DoD's $93M Microsoft COVID-19 Services Contract with Dell Federal Systems L.P. Awarded via Full and Open Competition
Contract Overview
Contract Amount: $93,112,086 ($93.1M)
Contractor: Dell Federal Systems L.P
Awarding Agency: Department of Defense
Start Date: 2020-09-27
End Date: 2021-06-15
Contract Duration: 261 days
Daily Burn Rate: $356.8K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: MICROSOFT ADDITIONAL PRODUCTS - COVID-19 SERVICES
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20301
Plain-Language Summary
Department of Defense obligated $93.1 million to DELL FEDERAL SYSTEMS L.P for work described as: MICROSOFT ADDITIONAL PRODUCTS - COVID-19 SERVICES Key points: 1. Significant investment in IT services for COVID-19 response. 2. Competition was open, suggesting potential for competitive pricing. 3. Contract duration of 261 days indicates a focused, short-term need. 4. The NAICS code 541519 covers a broad range of computer-related services.
Value Assessment
Rating: fair
The contract value of $93.1M for approximately 9 months of service is substantial. Benchmarking against similar large-scale IT service contracts for pandemic response is difficult without more granular service details, but the price appears within a reasonable range for comprehensive support.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes price discovery and can lead to more favorable pricing for the government.
Taxpayer Impact: Taxpayers benefit from competitive bidding, which aims to secure services at the best possible value. The $93.1M expenditure is justified if the services effectively supported the DoD's COVID-19 response.
Public Impact
Ensured critical IT infrastructure and services were available to support the Department of Defense's response to the COVID-19 pandemic. Facilitated the continuity of operations and mission essential functions during a national health crisis. Supported the deployment and management of technology solutions related to pandemic services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific service details makes it hard to assess true value.
- Potential for scope creep in 'Other Computer Related Services'.
Positive Signals
- Awarded under full and open competition.
- Clear objective related to COVID-19 services.
Sector Analysis
The IT services sector is highly dynamic. Spending on IT support for critical events like pandemics is essential but requires careful oversight to ensure efficiency. Benchmarks for similar large-scale, short-term pandemic IT support contracts are scarce due to the unique nature of such events.
Small Business Impact
This contract was awarded to Dell Federal Systems L.P., a large business. There is no indication that small businesses were specifically subcontracted or involved in this particular award, which is common for large prime contracts.
Oversight & Accountability
The award was made via a BPA Call, suggesting it leveraged an existing Basic Ordering Agreement. Oversight would focus on performance against the defined scope and adherence to the firm-fixed-price terms to ensure accountability for the $93.1M expenditure.
Related Government Programs
- Other Computer Related Services
- Department of Defense Contracting
- Defense Information Systems Agency Programs
Risk Flags
- Lack of specific service details.
- Broad NAICS code.
- High contract value.
- Short contract duration may indicate urgency or limited scope.
- No explicit small business participation noted.
Tags
other-computer-related-services, department-of-defense, dc, bpa-call, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $93.1 million to DELL FEDERAL SYSTEMS L.P. MICROSOFT ADDITIONAL PRODUCTS - COVID-19 SERVICES
Who is the contractor on this award?
The obligated recipient is DELL FEDERAL SYSTEMS L.P.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Information Systems Agency).
What is the total obligated amount?
The obligated amount is $93.1 million.
What is the period of performance?
Start: 2020-09-27. End: 2021-06-15.
What specific Microsoft products and COVID-19 services were procured under this contract?
The provided data lacks granular detail on the specific Microsoft products and COVID-19 services. The NAICS code 541519 suggests a broad range of 'Other Computer Related Services,' which could encompass software licensing, cloud services, technical support, or specialized IT solutions tailored for pandemic response.
How effectively did these services contribute to the Department of Defense's COVID-19 response efforts?
The effectiveness of the services in supporting the DoD's COVID-19 response cannot be fully assessed without performance metrics or outcome reports. While the contract aimed to provide necessary IT support, its ultimate success hinges on whether it enabled critical functions, facilitated communication, and maintained operational readiness during the pandemic.
Were there opportunities for cost savings or better value through alternative procurement methods or service providers?
Given the award was made under full and open competition, it implies that multiple bids were considered, suggesting an effort to achieve value. However, without detailed comparison of the bids received or exploration of alternative service models, it's difficult to definitively state if better value could have been achieved.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: HC108419R0018
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Dell Technologies Inc.
Address: 1 DELL WAY, ROUND ROCK, TX, 78682
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $93,112,086
Exercised Options: $93,112,086
Current Obligation: $93,112,086
Contract Characteristics
Commercial Item: COMMERCIAL ITEM
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: HC108420A0003
IDV Type: BPA
Timeline
Start Date: 2020-09-27
Current End Date: 2021-06-15
Potential End Date: 2021-06-15 00:00:00
Last Modified: 2024-09-06
More Contracts from Dell Federal Systems L.P
- THE Purpose of This Acquisition IS to Provide the Department of Veterans Affairs With an Enterprise Agreement for Brand Name Microsoft Software Products and Services. This Enterprise Agreement Will Provide 1) Support Services 2) Operational Support and 3) Additional Licenses of Microsoft Products, Current and Planned, to Support the VA Enterprise. Subject Procurement WAS Competed Among Microsoft's Eight Authorized Federal Government License Solution Providers. Igf::ot::igf — $1.7B (Department of Veterans Affairs)
- VA Microsoft Enterprise License Agreement — $1.6B (Department of Veterans Affairs)
- Microsoft Enterprise Agreement — $602.2M (Department of Veterans Affairs)
- Cloud Hosted Enterprise Services (ches) — $369.2M (General Services Administration)
- Microsoft Jela III AF Enterprise Licenses SA — $282.3M (Department of Defense)
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)