State Dept. Awards $25M for Research Innovation Systems Engineering to XFINION INC

Contract Overview

Contract Amount: $25,113,504 ($25.1M)

Contractor: Xfinion Inc.

Awarding Agency: Department of State

Start Date: 2023-06-26

End Date: 2026-06-25

Contract Duration: 1,095 days

Daily Burn Rate: $22.9K/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: LABOR HOURS

Sector: IT

Official Description: RESEARCH INNOVATION SYSTEMS ENGINEERING (RISE). CA CST REQUIRES EXPERT TECHNICAL GUIDANCE TO CA/CST AND ITS CONTRACTORS CONCERNING SYSTEM ENGINEERING AND MANAGEMENT PROCESSING.

Place of Performance

Location: BETHESDA, MONTGOMERY County, MARYLAND, 20817

State: Maryland Government Spending

Plain-Language Summary

Department of State obligated $25.1 million to XFINION INC. for work described as: RESEARCH INNOVATION SYSTEMS ENGINEERING (RISE). CA CST REQUIRES EXPERT TECHNICAL GUIDANCE TO CA/CST AND ITS CONTRACTORS CONCERNING SYSTEM ENGINEERING AND MANAGEMENT PROCESSING. Key points: 1. Contract awarded for expert technical guidance in system engineering and management processing. 2. XFINION INC. is the sole awardee for this BPA Call. 3. The contract duration is 3 years, ending June 2026. 4. Spending is categorized under 'Other Computer Related Services'.

Value Assessment

Rating: fair

The contract value of $25.1M over three years appears reasonable for specialized technical guidance. However, without specific benchmarks for 'expert technical guidance' in system engineering and management processing, a precise pricing assessment is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under SAP (Simplified Acquisition Procedures), suggesting an expectation of limited competition. The award method as a BPA Call implies it was likely solicited from a pre-existing Blanket Purchase Agreement, potentially limiting broader market engagement and price discovery.

Taxpayer Impact: Taxpayer funds are being used for specialized technical expertise. The limited competition may result in a higher price than if fully competed.

Public Impact

Ensures critical technical expertise for the Department of State's systems. Supports ongoing system engineering and management processes. Potential for knowledge transfer and capacity building within the agency.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under professional services, specifically IT-related consulting and engineering. Benchmarks for similar 'expert technical guidance' contracts in system engineering are highly variable, making direct comparison challenging without more detail on the scope of work.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). Therefore, small businesses were likely not the primary focus of this procurement, and opportunities for them may have been limited.

Oversight & Accountability

Oversight will be crucial to ensure the 'expert technical guidance' provided by XFINION INC. meets the Department of State's needs and delivers value for money, especially given the limited competition.

Related Government Programs

Risk Flags

Tags

other-computer-related-services, department-of-state, md, bpa-call, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $25.1 million to XFINION INC.. RESEARCH INNOVATION SYSTEMS ENGINEERING (RISE). CA CST REQUIRES EXPERT TECHNICAL GUIDANCE TO CA/CST AND ITS CONTRACTORS CONCERNING SYSTEM ENGINEERING AND MANAGEMENT PROCESSING.

Who is the contractor on this award?

The obligated recipient is XFINION INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $25.1 million.

What is the period of performance?

Start: 2023-06-26. End: 2026-06-25.

What specific system engineering and management processing challenges does the Department of State face that necessitate this level of expert technical guidance?

The Department of State likely faces complex challenges in managing and evolving its IT systems to meet evolving diplomatic and security requirements. This includes integrating new technologies, ensuring cybersecurity, optimizing operational efficiency, and maintaining legacy systems. Expert guidance is needed to navigate these complexities, make informed decisions, and implement effective solutions that align with strategic objectives and budget constraints.

How does the limited competition under SAP and the BPA Call structure impact the government's ability to secure the best possible pricing for these services?

Limited competition, especially through a BPA Call, can restrict the number of potential bidders, potentially reducing price pressure. While SAP aims for efficiency, it may not always yield the lowest prices compared to full and open competition. The government relies on the existing BPA terms and the specific call's solicitation to drive competitive pricing, but the inherent limitations mean a broader market might offer better value.

What are the key performance indicators (KPIs) or metrics used to evaluate the effectiveness of XFINION INC.'s technical guidance and ensure value for taxpayer money?

Effectiveness is likely measured through adherence to project timelines, successful implementation of recommended engineering solutions, improved system performance metrics (e.g., uptime, efficiency), positive feedback from internal stakeholders, and the achievement of specific technical objectives outlined in the Statement of Work. Regular performance reviews and milestone assessments would be critical to ensure value and accountability.

Industry Classification

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

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONSIT AND TELECOM - IT MANAGEMENT

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 1

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 7800 LONESOME PINE LN, BETHESDA, MD, 20817

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, Indian (Subcontinent) American Owned Business, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $46,892,124

Exercised Options: $46,892,124

Current Obligation: $25,113,504

Actual Outlays: $1,004,878

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 19AQMM22A0248

IDV Type: BPA

Timeline

Start Date: 2023-06-26

Current End Date: 2026-06-25

Potential End Date: 2028-06-25 00:00:00

Last Modified: 2026-03-18

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