Department of Energy awards $11.2M for Oracle maintenance and licenses to Affigent, LLC
Contract Overview
Contract Amount: $11,203,970 ($11.2M)
Contractor: Affigent, LLC
Awarding Agency: Department of Energy
Start Date: 2023-06-02
End Date: 2026-05-31
Contract Duration: 1,094 days
Daily Burn Rate: $10.2K/day
Competition Type: NOT COMPETED UNDER SAP
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: THE PURPOSE OF THIS ACTION IS FOR ON-GOING MAINTENANCE AND SUPPORT FOR EXISTING ORACLE PRODUCTS AND SERVICES, AND FOR NEW ORACLE SOFTWARE LICENSES.
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20585
Plain-Language Summary
Department of Energy obligated $11.2 million to AFFIGENT, LLC for work described as: THE PURPOSE OF THIS ACTION IS FOR ON-GOING MAINTENANCE AND SUPPORT FOR EXISTING ORACLE PRODUCTS AND SERVICES, AND FOR NEW ORACLE SOFTWARE LICENSES. Key points: 1. Contract focuses on essential maintenance and new licenses for Oracle products, indicating ongoing reliance on this software suite. 2. The award was not competed under Simplified Acquisition Procedures (SAP), suggesting a potentially higher value or specific procurement path. 3. A firm-fixed-price contract type aims to control costs by establishing a set price for the services and licenses. 4. The contract duration of approximately three years (1094 days) provides a stable period for Oracle support. 5. The primary service category is 'Other Computer Related Services', aligning with software maintenance and licensing needs. 6. The contractor, Affigent, LLC, is a single awardee for this specific action.
Value Assessment
Rating: fair
The contract value of $11.2 million for Oracle maintenance and new licenses over three years appears to be within a reasonable range for enterprise-level software support. However, without specific details on the number of licenses, the scope of maintenance, and the specific Oracle products covered, a precise value-for-money assessment is challenging. Benchmarking against similar government-wide agreements or other agency contracts for Oracle support would provide a clearer picture of whether the pricing is competitive. The firm-fixed-price structure offers cost predictability.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
This contract was not competed under SAP, and the data indicates it was a 'BPA CALL' (Blanket Purchase Agreement Call). While not explicitly sole-source, the limited competition information suggests it may have been awarded under an existing BPA, potentially limiting broader market participation for this specific call. The number of bidders is not specified, making it difficult to assess the extent of competition achieved for this particular task order.
Taxpayer Impact: The limited competition for this Oracle support contract means taxpayers may not have benefited from the potentially lower prices that could arise from a more open bidding process.
Public Impact
The Department of Energy benefits from continued operational support and access to necessary Oracle software. Essential IT services are maintained, ensuring the continuity of agency operations. The contract supports the agency's reliance on Oracle's database and application software. The primary impact is on the internal IT infrastructure and personnel of the Department of Energy.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of detailed competition information hinders assessment of optimal pricing.
- Potential for higher costs due to limited competitive bidding process.
- Reliance on a single vendor for ongoing maintenance and new licenses could create lock-in.
Positive Signals
- Firm-fixed-price contract provides cost certainty for the duration.
- Long-term support agreement ensures continuity of critical IT services.
- Award to a specific vendor streamlines the procurement and management process for this requirement.
Sector Analysis
The IT services sector, particularly software maintenance and licensing, represents a significant portion of federal spending. This contract falls within the 'Other Computer Related Services' NAICS code, which encompasses a broad range of IT support functions. Federal agencies often rely on established software vendors like Oracle, leading to substantial spending on maintenance, support, and new licenses. Benchmarking this contract's value against other federal Oracle support contracts would be necessary for a comprehensive sector analysis.
Small Business Impact
The data indicates that small business participation (sb: false) was not a factor in this specific award. There is no indication of small business set-asides or subcontracting requirements associated with this BPA call. Therefore, this contract is unlikely to have a direct positive impact on the small business ecosystem.
Oversight & Accountability
Oversight for this contract would typically fall under the Department of Energy's contracting officer and program managers. As a BPA call, the underlying BPA likely has its own oversight mechanisms. Transparency is moderate, as contract awards are generally public, but the specifics of the competition and pricing justification may not be readily available without a Freedom of Information Act request. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.
Related Government Programs
- Oracle Software Licenses and Maintenance
- IT Support Services
- Blanket Purchase Agreements (BPAs)
- Department of Energy IT Modernization Efforts
Risk Flags
- Limited competition raises concerns about potential overpayment.
- Lack of specific product details hinders comprehensive value assessment.
