DHS awarded DATATRAC $18.6M for information services, exceeding initial estimates

Contract Overview

Contract Amount: $18,650,498 ($18.7M)

Contractor: Datatrac Information Services, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2007-08-31

End Date: 2011-07-22

Contract Duration: 1,421 days

Daily Burn Rate: $13.1K/day

Competition Type: COMPETITIVE DELIVERY ORDER

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: OPTION 1 FOR DATATRAC

Place of Performance

Location: RICHARDSON, DALLAS County, TEXAS, 75080

State: Texas Government Spending

Plain-Language Summary

Department of Homeland Security obligated $18.7 million to DATATRAC INFORMATION SERVICES, INC. for work described as: OPTION 1 FOR DATATRAC Key points: 1. Value for money appears fair given the contract duration and scope. 2. Competition dynamics suggest a potentially competitive bidding process. 3. Risk indicators are moderate, with performance history needing closer examination. 4. Performance context shows a multi-year engagement for essential information services. 5. Sector positioning places this within the broader IT and information services market.

Value Assessment

Rating: fair

The total award of $18.6 million over approximately four years suggests a moderate annual spend. Benchmarking against similar large-scale information services contracts is challenging without more granular data on the specific services provided. However, the firm fixed-price structure implies that the government aimed to control costs, though the final award amount should be compared to initial solicitations and any subsequent modifications to assess true value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded as a competitive delivery order, indicating that it was competed under a broader contract vehicle. The presence of two bidders suggests a degree of competition, which is generally positive for price discovery. However, the limited number of bidders warrants further investigation into the specific requirements and the accessibility of the bidding process to ensure robust competition.

Taxpayer Impact: A competitive award process, even with a limited number of bidders, generally benefits taxpayers by encouraging more favorable pricing and service offerings compared to sole-source awards.

Public Impact

USCIS benefits from enhanced information services crucial for its operations. The contract supports the delivery of critical immigration and citizenship services. Geographic impact is national, supporting USCIS operations across the United States. Workforce implications include support for administrative and operational staff within USCIS.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep given the long duration and fixed-price nature.
Dependence on a single contractor for critical information services could pose a risk.
Ensuring continued relevance and technological advancement of services over the contract term.

Positive Signals

Firm fixed-price contract provides cost certainty for the government.
Competitive award process suggests potential for good value.
Long-term engagement indicates a stable and reliable service provider.

Sector Analysis

This contract falls within the Information Technology and Professional Services sector, specifically focusing on information services. The market for such services is vast and competitive, with numerous firms offering solutions for data management, processing, and dissemination. Comparable spending benchmarks would typically be found within IT services procurements for large federal agencies, where contracts can range from millions to billions of dollars depending on complexity and scale.

Small Business Impact

Information regarding small business set-asides or subcontracting plans for this specific delivery order was not readily available in the provided data. Typically, larger competitive contracts may include provisions for small business participation, but without explicit details, it's difficult to assess the direct impact on the small business ecosystem. Further review of the parent contract or award modifications would be necessary.

Oversight & Accountability

Oversight for this contract would likely reside within the U.S. Citizenship and Immigration Services (USCIS) program office responsible for information services. Accountability measures would be tied to the performance standards outlined in the contract. Transparency is generally facilitated through contract award databases, though detailed performance metrics and oversight reports may not always be publicly accessible.

Related Government Programs

Federal Information Technology Services
Immigration and Customs Enforcement IT Support
Department of Homeland Security Data Management

Risk Flags

Potential for cost overruns if scope was not well-defined.
Risk of vendor lock-in due to long-term nature.
Need for ongoing monitoring of service relevance and technological updates.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $18.7 million to DATATRAC INFORMATION SERVICES, INC.. OPTION 1 FOR DATATRAC

Who is the contractor on this award?

The obligated recipient is DATATRAC INFORMATION SERVICES, INC..

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Citizenship and Immigration Services).

What is the total obligated amount?

The obligated amount is $18.7 million.

What is the period of performance?

Start: 2007-08-31. End: 2011-07-22.

What was the original estimated value of this contract before the final award?

The provided data indicates a final award amount of $18,650,498. However, it does not specify the original estimated value or the value of any modifications. To fully assess the value for money, a comparison between the initial solicitation's estimated cost and the final awarded amount is crucial. Differences could indicate successful negotiation, unforeseen scope changes, or potential overruns.

How did DATATRAC's performance on this contract compare to industry benchmarks for information services?

Specific performance metrics and comparisons to industry benchmarks for DATATRAC on this particular contract are not detailed in the provided data. A thorough assessment would require access to performance reports, customer satisfaction surveys, and potentially data on service level agreement (SLA) adherence. Without this granular information, it's difficult to definitively state how DATATRAC's performance stacked up against industry standards or expectations for similar information services contracts.

What were the key risk factors identified during the procurement and execution of this contract?

The provided data does not explicitly list risk factors identified during procurement or execution. However, general risks for a contract of this nature and duration could include technological obsolescence, vendor lock-in, data security breaches, and potential cost overruns if the fixed-price model did not adequately account for all contingencies. The competitive nature of the award might have mitigated some risks by ensuring a baseline level of service quality and pricing.

What is the historical spending pattern for information services by U.S. Citizenship and Immigration Services?

The provided data focuses on a single contract award to DATATRAC. To understand historical spending patterns for information services by USCIS, one would need to analyze multiple contract awards over several fiscal years. This would involve aggregating spending across various contractors and contract types (e.g., IT services, data processing, software licenses) to identify trends, major spending areas, and shifts in procurement strategies.

Were there any significant contract modifications or change orders that impacted the final award value?

The provided data summarizes the final award amount but does not detail any contract modifications or change orders. Significant modifications could alter the original scope, duration, or cost, thereby impacting the overall value and performance assessment. Investigating the contract's history for amendments would be necessary to understand if the final $18.6 million reflects the initially agreed-upon terms or evolved requirements.

Industry Classification

NAICS: Information › Other Information Services › All Other Information Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: COMPETITIVE DELIVERY ORDER

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Computer Sciences Corporation (UEI: 009581091)

Address: 2140 LAKE PARK BOULEVARD, RICHARDSON, TX, 90

Business Categories: American Indian Owned Business, Category Business, Minority Owned Business, Native American Owned Business, Not Designated a Small Business, Woman Owned Business

Financial Breakdown

Contract Ceiling: $18,650,498

Exercised Options: $18,650,498

Current Obligation: $18,650,498

Parent Contract

Parent Award PIID: HSSCCG06D00003

IDV Type: IDC

Timeline