NRC awards $3.2M for IV&V support, with AEGIS.NET, INC. as prime contractor

Contract Overview

Contract Amount: $3,199,385 ($3.2M)

Contractor: Aegis.net, Inc.

Awarding Agency: Nuclear Regulatory Commission

Start Date: 2021-05-09

End Date: 2026-05-08

Contract Duration: 1,825 days

Daily Burn Rate: $1.8K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: LABOR HOURS

Sector: Other

Official Description: IV&V STAQS INDEPENDENT VERIFICATION AND VALIDATION SUPPORT SERVICES FOR STRATEGIC ACQUISITION SYSTEM

Place of Performance

Location: ROCKVILLE, MONTGOMERY County, MARYLAND, 20852

State: Maryland Government Spending

Plain-Language Summary

Nuclear Regulatory Commission obligated $3.2 million to AEGIS.NET, INC. for work described as: IV&V STAQS INDEPENDENT VERIFICATION AND VALIDATION SUPPORT SERVICES FOR STRATEGIC ACQUISITION SYSTEM Key points: 1. Contract focuses on independent verification and validation for strategic acquisition systems. 2. AEGIS.NET, INC. is the sole awardee under this BPA call. 3. The contract duration is 5 years, indicating a long-term need for these services. 4. Services are labor-hour based, allowing flexibility but requiring careful monitoring of effort. 5. The contract is not set aside for small businesses, suggesting a focus on specialized capabilities. 6. The award falls under 'Other Computer Related Services,' a broad category.

Value Assessment

Rating: fair

The contract value of $3.2 million over five years for IV&V services appears moderate. Benchmarking against similar contracts for independent verification and validation services is challenging without more specific details on the scope of work and deliverables. The labor-hour pricing model necessitates close oversight to ensure cost-effectiveness and prevent scope creep. Without comparative data on hourly rates or total project costs for comparable services, a definitive value-for-money assessment is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. The specific number of bidders is not provided, but the 'BPA CALL' award type suggests it was likely competed among pre-qualified vendors on an existing Blanket Purchase Agreement. Full and open competition generally promotes price discovery and encourages competitive pricing.

Taxpayer Impact: Taxpayers benefit from the potential for competitive pricing due to the full and open competition, which aims to secure the best value for the government.

Public Impact

The primary beneficiaries are the Nuclear Regulatory Commission (NRC) programs that rely on the Strategic Acquisition System. The contract delivers independent verification and validation (IV&V) support, crucial for ensuring the integrity and reliability of acquisition systems. Services are delivered in Maryland, the location of the NRC headquarters and likely where the primary work will be performed. The contract supports IT professionals and analysts involved in acquisition system oversight and management.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if labor hours are not closely managed.
Risk of vendor lock-in if IV&V expertise becomes highly specialized and difficult to replace.
Dependence on a single contractor (AEGIS.NET, INC.) for critical IV&V functions.

Positive Signals

Awarded through full and open competition, suggesting a competitive process.
Long-term contract (5 years) indicates a stable need and potential for consistent service delivery.
Focus on IV&V is critical for ensuring system reliability and compliance.

Sector Analysis

The IT services sector, particularly within government contracting, is highly competitive. Independent Verification and Validation (IV&V) services are a specialized niche within this sector, focusing on ensuring the quality, security, and effectiveness of IT systems. Government agencies frequently contract for these services to provide an objective assessment of their critical systems, especially in regulated industries like nuclear energy. Spending in this area is driven by the need for robust oversight and risk mitigation for complex IT projects.

Small Business Impact

This contract was not set aside for small businesses, as indicated by 'sb': false. The award to AEGIS.NET, INC. suggests the primary contractor is likely a larger entity or that the specific requirements of the IV&V services favored larger firms. There is no explicit mention of subcontracting requirements for small businesses, which could limit opportunities for the small business ecosystem in this specific contract, though AEGIS.NET, INC. may voluntarily engage small businesses.

Oversight & Accountability

Oversight for this contract will likely be managed by the Nuclear Regulatory Commission's contracting officers and program managers. The labor-hour nature of the contract necessitates detailed tracking of hours worked and deliverables against milestones. Transparency is expected through contract reporting requirements. The Inspector General's office for the NRC would have jurisdiction to investigate any potential fraud, waste, or abuse related to this contract.