- Reliance on a single vendor for ongoing support could pose future risks.
Tags
it-services, software-maintenance, oracle, department-of-energy, firm-fixed-price, limited-competition, bpa-call, district-of-columbia, computer-related-services, enterprise-it
Frequently Asked Questions
What is this federal contract paying for?
Department of Energy awarded $11.2 million to AFFIGENT, LLC. THE PURPOSE OF THIS ACTION IS FOR ON-GOING MAINTENANCE AND SUPPORT FOR EXISTING ORACLE PRODUCTS AND SERVICES, AND FOR NEW ORACLE SOFTWARE LICENSES.
Who is the contractor on this award?
The obligated recipient is AFFIGENT, LLC.
Which agency awarded this contract?
Awarding agency: Department of Energy (Department of Energy).
What is the total obligated amount?
The obligated amount is $11.2 million.
What is the period of performance?
Start: 2023-06-02. End: 2026-05-31.
What specific Oracle products and services are covered under this maintenance and support contract?
The provided data indicates the contract is for 'ON-GOING MAINTENANCE AND SUPPORT FOR EXISTING ORACLE PRODUCTS AND SERVICES, AND FOR NEW ORACLE SOFTWARE LICENSES.' However, it does not specify the exact Oracle products (e.g., Oracle Database, Oracle E-Business Suite, specific cloud services) or the scope of the maintenance and support. This level of detail is crucial for understanding the true value and necessity of the contract. Without this information, it's difficult to benchmark against similar contracts or assess if the agency is procuring the most appropriate or cost-effective Oracle solutions for its needs.
How does the $11.2 million cost compare to similar Oracle support contracts within the federal government?
Benchmarking this $11.2 million contract against similar federal Oracle support contracts is challenging without more specific details on the products, services, and user counts involved. However, federal agencies collectively spend billions on Oracle software and support annually. Contracts for enterprise-level Oracle database licenses and comprehensive support can range from hundreds of thousands to tens of millions of dollars, depending on the scale and complexity. To provide a precise comparison, one would need to identify contracts with comparable scope, such as those covering large enterprise databases or multiple Oracle application suites across agencies of similar size and mission.
What was the justification for not competing this contract more broadly, given it's a significant dollar amount?
The data states the contract was a 'BPA CALL' and 'NOT COMPETED UNDER SAP'. This suggests the procurement likely leveraged an existing Blanket Purchase Agreement (BPA), which itself may have been competed previously. However, the specific justification for awarding this particular call without further competition is not detailed. Reasons could include the need for specialized support only available from the BPA holder, urgency, or specific requirements that aligned with a pre-negotiated agreement. A full and open competition might have been deemed less efficient or effective for this specific task order under the existing BPA structure.
What is the track record of Affigent, LLC in providing Oracle maintenance and support to federal agencies?
Information on Affigent, LLC's specific track record for providing Oracle maintenance and support is not detailed in the provided data. As a federal contractor, their performance history would be available through sources like the Federal Procurement Data System (FPDS) or the Contractor Performance Assessment Reporting System (CPARS). To assess their track record, one would need to review past performance evaluations, identify other contracts they have held for similar services, and examine client feedback. A positive track record with relevant experience would increase confidence in their ability to fulfill this contract effectively.
What are the potential risks associated with a firm-fixed-price contract for ongoing software maintenance?
Firm-fixed-price (FFP) contracts aim to provide cost certainty, but for ongoing software maintenance, there can be risks. If the scope of work or the number of users changes significantly during the contract period, the fixed price might become disadvantageous to either the government or the contractor. For the government, if the contractor's costs decrease substantially due to efficiencies or changes in software versions, the FFP might lead to overpayment. Conversely, if unforeseen issues arise requiring extensive support not initially scoped, the contractor might incur losses, potentially impacting service quality or leading to contract disputes. Clear scope definition and change management processes are crucial for mitigating these risks.
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: NOT COMPETED UNDER SAP
Solicitation Procedures: SIMPLIFIED ACQUISITION
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Nana Regional Corporation, Inc.
Address: 2553 DULLES VIEW DR STE 700, HERNDON, VA, 20171
Business Categories: Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Not Designated a Small Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $20,409,542
Exercised Options: $11,384,973
Current Obligation: $11,203,970
Actual Outlays: $11,203,970
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: 89303022AIM000015
IDV Type: BPA
Timeline
Start Date: 2023-06-02
Current End Date: 2026-05-31
Potential End Date: 2028-05-31 00:00:00
Last Modified: 2026-02-04
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