Commerce Department's Census Bureau spent $40.6M on enterprise software licenses over 4 years

Contract Overview

Contract Amount: $40,569,874 ($40.6M)

Contractor: Executive Information Systems, L.L.C.

Awarding Agency: Department of Commerce

Start Date: 2010-03-02

End Date: 2014-03-01

Contract Duration: 1,460 days

Daily Burn Rate: $27.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: ENTERPRISE S/W LICENSE AGREEMENT

Place of Performance

Location: SUITLAND, PRINCE GEORGES County, MARYLAND, 20746

State: Maryland Government Spending

Plain-Language Summary

Department of Commerce obligated $40.6 million to EXECUTIVE INFORMATION SYSTEMS, L.L.C. for work described as: ENTERPRISE S/W LICENSE AGREEMENT Key points: 1. Value for money appears fair given the duration and fixed-price nature of the contract. 2. Full and open competition suggests a potentially competitive pricing environment. 3. Contract duration of 4 years presents some risk of technology obsolescence. 4. Performance context is within the Census Bureau's critical data collection and dissemination mission. 5. Sector positioning is in enterprise software, a common but vital area for government operations.

Value Assessment

Rating: fair

The contract value of $40.6 million over four years averages to $10.15 million annually. This is a substantial but not necessarily excessive amount for enterprise software licenses supporting a large federal agency like the Census Bureau. Without specific details on the software's functionality and user base, a direct comparison is difficult. However, the firm fixed-price structure suggests that the government aimed to control costs upfront, which is a positive indicator for value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This process is generally expected to yield competitive pricing and a wider range of solutions. The fact that it was a delivery order suggests it was part of a larger contract vehicle, but the initial award was competed broadly.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it drives down prices through market forces and ensures the government receives the best possible value for its investment.

Public Impact

Federal employees within the Census Bureau benefit from access to essential enterprise software. The software supports critical functions related to data collection, processing, and dissemination for national statistics. Geographic impact is nationwide, as Census Bureau operations span across all states and territories. Workforce implications include enabling Census Bureau staff to perform their duties efficiently and effectively.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for software to become outdated over the 4-year performance period.
Reliance on a single vendor for enterprise software could lead to vendor lock-in if not managed carefully.

Positive Signals

Firm fixed-price contract provides cost certainty for the government.
Full and open competition suggests a robust selection process.
Long-term agreement allows for stable planning and resource allocation for the Census Bureau.

Sector Analysis

This contract falls within the enterprise software sector, which is a critical component of modern government operations. The market for enterprise software is vast and competitive, with numerous vendors offering solutions for data management, analytics, and operational efficiency. The Census Bureau's spending aligns with broader government trends of investing in IT infrastructure to support data-intensive missions. Comparable spending benchmarks would depend heavily on the specific software suite procured.

Small Business Impact

There is no indication that this contract was specifically set aside for small businesses. Given the nature and value of enterprise software agreements, it is likely that larger, established software vendors were the primary bidders. Subcontracting opportunities for small businesses may exist depending on the prime contractor's strategy, but the primary award was not a small business set-aside.

Oversight & Accountability

As a delivery order under a larger contract vehicle, oversight would likely be managed by the contracting officer at the U.S. Census Bureau. Transparency is generally maintained through contract award databases like FPDS. Accountability measures are inherent in the firm fixed-price contract terms, requiring delivery of specified software and services. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Census Bureau IT Modernization Efforts
Federal Enterprise Software Procurement
Data Management and Analytics Contracts

Risk Flags

Potential for technology obsolescence due to 4-year contract term.

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $40.6 million to EXECUTIVE INFORMATION SYSTEMS, L.L.C.. ENTERPRISE S/W LICENSE AGREEMENT

Who is the contractor on this award?

The obligated recipient is EXECUTIVE INFORMATION SYSTEMS, L.L.C..

Which agency awarded this contract?

Awarding agency: Department of Commerce (U.S. Census Bureau).

What is the total obligated amount?

The obligated amount is $40.6 million.

What is the period of performance?

Start: 2010-03-02. End: 2014-03-01.

What specific enterprise software was procured under this agreement?

The provided data does not specify the exact enterprise software procured. It is identified broadly as 'ENTERPRISE S/W LICENSE AGREEMENT'. To understand the value and impact fully, knowing the specific software (e.g., database management, analytics platform, operating system licenses) and its intended use within the Census Bureau would be crucial. This information would allow for benchmarking against similar software procurements and assessing its criticality to the agency's mission.

How does the $40.6 million cost compare to similar enterprise software licenses for federal agencies of similar size?

Benchmarking this $40.6 million expenditure requires more context on the software's scope and user base. However, for a large agency like the Census Bureau, which handles vast amounts of sensitive data and requires robust analytical tools, this figure over four years ($10.15 million annually) is within a plausible range for enterprise-level solutions. Agencies often spend millions on software licenses for operating systems, databases, statistical analysis packages, and collaboration tools. Without knowing the specific software, direct comparisons are difficult, but the cost appears consistent with the scale of operations for a major federal statistical agency.

What were the key performance indicators (KPIs) or service level agreements (SLAs) associated with this contract?

The provided data does not detail the specific Key Performance Indicators (KPIs) or Service Level Agreements (SLAs) for this contract. Typically, for enterprise software licenses, SLAs might cover aspects like software uptime, availability, patch deployment timelines, and technical support response times. KPIs would likely focus on the software's ability to meet the Census Bureau's functional requirements for data processing, analysis, and reporting. The firm fixed-price nature suggests that meeting these defined requirements was paramount.

What is the track record of Executive Information Systems, L.L.C. in providing enterprise software to the federal government?

Executive Information Systems, L.L.C. (EIS) is a known entity in federal IT contracting. While this specific contract is for enterprise software licenses, EIS has a broader history of providing IT services and solutions across various federal agencies. Their track record would need to be assessed based on past performance reviews, contract history, and any reported issues or successes. A deeper dive into their portfolio and client feedback would provide a clearer picture of their reliability and expertise in delivering enterprise software solutions.

Were there any identified risks during the contract performance period, and how were they mitigated?

The provided data does not explicitly list risks identified during the contract's performance period (March 2010 - March 2014). However, common risks for such contracts include software obsolescence, integration challenges with existing systems, vendor viability, and cybersecurity vulnerabilities. Mitigation strategies typically involve clear contract terms, regular performance reviews, proactive security assessments, and contingency planning. The 4-year duration itself presents a risk of the software becoming outdated, necessitating potential upgrades or replacements.

How has the Census Bureau's spending on enterprise software evolved since this contract ended?

This contract concluded in March 2014. To understand the evolution of the Census Bureau's spending on enterprise software, one would need to analyze subsequent contracts awarded for similar or replacement software. Trends might include increased spending due to modernization efforts, shifts towards cloud-based solutions, or consolidation of software licenses. Examining spending patterns post-2014 would reveal whether the Bureau has continued to invest heavily in enterprise software and if the nature of these investments has changed.

Industry Classification

NAICS: Manufacturing › Computer and Peripheral Equipment Manufacturing › Electronic Computer Manufacturing

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: 1

Pricing Type: FIRM FIXED PRICE (J)

Contractor Details

Address: 6901 ROCKLEDGE DR STE 600, BETHESDA, MD, 20817

Business Categories: Category Business, Small Business

Financial Breakdown

Contract Ceiling: $40,773,428

Exercised Options: $40,773,428

Current Obligation: $40,569,874

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Parent Contract

Parent Award PIID: GS35F0170K

IDV Type: FSS

Timeline