Related Government Programs

IT Support Services
Independent Verification and Validation (IV&V)
Acquisition System Support
Strategic Systems Support
Federal IT Consulting

Risk Flags

Sole awardee on BPA call
Labor-hour contract type requires diligent oversight
Broad NAICS code may obscure specific service details

Frequently Asked Questions

What is this federal contract paying for?

Nuclear Regulatory Commission awarded $3.2 million to AEGIS.NET, INC.. IV&V STAQS INDEPENDENT VERIFICATION AND VALIDATION SUPPORT SERVICES FOR STRATEGIC ACQUISITION SYSTEM

Who is the contractor on this award?

The obligated recipient is AEGIS.NET, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $3.2 million.

What is the period of performance?

Start: 2021-05-09. End: 2026-05-08.

What is the specific scope of work for the Independent Verification and Validation (IV&V) services provided under this contract?

The provided data indicates the contract is for 'IV&V STAQS INDEPENDENT VERIFICATION AND VALIDATION SUPPORT SERVICES FOR STRATEGIC ACQUISITION SYSTEM.' While the exact deliverables and tasks are not detailed, IV&V services typically involve reviewing system requirements, design, development, testing, and implementation to ensure they meet objectives and standards. For the NRC's Strategic Acquisition System, this likely includes validating that the system accurately supports procurement processes, manages contracts effectively, and complies with relevant regulations. The labor-hour basis suggests flexibility in addressing evolving needs within the IV&V domain for this system over the contract's five-year duration.

How does the awarded price of $3.2 million compare to similar IV&V contracts for federal agencies?

Directly comparing the $3.2 million award to similar IV&V contracts is challenging without detailed scope and duration information for those other contracts. However, for a five-year contract providing specialized IT support like IV&V, this figure appears moderate. Many federal IV&V contracts, especially for large-scale IT system modernizations or critical infrastructure, can range from several million to tens or even hundreds of millions of dollars over their lifecycle. The NRC's specific needs for its Strategic Acquisition System, and the competitive landscape for AEGIS.NET, INC.'s services, would dictate the appropriateness of this price point. Further analysis would require benchmarking against contracts with similar complexity, agency size, and service requirements.

What are the key risks associated with AEGIS.NET, INC. being the sole awardee for this BPA call?

The primary risk associated with a sole awardee for a Blanket Purchase Agreement (BPA) call is reduced competition and potential lack of vendor innovation over time. While this specific call was competed under full and open procedures, AEGIS.NET, INC. is the only entity performing the work. This could lead to complacency or less pressure to offer cost savings or enhanced services compared to a multi-award scenario. Furthermore, if AEGIS.NET, INC. faces performance issues, financial instability, or decides to exit the market, the NRC could face significant disruption in obtaining these critical IV&V services, potentially requiring a new, time-consuming procurement process.

What is the historical spending pattern for IV&V services at the Nuclear Regulatory Commission?

Historical spending data for IV&V services at the Nuclear Regulatory Commission (NRC) is not provided in the current data extract. To assess historical patterns, one would need to examine past contract awards for similar services, including the number of contracts, their values, durations, and the contractors involved. Understanding this history would help determine if the $3.2 million award represents an increase, decrease, or stable level of investment in IV&V support for acquisition systems. It would also reveal trends in competition and contractor performance over time.

How does the 'Other Computer Related Services' NAICS code (541519) reflect the nature of this IV&V contract?

The North American Industry Classification System (NAICS) code 541519, 'Other Computer Related Services,' is a broad category that encompasses a wide range of IT services not specifically classified elsewhere. While IV&V is a specialized function, it fundamentally involves the analysis, testing, and validation of computer systems and software. This code is appropriate because it captures the IT-centric nature of the work without being overly specific, allowing flexibility for contracts that might involve elements of consulting, system analysis, and quality assurance related to computer systems. It suggests the contract is for IT services that don't fit neatly into more defined categories like custom software development or IT infrastructure management.

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 - DELIVERY

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 31310021Q0001

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Parent Company: Aegis.net Inc

Address: 2275 RESEARCH BLVD, STE 500, ROCKVILLE, MD, 20850

Business Categories: Category Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $3,769,493

Exercised Options: $3,769,493

Current Obligation: $3,199,385

Actual Outlays: $2,956,458

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 31310020A0003

IDV Type: BPA

Timeline