DHS awards $51.4M for technical support, with 2 bidders competing for custom computer programming services
Contract Overview
Contract Amount: $51,428,757 ($51.4M)
Contractor: ECS Federal, LLC
Awarding Agency: Department of Homeland Security
Start Date: 2021-01-21
End Date: 2025-05-20
Contract Duration: 1,580 days
Daily Burn Rate: $32.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: LABOR HOURS
Sector: IT
Official Description: TECHNICAL SUPPORT SERVICES
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20528
Plain-Language Summary
Department of Homeland Security obligated $51.4 million to ECS FEDERAL, LLC for work described as: TECHNICAL SUPPORT SERVICES Key points: 1. Value for money appears fair given the competitive nature of the award. 2. Competition dynamics show a moderate level of engagement with two bidders. 3. Risk indicators are moderate, with a long performance period and a BPA call award. 4. Performance context is for custom computer programming services, a critical area for DHS. 5. Sector positioning is within IT services, a significant area of federal spending.
Value Assessment
Rating: fair
The contract value of $51.4 million over approximately 4 years for technical support services is within a reasonable range for custom computer programming. Benchmarking against similar contracts for IT support within DHS or other agencies would provide a clearer picture of value. The award type as a BPA call suggests that pricing may have been established under a broader agreement, potentially offering some level of pre-negotiated value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit offers. With two bidders participating, the competition level suggests a moderate degree of market interest. While more bidders could potentially drive prices lower, two bidders still provide a basis for price discovery and comparison.
Taxpayer Impact: The full and open competition with two bidders offers a reasonable assurance that taxpayer funds are being used efficiently, as the agency sought multiple offers. This level of competition helps prevent excessive pricing.
Public Impact
The Department of Homeland Security benefits from essential technical support services. Custom computer programming services are delivered to support DHS operations. The geographic impact is primarily in the District of Columbia. Workforce implications include the need for skilled IT professionals to fulfill the contract.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long contract duration (approx. 4 years) could lead to scope creep or evolving needs not fully captured in initial pricing.
- BPA Call award mechanism might limit direct price comparison to other contract types.
- Dependence on a single contractor for critical technical support could pose a risk if performance degrades.
Positive Signals
- Awarded under full and open competition, suggesting a robust vetting of potential contractors.
- The contract is for essential IT services, indicating alignment with agency mission.
- The contractor, ECS Federal, LLC, likely has a track record with the government.
Sector Analysis
This contract falls within the Information Technology sector, specifically custom computer programming services. The federal IT market is vast, with significant annual spending on software development, maintenance, and support. Comparable spending benchmarks for similar technical support contracts within federal agencies often range from tens to hundreds of millions of dollars, depending on scope and duration. This contract appears to be of moderate size within this sector.
Small Business Impact
The data indicates this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses mandated by a set-aside. However, the prime contractor may choose to subcontract portions of the work to small businesses as part of their overall business strategy.
Oversight & Accountability
Oversight for this contract would typically be managed by the contracting officer and the program office within the Department of Homeland Security. Accountability measures are embedded in the contract terms, including performance standards and delivery schedules. Transparency is facilitated through contract databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.
Related Government Programs
- IT Services
- Custom Computer Programming
- Technical Support
- Department of Homeland Security Contracts
- IT Support Services
Risk Flags
- Long contract duration
- Potential for technology obsolescence
- Moderate competition level
Tags
it-services, technical-support, custom-computer-programming, department-of-homeland-security, dhs, full-and-open-competition, labor-hours, bpa-call, district-of-columbia, ecs-federal-llc, it-support, federal-contract
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $51.4 million to ECS FEDERAL, LLC. TECHNICAL SUPPORT SERVICES
Who is the contractor on this award?
The obligated recipient is ECS FEDERAL, LLC.
Which agency awarded this contract?
Awarding agency: Department of Homeland Security (Office of Procurement Operations).
What is the total obligated amount?
The obligated amount is $51.4 million.
What is the period of performance?
Start: 2021-01-21. End: 2025-05-20.
What is the track record of ECS Federal, LLC in performing similar technical support contracts for the federal government?
