EPA's $38.8M IT support contract with CSRA LLC awarded via full and open competition

Contract Overview

Contract Amount: $38,834,920 ($38.8M)

Contractor: Csra LLC

Awarding Agency: Environmental Protection Agency

Start Date: 2010-09-08

End Date: 2017-03-31

Contract Duration: 2,396 days

Daily Burn Rate: $16.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: COMMERCIAL OFF THE SHELF SERVICES SUPPORT

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20460

State: District of Columbia Government Spending

Plain-Language Summary

Environmental Protection Agency obligated $38.8 million to CSRA LLC for work described as: COMMERCIAL OFF THE SHELF SERVICES SUPPORT Key points: 1. Contract provides essential IT services, ensuring operational continuity for the agency. 2. Awarded through full and open competition, suggesting a competitive pricing environment. 3. The contract duration of nearly 7 years indicates a long-term need for these services. 4. Fixed-price contract type helps mitigate cost overrun risks for the government. 5. The North American Industry Classification System (NAICS) code 541519 points to a broad range of IT services. 6. Geographic location in Washington D.C. aligns with agency headquarters operations.

Value Assessment

Rating: good

The contract's total value of $38.8 million over approximately 6.6 years suggests an average annual spend of around $5.8 million. Benchmarking this against similar IT support contracts for federal agencies of the EPA's size and scope would be necessary for a precise value-for-money assessment. However, the firm fixed-price structure generally indicates a commitment to cost control by the contractor.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, meaning all responsible sources were permitted to submit bids. The presence of 3 bids indicates a moderate level of competition for this requirement. While not a large number of bidders, it suggests that the agency sought and received multiple proposals, which typically aids in price discovery and achieving a fair market price.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can lead to lower prices and better service offerings compared to sole-source or limited competition awards.

Public Impact

The primary beneficiary is the Environmental Protection Agency (EPA), which receives critical IT support services. Services delivered likely include help desk support, network maintenance, system administration, and potentially software development or maintenance. The geographic impact is concentrated in Washington D.C., where the EPA's headquarters are located. The contract supports IT professionals employed by CSRA LLC, contributing to the federal IT services workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if services are highly specialized and difficult to transition.
Reliance on a single contractor for critical IT infrastructure could pose a risk if the contractor experiences financial instability or performance issues.

Positive Signals

Firm fixed-price contract type provides cost certainty.
Awarded through full and open competition, indicating a competitive process.
Long contract duration suggests a stable and ongoing need, potentially leading to efficiencies through contractor expertise.

Sector Analysis

This contract falls within the broader Information Technology services sector, specifically focusing on IT support and related computer services (NAICS 541519). The federal IT services market is substantial, with agencies across the government relying heavily on contractors for maintaining and upgrading their technological infrastructure. Comparable spending benchmarks would involve looking at other large federal agencies' IT support contracts, which often run into tens or hundreds of millions of dollars annually.

Small Business Impact

This contract does not appear to have a small business set-aside component, as indicated by 'sb': false. Furthermore, the 'ss' (small business subcontracting) flag is also false. This suggests that small businesses were not specifically targeted for set-aside portions of this contract, nor was there a mandatory subcontracting plan for small businesses. The prime contractor, CSRA LLC, is a large business, and the contract's value and scope likely did not lend themselves to significant small business subcontracting requirements.

Oversight & Accountability

Oversight for this contract would primarily reside with the contracting officer and the relevant program managers within the Environmental Protection Agency. As a delivery order under a larger contract vehicle, oversight might also be influenced by the terms of the parent contract. Transparency is generally facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse related to the contract were suspected.

Related Government Programs

IT Infrastructure Support Services
Enterprise IT Services
Federal Civilian Agency IT Contracts
Computer Systems Design Services

Risk Flags

Potential for technological obsolescence over the contract's long duration.
Risk of vendor lock-in due to specialized IT support.
Performance degradation concerns over an extended contract period.

Frequently Asked Questions

What is this federal contract paying for?

