DoD's $81.4M Software Purchase via GSA Schedule BPA to Carahsoft
Contract Overview
Contract Amount: $81,441,333 ($81.4M)
Contractor: Carahsoft Technology Corp
Awarding Agency: Department of Defense
Start Date: 2025-09-30
End Date: 2028-09-24
Contract Duration: 1,090 days
Daily Burn Rate: $74.7K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: THIS AWARD IS BASED ON DOD ESI GSA SCHEDULE 47QSWA18D008F, AND BPA NUMBER N6600119A 0120. THE FOLLOWING CLINS ARE INCORPORATED AND INCREMENTALLY FUNDED AS OUTLINED IN THE AWARD.
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20330
Plain-Language Summary
Department of Defense obligated $81.4 million to CARAHSOFT TECHNOLOGY CORP for work described as: THIS AWARD IS BASED ON DOD ESI GSA SCHEDULE 47QSWA18D008F, AND BPA NUMBER N6600119A 0120. THE FOLLOWING CLINS ARE INCORPORATED AND INCREMENTALLY FUNDED AS OUTLINED IN THE AWARD. Key points: 1. Significant award for software publishers, with potential for follow-on work. 2. Competition was full and open, suggesting a competitive pricing environment. 3. Risk appears moderate given the established GSA Schedule and BPA. 4. IT sector spending is substantial, with this award contributing to DoD's needs.
Value Assessment
Rating: good
The award is a BPA Call against an existing GSA Schedule, indicating pre-negotiated pricing. The total award value of $81.4M over approximately three years suggests a substantial but potentially competitive per-unit cost, though specific pricing details are not provided.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition using a GSA Schedule BPA. This method typically ensures competitive pricing through established procurement vehicles, allowing multiple vendors to bid.
Taxpayer Impact: Taxpayer funds are utilized efficiently through a competitive process on a pre-negotiated GSA Schedule, aiming for best value.
Public Impact
Ensures the Department of the Air Force has access to necessary software. Supports the software publishing industry through a significant government contract. Leverages existing GSA Schedule and BPA to streamline procurement. Incremental funding allows for flexibility and management of budget allocation.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for scope creep if not managed closely.
- Reliance on a single BPA call could limit future flexibility if not monitored.
Positive Signals
- Utilizes established GSA Schedule for efficiency.
- Full and open competition promotes fair pricing.
- Incremental funding provides budget control.
Sector Analysis
This award falls within the IT sector, specifically software publishers. Government spending in this area is consistently high, driven by the need for modern technology solutions across all agencies. Benchmarks for similar software procurements vary widely based on the specific software and volume.
Small Business Impact
The awardee, Carahsoft Technology Corp, is not listed as a small business. While this specific award does not directly benefit small businesses, the use of GSA Schedules can sometimes include opportunities for small business subcontractors, though not explicitly stated here.
Oversight & Accountability
The use of a GSA Schedule BPA implies a level of pre-vetting and oversight. The incremental funding structure also allows for phased oversight of spending and performance.
Related Government Programs
- Software Publishers
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Potential for vendor lock-in.
- Long-term sustainment costs.
- Software obsolescence risk.
- Dependence on GSA Schedule pricing.
Tags
software-publishers, department-of-defense, dc, bpa-call, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $81.4 million to CARAHSOFT TECHNOLOGY CORP. THIS AWARD IS BASED ON DOD ESI GSA SCHEDULE 47QSWA18D008F, AND BPA NUMBER N6600119A 0120. THE FOLLOWING CLINS ARE INCORPORATED AND INCREMENTALLY FUNDED AS OUTLINED IN THE AWARD.
Who is the contractor on this award?
The obligated recipient is CARAHSOFT TECHNOLOGY CORP.
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 $81.4 million.
What is the period of performance?
Start: 2025-09-30. End: 2028-09-24.
What specific software products or services are being procured under this BPA call, and how do their costs compare to commercial market prices?
The data does not specify the exact software products. However, as this is a GSA Schedule BPA call, pricing is expected to be at or below GSA Schedule contract rates, which are generally negotiated to be competitive with commercial prices. A detailed review of the CLINs and associated pricing against market benchmarks would be necessary for a definitive cost assessment.
What are the potential risks associated with the long-term sustainment and support of the software procured through this BPA?
Risks include vendor lock-in, potential increases in maintenance or support costs over time, and the possibility of the software becoming obsolete. Ensuring clear contract terms for sustainment, support, and end-of-life management is crucial to mitigate these risks and ensure continued operational effectiveness.
How effectively does this procurement method leverage competition to ensure the best value for the taxpayer?
The use of a full and open competition BPA call on an existing GSA Schedule is designed to ensure best value. It allows multiple vendors to compete based on pre-negotiated GSA rates, promoting efficiency and competitive pricing. However, the ultimate effectiveness depends on the specific competition conducted and the government's ability to negotiate favorable terms.
Industry Classification
NAICS: Information › Software Publishers › Software Publishers
Product/Service Code: IT AND TELECOM - APLLICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 11493 SUNSET HILLS RD, RESTON, VA, 20190
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $510,344,655
Exercised Options: $110,344,655
Current Obligation: $81,441,333
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N6600119A0120
IDV Type: BPA
Timeline
Start Date: 2025-09-30
Current End Date: 2028-09-24
Potential End Date: 2028-09-24 00:00:00
Last Modified: 2025-12-16
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