USAID Awards $6.06M Oracle ULA Bundle and Support to V3GATE, LLC
Contract Overview
Contract Amount: $6,056,695 ($6.1M)
Contractor: V3gate, LLC
Awarding Agency: Agency for International Development
Start Date: 2024-12-26
End Date: 2027-12-31
Contract Duration: 1,100 days
Daily Burn Rate: $5.5K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: THE PURPOSE OF THIS REQUEST IS TO ESTABLISH A NEW AWARD FOR THE ORACLE ENTERPRISE UNLIMITED LICENSE AGREEMENT (ULA) BUNDLES AND SUPPORT.
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20547
Plain-Language Summary
Agency for International Development obligated $6.1 million to V3GATE, LLC for work described as: THE PURPOSE OF THIS REQUEST IS TO ESTABLISH A NEW AWARD FOR THE ORACLE ENTERPRISE UNLIMITED LICENSE AGREEMENT (ULA) BUNDLES AND SUPPORT. Key points: 1. Contract focuses on Oracle enterprise licenses and support, a critical software category. 2. V3GATE, LLC is the awardee for this specific delivery order. 3. The contract is Firm Fixed Price, providing cost certainty. 4. Competition was full and open after exclusion of sources, suggesting a structured procurement process.
Value Assessment
Rating: fair
The award amount of $6.06M for Oracle ULA bundles and support appears to be a significant investment. Benchmarking against similar Oracle ULA contracts is difficult without specific license details, but the price should be evaluated against negotiated enterprise-level agreements.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES'. This indicates that while multiple sources were considered, some were excluded prior to the final competition. The impact on price discovery depends on the rigor of the exclusion criteria and the competitiveness of the remaining pool.
Taxpayer Impact: The $6.06M expenditure represents taxpayer funds allocated for essential enterprise software. The value for money will depend on the utilization and necessity of the Oracle licenses and support over the contract period.
Public Impact
Ensures continued access to critical Oracle software for USAID operations. Supports agency-wide IT infrastructure and data management capabilities. Potential for cost savings through bundled licensing and long-term support agreements. V3GATE, LLC's role as a vendor highlights the specialized market for enterprise software solutions.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for vendor lock-in with Oracle products.
- Complexity of managing enterprise software licenses and support.
- Ensuring competitive pricing within the 'exclusion of sources' framework.
Positive Signals
- Firm Fixed Price contract provides budget predictability.
- Long-term support agreement ensures continuity of operations.
- Bundled licensing may offer economies of scale.
Sector Analysis
This contract falls within the IT services sector, specifically focusing on enterprise software licensing and support. Spending benchmarks for such contracts vary widely based on agency size, software criticality, and negotiated terms, but large enterprise agreements represent a significant portion of federal IT budgets.
Small Business Impact
The data does not indicate any specific set-asides for small businesses. The awardee, V3GATE, LLC, is not identified by size in this data. Analysis of small business participation would require further investigation into the prime contractor's subcontracting plan and the overall market landscape.
Oversight & Accountability
The contract is a Delivery Order under an existing agreement, suggesting some level of prior oversight. The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' clause implies a defined procurement process. Further oversight would involve monitoring contract performance, adherence to terms, and justification for source exclusions.
Related Government Programs
- Other Computer Related Services
- Agency for International Development Contracting
- Agency for International Development Programs
Risk Flags
- Potential for limited competition due to source exclusion.
- Risk of cost overruns if license utilization is not actively managed.
- Dependence on a single vendor (Oracle) for critical software.
- Complexity in managing enterprise-level software agreements.
Tags
other-computer-related-services, agency-for-international-development, dc, delivery-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Agency for International Development awarded $6.1 million to V3GATE, LLC. THE PURPOSE OF THIS REQUEST IS TO ESTABLISH A NEW AWARD FOR THE ORACLE ENTERPRISE UNLIMITED LICENSE AGREEMENT (ULA) BUNDLES AND SUPPORT.
Who is the contractor on this award?
The obligated recipient is V3GATE, LLC.
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 $6.1 million.
What is the period of performance?
Start: 2024-12-26. End: 2027-12-31.
What is the specific justification for excluding certain sources in the procurement process, and how does this impact overall value for money?
The justification for excluding sources is crucial for understanding the procurement's integrity and potential impact on cost-effectiveness. If sources were excluded due to specific technical requirements, past performance, or unique capabilities, it might limit competition but ensure a better fit for agency needs. However, if exclusions were arbitrary, it could lead to reduced price competition and potentially higher costs for taxpayers. A thorough review of the exclusion rationale is necessary to assess value.
How does the $6.06M cost compare to industry benchmarks for similar Oracle ULA bundles and support, considering the contract duration?
Benchmarking this $6.06M award against similar Oracle ULA bundles and support requires detailed analysis of license types, user counts, support levels, and contract duration (3 years). Without this granular data, a direct comparison is challenging. However, agencies typically leverage volume discounts and negotiate favorable terms for long-term enterprise agreements. The price should be assessed against historical USAID Oracle spending and comparable federal agency contracts to ensure it represents fair market value.
What mechanisms are in place to ensure the effective utilization of the Oracle licenses and support, preventing underutilization or unnecessary expenditure?
Effective utilization is typically managed through ongoing IT asset management and regular reviews of software usage. USAID should have internal processes to track license deployment and actual usage against the procured quantities. Periodic audits and performance reviews with V3GATE, LLC and Oracle can help identify areas of underutilization or opportunities for optimization. Clear reporting requirements within the contract can also ensure accountability for resource allocation.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services
Product/Service Code: IT AND TELECOM - APLLICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 555 MIDDLE CREEK PKWY STE 120, COLORADO SPRINGS, CO, 80921
Business Categories: Category Business, Hispanic American Owned Business, Limited Liability Corporation, Minority Owned Business, Partnership or Limited Liability Partnership, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $6,056,695
Exercised Options: $6,056,695
Current Obligation: $6,056,695
Actual Outlays: $2,684,291
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: NNG15SD27B
IDV Type: GWAC
Timeline
Start Date: 2024-12-26
Current End Date: 2027-12-31
Potential End Date: 2027-12-31 00:00:00
Last Modified: 2025-12-31
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