HHS Spends $45.2M on IT Services for CDC via Full and Open Competition
Contract Overview
Contract Amount: $45,245,423 ($45.2M)
Contractor: DB Consulting Group, Inc.
Awarding Agency: Department of Health and Human Services
Start Date: 2014-01-01
End Date: 2017-07-31
Contract Duration: 1,307 days
Daily Burn Rate: $34.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: TIME AND MATERIALS
Sector: IT
Official Description: IGF::CL::IGF IM SERVICES SUPPORT NCCPDHP
Place of Performance
Location: ATLANTA, DEKALB County, GEORGIA, 30329
State: Georgia Government Spending
Plain-Language Summary
Department of Health and Human Services obligated $45.2 million to DB CONSULTING GROUP, INC. for work described as: IGF::CL::IGF IM SERVICES SUPPORT NCCPDHP Key points: 1. Total contract value of $45.2M for IT services. 2. Competition was full and open, indicating a competitive bidding process. 3. Contract duration spans over three years. 4. Services provided by DB Consulting Group, Inc.
Value Assessment
Rating: fair
The contract value of $45.2M over 1307 days suggests a significant investment. Benchmarking against similar large-scale IT service contracts is necessary to fully assess value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, which typically fosters competitive pricing. The use of Time and Materials pricing could lead to cost overruns if not closely managed.
Taxpayer Impact: The competitive award process likely resulted in a fair market price, but the Time and Materials structure introduces potential for increased taxpayer cost if not monitored.
Public Impact
Supports critical IT infrastructure for the Centers for Disease Control and Prevention. Ensures continuity of essential public health services. Contract duration impacts long-term IT planning and resource allocation.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Time and Materials pricing structure
- Lack of specific performance metrics in provided data
Positive Signals
- Full and open competition
- Established vendor
Sector Analysis
This contract falls within the IT services sector, specifically computer systems design. Spending benchmarks for similar federal IT service contracts can vary widely based on scope and complexity.
Small Business Impact
The data indicates that small businesses were not directly involved as the prime contractor in this specific award. Further analysis would be needed to determine if small businesses participated as subcontractors.
Oversight & Accountability
Oversight would focus on ensuring the contractor meets performance requirements and that the Time and Materials pricing is managed effectively to prevent cost creep.
Related Government Programs
- Computer Systems Design Services
- Department of Health and Human Services Contracting
- Centers for Disease Control and Prevention Programs
Risk Flags
- Potential for cost overruns due to T&M pricing
- Lack of detailed performance metrics
- Long contract duration requires sustained oversight
- No indication of small business participation as prime
Tags
computer-systems-design-services, department-of-health-and-human-services, ga, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $45.2 million to DB CONSULTING GROUP, INC.. IGF::CL::IGF IM SERVICES SUPPORT NCCPDHP
Who is the contractor on this award?
The obligated recipient is DB CONSULTING GROUP, INC..
Which agency awarded this contract?
Awarding agency: Department of Health and Human Services (Centers for Disease Control and Prevention).
What is the total obligated amount?
The obligated amount is $45.2 million.
What is the period of performance?
Start: 2014-01-01. End: 2017-07-31.
What specific IT services were provided under this contract, and how do they align with CDC's mission objectives?
The contract was for Computer Systems Design Services (NAICS 541512). These services likely encompassed the design, development, implementation, and maintenance of IT systems crucial for CDC's public health surveillance, data analysis, and operational support. Alignment with mission objectives would depend on the specific systems supported, such as those for disease tracking or emergency response.
What are the primary risks associated with the Time and Materials (T&M) pricing structure for this contract?
The primary risk of a T&M contract is the potential for cost escalation, as the government pays for the actual time and materials used. Without strong oversight, scope definition, and efficient contractor performance, costs can exceed initial estimates. This structure can also disincentivize contractor efficiency.
How effectively did the full and open competition process ensure optimal value for taxpayer dollars on this $45.2M contract?
Full and open competition generally promotes competitive pricing, suggesting a good starting point for value. However, the ultimate effectiveness depends on the clarity of the solicitation, the quality of proposals received, and the government's ability to negotiate favorable terms. The T&M structure introduces ongoing risk to value realization throughout the contract's life.
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
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: 2010N11852
Offers Received: 2
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Address: 8403 COLESVILLE RD STE 1000, SILVER SPRING, MD, 20910
Business Categories: Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $643,374,030
Exercised Options: $641,312,470
Current Obligation: $45,245,423
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: HHSD200201037208I
IDV Type: IDC
Timeline
Start Date: 2014-01-01
Current End Date: 2017-07-31
Potential End Date: 2017-07-31 00:00:00
Last Modified: 2024-12-12
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