DHS Customs & Border Protection awards $39.8M Oracle ULA to Mythics, LLC

Contract Overview

Contract Amount: $39,801,035 ($39.8M)

Contractor: Mythics, LLC

Awarding Agency: Department of Homeland Security

Start Date: 2014-05-31

End Date: 2017-05-30

Contract Duration: 1,095 days

Daily Burn Rate: $36.3K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: UNLIMITED LICENSE AGREEMENT (ULA) FOR ORACLE PRODUCTS

Place of Performance

Location: SPRINGFIELD, FAIRFAX County, VIRGINIA, 22153

State: Virginia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $39.8 million to MYTHICS, LLC for work described as: UNLIMITED LICENSE AGREEMENT (ULA) FOR ORACLE PRODUCTS Key points: 1. Significant investment in Oracle software licenses via a Blanket Purchase Agreement (BPA) Call. 2. Contract awarded to Mythics, LLC, a single vendor for this specific BPA. 3. The contract spans three years, indicating a medium-term commitment. 4. The NAICS code 511210 points to the Software Publishers sector.

Value Assessment

Rating: fair

The total award amount of $39.8M for a 3-year Oracle ULA is substantial. Without specific product breakdowns or usage metrics, it's difficult to assess if this represents a competitive price point compared to other government Oracle agreements or commercial offerings.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under a BPA Call, which implies that the underlying BPA was competed. However, the specific call to Mythics, LLC suggests that this particular award may have been limited to pre-qualified vendors on that BPA, potentially impacting price discovery.

Taxpayer Impact: Taxpayer funds are being used for a significant software license agreement. The value for money depends heavily on the actual utilization of Oracle products by CBP over the contract period.

Public Impact

Ensures continued access to critical Oracle software for U.S. Customs and Border Protection operations. Supports national security and border control functions through licensed software. Potential for cost savings if the ULA provides favorable terms compared to individual license purchases. Highlights the government's reliance on major software vendors like Oracle.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of detailed usage data makes value assessment difficult.
Potential for underutilization of licenses within the ULA.
Vendor lock-in risk associated with large software agreements.

Positive Signals

Awarded under a competed BPA, suggesting some level of initial competition.
Firm Fixed Price contract provides cost certainty for the duration.
ULAs can offer predictable budgeting for software expenses.

Sector Analysis

The Software Publishers sector is characterized by high R&D costs and significant market concentration. Government spending in this area often involves large, multi-year agreements for enterprise software solutions.

Small Business Impact

The awardee, Mythics, LLC, is not identified as a small business in the provided data. This suggests the contract was not specifically set aside for small business participation.

Oversight & Accountability

The use of a BPA Call indicates a structured procurement process. However, ongoing oversight is crucial to ensure the ULA is being utilized effectively and that the government is receiving fair value throughout the contract term.

Related Government Programs

Software Publishers
Department of Homeland Security Contracting
U.S. Customs and Border Protection Programs

Risk Flags

Potential for overpayment if software is underutilized.
Risk of vendor lock-in with a major software provider.
Limited transparency on specific product usage and value.
Dependence on a single vendor for critical software.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $39.8 million to MYTHICS, LLC. UNLIMITED LICENSE AGREEMENT (ULA) FOR ORACLE PRODUCTS

Who is the contractor on this award?

The obligated recipient is MYTHICS, LLC.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Customs and Border Protection).

What is the total obligated amount?

The obligated amount is $39.8 million.

What is the period of performance?

Start: 2014-05-31. End: 2017-05-30.

What is the specific breakdown of Oracle products included in this ULA and their estimated usage by CBP?

The provided data does not detail the specific Oracle products covered by this Unlimited License Agreement (ULA) or provide estimated usage metrics. Understanding this breakdown is crucial for assessing the true value proposition of the $39.8 million award. Without this information, it's challenging to determine if the ULA represents a cost-effective solution compared to purchasing licenses on an as-needed basis or through alternative procurement vehicles.

What mechanisms are in place to mitigate vendor lock-in and ensure competitive pricing for future Oracle software needs beyond this ULA?

While the ULA provides a fixed price for the contract duration, it inherently carries a risk of vendor lock-in. The government should have strategies in place, such as exploring open-source alternatives, negotiating favorable terms for future procurements, and actively managing license inventory, to mitigate this risk. The initial 'full and open competition' for the underlying BPA is a positive step, but continuous market analysis is needed.

How does the cost per user or per deployed instance compare to industry benchmarks for similar Oracle software deployments?

The provided data lacks the necessary granularity to calculate a meaningful per-unit cost or benchmark against industry standards. Key metrics like the number of users, deployed instances, or specific Oracle product modules are missing. To assess cost-effectiveness, a detailed analysis comparing the ULA's effective cost per user/instance against commercial pricing and other government contracts for similar Oracle products would be required.

Industry Classification

NAICS: Information › Software Publishers › Software Publishers

Product/Service Code: INFORMATION TECHNOLOGY EQUIPMENT (INCLD FIRMWARE) SOFTWARE,SUPPLIES& SUPPORT EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 4525 MAIN ST STE 1500, VIRGINIA BEACH, VA, 23462

Business Categories: Category Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $39,801,035

Exercised Options: $39,801,035

Current Obligation: $39,801,035

Parent Contract

Parent Award PIID: HSHQDC13A00040

IDV Type: BPA

Timeline