State Dept. IT Support Contract Exceeds $10M, Awarded Sole-Source to Eagle Harbor Solutions

Contract Overview

Contract Amount: $10,206,960 ($10.2M)

Contractor: Eagle Harbor Solutions LLC

Awarding Agency: Department of State

Start Date: 2021-04-01

End Date: 2026-09-30

Contract Duration: 2,008 days

Daily Burn Rate: $5.1K/day

Competition Type: NOT COMPETED UNDER SAP

Pricing Type: LABOR HOURS

Sector: IT

Official Description: GPA/EX/IT SUPPORT

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20520

State: District of Columbia Government Spending

Plain-Language Summary

Department of State obligated $10.2 million to EAGLE HARBOR SOLUTIONS LLC for work described as: GPA/EX/IT SUPPORT Key points: 1. Contract value of $10.2M for IT support services. 2. Sole-source award to Eagle Harbor Solutions LLC. 3. Potential risk due to lack of competition. 4. Services fall under 'Other Computer Related Services' NAICS code.

Value Assessment

Rating: questionable

The contract's value of $10.2M for IT support services is significant. Without competitive bidding, it's difficult to assess if this pricing represents fair market value compared to similar contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was not competed under Simplified Acquisition Procedures (SAP), indicating a sole-source award. This limits price discovery and potentially leads to higher costs for taxpayers.

Taxpayer Impact: The lack of competition for this $10.2M contract may result in taxpayers paying more than necessary for IT support services.

Public Impact

Taxpayers may be overpaying for IT support due to the sole-source nature of the award. Lack of transparency in the procurement process raises concerns about accountability. Essential IT support services are being provided without a competitive market check.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Information Technology sector, specifically 'Other Computer Related Services'. IT spending benchmarks vary widely, but significant sole-source awards warrant scrutiny for value.

Small Business Impact

The data indicates this contract was not awarded to a small business. Further analysis would be needed to determine if small businesses were considered or excluded from this procurement.

Oversight & Accountability

The sole-source nature of this award raises questions about the oversight applied during the procurement process. Ensuring fair competition and value for taxpayer money is crucial.

Related Government Programs

Risk Flags

Tags

other-computer-related-services, department-of-state, dc, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $10.2 million to EAGLE HARBOR SOLUTIONS LLC. GPA/EX/IT SUPPORT

Who is the contractor on this award?

The obligated recipient is EAGLE HARBOR SOLUTIONS LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $10.2 million.

What is the period of performance?

Start: 2021-04-01. End: 2026-09-30.

What justification was provided for the sole-source award of this $10.2M IT support contract?

The provided data indicates the contract was 'NOT COMPETED UNDER SAP', suggesting a sole-source justification was likely made. However, the specific details of that justification (e.g., unique capabilities, urgent need) are not present. Understanding the rationale is key to assessing the necessity of bypassing competitive bidding and its impact on value.

What are the specific IT support services being provided under this contract, and how do they compare to market rates?

The NAICS code 541519 covers 'Other Computer Related Services'. Without a detailed statement of work, it's impossible to benchmark specific services. However, given the sole-source award and significant value, a thorough review comparing the provided services and their associated labor hour costs against industry benchmarks is warranted to ensure fair pricing.

What is the potential long-term financial impact of awarding such a large contract without competition?

Awarding a $10.2M contract without competition carries a risk of sustained overpayment if the initial pricing is not optimized. The absence of competitive pressure over the contract's duration (ending 2026) could lead to a higher cumulative cost for taxpayers compared to a competitively awarded contract, potentially by millions of dollars.

Industry Classification

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

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 3800 CENTERPOINT DR STE 502, ANCHORAGE, AK, 99503

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

Financial Breakdown

Contract Ceiling: $10,377,381

Exercised Options: $10,206,960

Current Obligation: $10,206,960

Actual Outlays: $3,515,025

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 19AQMM21D0060

IDV Type: IDC

Timeline

Start Date: 2021-04-01

Current End Date: 2026-09-30

Potential End Date: 2026-09-30 00:00:00

Last Modified: 2026-04-08

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