USDA awards $80M for software to Dell Marketing L.P. under full and open competition
Contract Overview
Contract Amount: $79,988,314 ($80.0M)
Contractor: Dell Marketing L.P.
Awarding Agency: Department of Agriculture
Start Date: 2016-03-24
End Date: 2019-03-31
Contract Duration: 1,102 days
Daily Burn Rate: $72.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 4
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: IGF::OT::IGF
Place of Performance
Location: ROUND ROCK, WILLIAMSON County, TEXAS, 78682
State: Texas Government Spending
Plain-Language Summary
Department of Agriculture obligated $80.0 million to DELL MARKETING L.P. for work described as: IGF::OT::IGF Key points: 1. Significant contract value of $79.99 million. 2. Dell Marketing L.P. is a major technology vendor. 3. Full and open competition was utilized. 4. Firm fixed price contract type suggests cost certainty.
Value Assessment
Rating: good
The contract value of $79.99 million for software is substantial. Benchmarking against similar software publisher contracts would be necessary for a precise assessment, but the firm fixed price structure provides a degree of cost control.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating a broad solicitation process. This method generally promotes competitive pricing and allows for a wide range of vendors to bid, potentially leading to better value.
Taxpayer Impact: The use of full and open competition is generally favorable for taxpayers as it aims to secure the best possible pricing through market forces.
Public Impact
Ensures the Department of Agriculture has necessary software resources. Supports the operations of the Office of the Chief Financial Officer. Potential for software to impact various agricultural programs and services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific software details.
- Potential for vendor lock-in if not managed.
- Need to ensure ongoing software relevance and support.
Positive Signals
- Awarded under full and open competition.
- Firm fixed price contract.
- Significant contract value may indicate critical need.
Sector Analysis
The Software Publishers sector (NAICS 511210) is a dynamic market. This contract's value of $79.99 million is significant within this sector, suggesting a substantial software acquisition by the Department of Agriculture.
Small Business Impact
While the awardee is Dell Marketing L.P., a large corporation, the contract was awarded under full and open competition. This process allows for small businesses to participate as subcontractors if they possess relevant capabilities.
Oversight & Accountability
The contract was awarded by the Department of Agriculture's Office of the Chief Financial Officer, suggesting internal financial oversight. Further review of performance reports and audits would be needed to assess ongoing accountability.
Related Government Programs
- Software Publishers
- Department of Agriculture Contracting
- Office of the Chief Financial Officer Programs
Risk Flags
- Lack of specific software details.
- Potential for cost overruns if scope creeps.
- Need for robust performance monitoring.
- Dependence on a single large vendor.
Tags
software-publishers, department-of-agriculture, tx, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Agriculture awarded $80.0 million to DELL MARKETING L.P.. IGF::OT::IGF
Who is the contractor on this award?
The obligated recipient is DELL MARKETING L.P..
Which agency awarded this contract?
Awarding agency: Department of Agriculture (Office of the Chief Financial Officer).
What is the total obligated amount?
The obligated amount is $80.0 million.
What is the period of performance?
Start: 2016-03-24. End: 2019-03-31.
What specific software was procured, and how does it align with the Department of Agriculture's mission objectives?
The provided data does not specify the exact software procured. Understanding the nature of the software is crucial to assess its alignment with the Department of Agriculture's mission, such as supporting financial operations, data management, or specific program functionalities. Without this detail, the direct impact and value proposition remain unclear.
What was the benchmark pricing for similar software solutions during the solicitation period?
The data indicates a firm fixed price contract, but lacks benchmark pricing information. To assess value for money, a comparison against market rates for comparable software solutions at the time of award is essential. This would help determine if the $79.99 million price was competitive and reflected fair market value.
How will the effectiveness of the procured software be measured and ensured throughout the contract period?
The effectiveness measurement is not detailed in the provided data. Ensuring effectiveness requires clear performance metrics, service level agreements, and regular reviews. The Department of Agriculture should have a plan to monitor software performance, user adoption, and its contribution to achieving intended outcomes.
Industry Classification
NAICS: Information › Software Publishers › Software Publishers
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
Offers Received: 4
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Dell Technologies Inc. (UEI: 601839660)
Address: ONE DELL WAY, ROUND ROCK, TX, 78682
Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $103,242,119
Exercised Options: $79,988,314
Current Obligation: $79,988,314
Contract Characteristics
Commercial Item: COMMERCIAL ITEM
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: GS35F059DA
IDV Type: FSS
Timeline
Start Date: 2016-03-24
Current End Date: 2019-03-31
Potential End Date: 2019-03-31 00:00:00
Last Modified: 2019-09-27
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