DOE Awards $31.8M AWS Contract to V3GATE, LLC for EIA Cloud Services
Contract Overview
Contract Amount: $31,837 ($31.8K)
Contractor: V3gate, LLC
Awarding Agency: Department of Energy
Start Date: 2025-05-18
End Date: 2026-05-17
Contract Duration: 364 days
Daily Burn Rate: $87/day
Competition Type: NOT COMPETED UNDER SAP
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: ORDER FOR THE U.S. ENERGY INFORMATION ADMINISTRATION (EIA), OFFICE OF RESOURCES AND TECHNOLOGY MANAGEMENT (ORTM), OFFICE OF ACQUISITION MANAGEMENT (OAM) UNDER DOE SINGLE AWARD AGENCY CATALOG NO. 89303022AIM000014 FOR AMAZON WEB SERVICES (AWS) DIRECT
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20585
Plain-Language Summary
Department of Energy obligated $31,836.72 to V3GATE, LLC for work described as: ORDER FOR THE U.S. ENERGY INFORMATION ADMINISTRATION (EIA), OFFICE OF RESOURCES AND TECHNOLOGY MANAGEMENT (ORTM), OFFICE OF ACQUISITION MANAGEMENT (OAM) UNDER DOE SINGLE AWARD AGENCY CATALOG NO. 89303022AIM000014 FOR AMAZON WEB SERVICES (AWS) DIRECT Key points: 1. The contract leverages Amazon Web Services (AWS) for the Energy Information Administration (EIA). 2. V3GATE, LLC, a small business, is the awardee. 3. The award is a BPA Call under a DOE single award agency catalog. 4. The contract is for 'Other Computer Related Services' with a firm fixed price. 5. The period of performance is one year, from May 2025 to May 2026.
Value Assessment
Rating: good
The contract value of $31.8M for one year of AWS services appears reasonable given the scale of cloud computing needs for a federal agency like EIA. Benchmarking against similar government AWS contracts would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
This award was not competed under Simplified Acquisition Procedures (SAP) and was issued as a BPA Call. The limited competition method may impact price discovery, though the use of an existing agency catalog suggests some pre-negotiated pricing.
Taxpayer Impact: Taxpayer funds are being used for cloud computing services, a common and often cost-effective method for federal agencies to access IT infrastructure.
Public Impact
Ensures continued access to critical data and analytical tools for the Energy Information Administration. Supports the operational needs of the Office of Resources and Technology Management (ORTM). Provides cloud infrastructure for data storage, processing, and dissemination. Impacts federal energy data analysis and public access to energy information.
Waste & Efficiency Indicators
Waste Risk Score: 87 / 10
Warning Flags
- Limited competition could lead to higher prices.
- Reliance on a single cloud provider (AWS).
Positive Signals
- Awarded to a small business.
- Utilizes an existing agency catalog for efficiency.
Sector Analysis
The IT services sector, particularly cloud computing, is a significant area of federal spending. Agencies increasingly rely on cloud solutions for scalability, flexibility, and cost-efficiency compared to traditional on-premises infrastructure.
Small Business Impact
The awardee, V3GATE, LLC, is a small business. This contract contributes to federal goals of supporting small businesses in the technology sector.
Oversight & Accountability
The contract falls under the Department of Energy's acquisition management office, implying standard federal oversight. The BPA Call structure suggests it's part of a larger, pre-vetted framework.
Related Government Programs
- Other Computer Related Services
- Department of Energy Contracting
- Department of Energy Programs
Risk Flags
- Limited competition
- Potential for vendor lock-in with AWS
- Lack of specific service details
- Short contract duration may necessitate future re-competition
Tags
other-computer-related-services, department-of-energy, dc, bpa-call, under-100k
Frequently Asked Questions
What is this federal contract paying for?
Department of Energy awarded $31,836.72 to V3GATE, LLC. ORDER FOR THE U.S. ENERGY INFORMATION ADMINISTRATION (EIA), OFFICE OF RESOURCES AND TECHNOLOGY MANAGEMENT (ORTM), OFFICE OF ACQUISITION MANAGEMENT (OAM) UNDER DOE SINGLE AWARD AGENCY CATALOG NO. 89303022AIM000014 FOR AMAZON WEB SERVICES (AWS) DIRECT
Who is the contractor on this award?
The obligated recipient is V3GATE, LLC.
Which agency awarded this contract?
Awarding agency: Department of Energy (Department of Energy).
What is the total obligated amount?
The obligated amount is $31,836.72.
What is the period of performance?
Start: 2025-05-18. End: 2026-05-17.
What specific AWS services are being procured, and how do their costs compare to market rates for similar government contracts?
The data does not specify the exact AWS services. A detailed breakdown of services like EC2, S3, RDS, etc., is needed. Comparing the per-service costs against GSA schedules or other agency AWS BPA rates would reveal if the pricing is competitive and offers good value for the taxpayer.
What is the justification for limiting competition on this significant cloud services contract?
The award was made under a 'DOE Single Award Agency Catalog' and identified as 'NOT COMPETED UNDER SAP'. The justification for limited competition needs to be clearly documented, potentially citing reasons like specific technical requirements, existing infrastructure integration, or the use of a pre-competed agency-wide BPA.
How does this contract align with EIA's long-term IT strategy and potential future cloud migration plans?
This one-year contract provides essential cloud services for EIA's immediate needs. Understanding if this aligns with a broader strategy for cloud adoption, multi-cloud approaches, or potential transitions to other providers is crucial for assessing long-term effectiveness and avoiding vendor lock-in.
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
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: $31,837
Exercised Options: $31,837
Current Obligation: $31,837
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: 89303022AIM000014
IDV Type: BPA
Timeline
Start Date: 2025-05-18
Current End Date: 2026-05-17
Potential End Date: 2026-05-17 00:00:00
Last Modified: 2026-04-07
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