Labor awards $4.97M BPA call for IT help desk support, highlighting a need for efficient enterprise services

Contract Overview

Contract Amount: $4,966,179 ($5.0M)

Contractor: Makpar-Nuaxis JV LLC

Awarding Agency: Department of Labor

Start Date: 2025-07-01

End Date: 2026-07-30

Contract Duration: 394 days

Daily Burn Rate: $12.6K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: BPA ORDER FOR ENTERPRISE SERVICE DESK NORMAL WORKING HOURS PER-SEAT SUPPORT

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20210

State: District of Columbia Government Spending

Plain-Language Summary

Department of Labor obligated $5.0 million to MAKPAR-NUAXIS JV LLC for work described as: BPA ORDER FOR ENTERPRISE SERVICE DESK NORMAL WORKING HOURS PER-SEAT SUPPORT Key points: 1. The contract focuses on essential IT support, indicating a reliance on external vendors for critical operational functions. 2. Full and open competition was utilized, suggesting a robust market for these services and potential for competitive pricing. 3. The fixed-price contract type aims to control costs and provide budget certainty for the government. 4. The duration of the contract (approximately 13 months) suggests a need for ongoing, but not necessarily long-term, support. 5. The award to a joint venture may indicate a strategy to leverage specialized capabilities or promote small business participation. 6. The service category (Other Computer Related Services) is broad, encompassing various IT support functions.

Value Assessment

Rating: good

The contract value of $4.97 million for approximately 13 months of enterprise service desk support appears reasonable, especially given it was awarded under full and open competition. Benchmarking against similar IT support contracts requires more granular data on the scope of services and number of users supported. However, the firm-fixed-price structure suggests that the contractor assumes the risk for cost overruns, which is generally favorable for the government. The specific per-seat cost is not provided, making direct comparison difficult, but the overall award amount for this duration is within expected ranges for enterprise-level IT support.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded using full and open competition, indicating that the solicitation was broadly advertised, and all responsible sources were permitted to submit offers. The specific number of bidders is not detailed, but the use of this procurement method generally fosters a competitive environment. This allows for price discovery and encourages vendors to offer their best pricing and technical solutions to win the contract. The Department of Labor likely benefited from a range of proposals, enabling selection of the most advantageous offer.

Taxpayer Impact: Full and open competition is the most taxpayer-friendly approach, as it maximizes the pool of potential offerors, driving down prices through market forces and increasing the likelihood of selecting a high-quality, cost-effective solution.

Public Impact

Federal employees within the Department of Labor will benefit from improved IT support services, leading to increased productivity and reduced downtime. The contract ensures the delivery of essential IT help desk services, including troubleshooting, technical assistance, and user support. The primary geographic impact is within the District of Columbia, where the Office of the Assistant Secretary for Administration and Management is located. The contract supports IT professionals and potentially other roles within the winning contractor's organization.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if follow-on work is not competed.
Dependence on a single vendor for critical IT support could pose operational risks.
Scope creep could lead to cost increases if not managed tightly.

Positive Signals

Awarded under full and open competition, indicating a competitive market.
Firm-fixed-price contract type provides cost certainty.
The joint venture structure may leverage specialized expertise.
The contract addresses a clear need for essential IT services.

Sector Analysis

The IT services sector is highly competitive, with numerous companies offering enterprise service desk and support solutions. The market size for government IT services is substantial, driven by agencies' continuous need for modernizing infrastructure and maintaining operational efficiency. This contract fits within the broader category of IT professional services, specifically focusing on end-user support. Comparable spending benchmarks for IT help desk services vary widely based on the number of users, service level agreements, and complexity of the IT environment. However, the $4.97 million award for a 13-month period suggests a significant scale of support.

Small Business Impact

This contract was not specifically set aside for small businesses, nor does it indicate any explicit subcontracting requirements for small businesses in the provided data. The award went to a joint venture, MAKPAR-NUAXIS JV LLC. While joint ventures can sometimes be formed to enhance small business participation, the data does not confirm if this specific JV structure was intended to meet small business goals or if it includes small business partners. Further analysis would be needed to determine the extent of small business involvement, either as prime contractors or subcontractors.

