USAID's $56M IBM Bridge Contract: Custom Programming Services Awarded via Full and Open Competition

Contract Overview

Contract Amount: $56,184,919 ($56.2M)

Contractor: International Business Machines Corporation

Awarding Agency: Agency for International Development

Start Date: 2018-07-24

End Date: 2019-08-31

Contract Duration: 403 days

Daily Burn Rate: $139.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: IGF::CL::IGF NEW REQUISITION TO ALLOW FOR THE SOLICITATION OF THE IBM BRIDGE CONTRACT

Place of Performance

Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22202

State: Virginia Government Spending

Plain-Language Summary

Agency for International Development obligated $56.2 million to INTERNATIONAL BUSINESS MACHINES CORPORATION for work described as: IGF::CL::IGF NEW REQUISITION TO ALLOW FOR THE SOLICITATION OF THE IBM BRIDGE CONTRACT Key points: 1. Contract value of $56.18M for custom computer programming services. 2. Competition was full and open, indicating broad market access. 3. Risk appears moderate given the established nature of IBM and the contract type. 4. IT sector spending for custom programming services is significant government-wide.

Value Assessment

Rating: good

The contract value of $56.18M for custom programming services appears reasonable given the provider and scope. Benchmarking against similar large-scale IT service contracts would provide further validation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded using full and open competition, suggesting a robust price discovery process. This method allows multiple vendors to bid, driving competitive pricing.

Taxpayer Impact: Full and open competition generally leads to better value for taxpayers by ensuring the government receives competitive pricing for services.

Public Impact

Ensures continued access to critical IT services for the Agency for International Development. Supports agency operations through custom software development and maintenance. Potential for innovation and efficiency gains through tailored programming solutions.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

Sector Analysis

This contract falls within the IT sector, specifically custom computer programming services. Government spending in this area is substantial, supporting a wide range of agency functions and modernization efforts.

Small Business Impact

The data indicates this contract was awarded to IBM Corporation and does not specify any small business participation. Further analysis would be needed to determine if small businesses were subcontracted.

Oversight & Accountability

The contract was awarded via a delivery order under a larger framework, suggesting existing oversight mechanisms. The Agency for International Development is responsible for monitoring performance and ensuring compliance.

Related Government Programs

Risk Flags

Tags

custom-computer-programming-services, agency-for-international-development, va, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Agency for International Development awarded $56.2 million to INTERNATIONAL BUSINESS MACHINES CORPORATION. IGF::CL::IGF NEW REQUISITION TO ALLOW FOR THE SOLICITATION OF THE IBM BRIDGE CONTRACT

Who is the contractor on this award?

The obligated recipient is INTERNATIONAL BUSINESS MACHINES CORPORATION.

Which agency awarded this contract?

Awarding agency: Agency for International Development (Agency for International Development).

What is the total obligated amount?

The obligated amount is $56.2 million.

What is the period of performance?

Start: 2018-07-24. End: 2019-08-31.

What specific custom programming services were rendered under this contract?

The provided data identifies the contract as being for 'Custom Computer Programming Services' (NAICS 541511) with IBM. However, the specific nature of these services, such as software development, system integration, or application maintenance, is not detailed. Further documentation would be required to understand the precise technical deliverables and their alignment with agency needs.

What was the competitive landscape like for this specific solicitation?

The contract was awarded under 'Full and Open Competition,' indicating that all responsible sources were permitted to submit a bid. While this suggests a competitive process, the number of bids received and the specific capabilities of competing firms are not detailed in the provided data. Understanding the number of proposals evaluated would offer more insight into the competitive intensity.

How does the pricing compare to industry benchmarks for similar custom programming services?

The total contract value is $56.18M. Without specific details on the services rendered and their duration, a precise per-unit cost benchmark is difficult. However, for large-scale custom programming projects, this value is within a plausible range, especially when considering the provider is IBM. A detailed cost-benefit analysis and comparison with similar government or private sector contracts would be necessary for a definitive assessment.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesCustom Computer Programming Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONSADP 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

Address: 6710 ROCKLEDGE DRIVE, BETHESDA, MD, 20817

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

Financial Breakdown

Contract Ceiling: $58,037,754

Exercised Options: $58,037,754

Current Obligation: $56,184,919

Actual Outlays: $224,740

Subaward Activity

Number of Subawards: 17

Total Subaward Amount: $1,803,436

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Parent Contract

Parent Award PIID: GS35F110DA

IDV Type: FSS

Timeline

Start Date: 2018-07-24

Current End Date: 2019-08-31

Potential End Date: 2020-01-02 00:00:00

Last Modified: 2021-01-22

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