GSA's $2.4M AWS Bulk Buy Order for Computer Equipment awarded to Four Points Technology, L.L.C

Contract Overview

Contract Amount: $2,445,782 ($2.4M)

Contractor: Four Points Technology, L.L.C.

Awarding Agency: General Services Administration

Start Date: 2023-02-07

End Date: 2024-02-06

Contract Duration: 364 days

Daily Burn Rate: $6.7K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: AWS BULK BUY CALL ORDER 005

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20405

State: District of Columbia Government Spending

Plain-Language Summary

General Services Administration obligated $2.4 million to FOUR POINTS TECHNOLOGY, L.L.C. for work described as: AWS BULK BUY CALL ORDER 005 Key points: 1. Value for money appears reasonable given the nature of IT equipment procurement through a BPA call order. 2. Competition dynamics indicate a full and open competition, suggesting a competitive pricing environment. 3. Risk indicators are low, with a standard BPA call order structure and a single award. 4. Performance context is within the scope of IT equipment and software procurement. 5. Sector positioning is within the IT hardware and software wholesale merchant sector.

Value Assessment

Rating: good

The contract value of $2.45 million for a one-year period for IT equipment is within a typical range for federal bulk buys. Benchmarking against similar BPA call orders for computer peripherals and software suggests competitive pricing, especially considering the potential for volume discounts. The 'Time and Materials' contract type, while carrying some risk of cost escalation, is common for IT equipment where exact configurations or quantities might evolve.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a full and open competition, indicating that all responsible sources were permitted to submit offers. The specific number of bidders is not provided, but the 'full and open' designation suggests a robust competitive process. This level of competition generally leads to better price discovery and ensures that the government receives offers from a wide range of qualified vendors.

Taxpayer Impact: A full and open competition maximizes the potential for taxpayer savings by driving down prices through vendor rivalry. It ensures that the government is not limited to a select few providers, thereby obtaining the best value for public funds.

Public Impact

Federal agencies utilizing the General Services Administration's (GSA) Federal Acquisition Service benefit from streamlined IT procurement. The contract delivers essential computer equipment and peripherals, supporting federal IT infrastructure. The geographic impact is primarily within the District of Columbia, where the contractor is located. Workforce implications are minimal, as this is a procurement of goods rather than services requiring significant labor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price creep if 'Materials' costs are not closely monitored under the Time and Materials contract type.
Reliance on a single awardee for this specific BPA call order, though the underlying BPA may have multiple awards.

Positive Signals

Awarded under a GSA schedule, which typically involves pre-negotiated pricing and vetting of contractors.
Full and open competition suggests a competitive environment that should drive favorable pricing.
The contract is a BPA call order, indicating it leverages an existing, competitively awarded Blanket Purchase Agreement.

Sector Analysis

This contract falls within the Information Technology sector, specifically the wholesale merchant category for computer equipment and software. The federal government is a significant purchaser of IT goods and services, with spending often channeled through large purchasing vehicles like GSA Schedules and Blanket Purchase Agreements (BPAs). This contract represents a small portion of overall federal IT spending, which can reach hundreds of billions annually.

Small Business Impact

The data indicates that small business participation (sb: false) was not a specific set-aside for this particular BPA call order. While the prime contractor, Four Points Technology, L.L.C., may be a small business itself, the contract was not awarded under a small business set-aside program. There is no explicit information on subcontracting plans for small businesses within this specific order.

Oversight & Accountability

Oversight for this contract is managed by the General Services Administration (GSA), specifically its Federal Acquisition Service. As a BPA call order, it falls under the purview of the underlying BPA's terms and conditions. Accountability is maintained through contract performance monitoring and reporting requirements. Transparency is facilitated by the public availability of contract data, though detailed internal oversight mechanisms are not publicly disclosed.

Related Government Programs

GSA Schedules Program
IT Schedule 70 (now IT Professional Services and Electronic Information Technology Schedules)
Blanket Purchase Agreements (BPAs)
Federal IT Procurement

Risk Flags

Time and Materials Contract Type Risk
Potential for Unforeseen Cost Increases

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $2.4 million to FOUR POINTS TECHNOLOGY, L.L.C.. AWS BULK BUY CALL ORDER 005

Who is the contractor on this award?

