NRC Extends Carahsoft Contract by 6 Months, Adding $244K Ceiling for Computing Services

Contract Overview

Contract Amount: $4,324,100 ($4.3M)

Contractor: Carahsoft Technology Corp

Awarding Agency: Nuclear Regulatory Commission

Start Date: 2019-06-01

End Date: 2026-05-31

Contract Duration: 2,556 days

Daily Burn Rate: $1.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: MODIFY CONTRACT GS35F0262M-NRCHQ1014T0001 TO EXTEND THE PERIOD OF PERFORMANCE BY 3 MONTHS FOR ALL EXISTING SERVICES, ADD AN OPTION FOR 3 ADDITIONAL MONTHS FOR ALL EXISTING SERVICES, INCREASE THE CEILING BY $244,312 (SUFFICIENT FOR 6 MONTHS) AND INCREMENTALLY FUND WITH $122,156 (FULL FUNDING FOR 3 MONTHS).

Place of Performance

Location: ROCKVILLE, MONTGOMERY County, MARYLAND, 20857

State: Maryland Government Spending

Plain-Language Summary

Nuclear Regulatory Commission obligated $4.3 million to CARAHSOFT TECHNOLOGY CORP for work described as: MODIFY CONTRACT GS35F0262M-NRCHQ1014T0001 TO EXTEND THE PERIOD OF PERFORMANCE BY 3 MONTHS FOR ALL EXISTING SERVICES, ADD AN OPTION FOR 3 ADDITIONAL MONTHS FOR ALL EXISTING SERVICES, INCREASE THE CEILING BY $244,312 (SUFFICIENT FOR 6 MONTHS) AND INCREMENTALLY FUND WITH $122,156 (F… Key points: 1. Contract modification extends performance by 3 months, with an option for 3 more. 2. Ceiling increased by $244,312 to cover the extended period. 3. Incremental funding of $122,156 allocated for the initial 3-month extension. 4. Services relate to computing infrastructure, data processing, and web hosting. 5. The contract was awarded under full and open competition.

Value Assessment

Rating: good

The contract's ceiling increase of $244,312 for a 6-month extension appears reasonable, aligning with the stated need for continued computing infrastructure and hosting services. Benchmarking against similar contracts for these services would provide a more precise valuation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was initially awarded through full and open competition, suggesting a competitive pricing environment. The extension and ceiling increase are modifications to an existing contract, and the pricing should reflect the terms established during the original competition.

Taxpayer Impact: The incremental funding and ceiling increase represent a modest addition to the overall contract value, ensuring continued essential services without a significant immediate taxpayer burden.

Public Impact

Ensures continued operation of critical computing infrastructure and data processing for the Nuclear Regulatory Commission. Supports the agency's mission by providing necessary web hosting and related services. The extension allows for uninterrupted service delivery, avoiding potential disruptions to regulatory functions.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if additional services are added beyond the current scope.
Reliance on a single vendor for critical IT infrastructure services.

Positive Signals

Extension provides continuity of essential services.
Original award was through full and open competition.
Incremental funding limits immediate financial outlay.

Sector Analysis

This contract falls within the IT sector, specifically focusing on computing infrastructure, data processing, and web hosting. Spending in this area is crucial for government operations, and benchmarks vary widely based on service complexity and scale.

Small Business Impact

The data indicates that the vendor, Carahsoft Technology Corp, is not a small business. Therefore, this contract modification does not directly benefit small businesses through subcontracting opportunities with the prime vendor.

Oversight & Accountability

The modification involves extending an existing contract and incrementally funding it, which are standard oversight practices. The Nuclear Regulatory Commission is responsible for ensuring the services continue to meet requirements and that funds are used appropriately.

Related Government Programs

Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services
Nuclear Regulatory Commission Contracting
Nuclear Regulatory Commission Programs

Risk Flags

Potential for vendor lock-in.
Lack of transparency on specific service utilization within the increased ceiling.
No indication of small business subcontracting goals.
Extended reliance on a single provider for critical IT infrastructure.

Frequently Asked Questions

What is this federal contract paying for?

Nuclear Regulatory Commission awarded $4.3 million to CARAHSOFT TECHNOLOGY CORP. MODIFY CONTRACT GS35F0262M-NRCHQ1014T0001 TO EXTEND THE PERIOD OF PERFORMANCE BY 3 MONTHS FOR ALL EXISTING SERVICES, ADD AN OPTION FOR 3 ADDITIONAL MONTHS FOR ALL EXISTING SERVICES, INCREASE THE CEILING BY $244,312 (SUFFICIENT FOR 6 MONTHS) AND INCREMENTALLY FUND WITH $122,156 (FULL FUNDING FOR 3 MONTHS).

Who is the contractor on this award?

The obligated recipient is CARAHSOFT TECHNOLOGY CORP.

Which agency awarded this contract?

Awarding agency: Nuclear Regulatory Commission (Nuclear Regulatory Commission).

What is the total obligated amount?

The obligated amount is $4.3 million.

What is the period of performance?

Start: 2019-06-01. End: 2026-05-31.

What is the projected cost per month for the extended period, and how does it compare to the original contract's monthly cost?

The total ceiling increase is $244,312 for up to 6 months of service. This averages to approximately $40,718 per month. The contract's original duration was 2556 days (approx. 84 months) with a total value of $4,324,100.08, averaging about $51,179 per month. The extended period's projected monthly cost appears slightly lower than the original average, suggesting potentially favorable rates for the extension.

Are there any performance concerns or unmet requirements that necessitated this extension rather than a re-competition?

The provided data does not indicate any performance concerns. Contract extensions are often used to ensure continuity of services while a new procurement is underway, or if the services are critical and the current vendor is performing adequately. Without further details, it's assumed this extension is for operational continuity or to align with a broader procurement strategy.

How does the Nuclear Regulatory Commission ensure the continued cost-effectiveness of these IT services throughout the extended period?

The NRC likely monitors service delivery and costs against the contract's terms. The incremental funding approach allows for closer scrutiny of expenditures over shorter periods. The agency may also conduct market research periodically to ensure the rates remain competitive, especially if further extensions or a new contract are contemplated.

Industry Classification

NAICS: Information › Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services › Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 31310019R0013

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1860 MICHAEL FARADAY DR, SUITE 100, RESTON, VA, 20190

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

Financial Breakdown

Contract Ceiling: $6,934,495

Exercised Options: $4,403,575

Current Obligation: $4,324,100

Actual Outlays: $3,968,429

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline