State Dept Awards $11.3M IT Task Order to ARLLUK Technology Solutions for Computer Systems Design
Contract Overview
Contract Amount: $11,338,613 ($11.3M)
Contractor: Arlluk Technology Solutions LLC
Awarding Agency: Department of State
Start Date: 2023-09-30
End Date: 2027-09-29
Contract Duration: 1,460 days
Daily Burn Rate: $7.8K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 1
Pricing Type: TIME AND MATERIALS
Sector: IT
Official Description: NEW STARS III TASK ORDER AWARD UNDER CONTRACT NO. 47QTCB22D0302
Place of Performance
Location: CHANTILLY, FAIRFAX County, VIRGINIA, 20151
State: Virginia Government Spending
Plain-Language Summary
Department of State obligated $11.3 million to ARLLUK TECHNOLOGY SOLUTIONS LLC for work described as: NEW STARS III TASK ORDER AWARD UNDER CONTRACT NO. 47QTCB22D0302 Key points: 1. The award represents a significant investment in IT services for the Department of State. 2. ARLLUK Technology Solutions, the sole awardee, faces competition from other IT service providers in the market. 3. Potential risks include vendor lock-in and ensuring cost-effectiveness over the contract's duration. 4. The sector is Computer Systems Design Services, a critical area for government operations.
Value Assessment
Rating: fair
The Time and Materials pricing structure can lead to cost overruns if not closely managed. Benchmarking against similar Computer Systems Design Services contracts is crucial to assess value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
This was a limited competition after exclusion of sources, suggesting specific capabilities were sought. The pricing discovery may be less robust than full and open competition.
Taxpayer Impact: Taxpayers may pay a premium due to the limited competition, but the specific need for ARLLUK's services could justify the cost.
Public Impact
Ensures continued IT support for critical Department of State functions. Supports technological infrastructure necessary for diplomatic and foreign policy operations. Potential for job creation within the IT sector through this contract.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition may impact price.
- Time and Materials contract type requires vigilant oversight.
- No small business participation noted.
Positive Signals
- Addresses a specific need for computer systems design.
- Awarded to a single, presumably capable, vendor.
Sector Analysis
Computer Systems Design Services are essential for modern government operations, encompassing network management, software development, and IT consulting. Benchmarks vary widely based on service scope and complexity.
Small Business Impact
The contract was not awarded to a small business, indicating a focus on larger or specialized IT firms for this particular task order. Opportunities for small businesses may exist in subcontracting roles.
Oversight & Accountability
The Department of State is responsible for oversight. Vigilant monitoring of the Time and Materials contract is essential to control costs and ensure performance aligns with objectives.
Related Government Programs
- Computer Systems Design Services
- Department of State Contracting
- Department of State Programs
Risk Flags
- Potential for cost overruns due to T&M pricing.
- Limited competition may reduce price competitiveness.
- Lack of small business participation.
- Vendor lock-in risk.
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 $11.3 million to ARLLUK TECHNOLOGY SOLUTIONS LLC. NEW STARS III TASK ORDER AWARD UNDER CONTRACT NO. 47QTCB22D0302
Who is the contractor on this award?
The obligated recipient is ARLLUK TECHNOLOGY 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 $11.3 million.
What is the period of performance?
Start: 2023-09-30. End: 2027-09-29.
What specific computer systems design services are being procured, and how do they align with the Department of State's strategic IT goals?
The task order focuses on Computer Systems Design Services (NAICS 541512). While the exact services aren't detailed, they likely involve the design, integration, and potentially maintenance of complex IT systems supporting the Department's global operations. Alignment with strategic goals would involve ensuring these systems enhance cybersecurity, data management, and communication capabilities for diplomatic missions.
What is the justification for limiting competition, and how was the price determined to be fair and reasonable under these conditions?
The justification for 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' suggests that only specific vendors met stringent requirements, possibly due to unique capabilities or prior performance. Price reasonableness would typically be assessed through cost analysis, comparison to historical data, or market research, even within a limited competition framework.
How will the Department of State ensure cost control and effective service delivery under the Time and Materials (T&M) contract structure?
Effective oversight is paramount for T&M contracts. The Department will likely implement strict monitoring of labor hours, material costs, and task completion. Establishing clear milestones, performance metrics, and regular progress reviews will be crucial to prevent scope creep and ensure services are delivered efficiently and within budget expectations.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 1
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Address: 3800 CENTERPOINT DR STE 700, 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: $17,797,010
Exercised Options: $17,747,010
Current Obligation: $11,338,613
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Parent Contract
Parent Award PIID: 47QTCB22D0302
IDV Type: GWAC
Timeline
Start Date: 2023-09-30
Current End Date: 2027-09-29
Potential End Date: 2027-09-29 00:00:00
Last Modified: 2025-09-24
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