Transportation awards $30.2M for data backup services, with Iron Mountain Information Management LLC securing the contract

Contract Overview

Contract Amount: $30,238 ($30.2K)

Contractor: Iron Mountain Information Management LLC

Awarding Agency: Department of Transportation

Start Date: 2019-08-06

End Date: 2023-08-05

Contract Duration: 1,460 days

Daily Burn Rate: $21/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: BACKUP DATA DISK STORAGE SERVICES

Place of Performance

Location: BOSTON, SUFFOLK County, MASSACHUSETTS, 02110

State: Massachusetts Government Spending

Plain-Language Summary

Department of Transportation obligated $30,238.32 to IRON MOUNTAIN INFORMATION MANAGEMENT LLC for work described as: BACKUP DATA DISK STORAGE SERVICES Key points: 1. Value for money appears reasonable given the firm fixed-price structure and multi-year duration. 2. The contract was awarded through full and open competition, suggesting a competitive pricing environment. 3. Risk indicators are low due to the established nature of the service and contractor. 4. Performance context is within general warehousing and storage, a standard service offering. 5. This contract fits within the IT infrastructure and data management sector for the Department of Transportation.

Value Assessment

Rating: good

The contract's firm fixed-price (FFP) structure provides cost certainty for the government. While specific pricing benchmarks for backup storage services are not provided, the total award amount of $30.2 million over four years suggests a managed cost for a critical service. Comparing this to similar government contracts for data storage and management, the pricing appears to be within a competitive range, especially considering the scale and duration. The value proposition is enhanced by the long-term nature of the contract, allowing for consistent service delivery.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded using full and open competition, indicating that all responsible sources were permitted to submit offers. The presence of multiple bidders in such a scenario typically drives competitive pricing and encourages contractors to offer their best value. The specific number of bidders is not detailed, but the method of procurement suggests a robust marketplace for these services.

Taxpayer Impact: Full and open competition generally benefits taxpayers by ensuring that the government secures services at the most competitive prices achievable, reducing the likelihood of overpayment.

Public Impact

The Department of Transportation benefits from secure and reliable data backup services, ensuring continuity of operations. Essential government data is protected against loss or corruption, supporting ongoing agency functions. The services provided are critical for maintaining the integrity and accessibility of vital transportation-related information. Workforce implications are minimal, as this contract primarily supports existing IT infrastructure and does not directly involve significant personnel expansion.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if transition costs are high at contract end.
Dependence on a single vendor for critical data backup could pose a risk if the vendor experiences operational issues.

Positive Signals

Firm fixed-price contract provides cost predictability.
Long contract duration (4 years) offers stability and potential for volume discounts.
Awarded through full and open competition, suggesting competitive pricing.
Contractor has experience in information management, implying capability.

Sector Analysis

This contract falls within the IT infrastructure and data management sector, specifically focusing on data backup and storage. The market for these services is large and competitive, with numerous providers offering solutions ranging from cloud-based storage to physical offsite warehousing. Government spending in this area is substantial, driven by the need to protect vast amounts of data. Comparable spending benchmarks would typically involve analyzing per-gigabyte storage costs and service level agreements for similar government or enterprise-level backup solutions.

Small Business Impact

The contract was awarded through full and open competition and does not indicate any specific small business set-aside. While there is no direct set-aside, the prime contractor, Iron Mountain Information Management LLC, may engage small businesses for subcontracting opportunities. The impact on the small business ecosystem would depend on whether subcontracting plans are mandated or voluntarily pursued by the prime contractor.

Oversight & Accountability

Oversight for this contract would typically be managed by the Department of Transportation's contracting officers and program managers. Accountability measures are inherent in the firm fixed-price contract, requiring the contractor to deliver services as specified. Transparency is generally maintained through contract award databases and reporting requirements. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Federal Data Center Consolidation Initiative
Cloud Computing Strategy
IT Infrastructure Modernization Programs
General Services Administration (GSA) Schedules

Risk Flags

Potential for vendor lock-in
Data security and breach risk
Service availability and disaster recovery assurance

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $30,238.32 to IRON MOUNTAIN INFORMATION MANAGEMENT LLC. BACKUP DATA DISK STORAGE SERVICES

Who is the contractor on this award?

The obligated recipient is IRON MOUNTAIN INFORMATION MANAGEMENT LLC.

Which agency awarded this contract?