Environmental Protection Agency awarded $38.8 million to CSRA LLC. COMMERCIAL OFF THE SHELF SERVICES SUPPORT

Who is the contractor on this award?

The obligated recipient is CSRA LLC.

Which agency awarded this contract?

Awarding agency: Environmental Protection Agency (Environmental Protection Agency).

What is the total obligated amount?

The obligated amount is $38.8 million.

What is the period of performance?

Start: 2010-09-08. End: 2017-03-31.

What specific IT services were included under this contract?

While the provided data indicates the contract was for 'COMMERCIAL OFF THE SHELF SERVICES SUPPORT' under NAICS code 541519 (Other Computer Related Services), the specific services are not detailed. Typically, such contracts encompass a range of IT support functions including help desk operations, network administration, server management, desktop support, cybersecurity maintenance, and potentially software installation, patching, and troubleshooting. Given the EPA's mission, these services would be crucial for maintaining the agency's operational technology, data management systems, and communication networks.

How does the $38.8 million total contract value compare to similar EPA IT support contracts?

Without access to a comprehensive database of historical EPA IT contracts and their specific scopes, a direct comparison is challenging. However, $38.8 million over nearly seven years (approximately $5.8 million annually) appears to be a moderate-sized contract for IT support for a federal agency like the EPA. Larger agencies or those with more complex IT infrastructures often award multi-year IT support contracts in the tens or hundreds of millions of dollars. The value suggests a significant but not necessarily enterprise-wide or mission-critical IT infrastructure support role.

What are the potential risks associated with a nearly 7-year IT support contract?

A significant risk with long-term IT contracts is technological obsolescence; the technology landscape can change rapidly, and a contract awarded today might not align with future needs or standards by its end date. Another risk is vendor lock-in, where the agency becomes heavily reliant on the contractor's specific systems and processes, making transitions difficult and costly. Performance degradation over time is also a concern, as is the potential for the contractor to experience financial difficulties or undergo mergers/acquisitions that disrupt service delivery. Ensuring robust performance metrics and clear exit strategies are crucial mitigation measures.

How effective was the competition for this contract, given only 3 bids?

The effectiveness of competition is often gauged by the number of bids received and the resulting price. With 3 bids for a full and open competition, it indicates a moderate level of interest. While more bids generally suggest stronger competition, 3 bidders can still lead to a competitive outcome if they are qualified and actively vying for the contract. The key determinant of effectiveness would be whether the final price was deemed fair and reasonable by the EPA, reflecting market rates. Without bid prices, it's difficult to definitively assess the competitive outcome beyond the process itself.

What is the track record of CSRA LLC in supporting federal IT contracts?

CSRA LLC (now part of General Dynamics Information Technology) has a substantial track record supporting federal IT contracts across various agencies. Historically, CSRA has been involved in large-scale IT modernization, infrastructure support, and cybersecurity programs for defense and civilian agencies. Their experience includes managing complex IT environments and delivering a wide array of IT services. While specific performance details for this particular EPA contract aren't provided, CSRA's general profile suggests they are a capable large business with extensive experience in the federal IT sector.

Does the firm fixed-price (FFP) contract type adequately manage cost risks for this type of IT support?

Yes, the firm fixed-price (FFP) contract type is generally considered the most effective for managing cost risks, especially for IT support services where the scope of work is well-defined and predictable. Under an FFP contract, the contractor assumes most of the risk for cost overruns. This incentivizes the contractor to manage their costs efficiently. For services like COTS support, where the requirements are relatively stable, FFP provides the government with cost certainty and protects against unexpected price increases, making it a favorable choice for budget management.

Industry Classification

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

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: 3

Pricing Type: FIRM FIXED PRICE (J)

Contractor Details

Address: 3170 FAIRVIEW PARK DR, FALLS CHURCH, VA, 22042

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $45,477,111

Exercised Options: $45,477,111

Current Obligation: $38,834,920

Subaward Activity

Number of Subawards: 9

Total Subaward Amount: $5,298,957

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Parent Contract

Parent Award PIID: GS35F4381G

IDV Type: FSS

Timeline