SEC awards $12.4M contract for Oracle products to FCN, Inc., with a 4-year performance period

Contract Overview

Contract Amount: $12,423,755 ($12.4M)

Contractor: FCN, Inc.

Awarding Agency: Securities and Exchange Commission

Start Date: 2022-04-22

End Date: 2026-08-30

Contract Duration: 1,591 days

Daily Burn Rate: $7.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: ORACLE PRODUCTS

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 $12.4 million to FCN, INC. for work described as: ORACLE PRODUCTS Key points: 1. The contract value of $12.4 million over approximately four years suggests a moderate annual spend. 2. FCN, Inc. is the sole awardee, indicating a specific capability or competitive outcome. 3. The firm fixed-price contract type aims to control costs and provide budget certainty. 4. Performance is concentrated in Washington D.C., impacting the local federal IT landscape. 5. The contract is for Oracle products, a common but critical component of federal IT infrastructure.

Value Assessment

Rating: fair

The contract value of $12.4 million over nearly four years equates to an average annual spend of approximately $3.1 million. Benchmarking this against similar contracts for enterprise software licenses and support is difficult without more specific product details. However, for a federal agency like the SEC, this amount appears within a reasonable range for comprehensive Oracle product acquisition and maintenance, assuming it covers a significant portion of their Oracle footprint. The firm fixed-price nature provides cost predictability.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, suggesting that multiple vendors had the opportunity to bid. The fact that only one award was made could imply that FCN, Inc. was the most advantageous offer based on technical merit, price, or a combination thereof. The specific details of the competition, such as the number of proposals received, are not provided, which limits a deeper assessment of the competitive intensity.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can lead to better pricing and innovative solutions. However, the ultimate value realized depends on the specific evaluation criteria and the number of serious bidders.

Public Impact

The Securities and Exchange Commission (SEC) benefits directly from this contract by acquiring necessary Oracle products. These products likely support critical SEC functions related to data management, financial regulation, and operational efficiency. The geographic impact is primarily within the District of Columbia, where the SEC's operations are centered. The contract supports the federal IT workforce, potentially involving roles in system administration, maintenance, and support for Oracle technologies.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of detailed competition metrics (e.g., number of bidders) hinders a full assessment of price discovery.
The specific Oracle products covered are not detailed, making it hard to assess if the price is competitive for the exact suite of software.
The contract duration of nearly four years could lead to potential price increases if market conditions change significantly.

Positive Signals

Awarded under full and open competition, indicating a broad market solicitation.
Firm fixed-price contract type provides cost certainty for the agency.
The contract is for essential Oracle products, crucial for SEC operations.

Sector Analysis

The federal IT sector is a vast market, with agencies constantly procuring software, hardware, and services to maintain and upgrade their technological infrastructure. Oracle products are widely used across government for database management, enterprise resource planning, and various business applications. This contract fits within the broader category of IT software and services procurement, a significant portion of federal IT spending. Comparable spending benchmarks would typically involve analyzing other large federal contracts for enterprise software licenses and support, often running into millions of dollars annually for major agencies.

Small Business Impact

This contract does not appear to have a small business set-aside component, as indicated by 'sb: false'. There is no explicit mention of subcontracting goals for small businesses. Therefore, the direct impact on the small business ecosystem from this specific award is likely minimal, unless FCN, Inc. voluntarily engages small businesses for support services not detailed in the award data.

Oversight & Accountability

Oversight for this contract would primarily fall under the Securities and Exchange Commission's contracting and program management offices. As a firm fixed-price contract, the focus of oversight would be on delivery and performance against the contract terms. Transparency is facilitated by public contract databases like FPDS. The Inspector General for the SEC would have jurisdiction to investigate any potential fraud, waste, or abuse related to this contract.

Related Government Programs

Federal IT Software Procurement
Enterprise Resource Planning Systems
Database Management Systems
Oracle Government Contracts
Securities Regulation Technology

Risk Flags

Potential for vendor lock-in with proprietary Oracle software.
Dependence on a single vendor for critical IT infrastructure.
Risk of inadequate support or performance if contractor capabilities are misjudged.
Complexity of managing enterprise software licenses and renewals.