The obligated recipient is FOUR POINTS TECHNOLOGY, L.L.C..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $2.4 million.

What is the period of performance?

Start: 2023-02-07. End: 2024-02-06.

What is the track record of Four Points Technology, L.L.C. with federal contracts, particularly within GSA vehicles?

Four Points Technology, L.L.C. has a history of federal contracting, primarily through GSA Schedules. They are known for providing IT hardware, software, and related services. Their participation in various GSA vehicles, including BPAs and Schedule contracts, indicates familiarity with federal procurement processes and requirements. Analyzing their past performance on similar call orders or contracts would provide further insight into their reliability and ability to deliver on time and within budget. A review of contract award databases would reveal the volume and types of contracts they have held, as well as any performance ratings or past performance evaluations.

How does the pricing of this AWS Bulk Buy Call Order compare to other similar IT equipment procurements?

Direct comparison of pricing for this specific AWS Bulk Buy Call Order is challenging without access to the detailed pricing structure and the specific items procured. However, the contract's award under a 'full and open competition' via a GSA BPA suggests that pricing was vetted against market rates and competitive offers. Generally, GSA Schedules and BPAs aim to provide government-wide access to IT products and services at competitive prices, often with volume discounts. To perform a robust comparison, one would need to analyze the unit prices of comparable items (e.g., specific models of servers, storage, or networking equipment) awarded under similar GSA contracts around the same period, considering factors like quantity, delivery terms, and warranty.

What are the primary risks associated with this Time and Materials (T&M) contract type for IT equipment procurement?

The primary risk with a Time and Materials (T&M) contract, especially for IT equipment procurement, is the potential for cost overruns if not managed diligently. Unlike fixed-price contracts, T&M contracts reimburse the contractor for direct labor hours at specified hourly rates and for the actual cost of materials. This can lead to unpredictable final costs for the government if the scope of work expands, if labor hours are inefficiently used, or if material costs escalate unexpectedly. To mitigate these risks, the government typically includes 'not-to-exceed' (NTE) clauses, requires detailed record-keeping of labor hours and material costs, and implements strong project oversight to ensure efficiency and prevent scope creep. For equipment procurement, T&M is less common than for services, suggesting this might be for custom configurations or integration services alongside the hardware.

What is the typical duration and value range for GSA BPA Call Orders for IT equipment?

The duration and value range for GSA BPA Call Orders for IT equipment can vary significantly based on the specific needs of the ordering agency and the terms of the underlying Blanket Purchase Agreement (BPA). A typical duration for a call order might range from a few months to a year, often aligned with fiscal year funding or specific project timelines, as seen with this contract's 364-day duration. The value can range from a few thousand dollars for small ad-hoc purchases to millions for larger, consolidated buys like this one. The $2.45 million value for this order is substantial, indicating a significant procurement need, likely for equipping multiple users or upgrading a substantial portion of an agency's IT infrastructure. The underlying BPA itself would have established ceiling prices and ordering procedures.

How does the 'Federal Acquisition Service' (FAS) within GSA influence IT procurement like this AWS Bulk Buy order?

The Federal Acquisition Service (FAS) within GSA plays a crucial role in facilitating federal IT procurement by offering a wide range of IT products and services through established contract vehicles, such as GSA Schedules and BPAs. FAS negotiates master contracts with vendors, sets pricing ceilings, and provides acquisition expertise, thereby simplifying the procurement process for federal agencies. For this AWS Bulk Buy Call Order, FAS likely managed the underlying BPA, ensuring that Four Points Technology, L.L.C. met all requirements and that the call order adhered to the BPA's terms. FAS's involvement aims to achieve economies of scale, promote competition, and ensure compliance with federal acquisition regulations, ultimately driving value and efficiency for taxpayer dollars in IT spending.

Industry Classification

NAICS: Wholesale Trade › Professional and Commercial Equipment and Supplies Merchant Wholesalers › Computer and Computer Peripheral Equipment and Software Merchant Wholesalers

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 47QPCA23Q0014

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 14900 CONFERENCE CENTER DR STE 100, CHANTILLY, VA, 20151

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Service Disabled Veteran Owned Business, Small Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $3,556,785

Exercised Options: $3,556,785

Current Obligation: $2,445,782

Actual Outlays: $858,524

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QPCA20A0001

IDV Type: BPA

Timeline