DoD's $29M IT contract for ADP Central Processing Units awarded to Technology and Management Services, Inc. in 2004

Contract Overview

Contract Amount: $29,021,462 ($29.0M)

Contractor: Technology and Management Services, Inc.

Awarding Agency: Department of Defense

Start Date: 2004-04-08

End Date: 2009-09-30

Contract Duration: 2,001 days

Daily Burn Rate: $14.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: TAS::97 0100::TAS 200407!001245!9700!HC1013!DEFENSE INFO. TECHNOLOGY CONTRACT!GS10F0343K !C!N! !N!HC101304F5201! !20040408!20050228!095354643!095354643!095354643!N!TECHNOLOGY&MANAGEMENT SERVIC!18757 NORTH FREDERICK ROAD!GAITHERSBURG !MD!20879!31175!031!24!GAITHERSBURG !MONTGOMERY !MARYLAND !+000000557967!N!N!000000000000!7022!ADP CENTRL PROCESSING UNIT (CPU, COMPUTER), HYBRID!S1 !SERVICES !000 !* !541519!E! !6! ! ! ! ! !99990909!B!E!Y! ! !A! ! ! !000! ! ! ! ! ! ! !Y!B!N!N! ! ! ! ! ! !00 ! ! ! ! ! ! ! ! !Z51700!0001! !

Place of Performance

Location: GLEN BURNIE, ANNE ARUNDEL County, MARYLAND, 21061

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $29.0 million to TECHNOLOGY AND MANAGEMENT SERVICES, INC. for work described as: TAS::97 0100::TAS 200407!001245!9700!HC1013!DEFENSE INFO. TECHNOLOGY CONTRACT!GS10F0343K !C!N! !N!HC101304F5201! !20040408!20050228!095354643!095354643!095354643!N!TECHNOLOGY&MANAGEMENT SERVIC!18757 NORTH FREDERICK ROAD!GAITHERSBURG !MD!20879!31175!031!24!GAITHERS… Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract's duration of over 5 years indicates a significant, long-term IT need. 3. The fixed-price nature of the contract shifts performance risk to the contractor. 4. The award was a delivery order against a larger contract vehicle. 5. The primary service code (541519) points to IT professional services, specifically related to computer hardware. 6. The contract was awarded to a single entity, Technology and Management Services, Inc.

Value Assessment

Rating: fair

The total award amount of $29,021,462.07 for ADP Central Processing Units and related services over a period of approximately 5 years appears to be within a reasonable range for large-scale IT procurements of this nature. However, without specific benchmarks for the exact type of CPUs and the scope of management services, a precise value-for-money assessment is challenging. The fixed-price contract type suggests that the government aimed to control costs, but the ultimate value depends on the contractor's efficiency and the actual performance delivered.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a 'full and open competition' solicitation, indicating that all responsible sources were permitted to submit bids. The data does not specify the number of bidders, but the designation implies a robust competitive environment. This approach is generally expected to yield better pricing and service options for the government by encouraging multiple vendors to offer their best terms.

Taxpayer Impact: A full and open competition process is beneficial for taxpayers as it fosters a competitive marketplace, which typically drives down prices and improves the quality of goods and services procured.

Public Impact

The Department of Defense benefits from the acquisition of essential IT hardware and management services. The contract supports the operational needs of the Defense Information Systems Agency (DISA). The services are delivered within Maryland, impacting the local IT workforce and economy. The procurement of ADP Central Processing Units is critical for maintaining the Department of Defense's computing infrastructure.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific details on the number of bidders limits the assessment of competitive intensity.
The duration of the contract (over 5 years) could lead to potential obsolescence of technology if not managed proactively.
The fixed-price nature, while good for cost control, can sometimes lead to contractor underperformance if not closely monitored.

Positive Signals

Awarded under full and open competition, suggesting a fair and competitive process.
The fixed-price contract type provides cost certainty for the government.
The contract was awarded to a single entity, implying a focused relationship for service delivery.

Sector Analysis

This contract falls within the Information Technology sector, specifically concerning the procurement of computer hardware (ADP Central Processing Units) and associated management services. The IT services market is vast and highly competitive, with significant government spending allocated to maintaining and upgrading its technological infrastructure. Contracts of this size and duration are common for agencies like the Defense Information Systems Agency (DISA) that require robust and reliable IT solutions to support national security operations.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications or specific impacts on the small business ecosystem stemming from this particular award. The focus was on full and open competition, which typically involves larger prime contractors.

Oversight & Accountability

Oversight for this contract would typically fall under the purview of the Department of Defense's contracting officers and the Defense Information Systems Agency (DISA). Inspector General (IG) investigations could be initiated if any performance issues, fraud, or waste were suspected. Transparency is generally maintained through contract award databases, though specific performance metrics and detailed oversight reports are not publicly available in this dataset.