Oversight & Accountability

The contract is a BPA Call, which is a type of task order issued under a Blanket Purchase Agreement (BPA). Oversight typically involves the contracting officer's representative (COR) monitoring performance against the established service level agreements and terms of the BPA. Accountability is enforced through the firm-fixed-price structure, which incentivizes the contractor to meet performance standards within the agreed budget. Transparency is generally maintained through contract databases like FPDS, where award details are reported. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Enterprise Service Desk Support
IT Help Desk Services
IT Professional Services
IT Operations and Maintenance
General Services Administration (GSA) Schedules

Risk Flags

Potential for performance issues if joint venture partners have conflicting priorities.
Risk of service disruption if not adequately managed.
Need for clear oversight to ensure service levels are met.

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $5.0 million to MAKPAR-NUAXIS JV LLC. BPA ORDER FOR ENTERPRISE SERVICE DESK NORMAL WORKING HOURS PER-SEAT SUPPORT

Who is the contractor on this award?

The obligated recipient is MAKPAR-NUAXIS JV 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 $5.0 million.

What is the period of performance?

Start: 2025-07-01. End: 2026-07-30.

What is the specific scope of services covered by 'Enterprise Service Desk Normal Working Hours Per-Seat Support'?

The term 'Enterprise Service Desk Normal Working Hours Per-Seat Support' typically encompasses a range of IT support functions provided to end-users during standard business hours. This includes incident management (resolving IT issues), request fulfillment (processing user requests for services or access), basic troubleshooting for hardware and software, password resets, and user account management. The 'per-seat' aspect indicates that the pricing or service level is likely tied to the number of individual users or workstations supported. The 'normal working hours' limitation means that support outside of these specified hours may be handled under a different contract or incur additional charges.

How does the $4.97 million award compare to historical spending on similar IT support services by the Department of Labor?

Without access to historical spending data for the Department of Labor's IT support services, a direct comparison is not possible. However, the award amount of $4.97 million for a period of approximately 13 months (July 2025 to July 2026) suggests a significant requirement for enterprise-level support. To assess historical trends, one would need to examine previous contracts for similar services, noting their duration, scope, number of users supported, and total value. Analyzing these past awards would reveal whether this current contract represents an increase, decrease, or stable level of investment in IT help desk functions.

What are the key performance indicators (KPIs) or service level agreements (SLAs) associated with this contract?

The provided data does not specify the Key Performance Indicators (KPIs) or Service Level Agreements (SLAs) for this contract. However, for an Enterprise Service Desk contract, typical SLAs often include metrics such as first-call resolution rates, average response times for tickets, average resolution times for incidents and service requests, user satisfaction scores, and system availability. These KPIs are crucial for measuring the contractor's performance and ensuring that the Department of Labor receives the expected level of service. The contracting officer's representative (COR) would be responsible for monitoring adherence to these SLAs.

What is the track record of MAKPAR-NUAXIS JV LLC in providing similar IT support services to the federal government?

Information regarding the specific track record of the joint venture MAKPAR-NUAXIS JV LLC in providing similar IT support services to the federal government is not detailed in the provided data. As a joint venture, its performance history would likely be a combination of the capabilities and past performance of its constituent companies, MAKPAR and NUAXIS. To assess their track record, one would typically review their past performance evaluations in federal contract databases, look for previous awards for similar services, and examine any reported issues or successes. The fact that they were awarded this contract suggests they met the government's requirements for experience and capability.

What are the potential risks associated with relying on a joint venture for critical IT support?

Relying on a joint venture for critical IT support can present several potential risks. One risk is the complexity of management and coordination between the partner companies, which could lead to communication breakdowns or delays in decision-making. Another concern is the potential for disputes between the joint venture partners, which could disrupt service delivery. Furthermore, if one partner experiences financial difficulties or operational issues, it could impact the joint venture's ability to fulfill its contractual obligations. Ensuring clear lines of responsibility, robust governance structures, and strong oversight are crucial to mitigating these risks.

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 › IT AND TELECOM - END USER

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5115 GRANDE FOREST CT, CENTREVILLE, VA, 20120

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Economically Disadvantaged Women Owned Small Business, Joint Venture Economically Disadvantaged Women Owned Small Business, Joint Venture Women Owned Small Business, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $4,966,179

Exercised Options: $4,966,179

Current Obligation: $4,966,179

Actual Outlays: $2,846,344

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 1605TA22A0003

IDV Type: BPA

Timeline