DoD's $32.8M Enterprise Service Desk contract awarded to Information Innovators, LLC, for computer systems design
Contract Overview
Contract Amount: $32,886,267 ($32.9M)
Contractor: Information Innovators, LLC
Awarding Agency: Department of Defense
Start Date: 2008-08-11
End Date: 2011-09-15
Contract Duration: 1,130 days
Daily Burn Rate: $29.1K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 8
Pricing Type: LABOR HOURS
Sector: IT
Official Description: ENTERPRISE SERVICE DESK
Place of Performance
Location: SAN ANTONIO, BEXAR County, TEXAS, 78243
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $32.9 million to INFORMATION INNOVATORS, LLC for work described as: ENTERPRISE SERVICE DESK Key points: 1. Contract value represents a significant investment in IT support infrastructure. 2. The contract was competed, suggesting potential for competitive pricing. 3. Long duration (1130 days) indicates a need for sustained service delivery. 4. Awarded to a single entity, Information Innovators, LLC, for specialized services. 5. The North American Industry Classification System (NAICS) code 541512 points to a focus on computer systems design. 6. The contract's performance period spans over three years, requiring consistent oversight. 7. The 'AW' designation suggests the award was made to a small business, though further verification is needed. 8. The contract type 'LABOR HOURS' implies payment based on personnel time spent.
Value Assessment
Rating: fair
Benchmarking the value of this $32.8 million contract for enterprise service desk functions is challenging without specific performance metrics or comparable contract data. The duration of over three years suggests a substantial need, but the absence of detailed cost breakdowns makes a direct value-for-money assessment difficult. Compared to other large-scale IT service contracts, the per-year cost appears moderate, but the overall effectiveness hinges on the quality and efficiency of the services delivered.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' which indicates that while the competition was intended to be open, certain sources were excluded. This suggests a potentially limited pool of bidders compared to a truly unrestricted full and open competition. The number of bidders is not specified, making it difficult to fully assess the competitive landscape and its impact on price discovery. The exclusion of sources may have been due to specific technical requirements or prior relationships.
Taxpayer Impact: The limited competition may have resulted in a higher price for taxpayers than if a broader range of vendors had been able to bid. It also raises questions about whether the government secured the best possible value.
Public Impact
The primary beneficiaries are the Department of Defense personnel who rely on the enterprise service desk for IT support. Services delivered include computer systems design and support, crucial for maintaining operational readiness. The geographic impact is likely concentrated within DoD facilities, potentially nationwide or at specific installations. Workforce implications include the employment of IT support staff by Information Innovators, LLC, and the impact on DoD's internal IT support capabilities.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition may have restricted price negotiation.
- The long contract duration could lead to vendor lock-in or reduced flexibility.
- Exclusion of sources raises questions about the fairness and breadth of the competition.
- Lack of detailed performance metrics makes it hard to assess service quality and value.
- The 'AW' designation needs clarification to confirm if it truly represents a small business award.
Positive Signals
- Awarded through a competitive process, even if limited.
- The contract addresses a critical IT support function for the DoD.
- Information Innovators, LLC, has secured a significant contract, indicating some level of trust or capability.
- The contract duration suggests a stable, long-term IT support solution.
Sector Analysis
This contract falls within the IT services sector, specifically focusing on computer systems design and support. The market for enterprise IT support services is substantial, with government agencies being major consumers. Comparable spending benchmarks would involve analyzing other large-scale IT service contracts awarded by the DoD and other federal agencies for similar functions. The trend in this sector is towards consolidation and specialized service providers.
Small Business Impact
The data indicates the award was made under 'AW' (Awarded to Small Business), suggesting this contract may have been set aside for small businesses. If so, it represents a significant opportunity for Information Innovators, LLC. However, the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' clause complicates this, as it implies a specific competitive process. Further analysis would be needed to confirm the small business status and its implications for subcontracting opportunities and the broader small business IT ecosystem.
Oversight & Accountability
Oversight for this contract would typically be managed by the contracting officer and the relevant program management office within the Department of the Air Force. Accountability measures would be defined in the contract's performance work statement, including service level agreements and reporting requirements. Transparency is facilitated through contract databases like FPDS, though detailed operational performance data may not be publicly available. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.
Related Government Programs
- DoD Enterprise IT Services
- IT Support Services
- Computer Systems Design
- Federal IT Contracts
- Information Technology Services
Risk Flags
- Limited competition may impact price and value.
- Potential for cost overruns due to 'Labor Hours' pricing.
- Need for clear performance metrics to assess effectiveness.
- Uncertainty regarding small business status ('AW' designation).
