Commerce Dept. Awards $10.4M IT Services Contract to STG LLC Under Full and Open Competition
Contract Overview
Contract Amount: $10,408,200 ($10.4M)
Contractor: STG LLC
Awarding Agency: Department of Commerce
Start Date: 2006-03-27
End Date: 2001-10-01
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 3
Pricing Type: COST PLUS FIXED FEE
Sector: IT
Official Description: INFORMATION TECHNOLOGY SERVICES
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20230
Plain-Language Summary
Department of Commerce obligated $10.4 million to STG LLC for work described as: INFORMATION TECHNOLOGY SERVICES Key points: 1. Contract Value: $10.4 million for IT services. 2. Contractor: STG LLC. 3. Agency: Department of Commerce, Office of the Secretary. 4. Competition: Full and open competition after exclusion of sources. 5. Contract Type: Cost Plus Fixed Fee.
Value Assessment
Rating: good
The contract value of $10.4 million for IT services appears reasonable given the full and open competition. Without specific details on the scope of work, a direct per-unit cost comparison is difficult, but the competitive nature suggests fair pricing.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition after exclusion of sources, indicating a robust process to solicit bids. This method generally leads to better price discovery and value for the government.
Taxpayer Impact: The use of full and open competition is a positive indicator for taxpayer value, as it encourages a wide range of potential contractors to bid, driving down costs and improving service quality.
Public Impact
Citizens benefit from potentially improved IT services within the Department of Commerce. Small businesses may have had opportunities to subcontract, though not explicitly stated. The competitive award process aims to ensure efficient use of taxpayer funds.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Contract type (Cost Plus Fixed Fee) can sometimes lead to cost overruns if not managed tightly.
- Exclusion of sources in the competition method warrants further understanding of the rationale.
Positive Signals
- Full and open competition is a strong positive signal for value.
- Award to a single entity (STG LLC) suggests specialized capabilities.
Sector Analysis
Information Technology services are crucial for government operations. Benchmarks for IT services vary widely based on complexity, but a $10.4 million contract over its period suggests a significant project.
Small Business Impact
While the contract was awarded to STG LLC, the data does not specify if small businesses were involved as prime contractors or subcontractors. Further analysis would be needed to determine small business participation.
Oversight & Accountability
The contract was awarded by the Department of Commerce, Office of the Secretary, indicating a level of agency oversight. The 'full and open competition' method itself implies a structured procurement process.
Related Government Programs
- Department of Commerce Contracting
- Office of the Secretary Programs
Risk Flags
- Potential for cost overruns with CPFF contract type.
- Rationale for 'exclusion of sources' needs clarification.
- Lack of specific service details limits in-depth analysis.
- Small business participation is not detailed.
Tags
department-of-commerce, dc, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Commerce awarded $10.4 million to STG LLC. INFORMATION TECHNOLOGY SERVICES
Who is the contractor on this award?
The obligated recipient is STG LLC.
Which agency awarded this contract?
Awarding agency: Department of Commerce (Office of the Secretary).
What is the total obligated amount?
The obligated amount is $10.4 million.
What is the period of performance?
Start: 2006-03-27. End: 2001-10-01.
What specific IT services were procured under this contract, and how do they align with the Department of Commerce's mission objectives?
The provided data identifies the contract as 'INFORMATION TECHNOLOGY SERVICES' but lacks specifics on the exact services. Understanding the scope is crucial to assess alignment with the Department of Commerce's mission. These services could range from software development and system maintenance to cybersecurity and cloud computing, all vital for modern government functions.
What was the rationale for 'exclusion of sources' within the full and open competition, and did it limit potential bidders?
The 'exclusion of sources' within a full and open competition typically means that while the competition was open, certain pre-existing conditions or requirements might have implicitly or explicitly excluded some potential bidders. Understanding this rationale is key to assessing if it unduly restricted competition or was a necessary step for specialized requirements, impacting overall value.
How effectively was the Cost Plus Fixed Fee structure managed to ensure cost control and prevent overruns?
The Cost Plus Fixed Fee (CPFF) contract type allows for reimbursement of actual costs plus a fixed fee for profit. Effective management requires stringent oversight of incurred costs and clear definition of the fixed fee to prevent contractor incentives for cost escalation. Without detailed performance reports, assessing the effectiveness of cost control under this CPFF contract is challenging.
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 3
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 11250 WAPLES MILL RD # 40, FAIRFAX, VA, 11
Business Categories: Category Business, Small Business
Financial Breakdown
Contract Ceiling: $128,647,150
Exercised Options: $128,647,150
Current Obligation: $10,408,200
Parent Contract
Parent Award PIID: 50CMAA900064
IDV Type: IDC
Timeline
Start Date: 2006-03-27
Current End Date: 2001-10-01
Potential End Date: 2229-10-06 00:00:00
Last Modified: 2009-11-16
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