NOAA's Mission Support Services Contract Awarded to Earth Resources Technology, LLC for Over $33 Million

Contract Overview

Contract Amount: $33,132,275 ($33.1M)

Contractor: Earth Resources Technology, LLC

Awarding Agency: Department of Commerce

Start Date: 2012-02-15

End Date: 2017-02-14

Contract Duration: 1,826 days

Daily Burn Rate: $18.1K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 4

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: MISSION SUPPORT SERVICES FOR NOAA'S NCDC, ASHEVILLE, NC.

Place of Performance

Location: ASHEVILLE, BUNCOMBE County, NORTH CAROLINA, 28801

State: North Carolina Government Spending

Plain-Language Summary

Department of Commerce obligated $33.1 million to EARTH RESOURCES TECHNOLOGY, LLC for work described as: MISSION SUPPORT SERVICES FOR NOAA'S NCDC, ASHEVILLE, NC. Key points: 1. Contract provides essential mission support services for NOAA's National Climatic Data Center. 2. Services include IT support, data management, and technical assistance. 3. Contract duration spans five years, indicating a long-term need for these services. 4. The contract was awarded under full and open competition, suggesting a competitive bidding process. 5. The use of Time and Materials pricing may introduce cost variability. 6. Geographic concentration of services in North Carolina. 7. Contractor has a track record in supporting federal IT and data services.

Value Assessment

Rating: good

The contract value of approximately $33.1 million over five years for mission support services appears reasonable when benchmarked against similar IT and data management contracts within federal agencies. While specific per-unit cost data is not provided, the overall value suggests a significant investment in critical NOAA operations. The Time and Materials (T&M) pricing structure, however, warrants careful monitoring to ensure cost efficiency and prevent scope creep, as it can lead to higher final costs compared to fixed-price contracts if not managed diligently.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that the solicitation was broadly advertised, and multiple responsible sources were permitted to submit offers. The presence of four bids suggests a healthy level of competition for these mission support services. A competitive process generally leads to better price discovery and ensures that the government receives offers from a range of qualified contractors, potentially driving down costs and improving service quality.

Taxpayer Impact: The competitive nature of this award is beneficial for taxpayers, as it likely resulted in more favorable pricing and a wider selection of qualified vendors compared to a sole-source or limited competition scenario.

Public Impact

The primary beneficiaries are NOAA and its National Climatic Data Center, which receive critical IT and data management support. Services delivered include technical assistance, data processing, and IT infrastructure maintenance. The geographic impact is concentrated in Asheville, North Carolina, where the NCDC is located. The contract supports a workforce involved in maintaining and enhancing vital climate data services for the nation.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials (T&M) pricing can lead to cost overruns if not closely managed.
Potential for scope creep given the T&M contract type.
Concentration of services in a single geographic location could pose a risk.
Dependence on a single contractor for critical mission support functions.

Positive Signals

Awarded through full and open competition, indicating a robust selection process.
Contract duration of five years suggests stability and long-term planning.
Contractor is supporting a vital federal agency (NOAA) with essential services.
Services are crucial for maintaining national climate data integrity.

Sector Analysis

This contract falls within the broader IT services sector, specifically focusing on computer-related services and data management. The market for such services is large and competitive, with numerous federal and commercial entities seeking specialized support for their IT infrastructure and data operations. NOAA's need for mission support services aligns with the increasing demand for data analysis and management capabilities across government agencies, particularly in areas like climate science where data volume and complexity are significant.

Small Business Impact

This contract was not set aside for small businesses, and there is no indication of specific subcontracting requirements for small businesses in the provided data. Therefore, the direct impact on the small business ecosystem appears minimal. However, the prime contractor, Earth Resources Technology, LLC, may engage small businesses as subcontractors, which would then provide indirect benefits. Further analysis would be needed to determine the extent of any small business subcontracting.

Oversight & Accountability

Oversight for this contract would typically be managed by the National Oceanic and Atmospheric Administration (NOAA) contracting officers and program managers. Accountability measures would be embedded in the contract's performance work statement, requiring adherence to service levels and delivery schedules. Transparency is generally facilitated through contract award databases and reporting requirements. The Inspector General for the Department of Commerce would have jurisdiction for audits and investigations if any irregularities were suspected.

Related Government Programs

NOAA IT Support Services
Federal Data Management Contracts
Mission Support Services
Climate Data Services
Department of Commerce IT Contracts

Risk Flags

Potential for cost overruns due to Time and Materials pricing.
Risk of scope creep if contract is not tightly managed.
Dependence on a single contractor for critical IT and data services.
Geographic concentration of services may present logistical risks.