Tags
it-services, enterprise-service-desk, department-of-defense, air-force, computer-systems-design, labor-hours, limited-competition, information-innovators-llc, texas, full-and-open-competition-after-exclusion-of-sources
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $32.9 million to INFORMATION INNOVATORS, LLC. ENTERPRISE SERVICE DESK
Who is the contractor on this award?
The obligated recipient is INFORMATION INNOVATORS, LLC.
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 $32.9 million.
What is the period of performance?
Start: 2008-08-11. End: 2011-09-15.
What is the track record of Information Innovators, LLC, in performing similar large-scale IT service contracts for the federal government?
Assessing the track record of Information Innovators, LLC, requires a review of their past performance on federal contracts. This would involve examining contract databases for previous awards, their values, durations, and any reported performance issues or successes. Key indicators include their experience with enterprise service desk operations, IT infrastructure support, and computer systems design. A history of successful contract completion, positive past performance reviews, and minimal disputes would suggest a lower risk. Conversely, a history of contract terminations, performance deficiencies, or significant cost overruns would raise concerns about their capability to deliver on this $32.8 million award.
How does the awarded price of $32.8 million compare to market rates for similar enterprise service desk contracts?
Directly comparing the $32.8 million price tag to market rates is challenging without detailed service scope and performance metrics. However, we can look at the contract's duration (1130 days, approximately 3.1 years) to estimate an annual cost of roughly $10.6 million. This figure needs to be benchmarked against similar-sized enterprise IT support contracts awarded by the DoD or other large federal agencies. Factors influencing price include the number of users supported, the complexity of the IT environment, the specific services offered (e.g., help desk, network management, cybersecurity support), and the labor mix. If comparable contracts for similar scope and scale are significantly lower, it could indicate the awarded price is not optimal.
What are the primary risks associated with a 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' award, and how were they mitigated?
The primary risk of 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' is that the exclusion of certain vendors may have limited the competitive pool, potentially leading to higher prices and reduced innovation. This could also signal a lack of available vendors meeting highly specific, potentially restrictive, requirements. Mitigation strategies would typically involve a thorough justification for the exclusion, ensuring it was based on legitimate technical or programmatic needs rather than convenience. The agency should have conducted market research to confirm that the remaining pool offered sufficient competition and value. Transparency regarding the reasons for exclusion is also crucial for accountability.
How effective has Information Innovators, LLC, been in meeting the performance requirements of this contract, based on available data?
Determining the effectiveness of Information Innovators, LLC, in meeting the performance requirements of this specific contract is difficult without access to detailed performance reports, service level agreement (SLA) adherence data, or customer satisfaction surveys. Federal contract databases often lack granular performance metrics. To assess effectiveness, one would need to review any available Contractor Performance Assessment Reporting System (CPARS) data, contract modifications, or any documented issues or commendations. The long duration of the contract (2008-2011) suggests a sustained need, but doesn't inherently guarantee high performance throughout.
What has been the historical spending trend for enterprise service desk functions within the Department of the Air Force prior to and during this contract period?
Analyzing historical spending trends for enterprise service desk functions within the Department of the Air Force would provide context for the $32.8 million award. This involves examining FPDS data for similar contracts awarded in preceding years to identify patterns in contract values, durations, and awarded vendors. Understanding whether spending has been increasing, decreasing, or remaining stable can indicate shifts in IT strategy, outsourcing trends, or technological advancements. Comparing this contract's value to the agency's overall IT budget and spending on similar services can also reveal its relative significance and potential for cost efficiencies or overspending.
What is the significance of the contract being awarded under 'LABOR HOURS' pricing, and what are the implications for cost control?
Awarding a contract under 'LABOR HOURS' pricing means the government pays for the actual time spent by contractor personnel performing the work, rather than a fixed price for a defined deliverable. This pricing structure is often used when the scope of work is not clearly defined or is expected to evolve. For cost control, it introduces risks, as the total cost can escalate if more labor hours are consumed than initially anticipated. Effective oversight is crucial to ensure that the hours billed are reasonable, necessary, and directly related to the contract's objectives. It requires diligent monitoring of timesheets and work effort to prevent inefficiencies or overstaffing.
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: FA877308R6015
Offers Received: 8
Pricing Type: LABOR HOURS (Z)
Evaluated Preference: NONE
Contractor Details
Address: 7400 FULLERTON RD STE 210, SPRINGFIELD, VA, 11
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $39,383,442
Exercised Options: $37,273,287
Current Obligation: $32,886,267
Parent Contract
Parent Award PIID: GS06F0519Z
IDV Type: GWAC
Timeline
Start Date: 2008-08-11
Current End Date: 2011-09-15
Potential End Date: 2011-09-15 00:00:00
Last Modified: 2013-10-26
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