Oracle Management Support Services contract awarded to International Logic Systems Inc. for over $2.3 million

Contract Overview

Contract Amount: $2,365,286 ($2.4M)

Contractor: International Logic Systems Inc

Awarding Agency: Export-Import Bank of the United States

Start Date: 2022-02-18

End Date: 2027-02-20

Contract Duration: 1,828 days

Daily Burn Rate: $1.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: ORACLE MANAGEMENT SUPPORT SERVICES

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20571

State: District of Columbia Government Spending

Plain-Language Summary

Export-Import Bank of the United States obligated $2.4 million to INTERNATIONAL LOGIC SYSTEMS INC for work described as: ORACLE MANAGEMENT SUPPORT SERVICES Key points: 1. Value for money assessed through benchmarking against similar IT support contracts. 2. Competition dynamics indicate a full and open competition, suggesting potential for competitive pricing. 3. Risk indicators include contract duration and reliance on a single vendor for critical support. 4. Performance context relies on vendor's ability to deliver specialized Oracle support. 5. Sector positioning within IT services, specifically focusing on database management and support.

Value Assessment

Rating: fair

The contract value of approximately $2.37 million over five years for Oracle management support services appears within a reasonable range for specialized IT support. However, without specific details on the scope of services and labor rates, a precise value-for-money assessment is challenging. Benchmarking against similar contracts for Oracle database administration and support would provide a clearer picture of whether the pricing is competitive. The fixed-price nature of the contract offers some cost certainty, but potential for cost overruns exists if the scope of work expands or unforeseen technical issues arise.

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 a bid. The fact that it was competed openly suggests that the agency sought the best possible solution and price. The number of bidders is not specified, but open competition generally fosters a more robust price discovery process compared to limited or sole-source procurements. This approach aims to ensure that taxpayer dollars are used efficiently by leveraging market forces.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it increases the likelihood of obtaining competitive pricing and high-quality services by allowing a wide range of vendors to participate.

Public Impact

The Export-Import Bank of the United States benefits from consistent and expert support for its Oracle systems. Services delivered include management, maintenance, and potential upgrades for critical Oracle database infrastructure. Geographic impact is primarily within the District of Columbia, where the agency is located. Workforce implications may involve reliance on external expertise for specialized Oracle functions, potentially reducing the need for in-house specialized staff.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if specialized knowledge is not adequately transferred to agency personnel.
Reliance on a single vendor for critical database support could pose a risk if the vendor experiences financial instability or performance issues.
Scope creep could lead to increased costs if not managed tightly under the fixed-price contract.

Positive Signals

Awarded through full and open competition, suggesting a competitive selection process.
Fixed-price contract provides cost certainty for the defined scope of work.
Long-term contract (5 years) allows for stable support and potential for relationship building with the vendor.

Sector Analysis

The IT services sector, particularly in database management and support, is a significant area of federal spending. This contract falls within the broader category of IT professional services, which includes a wide range of activities from software development to system maintenance. The market for Oracle support services is competitive, with numerous firms offering specialized expertise. Federal agencies often rely on external contractors for specialized IT functions like Oracle management due to the complexity and evolving nature of the technology, as well as the need for specific skill sets.

Small Business Impact

This contract was not set aside for small businesses, and the awardee, International Logic Systems Inc., is not identified as a small business in this context. There is no explicit mention of subcontracting requirements for small businesses within the provided data. The lack of a small business set-aside or subcontracting plan may limit opportunities for small businesses to participate in this specific contract, although they may compete for other federal IT contracts.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and program managers within the Export-Import Bank of the United States. Accountability measures are inherent in the fixed-price contract structure, requiring the vendor to deliver specified services. Transparency is facilitated by the contract award data being publicly available. The Inspector General's office of the Export-Import Bank would have jurisdiction for audits and investigations if any irregularities were suspected.

Related Government Programs

IT Professional Services
Database Management Services
Oracle Software Support
IT Operations and Maintenance

Risk Flags

Long contract duration may increase risk of vendor lock-in.
Reliance on a single vendor for critical IT infrastructure.
Scope definition critical for fixed-price contract success.

Frequently Asked Questions

What is this federal contract paying for?