Frequently Asked Questions

What is this federal contract paying for?

Securities and Exchange Commission awarded $12.4 million to FCN, INC.. ORACLE PRODUCTS

Who is the contractor on this award?

The obligated recipient is FCN, 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 $12.4 million.

What is the period of performance?

Start: 2022-04-22. End: 2026-08-30.

What is the track record of FCN, Inc. in fulfilling federal contracts, particularly for Oracle products?

FCN, Inc. has a history of receiving federal contracts across various agencies. While specific details on their performance for Oracle products require deeper analysis of past contract performance reports (e.g., CPARS), their sustained presence in the federal contracting space suggests a capacity to deliver. Examining their portfolio of past awards can reveal patterns in the types of IT services and products they provide, and the agencies they serve. A review of their contract history would indicate if they have successfully managed similar-sized Oracle-related awards and if there are any significant performance issues flagged in publicly available data. Their ability to win this full and open competition award implies they met the government's requirements and demonstrated capability.

How does the awarded price compare to market rates for similar Oracle product procurements?

Determining the precise value-for-money requires a detailed breakdown of the specific Oracle products and licensing models included in the $12.4 million award, which is not publicly available. However, Oracle products, especially enterprise-level solutions, can represent a significant investment for federal agencies. The annual spend of approximately $3.1 million for the SEC falls within a range that could be considered reasonable for comprehensive enterprise software support and licensing, depending on the scope. Benchmarking against other federal agencies' Oracle contracts, or even commercial sector pricing for equivalent solutions, would provide a more concrete comparison. Without this granular data, a definitive assessment of whether this represents excellent or questionable value is challenging.

What are the primary risks associated with this contract, and how are they being managed?

Key risks include potential cost overruns if the scope of work expands beyond the initial firm fixed-price agreement, although the contract type aims to mitigate this. Another risk is vendor lock-in with Oracle products, which can limit future flexibility and potentially increase long-term costs. Performance risks, such as delays in delivery or inadequate support, are also present. The SEC manages these risks through contract oversight, performance monitoring, and potentially through defined service level agreements (SLAs) within the contract. The firm fixed-price nature inherently transfers some cost risk to the contractor, FCN, Inc. The use of full and open competition also aims to mitigate risks by selecting the most capable and cost-effective vendor.

How effective is the SEC in leveraging Oracle products for its core mission of securities regulation?

The effectiveness of Oracle products in supporting the SEC's mission is contingent on how well these tools are integrated into the agency's workflows and data analysis capabilities. Oracle's suite often includes robust database management, data warehousing, and business intelligence tools that can be crucial for managing vast amounts of financial data, identifying market trends, and enforcing regulations. The success of this contract in contributing to mission effectiveness depends on factors beyond the procurement itself, such as the SEC's internal IT strategy, user training, and ongoing system optimization. This contract ensures the agency has access to the necessary technology, but its ultimate mission impact relies on effective implementation and utilization.

What are the historical spending patterns for Oracle products at the SEC or similar agencies?

Historical spending on Oracle products by the SEC and similar regulatory agencies typically represents a significant portion of their IT budgets. Agencies like the SEC rely heavily on robust data management and analytical tools to fulfill their mandates. Spending often includes licensing, maintenance, support, and sometimes professional services for implementation or upgrades. Annual expenditures can range from hundreds of thousands to millions of dollars, depending on the scale of the agency's operations and its specific Oracle footprint. Analyzing past contract awards for Oracle products at the SEC would reveal trends in spending levels, contract types, and awarded vendors over time, providing context for the current $12.4 million award.

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 - APLLICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 50310222Q0026

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 12501 ARDENNES AVE STE 101, ROCKVILLE, MD, 20852

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $14,206,343

Exercised Options: $12,423,755

Current Obligation: $12,423,755

Actual Outlays: $12,423,755

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 50310221G0006

IDV Type: BOA

Timeline