Social Security Administration awards $22.6M for IT services to EPS Corporation, highlighting a need for system modernization

Contract Overview

Contract Amount: $22,648,009 ($22.6M)

Contractor: EPS Corporation

Awarding Agency: Social Security Administration

Start Date: 2017-09-29

End Date: 2021-07-30

Contract Duration: 1,400 days

Daily Burn Rate: $16.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: PURCHASE BUNDLE SOLUTION A-18 (VIDEO TO THE DESKTOP) FROM THE VBMS TASK ORDER SS00-14-61030.

Place of Performance

Location: TINTON FALLS, MONMOUTH County, NEW JERSEY, 07724

State: New Jersey Government Spending

Plain-Language Summary

Social Security Administration obligated $22.6 million to EPS CORPORATION for work described as: PURCHASE BUNDLE SOLUTION A-18 (VIDEO TO THE DESKTOP) FROM THE VBMS TASK ORDER SS00-14-61030. Key points: 1. Contract awarded for IT services, specifically video to desktop solutions, indicating a focus on enhancing user experience and data accessibility. 2. The contract duration of 1400 days suggests a long-term need for these IT solutions, pointing to potential ongoing system requirements. 3. Awarded under a firm-fixed-price contract type, which shifts cost risk to the contractor and provides budget certainty. 4. The geographic location of performance in New Jersey may indicate a concentration of SSA operations or user base in that region. 5. The contract was awarded through full and open competition, suggesting a robust bidding process. 6. The North American Industry Classification System (NAICS) code 541512 points to a market focused on computer systems design.

Value Assessment

Rating: good

The contract value of $22.6 million over approximately 3.8 years represents a significant investment in IT infrastructure. Benchmarking this against similar IT service contracts for federal agencies requires detailed analysis of scope and deliverables. However, the firm-fixed-price structure suggests an attempt to control costs. The specific nature of 'video to the desktop' solutions implies a need for modernizing communication and data delivery systems within the SSA.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, indicating that multiple vendors had the opportunity to bid. This process is designed to foster a competitive environment, potentially leading to better pricing and service quality. The number of bidders is not specified, but the 'full and open' designation suggests a broad solicitation.

Taxpayer Impact: A full and open competition generally benefits taxpayers by encouraging a wider range of offers, which can drive down costs and improve the value received for public funds.

Public Impact

Federal employees within the Social Security Administration are likely the primary beneficiaries, gaining access to improved video and desktop solutions. The services delivered are crucial for modernizing IT infrastructure, potentially improving internal communication, training, and operational efficiency. Performance is located in New Jersey, suggesting a direct impact on the workforce and IT infrastructure supporting SSA operations in that state. The contract supports the ongoing operations and modernization efforts of a critical federal agency.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the IT services sector, specifically focusing on computer systems design and related services. The federal IT services market is substantial, with agencies continually investing in modernization, cybersecurity, and cloud solutions. This contract for video-to-desktop solutions aligns with the broader trend of enhancing digital workspaces and improving user experience through technology. Comparable spending benchmarks would involve analyzing other contracts for similar IT infrastructure upgrades and system integration services across various federal agencies.

Small Business Impact

The data indicates that this contract was not set aside for small businesses, nor does it explicitly mention subcontracting goals for small businesses. Therefore, the direct impact on the small business ecosystem is likely minimal unless EPS Corporation voluntarily engages small businesses as subcontractors. Further investigation into subcontracting plans would be necessary to fully assess the impact.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and program officials within the Social Security Administration. Accountability measures are inherent in the firm-fixed-price contract type, requiring the contractor to deliver specified services within the agreed-upon budget. Transparency is facilitated through contract databases like FPDS, which provide public access to award details.

Related Government Programs

Risk Flags

Tags

it-services, social-security-administration, new-jersey, firm-fixed-price, full-and-open-competition, computer-systems-design, federal-contract, it-modernization, video-solutions, delivery-order

Frequently Asked Questions

What is this federal contract paying for?

Social Security Administration awarded $22.6 million to EPS CORPORATION. PURCHASE BUNDLE SOLUTION A-18 (VIDEO TO THE DESKTOP) FROM THE VBMS TASK ORDER SS00-14-61030.

