Treasury's IRS awards $2.86M for Commvault products and services under full and open competition
Contract Overview
Contract Amount: $2,857,120 ($2.9M)
Contractor: FCN, Inc.
Awarding Agency: Department of the Treasury
Start Date: 2023-05-05
End Date: 2026-05-04
Contract Duration: 1,095 days
Daily Burn Rate: $2.6K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: COMMVAULT BRAND NAME PRODUCTS: ENTERPRISE SUPPORT, PERSONALIZED IMPLEMENTATION AND TRAINING, CONSULTING SERVICES, PROJECT MANAGEMENT SERVICES AND METALLIC SUBSCRIPTIONS
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20220
Plain-Language Summary
Department of the Treasury obligated $2.9 million to FCN, INC. for work described as: COMMVAULT BRAND NAME PRODUCTS: ENTERPRISE SUPPORT, PERSONALIZED IMPLEMENTATION AND TRAINING, CONSULTING SERVICES, PROJECT MANAGEMENT SERVICES AND METALLIC SUBSCRIPTIONS Key points: 1. The contract covers enterprise support, implementation, training, consulting, project management, and Metallic subscriptions. 2. FCN, Inc. is the awardee, with the contract running from May 2023 to May 2026. 3. The award was made after excluding sources, indicating a specific need or prior relationship. 4. The total value is $2,857,119.71, with a base period of 1095 days.
Value Assessment
Rating: fair
The contract value of $2.86M over three years for specialized IT support and subscriptions appears reasonable given the nature of enterprise-level data management solutions. Benchmarking against similar large-scale support contracts for enterprise software would be necessary for a definitive assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES.' This suggests that while competition was sought, certain vendors may have been excluded, potentially limiting the breadth of price discovery and innovation. The specific reasons for exclusion are not detailed.
Taxpayer Impact: Taxpayer funds are being used for essential IT infrastructure and support services. The limited competition aspect warrants scrutiny to ensure the best value was obtained.
Public Impact
Ensures continuity of critical IRS data management and backup services. Supports the operational efficiency of the Internal Revenue Service through specialized IT services. Potential for increased costs due to limited competition in the source exclusion process.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition due to source exclusion.
- Lack of detailed justification for source exclusion.
- Potential for vendor lock-in with specialized support.
Positive Signals
- Addresses critical IT infrastructure needs for the IRS.
- Long-term contract provides stability for service delivery.
- Firm Fixed Price contract provides cost certainty.
Sector Analysis
This contract falls within the 'Other Computer Related Services' sector (NAICS 541519). Spending in this sector is substantial, covering a wide range of IT services from consulting to managed services. Benchmarks for similar enterprise support contracts can vary widely based on scope and vendor.
Small Business Impact
The data does not indicate whether small businesses were involved in the subcontracting opportunities for this contract. The awardee, FCN, Inc., is a small business, which is a positive signal for small business participation.
Oversight & Accountability
The contract was awarded by the Department of the Treasury's Internal Revenue Service. Oversight would typically involve contract officers and program managers ensuring adherence to terms, performance standards, and budget. The 'exclusion of sources' clause requires careful review by oversight bodies.
Related Government Programs
- Other Computer Related Services
- Department of the Treasury Contracting
- Internal Revenue Service Programs
Risk Flags
- Limited competition due to source exclusion.
- Lack of transparency regarding the justification for excluding sources.
- Potential for higher costs due to restricted vendor pool.
- Dependence on a single vendor for critical IT services.
Tags
other-computer-related-services, department-of-the-treasury, dc, delivery-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of the Treasury awarded $2.9 million to FCN, INC.. COMMVAULT BRAND NAME PRODUCTS: ENTERPRISE SUPPORT, PERSONALIZED IMPLEMENTATION AND TRAINING, CONSULTING SERVICES, PROJECT MANAGEMENT SERVICES AND METALLIC SUBSCRIPTIONS
Who is the contractor on this award?
The obligated recipient is FCN, INC..
Which agency awarded this contract?
Awarding agency: Department of the Treasury (Internal Revenue Service).
What is the total obligated amount?
The obligated amount is $2.9 million.
What is the period of performance?
Start: 2023-05-05. End: 2026-05-04.
What was the specific justification for excluding other potential sources in this 'full and open competition after exclusion of sources' award?
The provided data does not specify the justification for excluding other sources. Typically, such exclusions are based on factors like unique capabilities, existing infrastructure compatibility, security requirements, or prior performance history that only a specific vendor can meet. A detailed review of the contract file would be needed to ascertain the precise rationale.
How does the $2.86M cost compare to industry benchmarks for similar enterprise data management support and subscriptions over a three-year period?
Without specific details on the exact Commvault products, subscription tiers, and the level of support required, a precise benchmark is difficult. However, for enterprise-level data management solutions from major vendors, costs can range significantly. This figure appears within a plausible range for comprehensive support and subscriptions for a large organization like the IRS, but a detailed comparison with similar government or commercial contracts is recommended.
What are the potential risks associated with the 'exclusion of sources' clause impacting long-term cost-effectiveness and vendor innovation?
The primary risk of excluding sources is reduced competition, which can lead to higher prices than might be achieved in a truly open market. It can also limit the government's access to the latest technological advancements or more cost-effective solutions from vendors not initially considered. This could result in a less optimal long-term value proposition and potential vendor lock-in.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - END USER
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 2600 TOWER OAKS BLVD STE 575, ROCKVILLE, MD, 20852
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $65,645,511
Exercised Options: $2,857,120
Current Obligation: $2,857,120
Actual Outlays: $2,821,373
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: NNG15SC71B
IDV Type: GWAC
Timeline
Start Date: 2023-05-05
Current End Date: 2026-05-04
Potential End Date: 2027-09-28 00:00:00
Last Modified: 2026-01-21
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