Information Security and Privacy Support contract awarded to Business Integra Technology Solutions, Inc. for over $97.9M

Contract Overview

Contract Amount: $97,902,235 ($97.9M)

Contractor: Business Integra Technology Solutions, Inc.

Awarding Agency: Department of Transportation

Start Date: 2014-09-18

End Date: 2023-08-22

Contract Duration: 3,260 days

Daily Burn Rate: $30.0K/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 13

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: THE PURPOSE OF THIS TASK ORDER IS TO PROVIDE INFORMATION SECURITY AND PRIVACY (IS&P) PROGRAM SUPPORT. IGF::OT::IGF

Place of Performance

Location: GREENBELT, PRINCE GEORGES County, MARYLAND, 20768

State: Maryland Government Spending

Plain-Language Summary

Department of Transportation obligated $97.9 million to BUSINESS INTEGRA TECHNOLOGY SOLUTIONS, INC. for work described as: THE PURPOSE OF THIS TASK ORDER IS TO PROVIDE INFORMATION SECURITY AND PRIVACY (IS&P) PROGRAM SUPPORT. IGF::OT::IGF Key points: 1. The contract focuses on critical Information Security and Privacy (IS&P) program support, essential for safeguarding sensitive government data. 2. Awarded under a competitive process, the contract's duration and value suggest a significant, long-term need for these services. 3. The Time and Materials pricing model introduces potential cost variability, requiring diligent oversight to manage expenditures effectively. 4. The contract's performance period spans nearly nine years, indicating a sustained requirement for IS&P expertise within the FAA. 5. The IT services sector, particularly cybersecurity, is experiencing high demand, influencing the market rates and availability of specialized talent.

Value Assessment

Rating: good

The total award amount of $97.9M over a period of 3260 days (approximately 9 years) represents a substantial investment in IS&P support. While a direct per-contract comparison is difficult without more specific benchmarks, the sustained funding suggests the agency values the services provided. The Time and Materials (T&M) pricing structure, common for services requiring flexibility, necessitates careful monitoring of labor hours and rates to ensure cost-effectiveness. Benchmarking against similar large-scale cybersecurity support contracts would provide a clearer picture of value for money, but the duration and scope indicate a significant, ongoing need.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was competed under the Simplified Acquisition Procedures (SAP), indicating a competitive process was utilized. While the specific number of bidders is not detailed, the 'COMPETED UNDER SAP' designation suggests that multiple offers were solicited and evaluated. This approach generally promotes price discovery and allows for a range of qualified contractors to participate, potentially leading to more favorable pricing for the government compared to sole-source awards.

Taxpayer Impact: A competitive award under SAP suggests that taxpayer funds were used efficiently by allowing market forces to influence pricing. This process helps ensure that the government receives competitive rates for essential services.

Public Impact

The Federal Aviation Administration (FAA) benefits from enhanced information security and privacy, crucial for maintaining the integrity of aviation systems and data. Services delivered include program support for IS&P, likely encompassing policy development, risk management, incident response, and compliance activities. The geographic impact is primarily within the Department of Transportation, with potential implications for national aviation infrastructure security. The contract supports a workforce of IT and cybersecurity professionals, contributing to specialized job creation and retention within the federal contracting space.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The Time and Materials (T&M) contract type can lead to cost overruns if not closely managed, as it directly reimburses labor hours and material costs.
The long performance period (nearly 9 years) increases the risk of scope creep or the need for contract modifications if requirements evolve significantly.
Reliance on a single contractor for nearly a decade for critical IS&P functions could pose a risk if the contractor's performance or capabilities degrade over time.

Positive Signals

The contract was competitively awarded, indicating that multiple vendors had the opportunity to bid, fostering a potentially cost-effective outcome.
The sustained award over a long period suggests consistent performance and satisfaction with the contractor's ability to meet the agency's IS&P needs.
The focus on Information Security and Privacy is a critical function, demonstrating the agency's commitment to protecting sensitive data and systems.

Sector Analysis

The Information Security and Privacy (IS&P) sector within federal IT services is a rapidly growing and critical area. This contract falls under Other Computer Related Services (NAICS 541519), which encompasses a broad range of IT support. The federal cybersecurity market is substantial, with agencies increasingly investing in protecting their digital infrastructure against evolving threats. This contract represents a significant portion of spending within this specialized niche, reflecting the FAA's commitment to robust security protocols.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). As a large contract potentially exceeding the simplified acquisition threshold (though competed under SAP, which has specific thresholds), it is unlikely that small businesses were the primary focus for the prime award. However, the prime contractor, Business Integra Technology Solutions, Inc., may engage small businesses for subcontracting opportunities to fulfill specific aspects of the IS&P program support, contributing to the broader small business ecosystem.

Oversight & Accountability

Oversight for this contract would primarily reside with the Federal Aviation Administration (FAA) contracting officers and program managers. They are responsible for monitoring performance, approving invoices, and ensuring compliance with contract terms. The Department of Transportation's Office of Inspector General (OIG) may also conduct audits or investigations related to this contract to ensure accountability and prevent fraud, waste, and abuse. Transparency is facilitated through contract award databases and reporting requirements.

