NLRB's $4.2M Microsoft Enterprise Agreement with Dell Federal Systems L.P. awarded under full and open competition

Contract Overview

Contract Amount: $4,276,121 ($4.3M)

Contractor: Dell Federal Systems L.P

Awarding Agency: National Labor Relations Board

Start Date: 2020-09-11

End Date: 2023-09-29

Contract Duration: 1,113 days

Daily Burn Rate: $3.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: MICROSOFT ENTERPRISE AGREEMENT

Place of Performance

Location: ROUND ROCK, WILLIAMSON County, TEXAS, 78682

State: Texas Government Spending

Plain-Language Summary

National Labor Relations Board obligated $4.3 million to DELL FEDERAL SYSTEMS L.P for work described as: MICROSOFT ENTERPRISE AGREEMENT Key points: 1. The agreement covers a significant period, indicating a need for ongoing Microsoft software and services. 2. Dell Federal Systems L.P. secured the contract, suggesting competitive bidding occurred. 3. The contract's value and duration warrant scrutiny for cost-effectiveness and potential for future renewals. 4. The 'Other Computer Related Services' NAICS code suggests a broad scope beyond just software licensing.

Value Assessment

Rating: fair

The $4.2M price tag over approximately three years for an enterprise agreement needs comparison against similar government-wide Microsoft agreements. Without specific service details, it's difficult to definitively assess value, but it appears within a reasonable range for large-scale enterprise software procurement.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically drives competitive pricing. The existence of a single delivery order suggests a structured procurement process that allowed multiple vendors to bid.

Taxpayer Impact: Taxpayers benefit from competitive pricing achieved through full and open competition, ensuring the government obtains Microsoft products and services at a fair market value.

Public Impact

Federal employees will continue to have access to essential Microsoft software and services, supporting daily operations. The agreement ensures continuity of IT services for the National Labor Relations Board. Procurement transparency is maintained through the full and open competition award.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in with enterprise agreements.
Need to monitor usage and actual value derived from the software.
Risk of price increases upon renewal if competition is not re-established.

Positive Signals

Awarded through full and open competition.
Firm fixed price contract provides cost certainty.
Long-term agreement ensures service continuity.

Sector Analysis

This contract falls within the IT services sector, specifically focusing on computer-related services. Government spending on enterprise software agreements like this is substantial, with benchmarks varying widely based on agency size and specific software suites.

Small Business Impact

While Dell Federal Systems L.P. is a large entity, the contract's nature as an enterprise agreement may limit direct participation opportunities for small businesses unless they are subcontractors. Further analysis would be needed to determine if small business goals were incorporated.

Oversight & Accountability

The award under full and open competition suggests a degree of oversight in the procurement process. Continued oversight would involve monitoring contract performance and ensuring compliance with terms.

Related Government Programs

Other Computer Related Services
National Labor Relations Board Contracting
National Labor Relations Board Programs

Risk Flags

Lack of specific product/service details.
Potential for price escalation upon renewal.
Limited insight into the competitive bidding process beyond 'full and open'.
No clear indication of small business participation.

Frequently Asked Questions

What is this federal contract paying for?

National Labor Relations Board awarded $4.3 million to DELL FEDERAL SYSTEMS L.P. MICROSOFT ENTERPRISE AGREEMENT

Who is the contractor on this award?

The obligated recipient is DELL FEDERAL SYSTEMS L.P.

Which agency awarded this contract?

Awarding agency: National Labor Relations Board (National Labor Relations Board).

What is the total obligated amount?

The obligated amount is $4.3 million.

What is the period of performance?

Start: 2020-09-11. End: 2023-09-29.

What specific Microsoft products and services are included in this enterprise agreement, and how do they align with the NLRB's mission requirements?

The provided data does not specify the exact Microsoft products and services covered. An enterprise agreement typically includes operating systems, productivity software (like Office 365), and potentially cloud services. Alignment with the NLRB's mission would depend on whether these tools are critical for case management, communication, and administrative functions.

What was the competitive landscape like for this 'Other Computer Related Services' category, and did other major IT vendors bid?

The data indicates 'full and open competition,' suggesting multiple vendors had the opportunity to bid. However, the specific competitive landscape and the identities of other bidders are not detailed. Dell Federal Systems L.P. winning implies they offered the most advantageous proposal based on price and other factors.

How does the per-unit cost or overall value of this agreement compare to similar enterprise agreements for federal agencies of comparable size?

Benchmarking this $4.2M agreement requires access to detailed pricing information for similar Microsoft enterprise agreements across federal agencies. Without knowing the exact user count, software versions, and included services, a precise comparison is challenging. However, the firm fixed price suggests cost certainty for the NLRB.

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 › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Francisco Partners Management, L.P.

Address: 1 DELL WAY, ROUND ROCK, TX, 78682

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $6,564,818

Exercised Options: $4,276,121

Current Obligation: $4,276,121

Actual Outlays: $2,021,301

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS35F0884P

IDV Type: FSS

Timeline