DHS Coast Guard Awards $70.4M Custom Programming Task Order to Guidehouse Digital LLC
Contract Overview
Contract Amount: $70,364,174 ($70.4M)
Contractor: Guidehouse Digital LLC
Awarding Agency: Department of Homeland Security
Start Date: 2010-11-01
End Date: 2012-12-31
Contract Duration: 791 days
Daily Burn Rate: $89.0K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 7
Pricing Type: COST PLUS FIXED FEE
Sector: IT
Official Description: CTS TASK ORDER
Place of Performance
Location: KEARNEYSVILLE, BERKELEY County, WEST VIRGINIA, 25430
Plain-Language Summary
Department of Homeland Security obligated $70.4 million to GUIDEHOUSE DIGITAL LLC for work described as: CTS TASK ORDER Key points: 1. Significant award value of $70.4 million for custom computer programming services. 2. Competition method was 'Full and Open Competition After Exclusion of Sources', indicating a specific but competitive approach. 3. Contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. 4. The award was a Delivery Order under a larger contract, suggesting a phased approach to service delivery.
Value Assessment
Rating: fair
The contract value of $70.4 million for custom computer programming services is substantial. Benchmarking against similar contracts for complex IT solutions is necessary to determine if this represents a fair price, especially given the Cost Plus Fixed Fee structure.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The competition was 'Full and Open Competition After Exclusion of Sources'. While this implies some level of competition, excluding specific sources may limit price discovery and potentially lead to higher costs compared to truly open competition.
Taxpayer Impact: Taxpayer funds are being utilized for this significant IT services contract. The effectiveness of the competition and cost controls will directly impact the value for money received by taxpayers.
Public Impact
Enhances U.S. Coast Guard's technological capabilities through custom programming. Supports critical national security and maritime safety missions. Potential for job creation within the IT services sector.
Waste & Efficiency Indicators
Waste Risk Score: 88 / 10
Warning Flags
- Cost Plus Fixed Fee contract type can incentivize contractor to increase costs.
- Limited competition method may not yield the best price.
- Long contract duration (791 days) increases risk of scope creep or changing requirements.
Positive Signals
- Significant investment in critical Coast Guard IT infrastructure.
- Award to a single vendor suggests specialized expertise.
- Delivery Order structure allows for phased implementation and potential for adjustments.
Sector Analysis
This contract falls within the IT services sector, specifically custom computer programming. Spending benchmarks for similar government IT projects vary widely based on complexity and scope, but $70.4 million is a considerable amount for a single task order.
Small Business Impact
The data indicates the awardee is Guidehouse Digital LLC. There is no explicit information on small business participation in this specific task order, and the 'sb' field is false, suggesting it was not set aside for small businesses.
Oversight & Accountability
Oversight will be crucial to ensure the Cost Plus Fixed Fee structure does not lead to excessive costs and that the delivered services meet the Coast Guard's requirements effectively. Regular performance reviews and cost audits are recommended.
Related Government Programs
- Custom Computer Programming Services
- Department of Homeland Security Contracting
- U.S. Coast Guard Programs
Risk Flags
- Cost Plus Fixed Fee contract risks
- Limited competition concerns
- Potential for cost overruns
- Need for robust oversight
Tags
custom-computer-programming-services, department-of-homeland-security, wv, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $70.4 million to GUIDEHOUSE DIGITAL LLC. CTS TASK ORDER
Who is the contractor on this award?
The obligated recipient is GUIDEHOUSE DIGITAL LLC.
Which agency awarded this contract?
Awarding agency: Department of Homeland Security (U.S. Coast Guard).
What is the total obligated amount?
The obligated amount is $70.4 million.
What is the period of performance?
Start: 2010-11-01. End: 2012-12-31.
What specific custom computer programming services were procured, and how do they align with the Coast Guard's strategic IT modernization goals?
The task order is for custom computer programming services (NAICS 541511). While the specific services aren't detailed, they likely support the Coast Guard's operational needs, potentially involving software development, system integration, or data management. Alignment with strategic goals would require reviewing the Coast Guard's IT modernization plans and the task order's statement of work.
How was the 'exclusion of sources' justified in the full and open competition, and what impact did this have on the final price?
Justification for excluding sources typically involves demonstrating that only specific vendors possess the required unique capabilities or that prior performance necessitates their selection. This exclusion can limit the competitive pool, potentially leading to a higher price than if a broader range of vendors were considered. A thorough review of the justification documentation is needed.
What are the key performance indicators (KPIs) for this contract, and how will their achievement be measured to ensure effective delivery of services?
Key performance indicators are essential for measuring the effectiveness of custom programming services. These could include metrics related to software functionality, system uptime, bug resolution rates, adherence to project timelines, and user satisfaction. The contract's performance work statement should detail these KPIs and the methods for tracking and reporting performance.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Custom Computer Programming Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 7
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 11490 COMMERCE PARK DRIVE STE140, RESTON, VA, 20191
Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $70,364,174
Exercised Options: $70,364,174
Current Obligation: $70,364,174
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Parent Contract
Parent Award PIID: HSCGG311DPWV888
IDV Type: IDC
Timeline
Start Date: 2010-11-01
Current End Date: 2012-12-31
Potential End Date: 2012-12-31 00:00:00
Last Modified: 2016-04-01
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