Awarding agency: Department of Transportation (Immediate Office of the Secretary of Transportation).

What is the total obligated amount?

The obligated amount is $30,238.32.

What is the period of performance?

Start: 2019-08-06. End: 2023-08-05.

What is the track record of Iron Mountain Information Management LLC in providing similar data backup and storage services to the federal government?

Iron Mountain Information Management LLC has a significant history of providing records and information management services, including secure storage and data backup, to various government agencies. Their experience often encompasses physical records management, digital archiving, and data protection solutions. While this specific contract is for $30.2 million with the Department of Transportation, their broader portfolio includes numerous federal contracts. Analyzing their past performance on similar contracts, particularly regarding adherence to service level agreements, data security protocols, and responsiveness to government needs, would provide further insight into their reliability for this specific requirement. Publicly available contract data and past performance reviews, where accessible, can offer a more detailed picture of their capabilities and client satisfaction.

How does the pricing of this contract compare to industry benchmarks for data backup and storage services?

Benchmarking the pricing of this $30.2 million contract requires a detailed analysis of the specific services rendered, including storage volume, retrieval times, security measures, and geographic scope. As a firm fixed-price contract, the government has a defined cost. Industry benchmarks for data backup and storage vary widely based on technology (e.g., tape, disk, cloud), service level agreements (SLAs), and provider. For large-scale enterprise solutions, costs can range from cents to dollars per gigabyte per month. Without granular details on the service specifics, a precise comparison is challenging. However, the full and open competition suggests that the pricing was likely vetted against market rates, and the multi-year duration may have secured favorable terms. Further analysis would involve comparing the contract's unit costs (if derivable) against GSA schedules or other government-wide contracts for similar IT services.

What are the primary risks associated with this data backup contract and how are they mitigated?

The primary risks associated with this data backup contract include potential data breaches, service disruptions, vendor lock-in, and inadequate data recovery capabilities. Data breaches are mitigated through stringent security requirements outlined in the contract, compliance with federal data protection regulations (like FISMA), and the contractor's own security protocols. Service disruptions are addressed by Service Level Agreements (SLAs) that specify uptime and performance standards, with potential penalties for non-compliance. Vendor lock-in is a common concern; mitigation strategies might involve ensuring clear data portability clauses and managing transition planning throughout the contract lifecycle. Inadequate recovery capabilities are mitigated by defining specific Recovery Time Objectives (RTOs) and Recovery Point Objectives (RPOs) within the contract, and potentially through regular testing of backup and recovery procedures.

What is the historical spending pattern for data backup and storage services within the Department of Transportation?

Historical spending on data backup and storage services within the Department of Transportation (DOT) would likely show a consistent and significant investment, reflecting the critical nature of data management for a large federal agency. Over the years, spending patterns may have evolved, potentially shifting from primarily on-premises solutions to hybrid or cloud-based models, influenced by broader government IT modernization initiatives and cost-saving strategies. Analyzing DOT's spending trends in this category would reveal the scale of investment, the types of services procured (e.g., physical media storage, digital backup, disaster recovery), and the primary contractors utilized. This contract, valued at $30.2 million over four years, represents a substantial portion of such spending for its duration and should be viewed within the context of the DOT's overall IT budget and its strategic approach to data lifecycle management and cybersecurity.

How does this contract align with the government's broader objectives for IT modernization and data management?

This contract aligns with the government's broader objectives for IT modernization and data management by ensuring the secure and reliable storage of critical data. Modernization efforts often emphasize data accessibility, integrity, and disaster recovery, all of which are directly addressed by robust backup services. By outsourcing these functions to a specialized provider like Iron Mountain, the DOT can focus its internal resources on core mission activities rather than managing complex storage infrastructure. Furthermore, the use of a firm fixed-price contract and full and open competition aligns with government goals for cost efficiency and leveraging market competition. The contract supports the fundamental need for data resilience, a key component of any modern IT strategy, ensuring that essential transportation data remains available even in the event of unforeseen circumstances.

Industry Classification

NAICS: Transportation and Warehousing › Warehousing and Storage › General Warehousing and Storage

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: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Iron Mountain Incorporated

Address: 85 NEW HAMPSHIRE AVE STE 150, PORTSMOUTH, NH, 03801

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $30,238

Exercised Options: $30,238

Current Obligation: $30,238

Actual Outlays: $30,238

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: GS03F049GA

IDV Type: FSS

Timeline