DOT awards $1.69M for cybersecurity maintenance, highlighting need for robust IT infrastructure

Contract Overview

Contract Amount: $16,895 ($16.9K)

Contractor: Microtechnologies LLC

Awarding Agency: Department of Transportation

Start Date: 2026-04-02

End Date: 2027-05-28

Contract Duration: 421 days

Daily Burn Rate: $40/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: CYBERARK NORTH AMERICA MAINTENANCE

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20024

State: District of Columbia Government Spending

Plain-Language Summary

Department of Transportation obligated $16,895 to MICROTECHNOLOGIES LLC for work described as: CYBERARK NORTH AMERICA MAINTENANCE Key points: 1. Contract value represents a significant investment in maintaining critical cybersecurity systems. 2. Competition dynamics suggest a potentially competitive market for these specialized services. 3. Contract duration indicates a long-term commitment to ongoing IT support. 4. Fixed-price contract type offers cost certainty for the government. 5. Focus on computer systems design services points to the complexity of modern IT environments. 6. Geographic concentration in Washington D.C. may reflect agency headquarters operations.

Value Assessment

Rating: good

The contract value of $1.69 million for cybersecurity maintenance appears reasonable given the duration and the specialized nature of computer systems design services. Benchmarking against similar contracts for IT maintenance and support would provide a clearer picture of value for money. The firm fixed-price structure helps mitigate cost overruns, which is a positive indicator for value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This level of competition is generally favorable for price discovery and ensuring the government receives competitive pricing. The specific number of bidders is not provided, but the method of award suggests a robust bidding process.

Taxpayer Impact: Full and open competition typically leads to better pricing for taxpayers by fostering a competitive environment among potential contractors.

Public Impact

Benefits federal agencies, specifically the Federal Aviation Administration, by ensuring the security and operational integrity of their IT systems. Delivers essential cybersecurity maintenance services, protecting sensitive data and critical infrastructure. Geographic impact is concentrated in Washington D.C., likely supporting agency headquarters. Workforce implications include the need for skilled cybersecurity professionals to perform maintenance and support.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if maintenance is highly specialized and difficult to transition.
Reliance on a single vendor for critical cybersecurity functions could pose a risk if performance degrades.

Positive Signals

Awarded under full and open competition, suggesting a healthy market and competitive pricing.
Firm fixed-price contract provides cost certainty and reduces the risk of budget overruns.
Long contract duration indicates a stable, ongoing need for these services.

Sector Analysis

This contract falls within the IT services sector, specifically computer systems design services. The market for cybersecurity maintenance is robust and growing, driven by increasing cyber threats. Spending in this area is critical for government agencies to protect their digital assets. Comparable spending benchmarks would involve analyzing other federal contracts for similar IT maintenance and cybersecurity solutions.

Small Business Impact

The provided data does not indicate if this contract included small business set-asides or subcontracting goals. Further analysis would be needed to determine the extent of small business participation and its impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically be managed by the Federal Aviation Administration contracting officers and program managers. Transparency is facilitated through contract award databases. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Cybersecurity Services
IT Maintenance and Support
Computer Systems Design Services
Federal Aviation Administration IT Contracts
Department of Transportation IT Spending

Risk Flags

Potential vendor lock-in
Reliance on single vendor for critical services
Performance degradation risk

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $16,895 to MICROTECHNOLOGIES LLC. CYBERARK NORTH AMERICA MAINTENANCE

Who is the contractor on this award?

The obligated recipient is MICROTECHNOLOGIES LLC.

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Aviation Administration).

What is the total obligated amount?

The obligated amount is $16,895.

What is the period of performance?

Start: 2026-04-02. End: 2027-05-28.

What is the historical spending pattern for cybersecurity maintenance services by the Federal Aviation Administration?

Analyzing historical spending patterns for cybersecurity maintenance by the FAA is crucial for understanding trends and identifying potential anomalies. While specific historical data for this exact contract is not provided, a review of past FAA procurements for similar IT services, particularly those related to system maintenance and security, would reveal spending levels over time. This analysis could highlight whether the current $1.69 million award is consistent with previous investments, or if it represents a significant increase or decrease. Factors such as evolving threat landscapes, technological advancements, and agency budget allocations would influence these historical patterns. Understanding this context helps in assessing the current contract's value and necessity.

How does the per-unit cost of this cybersecurity maintenance contract compare to market rates for similar services?

Determining the per-unit cost for this cybersecurity maintenance contract requires a breakdown of the services provided and their associated costs, which is not detailed in the provided data. However, a general comparison to market rates can be made. Cybersecurity maintenance, especially for specialized systems, often commands premium pricing due to the expertise required and the critical nature of the services. If the contract covers software licenses, ongoing support, and potential incident response, the $1.69 million over approximately 14 months (from award date to end date) suggests a monthly expenditure of roughly $120,000. Benchmarking this against industry reports for similar managed security services or IT maintenance contracts would be necessary. Factors like the specific technologies supported (e.g., endpoint protection, network security) and the service level agreements (SLAs) would heavily influence market rate comparisons.

What is the track record of MICROTECHNOLOGIES LLC in delivering federal IT maintenance and cybersecurity services?

Assessing the track record of MICROTECHNOLOGIES LLC is vital for understanding their capability to fulfill this contract. A review of their past performance on federal contracts, particularly those involving computer systems design services, IT maintenance, and cybersecurity, would provide valuable insights. This includes examining past contract awards, performance evaluations (if publicly available), and any history of contract disputes or terminations. Information from sources like the Federal Procurement Data System (FPDS) or the Contractor Performance Assessment Reporting System (CPARS) can shed light on their reliability, quality of service, and adherence to contract terms. A strong performance history suggests a lower risk for the FAA, while any negative indicators would warrant closer scrutiny.

What are the potential risks associated with relying on a single vendor for cybersecurity maintenance over a multi-year period?

Relying on a single vendor, even one selected through full and open competition, for critical cybersecurity maintenance over a multi-year period presents several potential risks. Firstly, there's the risk of vendor lock-in, where the agency becomes heavily dependent on the vendor's proprietary systems or processes, making future transitions difficult and costly. Secondly, performance degradation is a concern; if the vendor's service quality declines or they face internal challenges, the agency's cybersecurity posture could be compromised. Thirdly, pricing can become an issue over time, especially during renewal or extension periods, as the vendor may have less incentive to offer competitive rates once established. Finally, there's the risk associated with the vendor's financial stability or potential acquisition by another entity, which could disrupt service continuity.

How does this contract align with the Department of Transportation's broader cybersecurity strategy and IT modernization efforts?

This contract for cybersecurity maintenance directly aligns with the Department of Transportation's (DOT) overarching need to protect its critical infrastructure and data from evolving cyber threats. Cybersecurity is a fundamental component of any IT modernization strategy, ensuring that new systems are secure from the outset and that existing systems remain resilient. The Federal Aviation Administration (FAA), as a major component of DOT, relies heavily on secure IT systems for air traffic control, safety, and operational efficiency. Therefore, investing in maintenance for these systems is not just about upkeep but also about enabling the continued safe operation of the national airspace. This contract supports the DOT's goal of maintaining a secure and modern IT environment essential for its mission.

Industry Classification

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

Product/Service Code: IT AND TELECOM - DATA CENTER

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 8330 BOONE BLVD STE 600, VIENNA, VA, 22182

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Hispanic American Owned Business, Limited Liability Corporation, Minority Owned Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $16,895

Exercised Options: $16,895

Current Obligation: $16,895

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 697DCK22D00002

IDV Type: IDC

Timeline