SEC's $13.1M IDAP Support Contract Awarded to Ascella Technologies for Computer Systems Design

Contract Overview

Contract Amount: $13,095,416 ($13.1M)

Contractor: Ascella Technologies, Inc.

Awarding Agency: Securities and Exchange Commission

Start Date: 2019-09-20

End Date: 2026-07-03

Contract Duration: 2,478 days

Daily Burn Rate: $5.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: LABOR HOURS

Sector: IT

Official Description: INTERACTIVE DATA ANALYSIS PLATFORM (IDAP) SUPPORT SERVICES

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20549

State: District of Columbia Government Spending

Plain-Language Summary

Securities and Exchange Commission obligated $13.1 million to ASCELLA TECHNOLOGIES, INC. for work described as: INTERACTIVE DATA ANALYSIS PLATFORM (IDAP) SUPPORT SERVICES Key points: 1. Value for money appears fair given the 2478-day duration and the nature of IT support services. 2. Competition dynamics indicate a full and open competition, suggesting a robust bidding process. 3. Risk indicators are moderate, with the primary risk being potential over-reliance on a single vendor for critical IT infrastructure. 4. Performance context is tied to the Securities and Exchange Commission's need for reliable IT support. 5. Sector positioning is within the IT services sector, specifically computer systems design. 6. The contract type is a delivery order under a larger contract, indicating a phased approach to service delivery.

Value Assessment

Rating: fair

The contract value of $13.1 million over approximately 6.8 years (2478 days) for IT support services seems within a reasonable range for specialized systems design and support. Benchmarking against similar government IT support contracts would provide a more precise value-for-money assessment. The pricing structure, likely based on labor hours, needs careful monitoring to ensure efficiency and prevent cost overruns. Without specific performance metrics or detailed cost breakdowns, a definitive value assessment is challenging, but the duration suggests a long-term need for these services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a 'full and open competition after exclusion of sources' mechanism. While the 'full and open' aspect suggests a broad solicitation, the 'exclusion of sources' clause warrants further investigation to understand if specific capabilities or prior performance were prerequisites, potentially limiting the pool of eligible bidders. The number of bidders is not explicitly stated, but the competition type implies multiple interested parties participated, which generally aids in price discovery and achieving competitive pricing.

Taxpayer Impact: A full and open competition, even with exclusions, generally benefits taxpayers by fostering a competitive environment that can lead to more favorable pricing and innovative solutions compared to sole-source or limited competition scenarios.

Public Impact

The primary beneficiaries are the Securities and Exchange Commission (SEC) staff who rely on the Interactive Data Analysis Platform (IDAP). The services delivered include computer systems design and ongoing support, crucial for the SEC's data analysis and regulatory functions. The geographic impact is primarily within the District of Columbia, where the SEC is headquartered. Workforce implications include the potential for Ascella Technologies to employ skilled IT professionals to fulfill the contract requirements.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in due to the long contract duration and specialized nature of the platform.
Dependency on a single vendor for critical IT infrastructure could pose risks if the vendor experiences financial instability or performance issues.
The 'exclusion of sources' clause in the competition type might have limited the breadth of competition, potentially impacting optimal pricing.
Ensuring continuous innovation and adaptation of the IDAP to evolving technological landscapes and SEC needs will be crucial.

Positive Signals

Awarded through a full and open competition, indicating a structured and potentially competitive bidding process.
The long contract duration suggests a stable, long-term need for these services, providing continuity for the SEC.
Ascella Technologies, Inc. is the selected vendor, implying they met the technical and performance requirements outlined in the solicitation.
The contract is for computer systems design services, a core IT function essential for modern government operations.

Sector Analysis

The IT services sector, particularly computer systems design and related support, is a significant area of federal spending. Agencies increasingly rely on sophisticated IT platforms for data management, analysis, and operational efficiency. This contract for the SEC's IDAP falls within this domain, where specialized firms provide expertise in developing, maintaining, and enhancing complex software and hardware systems. Comparable spending benchmarks in this sector often vary widely based on the complexity of the system, the level of customization required, and the duration of the support. The federal government consistently invests billions annually in IT modernization and support services.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications or specific impacts on the small business ecosystem stemming from a small business set-aside. The focus remains on the prime contractor's ability to deliver the required services. Opportunities for small businesses would likely arise through subcontracting if Ascella Technologies chooses to engage them, but this is not a mandated aspect of this particular award.

Oversight & Accountability

Oversight for this contract would primarily fall under the Securities and Exchange Commission's contracting and program management offices. Accountability measures are typically embedded within the contract's terms and conditions, including performance standards, delivery schedules, and payment milestones. Transparency is facilitated through federal procurement databases like FPDS-NG, where contract awards are recorded. While no specific Inspector General jurisdiction is mentioned, the SEC's Office of Inspector General would likely have oversight authority over potential fraud, waste, or abuse related to this contract.

