HHS awards $11.9M for SAS software and support, with a base year and two option years

Contract Overview

Contract Amount: $41,701,723 ($41.7M)

Contractor: Executive Information Systems, L.L.C.

Awarding Agency: Department of Health and Human Services

Start Date: 2018-12-14

End Date: 2022-12-29

Contract Duration: 1,476 days

Daily Burn Rate: $28.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: EXECUTIVE INFORMATION SYSTEMS:1108519 [19-000247] THE PURPOSE OF THIS AWARD IS TO PURCHASE SAS SOFTWARE AND SUPPORT IN ACCORDANCE WITH FAR 8.4. THE TOTAL OBLIGATED AMOUNT IS $11,890,293.11. THIS AWARD IS FOR ONE BASE YEAR (12/31/2018 - 12/30/2019) AND TWO OPTION YEARS (12/31/2019 - 12/30/2020 AND 12/31/2020 - 12/30/2021).

Place of Performance

Location: BETHESDA, MONTGOMERY County, MARYLAND, 20817

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $41.7 million to EXECUTIVE INFORMATION SYSTEMS, L.L.C. for work described as: EXECUTIVE INFORMATION SYSTEMS:1108519 [19-000247] THE PURPOSE OF THIS AWARD IS TO PURCHASE SAS SOFTWARE AND SUPPORT IN ACCORDANCE WITH FAR 8.4. THE TOTAL OBLIGATED AMOUNT IS $11,890,293.11. THIS AWARD IS FOR ONE BASE YEAR (12/31/2018 - 12/30/2019) AND TWO OPTION YEARS (12/31/2019… Key points: 1. The contract focuses on acquiring SAS software and associated support services, crucial for data analysis and research. 2. The total obligated amount of $11.9 million covers a base year and two option years, indicating a multi-year commitment. 3. The contract was awarded under full and open competition, suggesting a robust bidding process. 4. The primary contractor, EXECUTIVE INFORMATION SYSTEMS, L.L.C., will provide these essential IT services. 5. The duration of the contract is approximately 1476 days, spanning from late 2018 to late 2022. 6. The contract type is Firm Fixed Price, which helps in managing budget predictability. 7. This award falls under the 'Other Computer Related Services' category, highlighting its IT focus.

Value Assessment

Rating: good

The total obligated amount of $11.9 million for SAS software and support over nearly four years appears reasonable given the specialized nature of SAS software and its widespread use in federal research and data analysis. Benchmarking against similar federal contracts for enterprise software licenses and support would provide a more precise value assessment. However, the firm fixed-price structure offers cost certainty for the agency.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit a bid. This suggests a competitive bidding process was utilized, which typically leads to better price discovery and potentially more favorable terms for the government. The number of bidders is not specified, but the competition type implies multiple offers were likely considered.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can drive down costs and encourage innovation, leading to better value for public funds.

Public Impact

The National Institutes of Health (NIH) benefits from access to advanced data analysis tools. Researchers and analysts within NIH will utilize the SAS software for critical data processing and insights. The services delivered support the agency's mission in health research and public health initiatives. The geographic impact is primarily within the agency's facilities, likely in Maryland. The contract supports the IT workforce by providing necessary software and tools for their analytical tasks.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in with specialized software like SAS, requiring ongoing investment.
Reliance on a single vendor for critical software support could pose risks if the vendor faces financial or operational issues.
The long-term cost of SAS licenses and support can be substantial, requiring careful budget management over the contract's life.

Positive Signals

Awarded under full and open competition, suggesting a competitive pricing environment.
Firm Fixed Price contract type provides cost certainty for the agency.
Multi-year award structure allows for consistent access to essential analytical tools.
The contract supports a critical function (data analysis) for a major health research agency.

Sector Analysis

This contract falls within the Information Technology sector, specifically under 'Other Computer Related Services'. The market for enterprise analytics software like SAS is mature, with several major players. Federal spending in this area is significant, driven by the need for data-driven decision-making across agencies. Comparable spending benchmarks would involve analyzing other federal contracts for similar software suites and support services, considering factors like user count, feature sets, and support levels.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses arising from a set-aside provision. The primary contractor, EXECUTIVE INFORMATION SYSTEMS, L.L.C., is not specified as a small business. The impact on the small business ecosystem is neutral in terms of direct set-aside opportunities for this specific award.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the program office within the National Institutes of Health. Accountability measures are inherent in the Firm Fixed Price contract type, requiring delivery of specified software and support. Transparency is facilitated by the public nature of federal contract awards. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Federal Health IT Spending
Software Licensing and Support Contracts
Data Analytics and Business Intelligence Services
NIH IT Procurement
General Services Administration (GSA) Schedule Contracts

Risk Flags

Potential for cost escalation in future option years or renewals.
Dependence on a single vendor for critical analytical software.
Ensuring adequate technical support and responsiveness from the contractor.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $41.7 million to EXECUTIVE INFORMATION SYSTEMS, L.L.C.. EXECUTIVE INFORMATION SYSTEMS:1108519 [19-000247] THE PURPOSE OF THIS AWARD IS TO PURCHASE SAS SOFTWARE AND SUPPORT IN ACCORDANCE WITH FAR 8.4. THE TOTAL OBLIGATED AMOUNT IS $11,890,293.11. THIS AWARD IS FOR ONE BASE YEAR (12/31/2018 - 12/30/2019) AND TWO OPTION YEARS (12/31/2019 - 12/30/2020 AND 12/31/2020 - 12/30/2021).