ECS Federal, LLC has a significant history of performing federal contracts, particularly within the IT services domain. A review of their contract history would reveal their experience with custom computer programming, technical support, and services delivered to agencies like DHS. Analyzing past performance evaluations and contract values can provide insight into their reliability and capability. For instance, examining contracts with similar scope, duration, and dollar values would be crucial. Their success in previous competitive procurements also suggests a strong understanding of federal acquisition processes and requirements. Without specific past performance data for this exact type of service, it's assumed their experience aligns with the requirements based on their general federal contracting profile.
How does the awarded price compare to market rates for custom computer programming services in the Washington D.C. area?
Determining the precise market rate for custom computer programming services requires detailed analysis of labor categories, skill sets, and specific project complexities, which are not fully detailed in the provided data. However, the contract's value of approximately $51.4 million over roughly 4 years, awarded under full and open competition with two bidders, suggests a competitive pricing structure. Labor hour contracts, like this one (pt: LABOR HOURS), are often benchmarked against government-wide contract vehicles or industry surveys. Given the location in Washington D.C., a high-cost area, and the specialized nature of custom programming, the pricing is likely aligned with prevailing rates, assuming the competition effectively drove price discovery. A more definitive comparison would necessitate access to the specific labor rates proposed and market data from sources like the Bureau of Labor Statistics or specialized IT consulting rate surveys.
What are the primary risks associated with the long performance period of this contract?
The contract's duration of approximately 1580 days (around 4.3 years) presents several risks. Firstly, technology evolves rapidly in the IT sector; services and solutions required at the end of the contract may be significantly different from those needed at the outset. This could lead to the government paying for outdated technology or requiring costly modifications. Secondly, a long performance period increases the risk of contractor performance degradation over time. Maintaining consistent quality and responsiveness can be challenging over several years. Thirdly, the long duration ties up significant agency resources and budget, potentially limiting flexibility to adapt to changing mission priorities or to pursue more innovative solutions that may emerge during the contract term. Finally, the longer the contract, the greater the potential impact of unforeseen economic shifts or contractor-related issues (e.g., financial instability, key personnel loss).
How effective is the 'BPA Call' award mechanism in ensuring value for money for technical support services?
The 'BPA Call' award mechanism can be effective for ensuring value for money, particularly for recurring or anticipated needs, provided the underlying Blanket Purchase Agreement (BPA) was competitively established. A BPA allows agencies to streamline the procurement of supplies and services from specific vendors. A 'call' against that BPA leverages the pre-negotiated terms and pricing. If the original BPA competition was robust and included competitive pricing, then subsequent calls can offer good value by reducing administrative burden and lead time. However, the value is highly dependent on the quality of the initial BPA competition and whether the pricing remains competitive over the life of the BPA. For technical support services, where needs can evolve, the flexibility of a BPA call can be advantageous, but it's crucial that the underlying BPA terms allow for competitive pricing adjustments or re-competition if necessary.
What is the historical spending trend for technical support services within the Department of Homeland Security?
Analyzing historical spending trends for technical support services within DHS is crucial for context. While specific historical data for this exact contract isn't provided, DHS, as a large federal agency with extensive IT infrastructure, consistently spends significant amounts on technical support and IT services. Spending in this category typically fluctuates based on agency priorities, modernization efforts, and the lifecycle of existing systems. Trends might show increased spending during periods of major system upgrades or new technology adoption, and potentially stable or slightly decreasing spending during consolidation phases. Understanding the historical spend allows for better budget forecasting, identification of potential cost-saving opportunities, and assessment of whether current spending aligns with past patterns or represents a significant shift.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Custom Computer Programming Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - IT MANAGEMENT
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: 70RDAD20Q00000141
Offers Received: 2
Pricing Type: LABOR HOURS (Z)
Evaluated Preference: NONE
Contractor Details
Parent Company: Asgn Incorporated
Address: 2750 PROSPERITY AVE STE 600, FAIRFAX, VA, 22031
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $55,299,809
Exercised Options: $54,353,843
Current Obligation: $51,428,757
Actual Outlays: $30,544,498
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Parent Contract
Parent Award PIID: 70RTAC19A00000009
IDV Type: BPA
Timeline
Start Date: 2021-01-21
Current End Date: 2025-05-20
Potential End Date: 2025-05-20 00:00:00
Last Modified: 2025-01-19
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