State Department awards $194K for MFP services, highlighting IT support needs

Contract Overview

Contract Amount: $193,988 ($194.0K)

Contractor: NEW Tech Solutions, Inc.

Awarding Agency: Department of State

Start Date: 2024-09-14

End Date: 2025-01-09

Contract Duration: 117 days

Daily Burn Rate: $1.7K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: SELP HP COLOR MFP5800 200V

Place of Performance

Location: RESTON, FAIRFAX County, VIRGINIA, 20191

State: Virginia Government Spending

Plain-Language Summary

Department of State obligated $193,987.8 to NEW TECH SOLUTIONS, INC. for work described as: SELP HP COLOR MFP5800 200V Key points: 1. Value for money appears reasonable given the short duration and fixed-price nature. 2. Competition was full and open, suggesting a competitive pricing environment. 3. Risk indicators are low due to the short performance period and established contractor. 4. Performance context is limited to IT hardware support for a specific device. 5. Sector positioning is within IT services, specifically hardware maintenance and support.

Value Assessment

Rating: good

The contract value of $193,987.80 for approximately four months of service appears reasonable for specialized MFP support. Benchmarking against similar contracts is challenging without more detailed service scope, but the fixed-price nature suggests a defined cost expectation. The award to a single vendor for this specific task implies a focused need rather than a broad IT services requirement.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating that while initial exclusions might have occurred, the opportunity was ultimately made available broadly. The presence of 3 bidders suggests a moderate level of competition, which is generally positive for price discovery and ensuring fair market value.

Taxpayer Impact: A competitive bidding process helps ensure taxpayer dollars are used efficiently by driving down prices and encouraging vendors to offer their best value.

Public Impact

The primary beneficiaries are likely Department of State personnel requiring functional multifunction printers. Services delivered include maintenance and support for SELP HP COLOR MFP5800 200V devices. Geographic impact is concentrated within the Department of State's operational locations in Virginia. Workforce implications are minimal, primarily affecting IT support staff managing the devices.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if this specific model requires proprietary support.
Dependence on a single vendor for critical hardware support could lead to service disruptions if not managed effectively.

Positive Signals

Awarded under full and open competition, indicating a fair market approach.
Fixed-price contract provides cost certainty for the government.
Short performance period limits long-term financial commitment and risk.

Sector Analysis

This contract falls within the broader IT services sector, specifically focusing on hardware maintenance and support for multifunction printers (MFPs). The market for IT hardware support is competitive, with numerous vendors offering services for various brands and models. Spending in this area is consistent with the operational needs of large government agencies requiring reliable office equipment.

Small Business Impact

The data does not indicate if this contract involved small business set-asides or subcontracting opportunities. As a delivery order under a larger contract vehicle, the initial competition and set-aside considerations would have occurred at the prime contract level. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

Oversight is likely managed by the contracting officer's representative (COR) within the Department of State's IT or facilities management division. Accountability is ensured through the firm fixed-price contract terms and performance expectations. Transparency is facilitated by the public availability of contract award data.

Related Government Programs

General Services Administration (GSA) Schedule contracts for IT hardware and services
Department of State IT support contracts
Federal civilian agency IT equipment maintenance

Risk Flags

Potential for vendor lock-in
Dependence on specific hardware model support

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $193,987.8 to NEW TECH SOLUTIONS, INC.. SELP HP COLOR MFP5800 200V

Who is the contractor on this award?

The obligated recipient is NEW TECH SOLUTIONS, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $193,987.8.

What is the period of performance?

Start: 2024-09-14. End: 2025-01-09.

What is the track record of NEW TECH SOLUTIONS, INC. with federal contracts?

A review of federal procurement data indicates that NEW TECH SOLUTIONS, INC. has been awarded multiple contracts across various agencies, primarily in the IT services and equipment domain. Their contract history suggests experience in providing hardware maintenance, support, and related IT solutions. The value and scope of these prior awards would need to be examined to fully assess their performance and capacity. However, being awarded this delivery order implies they met the necessary qualifications and past performance requirements set forth by the Department of State under the contract vehicle used.

How does the pricing of this contract compare to similar IT hardware support services?

Direct comparison of pricing for this specific contract is difficult without detailed service level agreements (SLAs) and the exact scope of work. However, the contract value of approximately $194K for a roughly four-month period for MFP support suggests a monthly expenditure in the range of $48.5K. This figure needs to be contextualized by the number of devices supported, response times, and included services (e.g., parts, labor, preventative maintenance). Generally, fixed-price contracts aim to provide cost certainty, and the competitive nature of the award (3 bidders) suggests the pricing is likely aligned with market rates for comparable government IT support services.

What are the primary risks associated with this contract?

The primary risks associated with this contract are relatively low due to its short duration and fixed-price nature. Potential risks include service disruptions if the vendor fails to meet response times or provide adequate support, leading to downtime for critical office equipment. There's also a minor risk of overpayment if the required services are less intensive than anticipated, though the fixed price mitigates this. Vendor performance issues, such as inadequate technical expertise or parts availability, could also pose a risk. However, the competitive award process and the Department of State's oversight mechanisms are intended to minimize these risks.

How effective is this contract in ensuring the operational readiness of Department of State IT equipment?

This contract is likely effective in ensuring the operational readiness of the specific SELP HP COLOR MFP5800 200V devices it covers. By providing dedicated maintenance and support, it aims to minimize downtime and ensure these printers function as intended. The effectiveness is contingent on the vendor's ability to deliver timely and competent service as outlined in the contract. Its contribution to overall IT equipment readiness is specific to the covered hardware; broader operational readiness depends on a comprehensive IT support strategy encompassing all equipment types and services.

What are the historical spending patterns for similar MFP support services by the Department of State?

Analyzing historical spending patterns for similar MFP support services by the Department of State would require a broader data query beyond this single award. However, government agencies, particularly large ones like the State Department, typically allocate significant budgets towards IT infrastructure maintenance, including printers and MFPs. Spending can fluctuate based on equipment refresh cycles, agency growth, and evolving technology needs. Contracts for such services often range from short-term maintenance agreements to longer-term managed print services, with values varying considerably based on scale and scope.

What is the significance of the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' award type?

The award type 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' indicates a nuanced procurement process. Initially, certain sources might have been excluded, perhaps due to specific requirements or pre-existing contract vehicles. However, the agency then opened the competition broadly to all eligible responsible sources. This suggests an effort to balance specific needs with maximizing competition. The fact that 3 bidders participated implies that the exclusion criteria, if any, did not unduly limit the pool of potential offerors, ultimately benefiting from a competitive process.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services

Product/Service Code: OFFICE SUPPLIES AND DEVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 4179 BUSINESS CENTER DR, FREMONT, CA, 94538

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

Financial Breakdown

Contract Ceiling: $193,988

Exercised Options: $193,988

Current Obligation: $193,988

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: NNG15SC82B

IDV Type: GWAC

Timeline