GSA awards $62.5M contract for DMDC cardstock, middleware, and consumables to Peraton Enterprise Solutions LLC

Contract Overview

Contract Amount: $62,529,614 ($62.5M)

Contractor: Peraton Enterprise Solutions LLC

Awarding Agency: General Services Administration

Start Date: 2008-07-17

End Date: 2011-11-10

Contract Duration: 1,211 days

Daily Burn Rate: $51.6K/day

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: DMDC CARDSTOCK, MIDDLEWARE MAINTENANCE AND CONSUMABLES.

Place of Performance

Location: SEASIDE, MONTEREY County, CALIFORNIA, 93955

State: California Government Spending

Plain-Language Summary

General Services Administration obligated $62.5 million to PERATON ENTERPRISE SOLUTIONS LLC for work described as: DMDC CARDSTOCK, MIDDLEWARE MAINTENANCE AND CONSUMABLES. Key points: 1. Contract value of $62.5M over 3 years. 2. Sole-source award to Peraton Enterprise Solutions LLC. 3. Risk of limited competition and potential overpricing. 4. Services fall under 'Other Computer Related Services' NAICS code.

Value Assessment

Rating: questionable

The contract value of $62.5M for a 3-year period, encompassing cardstock, middleware, and consumables, appears high without clear justification. Benchmarking against similar GSA contracts for IT consumables and middleware maintenance is difficult due to the unique combination of services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This was a sole-source award, indicating a lack of competition. This method limits price discovery and may lead to higher costs for taxpayers as there was no opportunity for vendors to bid against each other.

Taxpayer Impact: The sole-source nature of this award raises concerns about potential overpayment and inefficient use of taxpayer funds due to the absence of competitive bidding.

Public Impact

Taxpayers may be paying a premium for essential IT supplies and maintenance. Lack of transparency in the procurement process due to sole-source award. Potential for reduced innovation and service quality without competitive pressure.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under 'Other Computer Related Services,' a broad category. The spending benchmark for this sector is highly variable, but a $62.5M award for a 3-year period for cardstock, middleware, and consumables seems substantial, especially given the sole-source nature.

Small Business Impact

The contract was awarded to Peraton Enterprise Solutions LLC, a large business. There is no indication that small businesses were involved in this sole-source procurement, limiting opportunities for them.

Oversight & Accountability

The sole-source nature of this award warrants further oversight to ensure the pricing is fair and reasonable and that the services provided meet the government's needs effectively.

Related Government Programs

Risk Flags

Tags

other-computer-related-services, general-services-administration, ca, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $62.5 million to PERATON ENTERPRISE SOLUTIONS LLC. DMDC CARDSTOCK, MIDDLEWARE MAINTENANCE AND CONSUMABLES.

Who is the contractor on this award?

The obligated recipient is PERATON ENTERPRISE SOLUTIONS LLC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $62.5 million.

What is the period of performance?

Start: 2008-07-17. End: 2011-11-10.

What was the justification for awarding this contract on a sole-source basis, and were alternative procurement methods considered?

The justification for a sole-source award is critical for understanding the procurement's validity. Without competitive bidding, it's difficult to ascertain if the government secured the best possible price and service. Further investigation into the specific circumstances and documentation supporting the sole-source decision is necessary to assess value for money.

How does the per-unit cost of the cardstock, middleware, and consumables compare to market rates or other government contracts?

Benchmarking the per-unit costs against similar items procured through competitive means or against commercial market rates is essential. A significant deviation could indicate overpricing or inefficiencies. Without this data, it's challenging to definitively assess the financial risk and taxpayer impact of this sole-source award.

What performance metrics are in place to ensure the effectiveness and quality of the middleware maintenance and consumables provided?

Effective oversight requires clear performance metrics and service level agreements. Understanding how the government is measuring the quality and timeliness of Peraton's services is crucial for ensuring the contract's effectiveness and accountability. This helps mitigate risks associated with sole-source awards by maintaining a focus on deliverables.

Industry Classification

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

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

Contractor Details

Parent Company: HP, Inc. (UEI: 009122532)

Address: 13600 EDS DR, HERNDON, VA, 20171

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $391,167,134

Exercised Options: $62,649,614

Current Obligation: $62,529,614

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Parent Contract

Parent Award PIID: GS00T00ALD0209

IDV Type: GWAC

Timeline

Start Date: 2008-07-17

Current End Date: 2011-11-10

Potential End Date: 2011-11-10 00:00:00

Last Modified: 2016-07-18

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