DoD's $23.4M IT support contract with Metrica Team Venture shows fair value, but limited competition raises concerns

Contract Overview

Contract Amount: $23,443,032 ($23.4M)

Contractor: Metrica Team Venture

Awarding Agency: Department of Defense

Start Date: 2014-09-30

End Date: 2019-01-31

Contract Duration: 1,584 days

Daily Burn Rate: $14.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 8

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: AFOSI PRO IT SERVICES SUPPORT

Place of Performance

Location: QUANTICO, PRINCE WILLIAM County, VIRGINIA, 22134

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $23.4 million to METRICA TEAM VENTURE for work described as: AFOSI PRO IT SERVICES SUPPORT Key points: 1. Contract awarded at a competitive price point, suggesting good value for the services rendered. 2. The procurement process, while technically full and open, involved exclusion of sources, potentially limiting broader competition. 3. Performance risk appears low given the contractor's established presence and the nature of IT support services. 4. This contract aligns with broader Department of Defense spending on IT modernization and sustainment. 5. The IT services sector is highly competitive, but specific niche requirements can lead to fewer bidders. 6. The firm-fixed-price structure provides cost certainty for the government.

Value Assessment

Rating: good

The contract's total value of $23.4 million over approximately five years suggests a reasonable annual spend for IT support services. Benchmarking against similar IT support contracts within the Department of Defense indicates that Metrica Team Venture's pricing was likely competitive. The firm-fixed-price contract type further enhances value by providing cost predictability. While specific per-unit cost data is not provided, the overall contract value appears aligned with market rates for comparable services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES.' This indicates that while the initial solicitation was intended to be open, certain sources were excluded prior to the final award. This process, while permissible, suggests a narrower field of bidders than a truly unrestricted full and open competition. With 8 bidders identified, the competition level was moderate, but the exclusion of sources may have impacted the ultimate price discovery and the range of innovative solutions considered.

Taxpayer Impact: The exclusion of sources, even with multiple bidders, may have resulted in a higher price than could have been achieved through unrestricted competition. Taxpayers may have paid a premium due to the limited pool of potential offerors.

Public Impact

The primary beneficiary is the Department of the Air Force, receiving essential IT support services. Services delivered include computer systems design and related support, crucial for operational readiness. The geographic impact is primarily within the Air Force's operational domains, likely supporting bases and personnel nationwide. Workforce implications include the direct employment of IT professionals by Metrica Team Venture and potential indirect impacts on government IT staff.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for reduced competition due to source exclusion impacting long-term cost-effectiveness.
Reliance on a single contractor for critical IT support could pose continuity risks if not managed proactively.
Lack of detailed performance metrics makes it difficult to fully assess contractor efficiency and effectiveness.

Positive Signals

Firm-fixed-price contract provides budget certainty and shifts cost risk to the contractor.
Contract duration of nearly five years allows for stable service delivery and knowledge retention.
The number of bidders (8) indicates some level of market interest despite source exclusions.

Sector Analysis

The IT services sector is a vast and dynamic market, with government spending on computer systems design and related services representing a significant portion. This contract falls within the broader category of IT support and modernization, a critical area for defense agencies. Comparable spending benchmarks for similar IT support contracts within the DoD often range from millions to tens of millions annually, depending on the scope and complexity. The market is characterized by both large prime contractors and specialized small businesses, with significant competition often driven by large-scale IT modernization efforts.

Small Business Impact

This contract does not appear to have a small business set-aside component, as indicated by 'sb: false'. Furthermore, the contractor, Metrica Team Venture, is not explicitly identified as a small business. There is no information provided regarding subcontracting plans or performance related to small businesses. Therefore, the direct impact on the small business ecosystem from this specific contract appears minimal, though the prime contractor's own supply chain could involve small businesses.

Oversight & Accountability

Oversight for this contract would primarily reside within the Department of the Air Force's contracting and program management offices. Accountability measures are typically embedded in the contract's performance work statement and delivery terms. Transparency is facilitated through contract databases like FPDS, which provide basic award information. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse, but specific IG involvement is not indicated in the provided data.

Related Government Programs

IT Support Services
Computer Systems Design
Defense IT Modernization
Air Force IT Procurement
Information Technology Services

Risk Flags

Limited Competition
Source Exclusion in Procurement
Lack of Detailed Performance Data

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $23.4 million to METRICA TEAM VENTURE. AFOSI PRO IT SERVICES SUPPORT

Who is the contractor on this award?

The obligated recipient is METRICA TEAM VENTURE.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $23.4 million.

What is the period of performance?

Start: 2014-09-30. End: 2019-01-31.

What was the specific reason for excluding certain sources in this 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' procurement?

The provided data does not specify the exact reasons for excluding sources. Typically, such exclusions occur when specific technical capabilities, past performance requirements, or security clearances are mandated that only a subset of potential offerors can meet. Alternatively, it could stem from a previous contract's performance issues with certain vendors or a desire to consolidate requirements with a known, capable entity. Without further documentation, the precise justification remains unclear, but it implies a deliberate narrowing of the competitive field based on predefined criteria.

How does the contractor's past performance on this contract compare to industry standards for IT support?

The provided data does not include specific metrics on Metrica Team Venture's past performance for this contract. A comprehensive assessment would require reviewing performance reports, user feedback, and any documented issues or commendations. Generally, for IT support contracts, industry standards emphasize reliability, responsiveness, technical proficiency, and adherence to service level agreements (SLAs). Evaluating Metrica Team Venture against these would involve analyzing their track record in areas like system uptime, issue resolution times, and user satisfaction surveys, which are not detailed in the summary data.

What is the estimated value of this contract relative to the total IT spending of the Department of the Air Force during the contract period?

The contract value is $23.4 million over approximately 1584 days (roughly 4.3 years). The Department of the Air Force's total IT spending is substantial, often in the billions of dollars annually. This $23.4 million contract represents a relatively small fraction of the Air Force's overall IT budget. For instance, if the Air Force's annual IT spending is $10 billion, this contract would represent approximately 0.05% of that annual spend. This suggests it's a focused procurement for specific IT support functions rather than a major enterprise-wide initiative.

Are there any identified risks associated with the contractor's financial stability or operational capacity to fulfill this contract?

The provided data does not contain specific information regarding Metrica Team Venture's financial stability or operational capacity beyond the contract award itself. Standard government contracting processes often involve assessing a contractor's financial health and operational readiness before award. However, without access to pre-award assessments or ongoing performance monitoring reports, it is difficult to definitively state the risk level. The contract's duration and the nature of IT support services generally imply a need for sustained operational capacity.

What are the key performance indicators (KPIs) used to measure the success of this IT support contract?

The provided data summary does not specify the Key Performance Indicators (KPIs) for this contract. Typically, IT support contracts include KPIs related to system availability and uptime, response times for service requests, resolution times for issues, adherence to security protocols, and user satisfaction. The success of this contract would be measured against the specific metrics outlined in its Performance Work Statement (PWS). Without the PWS, a detailed analysis of its success based on KPIs is not possible.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: FA701414R3014

Offers Received: 8

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 100 NE LOOP 410 STE 520, SAN ANTONIO, TX, 78216

Business Categories: Category Business, Joint Venture Women Owned Small Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $24,346,623

Exercised Options: $23,443,032

Current Obligation: $23,443,032

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS06F0640Z

IDV Type: GWAC

Timeline