Export-Import Bank of the United States awarded $2.4 million to INTERNATIONAL LOGIC SYSTEMS INC. ORACLE MANAGEMENT SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is INTERNATIONAL LOGIC SYSTEMS INC.

Which agency awarded this contract?

Awarding agency: Export-Import Bank of the United States (Export-Import Bank of the United States).

What is the total obligated amount?

The obligated amount is $2.4 million.

What is the period of performance?

Start: 2022-02-18. End: 2027-02-20.

What is the specific scope of services included in this Oracle Management Support Services contract?

The provided data indicates the contract is for 'ORACLE MANAGEMENT SUPPORT SERVICES' awarded to International Logic Systems Inc. by the Export-Import Bank of the United States. While the broad category is clear, the specific deliverables are not detailed. Typically, such contracts encompass services like database administration, performance tuning, patching and upgrades, backup and recovery, security management, and potentially application support related to Oracle databases. The duration of the contract is over five years (February 2022 to February 2027), suggesting a comprehensive, long-term support arrangement rather than a project-specific task.

How does the contract value of approximately $2.37 million compare to similar Oracle support contracts?

Benchmarking this contract's value requires comparing it to similar Oracle management support services procured by federal agencies. Given the five-year duration, the annual value is roughly $473,000. This figure needs to be assessed against the complexity of the agency's Oracle environment (e.g., number of databases, size, criticality, specific Oracle products like E-Business Suite, PeopleSoft, or cloud services). Contracts for high-level Oracle expertise, especially those involving critical infrastructure support or specialized modules, can range significantly. Without detailed service level agreements (SLAs) and labor rates, a precise comparison is difficult, but the amount appears within a plausible range for dedicated, long-term support for a federal agency's Oracle infrastructure.

What are the primary risks associated with this contract for the Export-Import Bank?

Key risks include potential vendor lock-in, where the agency becomes overly reliant on International Logic Systems Inc. for specialized Oracle knowledge, making future transitions difficult or costly. Performance risk is another concern; if the vendor fails to deliver adequate support, it could impact the Ex-Im Bank's operations. Given the five-year term, there's also a risk of the contracted services becoming outdated or insufficient as technology evolves, necessitating contract modifications or renegotiations. Finally, the fixed-price nature, while offering cost certainty, could lead to disputes if the scope of work is not clearly defined or if unforeseen issues require additional effort beyond the original agreement.

What is the track record of International Logic Systems Inc. in providing Oracle support services to the federal government?

Information on International Logic Systems Inc.'s specific track record for Oracle support services is not detailed in the provided data. To assess their performance, one would need to examine past performance evaluations, contract histories, and any reported issues or successes on previous federal contracts. Federal procurement databases and past performance questionnaires (PPQs) are typically used for this purpose. A thorough review would involve looking at the quality of services rendered, adherence to schedules and budgets, and overall customer satisfaction on prior engagements, particularly those involving similar IT support functions.

How does the competition level (full and open) impact the value and quality of services received?

Awarding the contract through full and open competition generally benefits the government by maximizing the pool of potential bidders, thereby fostering a more competitive environment. This increased competition typically drives down prices and encourages vendors to offer higher quality services and innovative solutions to win the contract. For taxpayers, this means a greater likelihood that their money is being spent efficiently and effectively. The Export-Import Bank likely received multiple proposals, allowing them to select the offer that presented the best overall value, considering both price and technical merit, rather than being limited to a pre-selected group of vendors.

What are the potential implications of this contract on the broader IT services market, particularly for Oracle specialists?

This contract represents a significant award for International Logic Systems Inc. within the Oracle services niche. For the broader market, it signifies continued demand for specialized Oracle management support within federal agencies. It highlights the ongoing reliance on complex database systems and the need for expert third-party support. The full and open competition suggests that established firms and potentially newer entrants had the opportunity to bid, contributing to market dynamics. The five-year duration indicates a stable, long-term revenue stream for the awarded contractor, potentially influencing resource allocation and strategic planning within competing firms.

Industry Classification

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

Product/Service Code: IT AND TELECOM - PLATFORM

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: 12150 MONUMENT DR, FAIRFAX, VA, 22033

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, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $2,365,286

Exercised Options: $2,365,286

Current Obligation: $2,365,286

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS35F397DA

IDV Type: FSS

Timeline