HHS Awards $40.5M for Data Center Services to Companion Data Services LLC
Contract Overview
Contract Amount: $40,546,124 ($40.5M)
Contractor: Companion Data Services LLC
Awarding Agency: Department of Health and Human Services
Start Date: 2010-05-26
End Date: 2015-05-25
Contract Duration: 1,825 days
Daily Burn Rate: $22.2K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: TAS::75 0510::TAS RECOVERY ENTERPRISE DATA CENTER SERVICES
Place of Performance
Location: WINDSOR MILL, BALTIMORE County, MARYLAND, 21244
State: Maryland Government Spending
Plain-Language Summary
Department of Health and Human Services obligated $40.5 million to COMPANION DATA SERVICES LLC for work described as: TAS::75 0510::TAS RECOVERY ENTERPRISE DATA CENTER SERVICES Key points: 1. Significant contract value of $40.5 million over five years. 2. Awarded under full and open competition, indicating market availability. 3. Potential risk associated with a single award for critical infrastructure. 4. Services fall within the IT sector, specifically computer facilities management.
Value Assessment
Rating: good
The contract value of $40.5 million over five years averages $8.1 million annually. This appears reasonable for enterprise data center services, though direct comparison is difficult without specific service level agreements and scope.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, suggesting a robust process for price discovery and selection of the most advantageous offer. This method generally leads to competitive pricing.
Taxpayer Impact: Taxpayer funds are being utilized for essential data center services, with the competitive award process aiming to ensure value for money.
Public Impact
Ensures continuity of critical data center operations for CMS. Supports the management and maintenance of vital health data infrastructure. Impacts beneficiaries through reliable access to Medicare and Medicaid services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Single award for critical infrastructure
- Long-term contract duration
Positive Signals
- Full and open competition
- Firm fixed price contract
Sector Analysis
This contract falls under the Information Technology sector, specifically focusing on computer facilities management. Spending in this area is substantial across government, supporting essential digital infrastructure.
Small Business Impact
The data indicates this contract was not awarded to a small business. Further analysis would be needed to determine if small business participation was sought or achieved through subcontracting.
Oversight & Accountability
The contract was awarded via a delivery order, suggesting it may be part of a larger indefinite-delivery/indefinite-quantity (IDIQ) vehicle. Oversight would focus on performance against contract terms and adherence to pricing.
Related Government Programs
- Computer Facilities Management Services
- Department of Health and Human Services Contracting
- Centers for Medicare and Medicaid Services Programs
Risk Flags
- Critical infrastructure reliance on a single vendor
- Long-term contract duration (5 years)
- Potential for scope creep if not managed tightly
- Dependence on contractor's cybersecurity posture
Tags
computer-facilities-management-services, department-of-health-and-human-services, md, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $40.5 million to COMPANION DATA SERVICES LLC. TAS::75 0510::TAS RECOVERY ENTERPRISE DATA CENTER SERVICES
Who is the contractor on this award?
The obligated recipient is COMPANION DATA SERVICES LLC.
Which agency awarded this contract?
Awarding agency: Department of Health and Human Services (Centers for Medicare and Medicaid Services).
What is the total obligated amount?
The obligated amount is $40.5 million.
What is the period of performance?
Start: 2010-05-26. End: 2015-05-25.
What is the specific scope of services included in the $40.5 million award, and how does it compare to industry benchmarks for similar data center management contracts?
The provided data does not detail the specific scope of services. A comprehensive analysis would require reviewing the contract's statement of work to compare deliverables such as server maintenance, network management, data storage, and disaster recovery against industry standards and pricing models for comparable government or commercial contracts.
What are the key performance indicators (KPIs) for this contract, and how is Companion Data Services LLC's performance being monitored to mitigate risks associated with critical data center operations
Performance monitoring details are not available in the provided data. Effective oversight would involve tracking KPIs related to uptime, response times, security compliance, and incident resolution. Regular performance reviews and audits by CMS are crucial to ensure service quality and mitigate risks to data integrity and availability.
Given the firm fixed price structure, how effectively does this contract incentivize cost savings or efficiency improvements for the government, and what is the potential for cost overruns?
A firm fixed price contract generally incentivizes the contractor to manage costs efficiently to maximize profit. However, it places the risk of cost overruns on the contractor. Without detailed performance data and change order history, it's difficult to assess the effectiveness of cost control or the likelihood of overruns.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Facilities Management 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
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Blue Cross & Blue Shield of South Carolina
Address: I-20 AT ALPINE RD, COLUMBIA, SC, 29219
Business Categories: Category Business, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $40,546,124
Exercised Options: $40,546,124
Current Obligation: $40,546,124
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Parent Contract
Parent Award PIID: HHSM500200600003I
IDV Type: IDC
Timeline
Start Date: 2010-05-26
Current End Date: 2015-05-25
Potential End Date: 2016-10-22 00:00:00
Last Modified: 2023-06-26
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