Who is the contractor on this award?

The obligated recipient is EPS CORPORATION.

Which agency awarded this contract?

Awarding agency: Social Security Administration (Social Security Administration).

What is the total obligated amount?

The obligated amount is $22.6 million.

What is the period of performance?

Start: 2017-09-29. End: 2021-07-30.

What is the track record of EPS Corporation in delivering similar IT solutions to federal agencies?

Assessing EPS Corporation's track record requires a review of their past performance on federal contracts, particularly those involving IT infrastructure, system integration, and video solutions. Information from sources like the Contractor Performance Assessment Reporting System (CPARS) would be crucial. Analyzing past project success rates, adherence to schedules and budgets, and client satisfaction feedback would provide insight into their capabilities and reliability. A history of successful, on-time, and within-budget delivery of complex IT projects would be a positive indicator, while any significant past performance issues would raise concerns about their ability to meet the requirements of this current contract.

How does the pricing of this contract compare to market rates for similar IT services?

To compare the pricing of this $22.6 million contract to market rates, one would need to benchmark the specific services procured against industry standards for computer systems design and video-to-desktop solutions. This involves analyzing the scope of work, the duration of the contract (1400 days), and the level of expertise required. Publicly available data on IT service contracts awarded by other federal agencies or commercial entities for comparable solutions can serve as benchmarks. Factors such as the firm-fixed-price nature of the contract, which includes profit and overhead, must be considered. A detailed cost analysis, potentially involving independent government cost estimates or commercial price lists, would be necessary for a definitive comparison.

What are the primary risks associated with this contract, and how are they being mitigated?

Primary risks for this contract include potential technical challenges in implementing video-to-desktop solutions, integration issues with existing SSA systems, and the possibility of vendor lock-in. Given the firm-fixed-price structure, cost overruns due to unforeseen technical complexities are a risk for the contractor, but could lead to performance issues if the contractor attempts to cut corners. Mitigation strategies likely involve robust technical specifications, phased implementation, thorough testing, and clear performance metrics defined in the contract. The SSA's oversight and the competitive nature of the initial award also serve as risk mitigation factors, encouraging EPS Corporation to perform effectively to maintain its reputation.

How effective is the 'video to the desktop' solution likely to be in improving SSA's operational efficiency?

The effectiveness of the 'video to the desktop' solution hinges on its successful implementation and integration with the SSA's existing IT infrastructure and workflows. If executed well, such a solution can significantly enhance operational efficiency by improving internal communication, facilitating remote collaboration, streamlining training delivery, and providing easier access to information and resources for employees. This can lead to faster decision-making, reduced travel costs, and increased productivity. However, effectiveness is contingent upon user adoption, the reliability of the technology, and its ability to meet the specific needs of SSA personnel across various roles and locations. Regular performance monitoring and user feedback mechanisms will be critical to ensure its intended benefits are realized.

What has been the historical spending pattern of the Social Security Administration on computer systems design services?

Analyzing the Social Security Administration's historical spending on computer systems design services (NAICS 541512) would reveal trends in their IT investment priorities. This involves examining contract award data over several fiscal years to identify the total amount spent, the types of services procured, and the primary contractors. Significant fluctuations or consistent growth in spending in this category could indicate the agency's commitment to IT modernization, system upgrades, or addressing specific technological challenges. Understanding this historical context helps in evaluating whether the $22.6 million awarded to EPS Corporation represents a typical investment or a notable increase/decrease in spending for such services.

Industry Classification

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

Product/Service Code: INFORMATION TECHNOLOGY EQUIPMENT (INCLD FIRMWARE) SOFTWARE,SUPPLIES& SUPPORT EQUIPMENT

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: 78 APPLE ST, TINTON FALLS, NJ, 07724

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

Financial Breakdown

Contract Ceiling: $22,648,009

Exercised Options: $22,648,009

Current Obligation: $22,648,009

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: GS00Q09BGD0028

IDV Type: GWAC

Timeline

Start Date: 2017-09-29

Current End Date: 2021-07-30

Potential End Date: 2021-07-30 00:00:00

Last Modified: 2021-06-30

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