Department of State awards $55M IT support contract to Soft Tech Consulting, Inc. for Computer Systems Design Services

Contract Overview

Contract Amount: $54,997,884 ($55.0M)

Contractor: Soft Tech Consulting, Inc.

Awarding Agency: Department of State

Start Date: 2019-12-17

End Date: 2024-08-30

Contract Duration: 1,718 days

Daily Burn Rate: $32.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 21

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: IT SUPPORT SERVICES

Place of Performance

Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22209

State: Virginia Government Spending

Plain-Language Summary

Department of State obligated $55.0 million to SOFT TECH CONSULTING, INC. for work described as: IT SUPPORT SERVICES Key points: 1. Contract value of $54.99M for IT support services. 2. Competition method: Full and Open Competition after Exclusion of Sources. 3. Risk: Potential for limited competition due to exclusion of sources. 4. Sector: Information Technology (IT) services.

Value Assessment

Rating: fair

The contract is a Time and Materials type, which can lead to cost overruns if not managed closely. Benchmarking against similar Computer Systems Design Services contracts is difficult without more detailed scope information.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The 'Full and Open Competition after Exclusion of Sources' indicates a limited competition, potentially impacting price discovery. While open to all, the exclusion criteria might have narrowed the field.

Taxpayer Impact: Taxpayer funds are being used for IT support services. The effectiveness of the competition method in securing the best value for taxpayers is a key consideration.

Public Impact

Ensures continued IT support for the Department of State's operations. Potential for increased costs due to Time and Materials pricing model. Impact on small businesses is minimal as the awardee is not a small business.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the IT sector, specifically Computer Systems Design Services. Spending benchmarks for this category vary widely based on scope and complexity, but $55M over nearly 5 years is a significant investment.

Small Business Impact

The contract was not awarded to a small business. There is no indication of subcontracting opportunities for small businesses within the provided data.

Oversight & Accountability

Oversight is crucial for Time and Materials contracts to prevent cost creep. The Department of State's internal controls and contract management practices will be key to ensuring accountability.

Related Government Programs

Risk Flags

Tags

computer-systems-design-services, department-of-state, va, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $55.0 million to SOFT TECH CONSULTING, INC.. IT SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is SOFT TECH CONSULTING, INC..

Which agency awarded this contract?

Awarding agency: Department of State (Department of State).

What is the total obligated amount?

The obligated amount is $55.0 million.

What is the period of performance?

Start: 2019-12-17. End: 2024-08-30.

What specific IT support services are covered under this contract, and how do they align with the Department of State's mission objectives?

The contract covers Computer Systems Design Services, likely encompassing areas such as network management, software development, system integration, and technical support. These services are critical for the Department of State's global operations, enabling secure communication, data management, and the execution of diplomatic and consular functions.

What was the rationale for excluding certain sources during the competition phase, and did this exclusion impact the final price?

The rationale for excluding sources is not detailed in the provided data. However, excluding sources typically occurs when specific capabilities, security clearances, or past performance are required. This exclusion could limit the pool of potential bidders, potentially affecting the competitiveness of the bidding process and the final negotiated price.

How will the Department of State ensure cost-effectiveness and prevent scope creep with a Time and Materials contract of this magnitude?

The Department of State will likely employ rigorous contract surveillance, detailed work breakdown structures, and regular performance reviews. Establishing clear milestones, monitoring labor hours closely, and requiring detailed justifications for all time and materials expended are essential. Independent government cost estimates and comparison with industry benchmarks will also aid in cost control.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesComputer Systems Design Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONSADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 21

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 4229 LAFAYETTE CENTER DR. STE 1700, CHANTILLY, VA, 20151

Business Categories: 8(a) Program Participant, Asian Pacific American Owned Business, Category Business, DoT Certified Disadvantaged Business Enterprise, Minority Owned Business, Small Business, Small Disadvantaged Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business

Financial Breakdown

Contract Ceiling: $92,023,068

Exercised Options: $92,023,068

Current Obligation: $54,997,884

Actual Outlays: $30,208,762

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: GS06F0897Z

IDV Type: GWAC

Timeline

Start Date: 2019-12-17

Current End Date: 2024-08-30

Potential End Date: 2024-08-30 00:00:00

Last Modified: 2024-12-26

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