manage large compensation or benefits systems, could serve as benchmarks. The GSA 8(a) STARS III GWAC itself aims to provide competitive pricing, but a detailed comparison would require analyzing the specific tasks, deliverables, and labor rates against other awards for similar services.

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

Primary risks for this contract include potential technical challenges in supporting and integrating complex federal systems, ensuring robust cybersecurity for sensitive employee data, and managing contractor performance to ensure value for money. Mitigation strategies likely involve clearly defined service level agreements (SLAs), rigorous cybersecurity protocols mandated by federal regulations (e.g., FISMA), and active contract management by the Department of Labor. The use of a labor-hour contract type necessitates close monitoring of hours expended versus work accomplished to prevent cost overruns. Furthermore, the contractor's own internal quality assurance processes and the government's oversight mechanisms are crucial for risk mitigation.

How effective is the GSA 8(a) STARS III GWAC in facilitating efficient IT procurement for federal agencies?

The GSA 8(a) STARS III GWAC is designed to streamline the procurement of IT services from small, disadvantaged businesses. Its effectiveness lies in pre-competed contract vehicles, allowing agencies to issue task orders more rapidly than through traditional full and open competition. This reduces acquisition lead times and administrative burden. The GWAC offers a broad range of IT services, providing flexibility for agencies. However, the ultimate effectiveness for any specific agency depends on how well they define their requirements, conduct fair evaluations of proposals received under the GWAC, and manage the resulting task orders. The program's success is also tied to the quality and performance of the small businesses participating in it.

What are the historical spending patterns for IT support services within the Department of Labor?

Historical spending patterns for IT support services within the Department of Labor would reveal the agency's reliance on external contractors for various IT functions, including system development, maintenance, cybersecurity, and infrastructure management. Analyzing past obligations for IT services can indicate trends in technology adoption, modernization efforts, and the types of IT solutions the Department prioritizes. This specific contract award contributes to the overall IT spending profile. Understanding this historical context helps in evaluating whether the current award aligns with past investments, represents a shift in strategy, or addresses emerging needs within the Department's mission-critical systems like those supporting federal employee compensation.

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 - IT MANAGEMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 1605TA-24-Q-00013

Offers Received: 1

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Parent Company: Arctic Slope Regional Corporation

Address: 350 VOYAGER WAY STE 100B, HUNTSVILLE, AL, 35806

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $11,853,077

Exercised Options: $11,853,077

Current Obligation: $8,834,902

Actual Outlays: $7,420,573

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 47QTCB22D0256

IDV Type: GWAC

Timeline