IRS Spends $6.6M on Immersive Collaboration Rooms, Awarded to Immersive Concepts L.L.C

Contract Overview

Contract Amount: $6,622,931 ($6.6M)

Contractor: Immersive Concepts L.L.C.

Awarding Agency: Department of the Treasury

Start Date: 2023-09-29

End Date: 2026-09-28

Contract Duration: 1,095 days

Daily Burn Rate: $6.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: IRS UNS ENTERPRISE IMMERSIVE COLLABORATION SMART CONFERENCE ROOMS INITIATIVE

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20002

State: District of Columbia Government Spending

Plain-Language Summary

Department of the Treasury obligated $6.6 million to IMMERSIVE CONCEPTS L.L.C. for work described as: IRS UNS ENTERPRISE IMMERSIVE COLLABORATION SMART CONFERENCE ROOMS INITIATIVE Key points: 1. The IRS is investing $6.6 million in "smart conference rooms" aimed at enhancing collaboration. 2. The contract was awarded through full and open competition, suggesting a competitive bidding process. 3. The primary contractor, Immersive Concepts L.L.C., specializes in computer systems design services. 4. This initiative falls under the broader category of IT infrastructure modernization for the agency.

Value Assessment

Rating: fair

The $6.6 million price tag for collaboration rooms appears high without specific details on the technology and scale. Benchmarking against similar government or private sector deployments is difficult without more granular cost breakdowns.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded via full and open competition, indicating multiple vendors had the opportunity to bid. This method generally promotes price discovery and competitive pricing.

Taxpayer Impact: Taxpayer funds are being used for this initiative, with the ultimate value and efficiency of the investment determining the overall taxpayer impact.

Public Impact

Modernization of federal workplace technology to improve efficiency. Potential for enhanced inter-agency communication and collaboration. Investment in advanced conferencing solutions for government operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the IT sector, specifically computer systems design services. Spending on collaboration tools and workplace technology is common across federal agencies seeking to modernize operations and improve employee productivity.

Small Business Impact

The contract was awarded through full and open competition, but it is unclear if small businesses were involved as subcontractors or if the primary awardee is a small business. Further analysis is needed to determine small business participation.

Oversight & Accountability

The contract is a delivery order under a larger contract, suggesting existing oversight mechanisms. However, the specific performance metrics and ongoing monitoring of this initiative's effectiveness require further examination.

Related Government Programs

Risk Flags

Tags

computer-systems-design-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 $6.6 million to IMMERSIVE CONCEPTS L.L.C.. IRS UNS ENTERPRISE IMMERSIVE COLLABORATION SMART CONFERENCE ROOMS INITIATIVE

Who is the contractor on this award?

The obligated recipient is IMMERSIVE CONCEPTS L.L.C..

Which agency awarded this contract?

Awarding agency: Department of the Treasury (Internal Revenue Service).

What is the total obligated amount?

The obligated amount is $6.6 million.

What is the period of performance?

Start: 2023-09-29. End: 2026-09-28.

What specific technologies are included in these "smart conference rooms" and how do they differ from standard conferencing solutions?

The data does not specify the exact technologies. 'Immersive collaboration' suggests advanced features like high-definition video, interactive whiteboards, spatial audio, and potentially VR/AR integration. These go beyond typical video conferencing by aiming to create a more engaging and realistic meeting environment, potentially reducing travel needs and improving remote participation.

What is the expected return on investment (ROI) for this $6.6 million expenditure on collaboration rooms?

The provided data does not include ROI projections. A comprehensive assessment would require metrics such as reduced travel costs, increased employee productivity, improved project completion times, and enhanced decision-making speed. Without these, it's difficult to quantify the financial benefit to the IRS and taxpayers.

How will the effectiveness of these immersive collaboration rooms be measured and evaluated post-implementation?

The data does not detail the evaluation plan. Effectiveness measurement should include user adoption rates, satisfaction surveys, quantifiable improvements in meeting efficiency (e.g., shorter meeting times, clearer outcomes), and impact on project collaboration. Regular reporting and performance reviews against defined benchmarks would be crucial.

Industry Classification

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

Product/Service Code: IT AND TELECOM - IT MANAGEMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 11750 BELTSVILLE DR STE 120, BELTSVILLE, MD, 20705

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

Financial Breakdown

Contract Ceiling: $11,386,537

Exercised Options: $6,826,225

Current Obligation: $6,622,931

Actual Outlays: $3,097,897

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: GS35F032CA

IDV Type: FSS

Timeline

Start Date: 2023-09-29

Current End Date: 2026-09-28

Potential End Date: 2026-09-28 15:05:43

Last Modified: 2026-02-26

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