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

Positive Signals

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

Risk Flags

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 ServicesComputer Systems Design and Related ServicesComputer Systems Design Services

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