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $33.1 million to EARTH RESOURCES TECHNOLOGY, LLC. MISSION SUPPORT SERVICES FOR NOAA'S NCDC, ASHEVILLE, NC.

Who is the contractor on this award?

The obligated recipient is EARTH RESOURCES TECHNOLOGY, LLC.

Which agency awarded this contract?

Awarding agency: Department of Commerce (National Oceanic and Atmospheric Administration).

What is the total obligated amount?

The obligated amount is $33.1 million.

What is the period of performance?

Start: 2012-02-15. End: 2017-02-14.

What is the track record of Earth Resources Technology, LLC in performing similar federal contracts?

Earth Resources Technology, LLC (ERT) has a history of performing IT and mission support services for various federal agencies, including NOAA. Their experience often encompasses areas such as data management, scientific computing, and IT infrastructure support. Reviewing past performance evaluations and contract histories for ERT would provide a clearer picture of their reliability, quality of service, and ability to meet deadlines and technical requirements on similar projects. Specific details on past performance metrics, such as on-time delivery rates and customer satisfaction scores, would be crucial for a comprehensive assessment.

How does the awarded value compare to similar mission support contracts for NOAA or other agencies?

The awarded value of approximately $33.1 million over five years for mission support services to NOAA's NCDC is substantial. Benchmarking this against similar contracts requires comparing the scope of work, duration, and complexity. Contracts for IT modernization, data center operations, or specialized scientific support within agencies like NASA, NSF, or other components of the Department of Commerce could serve as comparators. Factors such as the number of end-users supported, the criticality of the data managed, and the specific technical services rendered (e.g., cloud migration, cybersecurity, advanced analytics) would influence the comparison. Without detailed scope comparisons, it's challenging to definitively state if the value is high or low, but it reflects a significant investment in critical data infrastructure.

What are the primary risks associated with the Time and Materials (T&M) contract type used for this award?

The primary risk associated with the Time and Materials (T&M) contract type is the potential for cost overruns and a lack of definitive cost control. Unlike fixed-price contracts, T&M contracts reimburse the contractor for direct labor hours at specified hourly rates and for the actual cost of materials. This structure can incentivize longer task durations and potentially lead to scope creep if not meticulously managed through strong oversight and clearly defined task orders. For taxpayers, this means the final cost is not fixed upfront and could exceed initial estimates, requiring vigilant monitoring by the government to ensure efficiency and prevent unnecessary expenditures.

How effective are NOAA's oversight mechanisms for ensuring the quality and cost-efficiency of these mission support services?

NOAA's oversight mechanisms for mission support services typically involve a combination of contract administration, performance monitoring, and technical reviews. Contracting Officers' Representatives (CORs) are usually assigned to oversee contractor performance against the Performance Work Statement (PWS), ensuring deliverables meet quality standards and timelines. Regular progress meetings, performance metrics tracking, and periodic audits are standard practices. The effectiveness hinges on the resources allocated to oversight, the clarity of the PWS, and the diligence of the CORs in managing the contract and addressing any performance issues promptly. Robust oversight is crucial for mitigating risks associated with T&M contracts.

What is the historical spending trend for mission support services at NOAA's NCDC?

Analyzing historical spending trends for mission support services at NOAA's NCDC would require accessing historical contract databases and budget allocations. This specific contract, valued at over $33 million over five years (approximately $6.6 million annually), provides a baseline for recent spending. To understand trends, one would need to examine spending patterns over previous contract periods, noting any significant increases or decreases in funding. Factors influencing these trends could include changes in NOAA's mission priorities, technological advancements requiring new IT investments, or shifts in data processing and storage needs. A consistent or increasing trend might indicate growing reliance on these services, while a decrease could suggest efficiency gains or a shift in service delivery models.

What are the implications of awarding IT services under 'Full and Open Competition After Exclusion of Sources'?

The designation 'Full and Open Competition After Exclusion of Sources' implies that while the competition was intended to be open, certain sources were excluded from the outset, possibly due to specific qualifications, prior performance, or other pre-determined criteria. This differs from standard 'Full and Open Competition' where all responsible sources are encouraged to compete. The exclusion of sources might limit the breadth of competition, potentially impacting price discovery compared to a truly open process. However, it could also ensure that only highly qualified or specialized vendors participate, potentially leading to better-suited solutions. The rationale for excluding sources would be critical to understanding the full implications for cost and innovation.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 4

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 6100 FROST PL STE A, LAUREL, MD, 20707

Business Categories: Asian Pacific American Owned Business, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business

Financial Breakdown

Contract Ceiling: $34,779,174

Exercised Options: $34,779,174

Current Obligation: $33,132,275

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DOCDG133W10CQ0042

IDV Type: IDC

Timeline