GSA Awards $8.1M for Azure Hosting Support to Minburn Technology Group

Contract Overview

Contract Amount: $8,102,231 ($8.1M)

Contractor: Minburn Technology Group, LLC

Awarding Agency: General Services Administration

Start Date: 2025-09-26

End Date: 2026-10-31

Contract Duration: 400 days

Daily Burn Rate: $20.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: MS AZURE BRAND NAME OR EQUAL HOSTING SUPPORT & ANCILLARY SVCS - PER EO 14240 THIS PROCUREMENT HAS BEEN ADMINISTRATIVELY TRANSFERRED TO GSA.THE NEW PIID FOR THIS PROCUREMENT REPRESENTS AN ADMINISTRATIVE CONTINUANCE OF THE ORIGINAL AWARD 73351024F0025

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20416

State: District of Columbia Government Spending

Plain-Language Summary

General Services Administration obligated $8.1 million to MINBURN TECHNOLOGY GROUP, LLC for work described as: MS AZURE BRAND NAME OR EQUAL HOSTING SUPPORT & ANCILLARY SVCS - PER EO 14240 THIS PROCUREMENT HAS BEEN ADMINISTRATIVELY TRANSFERRED TO GSA.THE NEW PIID FOR THIS PROCUREMENT REPRESENTS AN ADMINISTRATIVE CONTINUANCE OF THE ORIGINAL AWARD 73351024F0025 Key points: 1. The contract is for Azure hosting support and ancillary services. 2. Awarded via full and open competition, indicating a competitive bidding process. 3. The contract value is $8.1 million with a duration of over a year. 4. This is a delivery order under a larger contract, administratively transferred to GSA.

Value Assessment

Rating: good

The contract value of $8.1 million for approximately 13 months of service appears reasonable for cloud hosting and support. Benchmarking against similar GSA Schedule or cloud service contracts would provide a more precise 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 competitive pricing and allows the government to select the best value offering.

Taxpayer Impact: The competitive award process is expected to yield fair market pricing, ensuring taxpayer funds are used efficiently for necessary IT services.

Public Impact

Ensures continued access to essential cloud hosting and support services for federal agencies. Supports the operational needs of government systems relying on Microsoft Azure. The transfer to GSA aims to streamline procurement and potentially leverage better pricing through consolidated contracts.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in with specific cloud services.
Reliance on a single vendor for critical hosting infrastructure.
Need for ongoing monitoring of service performance and cost.

Positive Signals

Awarded through a competitive process.
Clear contract duration and defined scope of services.
Administrative transfer to GSA may indicate consolidation benefits.

Sector Analysis

The IT sector, particularly cloud services, is a significant area of federal spending. This contract falls within the Software Publishers NAICS code, reflecting the nature of cloud platform support. Spending benchmarks for similar cloud hosting contracts vary widely based on service level agreements and scale.

Small Business Impact

The data indicates this contract was not awarded to a small business (ss: false). Further analysis would be needed to determine if small business participation was solicited or achieved through subcontracting opportunities.

Oversight & Accountability

The administrative transfer to GSA suggests an effort to consolidate oversight and potentially improve management of this service. Continued monitoring by GSA will be crucial to ensure performance and value.

Related Government Programs

Software Publishers
General Services Administration Contracting
Federal Acquisition Service Programs

Risk Flags

Potential for vendor lock-in
Reliance on a single cloud provider
Need for robust performance monitoring
Cost escalation risks over contract duration

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $8.1 million to MINBURN TECHNOLOGY GROUP, LLC. MS AZURE BRAND NAME OR EQUAL HOSTING SUPPORT & ANCILLARY SVCS - PER EO 14240 THIS PROCUREMENT HAS BEEN ADMINISTRATIVELY TRANSFERRED TO GSA.THE NEW PIID FOR THIS PROCUREMENT REPRESENTS AN ADMINISTRATIVE CONTINUANCE OF THE ORIGINAL AWARD 73351024F0025

Who is the contractor on this award?

The obligated recipient is MINBURN TECHNOLOGY GROUP, LLC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $8.1 million.

What is the period of performance?

Start: 2025-09-26. End: 2026-10-31.

What specific ancillary services are included in this contract, and how do they contribute to the overall value proposition?

The contract details 'ancillary services' alongside hosting support. These could encompass a range of offerings such as migration assistance, security monitoring, performance optimization, or specialized technical support. Understanding the scope of these ancillary services is crucial for assessing the contract's overall value and ensuring it meets the agency's comprehensive needs beyond basic hosting.

Given the reliance on a specific cloud platform (Azure), what are the mitigation strategies for potential vendor lock-in and future cost escalations?

Mitigation strategies for vendor lock-in and cost escalation typically involve clearly defined contract terms that allow for competitive re-competition at the end of the term, or clauses that permit easier data portability. The government should also actively monitor market trends and explore multi-cloud or hybrid cloud strategies where feasible to maintain leverage and control over long-term costs.

How does the GSA's oversight of this administratively transferred contract ensure continued cost-effectiveness and service quality compared to the original awarding agency?

The GSA's oversight aims to leverage its expertise in managing large IT contracts and potentially achieve economies of scale. By consolidating management, GSA can apply standardized performance metrics and pricing benchmarks. Continuous monitoring of service level agreements (SLAs), regular performance reviews, and market analysis are key to ensuring cost-effectiveness and service quality remain high.

Industry Classification

NAICS: Information › Software Publishers › Software Publishers

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 47QACA25R0248

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 9716 ARNON CHAPEL RD, GREAT FALLS, VA, 22066

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

Financial Breakdown

Contract Ceiling: $50,244,007

Exercised Options: $8,102,231

Current Obligation: $8,102,231

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: GS35F309AA

IDV Type: FSS

Timeline