Related Government Programs

Defense Information Systems Agency (DISA) IT Contracts
Department of Defense Computer Hardware Procurement
Federal IT Services Contracts
Information Technology Management Services

Risk Flags

Long contract duration may lead to technology obsolescence.
Fixed-price contract requires careful monitoring to ensure performance quality.
Limited public data on specific performance metrics.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $29.0 million to TECHNOLOGY AND MANAGEMENT SERVICES, INC.. TAS::97 0100::TAS 200407!001245!9700!HC1013!DEFENSE INFO. TECHNOLOGY CONTRACT!GS10F0343K !C!N! !N!HC101304F5201! !20040408!20050228!095354643!095354643!095354643!N!TECHNOLOGY&MANAGEMENT SERVIC!18757 NORTH FREDERICK ROAD!GAITHERSBURG !MD!20879!31175!031!24!GAITHERSBURG !MONTGOMERY !MARYLAND !+000000557967!N!N!000000000000!7022!ADP CENTRL PROCESSING UNIT (CPU, COMPUTER), HYBRID!S1 !SERVICES !000 !* !541519!E!

Who is the contractor on this award?

The obligated recipient is TECHNOLOGY AND MANAGEMENT SERVICES, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Information Systems Agency).

What is the total obligated amount?

The obligated amount is $29.0 million.

What is the period of performance?

Start: 2004-04-08. End: 2009-09-30.

What was the specific type and quantity of ADP Central Processing Units (CPUs) procured under this contract?

The contract data specifies the item as 'ADP CENTRL PROCESSING UNIT (CPU, COMPUTER), HYBRID' under the Product Service Code (PSC) 7022. However, the exact quantity and specific technical configurations of the CPUs are not detailed in the provided summary data. Such granular information would typically be found in the detailed contract line item numbers (CLINs) or the statement of work (SOW) associated with the delivery order, which are not included here. The total award amount of $29,021,462.07 suggests a significant volume or high-value units were acquired over the contract's lifespan.

How does the per-unit cost of these CPUs compare to market rates at the time of award?

A precise per-unit cost comparison is not feasible with the provided data. The contract value is a total award amount ($29,021,462.07) for a hybrid product and service over a period of approximately five years. To determine a per-unit cost, we would need the total number of units procured. Furthermore, 'market rates' for government-procured, potentially specialized, computer hardware can vary significantly from commercial off-the-shelf (COTS) prices due to factors like bulk purchasing agreements, specific security requirements, extended warranties, and support services bundled into the contract. Without knowing the exact specifications and quantities, benchmarking against external market data is speculative.

What is the track record of Technology and Management Services, Inc. with federal IT contracts?

Technology and Management Services, Inc. (TMS) has a history of federal contracting, as evidenced by this $29 million award from the Department of Defense in 2004. The contract was for IT hardware and services, falling under the Administrative Management and General Management Consulting Services (NAICS 541611) and IT Professional Services (PSC 7022) categories. Further analysis of TMS's contract history would involve examining other awards, performance reviews (e.g., Contractor Performance Assessment Reporting System - CPARS), and any past performance issues or commendations across various federal agencies. This single data point indicates they were a capable provider for DISA at that time.

What were the key performance indicators (KPIs) or service level agreements (SLAs) for this contract?

The provided summary data does not include specific Key Performance Indicators (KPIs) or Service Level Agreements (SLAs) for this contract. These details are typically outlined in the Statement of Work (SOW) or Performance Work Statement (PWS) which forms part of the contract's detailed documentation. For a contract involving ADP Central Processing Units and related services, potential KPIs could have included delivery timelines, hardware uptime, response times for technical support, system performance benchmarks, and adherence to security protocols. The effectiveness of the contract's value would be measured against these unstated performance standards.

How has spending on similar IT hardware and services by the Department of Defense evolved since 2004?

Federal spending on IT hardware and services, particularly within the Department of Defense (DoD), has seen substantial evolution since 2004. While this contract was for $29 million, overall DoD IT spending has grown significantly, driven by increasing cybersecurity threats, modernization efforts, cloud adoption, and the demand for advanced technologies like artificial intelligence and data analytics. Spending has shifted from traditional hardware procurement towards software, cloud services, and cybersecurity solutions. Agencies like DISA continue to be major IT spenders, but the nature of procurements has adapted to rapid technological advancements and evolving mission requirements, often favoring more agile and service-based acquisition models.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES

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

Parent Company: International Business Machines Corporation (UEI: 001368083)

Address: 18757 N FREDERICK AVE, GAITHERSBURG, MD, 20879

Business Categories: Category Business, Small Business

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: GS10F0343K

IDV Type: FSS

Timeline