Related Government Programs

Federal Information Security Management Act (FISMA) Compliance Support
Cybersecurity Program Management
IT Security Consulting Services
Data Privacy and Protection Services
IT Infrastructure Support Contracts

Risk Flags

Potential for cost overruns due to T&M pricing
Risk of vendor lock-in with long-term contract
Need for continuous monitoring of evolving cyber threats
Ensuring contractor remains up-to-date with latest security technologies

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $97.9 million to BUSINESS INTEGRA TECHNOLOGY SOLUTIONS, INC.. THE PURPOSE OF THIS TASK ORDER IS TO PROVIDE INFORMATION SECURITY AND PRIVACY (IS&P) PROGRAM SUPPORT. IGF::OT::IGF

Who is the contractor on this award?

The obligated recipient is BUSINESS INTEGRA TECHNOLOGY SOLUTIONS, INC..

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Aviation Administration).

What is the total obligated amount?

The obligated amount is $97.9 million.

What is the period of performance?

Start: 2014-09-18. End: 2023-08-22.

What is the track record of Business Integra Technology Solutions, Inc. in delivering Information Security and Privacy (IS&P) program support to federal agencies?

Business Integra Technology Solutions, Inc. has a history of providing IT services to the federal government. For this specific contract with the FAA, the nearly nine-year duration (September 2014 to August 2023) suggests a sustained relationship and likely satisfactory performance to warrant such a long-term engagement. While detailed performance metrics are not publicly available, the repeated awards or extensions implicit in such a long contract period generally indicate that the agency found the contractor's services to be valuable and reliable in meeting its IS&P program support requirements. Further analysis would involve reviewing past performance evaluations if accessible or examining other contracts held by the company within the cybersecurity and IT support domains.

How does the total contract value of over $97.9M compare to similar IS&P support contracts within the federal government?

A total contract value exceeding $97.9 million for nearly nine years of IS&P program support places this contract in the mid-to-large tier for federal IT service agreements. Cybersecurity and related IT support services are consistently among the largest spending categories for the federal government. Contracts of this magnitude are common for agencies with significant IT infrastructure and sensitive data, such as the FAA. Benchmarking against specific contracts requires detailed comparison of scope, duration, services rendered, and agency size. However, this value is consistent with the substantial investments required to maintain robust information security and privacy programs across large federal organizations facing evolving cyber threats.

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

The primary risk associated with a Time and Materials (T&M) pricing structure is the potential for cost overruns. Unlike fixed-price contracts, T&M contracts reimburse the contractor for the actual labor hours expended and the cost of materials used. This flexibility is beneficial when the scope of work is not well-defined or is expected to change. However, it places a significant burden on the government to meticulously monitor and control the contractor's labor hours, rates, and material costs. Without stringent oversight, there is a risk that the contractor may not work as efficiently as possible, or that costs could escalate beyond initial estimates, potentially leading to a less favorable value for the taxpayer.

How effective is the competitive award process (Competed under SAP) in ensuring value for money for this IS&P support contract?

The 'Competed under SAP' (Simplified Acquisition Procedures) designation indicates that the contract was awarded through a competitive process, which is generally effective in ensuring value for money. SAP allows for streamlined procurement for acquisitions below certain thresholds, but still requires solicitation from multiple sources. This competition encourages vendors to offer competitive pricing and terms to win the contract. While SAP may not involve the same level of extensive documentation or bidder pool as full and open competition above the threshold, it strikes a balance between efficiency and market-driven pricing. The fact that it was competed suggests that the FAA sought multiple proposals and evaluated them, likely resulting in a more advantageous price and service offering than a sole-source award.

What are the potential implications of the contract's long duration (2014-2023) on the agency's ability to adopt new security technologies?

A long contract duration, such as this nearly nine-year period, can present both opportunities and challenges regarding the adoption of new security technologies. On one hand, it provides stability and allows the contractor to develop deep expertise in the agency's specific IS&P environment, potentially leading to more integrated and effective solutions. On the other hand, a lengthy contract might inadvertently create inertia, making it more difficult or costly to pivot to rapidly evolving security technologies or methodologies. The agency must actively manage the contract through regular reviews and potentially incorporate clauses that incentivize or require the contractor to propose and integrate innovative solutions, ensuring the IS&P program remains current and effective against emerging threats.

What is the significance of the NAICS code 541519 (Other Computer Related Services) for this contract?

The NAICS code 541519, 'Other Computer Related Services,' signifies that this contract encompasses a broad range of IT services that do not fit into more specific categories like custom programming or network management. For an IS&P program support contract, this code is appropriate as it likely includes activities such as IT security consulting, risk assessment, privacy program development, security policy implementation, incident response planning, and potentially IT security training. This broad classification allows the Federal Aviation Administration (FAA) flexibility in defining the scope of services required to support its Information Security and Privacy programs, ensuring comprehensive coverage for its needs.

Industry Classification

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

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 13

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 6550 ROCK SPRING DR STE 600, BETHESDA, MD, 20817

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Economically Disadvantaged Women Owned Small Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, Indian (Subcontinent) American Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $113,780,968

Exercised Options: $97,902,235

Current Obligation: $97,902,235

Actual Outlays: $47,591,236

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: DTFAWA13A00228

IDV Type: BPA

Timeline