HHS Awards $5.7M for Custom Computer Programming Services to Soft Tech Consulting, Inc
Contract Overview
Contract Amount: $5,739,241 ($5.7M)
Contractor: Soft Tech Consulting, Inc.
Awarding Agency: Department of Health and Human Services
Start Date: 2025-06-01
End Date: 2026-05-31
Contract Duration: 364 days
Daily Burn Rate: $15.8K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: TIME AND MATERIALS
Sector: IT
Official Description: IT SERVICES
Place of Performance
Location: CHANTILLY, FAIRFAX County, VIRGINIA, 20151
State: Virginia Government Spending
Plain-Language Summary
Department of Health and Human Services obligated $5.7 million to SOFT TECH CONSULTING, INC. for work described as: IT SERVICES Key points: 1. Contract awarded to Soft Tech Consulting, Inc. for custom computer programming. 2. The contract falls under the IT Services sector, specifically custom computer programming. 3. Full and open competition was utilized for this award. 4. The contract duration is approximately one year, with an estimated value of $5.7M. 5. The award is a delivery order under a larger contract.
Value Assessment
Rating: fair
The contract value of $5.7M for a 364-day duration suggests a daily rate of approximately $15,767. This rate needs to be benchmarked against similar custom computer programming services contracts to assess its competitiveness.
Cost Per Unit: $15,767
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating a robust price discovery process. This method generally leads to more competitive pricing by allowing all eligible vendors to bid.
Taxpayer Impact: The use of full and open competition aims to ensure taxpayer funds are used efficiently by securing the best value services at competitive prices.
Public Impact
Supports critical IT functions within the National Institutes of Health. Ensures continued development and maintenance of custom software solutions. Impacts the operational efficiency of health research initiatives.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns if daily rate is not competitive.
- Dependence on a single vendor for critical programming services.
Positive Signals
- Awarded through full and open competition.
- Supports NIH's mission-critical IT infrastructure.
Sector Analysis
This contract falls within the Information Technology sector, specifically custom computer programming services (NAICS 541511). Spending in this area is substantial across federal agencies, supporting a wide range of digital infrastructure and software development needs.
Small Business Impact
While the contract was awarded under full and open competition, it is unclear if small businesses were significantly involved as subcontractors. Further analysis would be needed to determine the extent of small business participation.
Oversight & Accountability
The award is a delivery order, suggesting it is part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract. Oversight would involve monitoring performance against the delivery order and the underlying IDIQ contract's terms.
Related Government Programs
- Custom Computer Programming Services
- Department of Health and Human Services Contracting
- National Institutes of Health Programs
Risk Flags
- High daily rate requires validation.
- Potential for cost overruns with T&M pricing.
- Limited duration may indicate a need for follow-on work.
- Dependence on a single vendor for critical services.
Tags
custom-computer-programming-services, department-of-health-and-human-services, va, delivery-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $5.7 million to SOFT TECH CONSULTING, INC.. IT SERVICES
Who is the contractor on this award?
The obligated recipient is SOFT TECH CONSULTING, INC..
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 $5.7 million.
What is the period of performance?
Start: 2025-06-01. End: 2026-05-31.
What is the benchmark pricing for similar custom computer programming services in the federal market?
Benchmarking requires comparing the $15,767 daily rate against historical data for similar services, considering factors like contract type, vendor experience, and specific technical requirements. Without access to a comprehensive federal procurement database or specific contract details, a precise benchmark is difficult. However, this rate appears to be on the higher end for standard programming services, warranting further scrutiny.
What are the specific risks associated with the 'Time and Materials' pricing structure for this contract?
The 'Time and Materials' (T&M) pricing structure carries inherent risks of cost escalation if not closely managed. Without defined labor hours or material costs, there's a potential for scope creep and inefficient resource utilization. Robust oversight, detailed timesheet tracking, and clear task definitions are crucial to mitigate these risks and ensure the government pays only for necessary and efficient work.
How effectively does this contract support the National Institutes of Health's long-term research goals?
The effectiveness of this contract in supporting NIH's long-term research goals hinges on the quality and impact of the custom computer programming delivered. If the services provided lead to the development of robust, scalable, and innovative software solutions that enhance data analysis, research collaboration, or operational efficiency, then the contract is highly effective. Regular performance reviews and alignment with research objectives are key indicators.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Custom Computer Programming Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 1
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Address: 4229 LAFAYETTE CENTER DR, CHANTILLY, VA, 20151
Business Categories: Asian Pacific American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $9,098,077
Exercised Options: $5,739,241
Current Obligation: $5,739,241
Actual Outlays: $3,214,479
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: 47QTCA21D00DF
IDV Type: FSS
Timeline
Start Date: 2025-06-01
Current End Date: 2026-05-31
Potential End Date: 2026-05-31 00:00:00
Last Modified: 2026-04-09
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