Navy software licenses awarded to Minburn Technology Group for $26.2M, with 3 years of performance

Contract Overview

Contract Amount: $26,201,258 ($26.2M)

Contractor: Minburn Technology Group, LLC

Awarding Agency: General Services Administration

Start Date: 2026-01-30

End Date: 2027-01-29

Contract Duration: 364 days

Daily Burn Rate: $72.0K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: NAVY IL6 DEOS LICENSES

Place of Performance

Location: WASHINGTON NAVY YARD, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20374

State: District of Columbia Government Spending

Plain-Language Summary

General Services Administration obligated $26.2 million to MINBURN TECHNOLOGY GROUP, LLC for work described as: NAVY IL6 DEOS LICENSES Key points: 1. Contract value appears reasonable given the duration and scope of software licensing. 2. Full and open competition suggests a competitive bidding process. 3. Fixed-price contract type mitigates cost overrun risks for the government. 4. Performance period aligns with typical software license renewal cycles. 5. Contract supports essential IT infrastructure for naval operations. 6. No small business set-aside indicates a focus on larger prime contractors.

Value Assessment

Rating: good

The contract value of $26.2 million over three years for software licenses is within a reasonable range for enterprise-level IT solutions. Benchmarking against similar large-scale software procurements by the Navy or other Department of Defense branches would provide further context, but the price appears competitive given the vendor and the scope. The firm-fixed-price structure is advantageous, locking in costs and reducing the risk of unexpected increases.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The specific number of bidders is not provided, but this method generally fosters a competitive environment, leading to better pricing and terms for the government. The use of a BPA call suggests it was likely competed among pre-qualified vendors on an existing agreement.

Taxpayer Impact: Full and open competition is the most taxpayer-friendly approach, as it maximizes the pool of potential offerors and drives down prices through market forces.

Public Impact

Naval personnel will benefit from access to necessary software licenses. Essential IT services and capabilities will be maintained for the duration of the contract. The primary geographic impact is within the District of Columbia, where the contract is registered. The contract supports the IT workforce by ensuring they have the tools needed for their roles.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific bidder count limits full assessment of competitive intensity.
No explicit mention of performance metrics or service level agreements.
Potential for vendor lock-in if alternative solutions are not considered in the future.

Positive Signals

Firm-fixed-price contract reduces financial risk for the government.
Full and open competition generally leads to better value.
Long-term performance period allows for stable IT operations.
Contract awarded by the General Services Administration, a reputable procurement agency.

Sector Analysis

This contract falls within the Information Technology sector, specifically software licensing. The market for enterprise software licenses is vast and highly competitive, with numerous vendors offering solutions for various government needs. The General Services Administration (GSA) plays a significant role in facilitating IT procurements for federal agencies, often through established Blanket Purchase Agreements (BPAs) like the one likely used here. The total addressable market for such licenses within the federal government is in the billions of dollars annually.

Small Business Impact

The contract was not awarded as a small business set-aside, and there is no indication of subcontracting requirements for small businesses. This suggests that the primary focus was on obtaining the best value from the most capable vendors, rather than specifically promoting small business participation. While this may limit direct opportunities for small businesses on this specific contract, it does not preclude them from competing for other set-aside contracts or participating as subcontractors to larger prime contractors.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer's representative (COR) within the Navy or the relevant GSA contracting office. The firm-fixed-price nature of the contract provides a degree of accountability by fixing the cost. Transparency is facilitated through federal procurement databases like FPDS. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse, as with all federal contracts.

Related Government Programs

Navy IT Modernization Programs
GSA Schedule IT Contracts
Software Licensing Agreements
Department of Defense Enterprise Software Procurement

Risk Flags

Lack of specific bidder count
No explicit performance metrics detailed in summary
Potential for vendor lock-in

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $26.2 million to MINBURN TECHNOLOGY GROUP, LLC. NAVY IL6 DEOS LICENSES

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 $26.2 million.

What is the period of performance?

Start: 2026-01-30. End: 2027-01-29.

What is the specific software being licensed under this contract?

The provided data does not specify the exact software being licensed. However, the NAICS code '511210 - Software Publishers' and the description 'NAVY IL6 DEOS LICENSES' suggest it pertains to software solutions relevant to the Navy's operations, potentially including cloud-based services or specific application suites. Further investigation into the contract details or associated documentation would be required to identify the precise software.

How does the price per license compare to market rates or other government contracts?

Without knowing the specific software and the number of licenses, a direct per-unit cost comparison is not feasible. However, the total contract value of $26.2 million over three years for enterprise-level software licenses is a significant investment. The firm-fixed-price structure and full and open competition suggest an effort to secure competitive pricing. Benchmarking against similar large-scale enterprise software procurements by other federal agencies or within the private sector would be necessary for a detailed value assessment.

What are the key performance indicators (KPIs) or service level agreements (SLAs) associated with this contract?

The provided data does not detail specific Key Performance Indicators (KPIs) or Service Level Agreements (SLAs) for this contract. Typically, software licensing contracts would include terms related to uptime, availability, support response times, and patch management. The absence of this information in the summary data suggests that these details are likely outlined in the full contract documentation or the underlying BPA. The COR would be responsible for monitoring performance against these agreed-upon metrics.

What is the track record of Minburn Technology Group, LLC with federal contracts, particularly with the Navy or GSA?

Minburn Technology Group, LLC has a history of federal contracting. While the provided data does not detail their specific performance history on Navy or GSA contracts, their ability to secure this award indicates they met the necessary qualifications and competitive requirements. A deeper dive into their contract award history, past performance reviews, and any reported issues would provide a more comprehensive understanding of their track record.

What is the historical spending pattern for similar software licenses by the Navy or GSA?

Historical spending data for similar software licenses by the Navy or GSA would be found in federal procurement databases like FPDS. This contract's value of $26.2 million over three years represents a substantial, but not necessarily outlier, expenditure for enterprise software. Analyzing past spending on comparable software categories and contract vehicles would help contextualize this award and identify trends in government IT procurement.

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

Potential risks include vendor lock-in, obsolescence of software, and performance issues. Mitigation strategies include the firm-fixed-price structure, which caps costs, and the full and open competition, which encourages competitive pricing. The contract duration of three years is also a mitigating factor, allowing for reassessment and potential re-competition before significant long-term commitments are made. The government's COR will monitor performance to address any emerging issues.

Industry Classification

NAICS: Information › Software Publishers › Software Publishers

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: 47QTCF26Q0005

Pricing Type: FIRM FIXED PRICE (J)

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: $26,201,258

Exercised Options: $26,201,258

Current Obligation: $26,201,258

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QTCA21A0003

IDV Type: BPA

Timeline