Related Government Programs

SEC IT Modernization Efforts
Federal Data Analysis Platforms
Computer Systems Design Services Contracts
Government IT Support Services
Securities Regulation Technology

Risk Flags

Potential for limited competition due to 'exclusion of sources' clause.
Long contract duration may increase risk of vendor lock-in.
Performance metrics and oversight effectiveness are critical for value realization.
Dependency on a single vendor for critical IT infrastructure.

Frequently Asked Questions

What is this federal contract paying for?

Securities and Exchange Commission awarded $13.1 million to ASCELLA TECHNOLOGIES, INC.. INTERACTIVE DATA ANALYSIS PLATFORM (IDAP) SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is ASCELLA TECHNOLOGIES, INC..

Which agency awarded this contract?

Awarding agency: Securities and Exchange Commission (Securities and Exchange Commission).

What is the total obligated amount?

The obligated amount is $13.1 million.

What is the period of performance?

Start: 2019-09-20. End: 2026-07-03.

What is the historical spending pattern for IDAP support services at the SEC?

Analyzing historical spending for IDAP support services at the SEC is crucial for understanding the long-term investment in this platform and assessing cost trends. Without specific historical data for this exact contract or its predecessors, we can infer general trends in federal IT spending. The government's overall IT budget has been substantial, often in the tens of billions annually, with significant portions allocated to system development, modernization, and maintenance. Contracts for specialized IT support, like the IDAP, are typical components of this spending. The current $13.1 million award over nearly seven years suggests a consistent, albeit potentially fluctuating, need for these services. A deeper dive into the SEC's specific IT budget allocations over the past decade would reveal if spending on data analysis platforms has increased, decreased, or remained stable, providing context for the current award's value and duration.

How does Ascella Technologies' track record with the federal government influence this award?

Ascella Technologies, Inc. has a track record of performing federal contracts, which likely played a significant role in their selection for the IDAP support services. Federal agencies typically evaluate a contractor's past performance as a key criterion in the procurement process. This includes assessing their ability to meet contract requirements, deliver on time, manage costs, and maintain quality. A positive performance history suggests reliability and competence, reducing the perceived risk for the SEC. Conversely, a history of poor performance could lead to disqualification or necessitate more stringent oversight. While specific details of Ascella's past performance on similar IT support contracts are not provided here, their ability to secure this award implies they met or exceeded the government's expectations based on their prior engagements.

What are the key performance indicators (KPIs) expected for this IDAP support contract?

Key Performance Indicators (KPIs) for a contract like the Interactive Data Analysis Platform (IDAP) Support Services would typically focus on the reliability, availability, performance, and security of the platform. Expected KPIs might include system uptime percentages (e.g., 99.9% availability), response times for critical functions, data processing speeds, incident resolution times (categorized by severity), successful completion of security audits, and adherence to data integrity standards. User satisfaction surveys among SEC staff utilizing the IDAP could also serve as a qualitative KPI. The contract likely specifies these metrics, along with associated remedies or incentives for meeting or failing to meet them, ensuring that Ascella Technologies delivers the expected level of service and maintains the platform's effectiveness for the SEC's mission.

Are there any potential risks associated with the 'full and open competition after exclusion of sources' contract type?

The 'full and open competition after exclusion of sources' contract type presents a nuanced approach to procurement. While 'full and open' generally implies broad competition, the 'exclusion of sources' clause indicates that certain potential bidders were deliberately excluded, likely based on specific criteria such as possessing unique capabilities, prior experience with the system, or meeting stringent security requirements. The primary risk here is that this exclusion, even if justified, might inadvertently limit the competitive landscape more than intended, potentially leading to less aggressive pricing or fewer innovative solutions than a truly unrestricted full and open competition. It requires careful justification by the agency to ensure that the exclusion is necessary and does not unduly restrict competition, thereby potentially impacting the best value achieved for taxpayer dollars.

How does the $13.1 million contract value compare to similar federal IT support contracts?

Comparing the $13.1 million contract value for the SEC's IDAP support services requires context regarding the scope, duration, and complexity of similar federal IT support contracts. Federal IT contracts can range from a few hundred thousand dollars for basic maintenance to billions for large-scale system modernizations. This $13.1 million award, spread over approximately 6.8 years, averages around $1.9 million per year. This figure appears moderate for specialized IT support services, especially for a critical platform like the IDAP, which likely handles sensitive financial data. Contracts for enterprise-wide IT infrastructure management, cybersecurity solutions, or large software development projects often exceed this amount significantly. However, contracts for specific application support or niche system design services might fall within this range. Benchmarking against contracts with similar service descriptions (e.g., computer systems design, platform support) and durations within agencies of comparable size and IT needs would provide a more precise comparison.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Parent Company: Ascella Technologies Inc.

Address: 205 VAN BUREN ST STE 201, HERNDON, VA, 20170

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, Indian (Subcontinent) American Owned Business, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $17,335,748

Exercised Options: $13,095,416

Current Obligation: $13,095,416

Actual Outlays: $12,498,639

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 50310219D0003

IDV Type: IDC

Timeline