Treasury's $30.9M ArcGIS License: Environmental Systems Research Institute Secures Full & Open Competition Contract

Contract Overview

Contract Amount: $30,895 ($30.9K)

Contractor: Environmental Systems Research Institute, Inc.

Awarding Agency: Department of the Treasury

Start Date: 2022-03-11

End Date: 2023-03-10

Contract Duration: 364 days

Daily Burn Rate: $85/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: ARCGIS SOFTWARE LICENSE AND MAINTENANCE

Place of Performance

Location: REDLANDS, SAN BERNARDINO County, CALIFORNIA, 92373

State: California Government Spending

Plain-Language Summary

Department of the Treasury obligated $30,895.19 to ENVIRONMENTAL SYSTEMS RESEARCH INSTITUTE, INC. for work described as: ARCGIS SOFTWARE LICENSE AND MAINTENANCE Key points: 1. The contract value is $30.9 million for ArcGIS software licenses and maintenance. 2. Competition was full and open, indicating a competitive bidding process. 3. The contract is for software, falling under the Software Publishers NAICS code. 4. The award was a delivery order under a larger contract.

Value Assessment

Rating: fair

The contract value of $30.9 million for a one-year ArcGIS license and maintenance appears to be within a reasonable range for enterprise-level geospatial software. Benchmarking against similar large-scale government software procurements would provide a more definitive assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting that multiple vendors had the opportunity to bid. This method generally promotes price discovery and can lead to more competitive pricing for the government.

Taxpayer Impact: The use of full and open competition is positive for taxpayers as it aims to secure the best value through a competitive process, potentially reducing costs compared to sole-source awards.

Public Impact

Essential software for geospatial analysis and mapping used across government agencies. Ensures continuity of operations for critical data visualization and decision-making. Supports various departmental functions, including environmental monitoring, urban planning, and resource management.

Waste & Efficiency Indicators

Waste Risk Score: 85 / 10

Warning Flags

Potential for vendor lock-in with specialized software.
Reliance on a single vendor for critical software updates and support.

Positive Signals

Full and open competition utilized.
Firm fixed price contract type.

Sector Analysis

The IT sector, specifically software licensing, is a significant area of government spending. Benchmarks for similar enterprise software licenses vary widely based on scope, user count, and vendor. This contract represents a substantial investment in core geospatial capabilities.

Small Business Impact

The data indicates this contract was awarded to Environmental Systems Research Institute, Inc., a large established vendor. There is no specific indication of small business participation in this particular award, which is common for specialized software licenses.

Oversight & Accountability

The contract was awarded as a delivery order, suggesting it falls under a pre-existing master agreement. Oversight would involve monitoring performance against the terms of the delivery order and the master contract, ensuring compliance and value.

Related Government Programs

Software Publishers
Department of the Treasury Contracting
Bureau of the Fiscal Service Programs

Risk Flags

Potential for vendor lock-in.
Reliance on a single vendor for critical updates.
Lack of explicit small business participation noted.
Need for ongoing cost-benefit analysis.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Treasury awarded $30,895.19 to ENVIRONMENTAL SYSTEMS RESEARCH INSTITUTE, INC.. ARCGIS SOFTWARE LICENSE AND MAINTENANCE

Who is the contractor on this award?

The obligated recipient is ENVIRONMENTAL SYSTEMS RESEARCH INSTITUTE, INC..

Which agency awarded this contract?

Awarding agency: Department of the Treasury (Bureau of the Fiscal Service).

What is the total obligated amount?

The obligated amount is $30,895.19.

What is the period of performance?

Start: 2022-03-11. End: 2023-03-10.

What is the total cost of ownership for ArcGIS software across all government agencies, and how does this contract compare?

Determining the total cost of ownership for ArcGIS across all government agencies requires aggregating data from numerous contracts and licenses. This specific $30.9 million contract represents a significant portion for the Bureau of the Fiscal Service. A comprehensive analysis would involve comparing this cost against the value derived from its geospatial capabilities and exploring potential cost-saving measures through enterprise-wide licensing agreements or alternative solutions.

What are the risks associated with relying on a single vendor for critical geospatial software, and what mitigation strategies are in place?

The primary risk of relying on a single vendor like ESRI for ArcGIS is potential vendor lock-in, where switching to a different platform becomes prohibitively expensive or complex. Mitigation strategies could include negotiating favorable contract terms, ensuring data interoperability, actively exploring open-source alternatives, and maintaining a clear exit strategy in future procurement planning to foster competition.

How effectively is the ArcGIS software being utilized to achieve the Department of the Treasury's mission objectives, and what metrics track its impact?

The effectiveness of ArcGIS utilization is measured by its contribution to mission objectives, such as improved data analysis, enhanced decision-making, and efficient resource allocation. Specific metrics might include the number of projects supported, the accuracy of spatial analyses, the speed of data processing, and the tangible outcomes achieved in areas like financial fraud detection or economic forecasting. Regular performance reviews should assess these impacts.

Industry Classification

NAICS: Information › Software Publishers › Software Publishers

Product/Service Code: IT AND TELECOM - END USER

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 380 NEW YORK STREET, REDLANDS, CA, 92373

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $30,895

Exercised Options: $30,895

Current Obligation: $30,895

Actual Outlays: $30,895

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: GS35F253CA

IDV Type: FSS

Timeline