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
- Limited competition due to source exclusion.
- Time and Materials pricing can lead to cost uncertainty.
Positive Signals
- Contract awarded to a single entity, potentially streamlining management.
- Long duration suggests a stable, ongoing need for services.
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
- Computer Systems Design Services
- Department of State Contracting
- Department of State Programs
Risk Flags
- Potential for cost overruns due to Time and Materials pricing.
- Limited competition due to exclusion of sources.
- Lack of transparency regarding the exclusion criteria.
- No clear indication of small business participation.
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 Services › Computer Systems Design and Related Services › Computer Systems Design Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP 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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