Commerce Dept. Awards $23M for Computer Systems Design Services to Deloitte Consulting LLP

Contract Overview

Contract Amount: $22,991,702 ($23.0M)

Contractor: Deloitte Consulting LLP

Awarding Agency: Department of Commerce

Start Date: 2016-09-22

End Date: 2021-07-13

Contract Duration: 1,755 days

Daily Burn Rate: $13.1K/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: IGF::OT::IGF

Place of Performance

Location: SUITLAND, PRINCE GEORGES County, MARYLAND, 20746

State: Maryland Government Spending

Plain-Language Summary

Department of Commerce obligated $23.0 million to DELOITTE CONSULTING LLP for work described as: IGF::OT::IGF Key points: 1. Contract awarded to a single large business, potentially limiting small business participation. 2. Significant contract value of $23 million over nearly five years. 3. Services fall under Computer Systems Design, a common IT procurement category. 4. Awarded under a Blanket Purchase Agreement (BPA) Call, indicating a pre-negotiated framework.

Value Assessment

Rating: fair

The contract's time and materials pricing structure can lead to cost overruns if not closely managed. Benchmarking against similar IT services contracts is difficult without more detailed scope information.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

Awarded under a BPA Call, suggesting competition may have occurred at the BPA level, but this specific call might have had limited competition. The 'COMPETED UNDER SAP' notation implies it was competed under Simplified Acquisition Procedures, which typically have less stringent competition requirements.

Taxpayer Impact: The use of BPA calls can streamline procurement but may not always achieve the best possible price compared to full and open competition.

Public Impact

Supports critical U.S. Census Bureau operations through IT services. Impacts the technology infrastructure supporting federal data collection and analysis. Potential for job creation within Deloitte Consulting and its subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials pricing can inflate costs.
Limited competition noted.
Lack of specific performance metrics provided.

Positive Signals

Awarded under an existing BPA, suggesting some level of pre-vetting.
Contract duration aligns with project needs.

Sector Analysis

This contract falls within the IT services sector, specifically computer systems design. Spending in this area is substantial across the federal government, supporting a wide range of agency functions. Benchmarks vary widely based on service type and complexity.

Small Business Impact

The contract was awarded to a large business (Deloitte Consulting LLP) and does not indicate any specific small business set-aside or subcontracting goals. This suggests limited direct opportunity for small businesses on this specific award.

Oversight & Accountability

Oversight would typically be managed by the U.S. Census Bureau contracting officer's representative. The use of a BPA Call suggests a framework is in place, but the effectiveness of oversight depends on the specific management practices employed.

Related Government Programs

Computer Systems Design Services
Department of Commerce Contracting
U.S. Census Bureau Programs

Risk Flags

Potential for cost overruns due to Time and Materials pricing.
Limited competition may have resulted in a higher price.
Lack of transparency on specific services rendered.
No clear indication of small business participation or benefit.

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $23.0 million to DELOITTE CONSULTING LLP. IGF::OT::IGF

Who is the contractor on this award?

The obligated recipient is DELOITTE CONSULTING LLP.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $23.0 million.

What is the period of performance?

Start: 2016-09-22. End: 2021-07-13.

What specific computer systems design services were provided under this contract, and how did they align with the Census Bureau's mission objectives?

The contract provided computer systems design services, likely encompassing areas such as software development, system integration, and IT infrastructure support for the U.S. Census Bureau. These services are crucial for enabling the collection, processing, and dissemination of statistical data, directly supporting the agency's core mission of conducting censuses and surveys to inform policy and resource allocation.

What were the key factors that led to the limited competition for this contract, and were alternative procurement strategies considered?

Limited competition likely stemmed from the use of a Blanket Purchase Agreement (BPA) Call and Simplified Acquisition Procedures (SAP). These methods are often used for task orders against existing agreements or for procurements below certain thresholds, where competition might be restricted to pre-qualified vendors or specific market segments. Alternative strategies like full and open competition might have been deemed less efficient or timely for the specific needs addressed by this BPA call.

How effectively was the Time and Materials pricing model managed to control costs and ensure value for taxpayers over the contract's duration?

The effectiveness of Time and Materials (T&M) pricing management is difficult to assess without detailed performance data. While T&M offers flexibility, it carries inherent risks of cost escalation if not rigorously overseen. Effective management would involve close monitoring of labor hours, rates, and direct costs, coupled with strong performance metrics and change control processes to ensure the services delivered provided good value relative to the expenditure.

Industry Classification

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

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

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 1725 DUKE ST, ALEXANDRIA, VA, 22314

Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $45,691,221

Exercised Options: $44,682,167

Current Obligation: $22,991,702

Subaward Activity

Number of Subawards: 3

Total Subaward Amount: $5,762,055

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: DOCYA132315BU0023

IDV Type: BPA

Timeline