Who is the contractor on this award?

The obligated recipient is EXECUTIVE INFORMATION SYSTEMS, L.L.C..

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (National Institutes of Health).

What is the total obligated amount?

The obligated amount is $41.7 million.

What is the period of performance?

Start: 2018-12-14. End: 2022-12-29.

What is the track record of EXECUTIVE INFORMATION SYSTEMS, L.L.C. with federal contracts, particularly for software and IT services?

EXECUTIVE INFORMATION SYSTEMS, L.L.C. has a history of receiving federal contracts, primarily within the IT services domain. Analyzing their past performance, including contract values, agencies served, and types of services rendered, is crucial. For this specific contract, their ability to deliver SAS software and support effectively, meeting the technical requirements and timelines set by NIH, would be a key indicator of their track record. Past performance reviews and any documented issues or commendations on previous federal awards would provide further insight into their reliability and capability as a contractor.

How does the pricing of this SAS software and support contract compare to other federal or commercial procurements for similar services?

A comprehensive value-for-money assessment requires benchmarking this contract's pricing against comparable federal and commercial procurements. This involves comparing the per-user license costs, support fees, and any associated service charges against market rates and other government contracts for SAS software. Factors such as the specific SAS modules licensed, the number of users, the level of support required (e.g., 24/7 vs. business hours), and the contract duration all influence pricing. Without access to detailed pricing breakdowns and a broader market analysis, it is difficult to definitively state if this $11.9 million award represents excellent or questionable value, though the full and open competition suggests an attempt to achieve competitive pricing.

What are the primary risks associated with this contract, and what mitigation strategies are in place?

Key risks include potential vendor lock-in due to the specialized nature of SAS software, which can make switching to alternative solutions costly and complex. There's also a risk related to the vendor's ability to provide timely and effective support, which is critical for uninterrupted data analysis. Furthermore, the long-term cost of SAS licenses and maintenance can escalate, posing a budget risk. Mitigation strategies might include negotiating favorable contract terms, ensuring clear service level agreements (SLAs) for support, and potentially exploring open-source alternatives or consolidation opportunities during future procurement cycles. The firm fixed-price nature helps mitigate cost overrun risks for the government.

How effective has SAS software been in supporting the data analysis needs of the National Institutes of Health in the past?

The effectiveness of SAS software in supporting NIH's data analysis needs is largely dependent on how well the software aligns with the specific research methodologies and data types encountered. SAS is a powerful and widely respected analytics platform, particularly strong in statistical analysis, data management, and business intelligence. Its effectiveness at NIH would be reflected in the quality and timeliness of research outcomes, the ability of researchers to derive meaningful insights from complex datasets, and the overall efficiency of their analytical workflows. User satisfaction surveys, project success rates attributed to data analysis, and the adoption rate of SAS tools among researchers would be indicators of its effectiveness.

What are the historical spending patterns for SAS software and support at the Department of Health and Human Services (HHS) or NIH?

Analyzing historical spending patterns for SAS software and support at HHS and NIH is essential for understanding trends, identifying potential cost savings, and forecasting future needs. This involves examining previous contracts for SAS products and services, noting the total amounts obligated, contract durations, and the specific NIH or HHS components that procured these services. Significant year-over-year increases or decreases in spending could indicate shifts in agency priorities, changes in software utilization, or evolving pricing structures. Understanding this history provides context for the current $11.9 million award and helps assess its alignment with long-term budgetary strategies.

Does the contract include provisions for training or knowledge transfer to ensure NIH staff can effectively utilize the SAS software?

The provided data does not explicitly detail whether the contract includes provisions for training or knowledge transfer. However, for a comprehensive software support contract, especially one involving complex analytical tools like SAS, training and knowledge transfer are often critical components. Agencies typically seek to build internal capacity to maximize their investment. It would be beneficial to review the full contract details to ascertain if specific training modules, workshops, or documentation support are included. If not, NIH may need to budget separately for such services or rely on the vendor's standard support offerings, which may or may not include robust knowledge transfer mechanisms.

Industry Classification

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

Product/Service Code: INFORMATION TECHNOLOGY EQUIPMENT (INCLD FIRMWARE) SOFTWARE,SUPPLIES& SUPPORT EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 75N97019Q00006

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 6903 ROCKLEDGE DR STE 760, BETHESDA, MD, 20817

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $41,701,723

Exercised Options: $41,701,723

Current Obligation: $41,701,723

Actual Outlays: $825,528

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QTCA18D0081

IDV Type: FSS

Timeline