DHS awards $169.5M for IT Operations and Support to Information Innovators, LLC
Contract Overview
Contract Amount: $169,523,050 ($169.5M)
Contractor: Information Innovators, LLC
Awarding Agency: Department of Homeland Security
Start Date: 2014-09-29
End Date: 2023-11-30
Contract Duration: 3,349 days
Daily Burn Rate: $50.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 9
Pricing Type: COST PLUS AWARD FEE
Sector: IT
Official Description: NATIONAL AREA&TRANSNATIONAL IT OPERATIONS AND NEXT GENERATION SUPPORT (NATIONS)IGF::OT::IGF
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20005
Plain-Language Summary
Department of Homeland Security obligated $169.5 million to INFORMATION INNOVATORS, LLC for work described as: NATIONAL AREA&TRANSNATIONAL IT OPERATIONS AND NEXT GENERATION SUPPORT (NATIONS)IGF::OT::IGF Key points: 1. Contract awarded to Information Innovators, LLC for IT operations and support. 2. The contract has a total value of $169.5 million. 3. The contract was awarded under full and open competition. 4. The primary service category is Computer Systems Design Services. 5. The contract duration is over 3300 days.
Value Assessment
Rating: good
The contract uses a Cost Plus Award Fee (CPAF) structure, which can incentivize performance but requires careful monitoring to ensure cost control. The total award value of $169.5 million appears reasonable for a long-term, comprehensive IT support contract.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, suggesting a robust price discovery process. This method typically leads to more competitive pricing by allowing all eligible vendors to bid.
Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that drives down costs and improves service quality.
Public Impact
Ensures continuity of critical IT operations for U.S. Citizenship and Immigration Services. Supports national and transnational IT infrastructure, impacting immigration processes. Long-term contract provides stability for service delivery and vendor planning. Potential for innovation in IT systems and support through award fee structure.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Award Fee (CPAF) can lead to cost overruns if not managed strictly.
- Long contract duration may not keep pace with rapid technological advancements.
- Reliance on a single vendor for critical IT infrastructure.
Positive Signals
- Full and open competition ensures market-driven pricing.
- Award fee structure incentivizes high performance.
- Long-term contract provides stability and predictability.
Sector Analysis
This contract falls within the IT sector, specifically Computer Systems Design Services. Spending in this area is substantial across federal agencies, supporting essential digital infrastructure and operations. Benchmarks for similar long-term, comprehensive IT support contracts vary widely based on scope and complexity.
Small Business Impact
The data does not indicate whether small businesses were involved as subcontractors. Federal contracts of this magnitude often include provisions for small business participation, but this specific award's details on SMB involvement are not provided.
Oversight & Accountability
The contract's long duration and CPAF structure necessitate robust oversight from the Department of Homeland Security to ensure performance standards are met and costs remain controlled. Regular performance reviews and audits are crucial for accountability.
Related Government Programs
- Computer Systems Design Services
- Department of Homeland Security Contracting
- U.S. Citizenship and Immigration Services Programs
Risk Flags
- Potential for cost overruns due to CPAF structure.
- Risk of technological obsolescence over the contract's long duration.
- Dependency on a single vendor for critical IT infrastructure.
- Need for strong contract management and oversight.
- Potential for performance degradation if award fee criteria are not rigorously applied.
Tags
computer-systems-design-services, department-of-homeland-security, dc, delivery-order, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $169.5 million to INFORMATION INNOVATORS, LLC. NATIONAL AREA&TRANSNATIONAL IT OPERATIONS AND NEXT GENERATION SUPPORT (NATIONS)IGF::OT::IGF
Who is the contractor on this award?
The obligated recipient is INFORMATION INNOVATORS, LLC.
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 $169.5 million.
What is the period of performance?
Start: 2014-09-29. End: 2023-11-30.
How effectively does the CPAF structure incentivize performance without leading to excessive costs for the government?
The effectiveness of a CPAF structure hinges on clearly defined performance metrics and objective award criteria. If the metrics are well-aligned with agency goals and the award fee determination process is transparent and rigorous, it can drive superior performance. However, without strict oversight and a clear understanding of how costs relate to performance, CPAF can sometimes lead to higher overall expenditures compared to fixed-price contracts.
What are the potential risks associated with a 9-year contract duration for IT services in terms of technological obsolescence?
A 9-year duration for IT services presents a significant risk of technological obsolescence. The IT landscape evolves rapidly, and systems or support methods current at the start of the contract may be outdated by its end. This could lead to decreased efficiency, increased maintenance costs for legacy systems, and a failure to leverage newer, more cost-effective technologies. Mitigation strategies include incorporating technology refresh clauses or phased transitions.
Given the full and open competition, how does the government ensure the selected vendor, Information Innovators, LLC, maintains a competitive edge throughout the contract's lifespan?
The government ensures ongoing competitiveness through the award fee structure and performance monitoring. By setting high performance standards and linking them to financial incentives, the government encourages the vendor to continuously innovate and improve. Regular performance reviews and market analysis can also identify if the vendor's pricing or service offerings are becoming uncompetitive, allowing for corrective actions or renegotiation.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design 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
Solicitation ID: HSSCCG-13-R-00004
Offers Received: 9
Pricing Type: COST PLUS AWARD FEE (R)
Evaluated Preference: NONE
Contractor Details
Parent Company: Governmentcio LLC
Address: 7400 FULLERTON RD STE 210, SPRINGFIELD, VA, 22153
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $204,045,526
Exercised Options: $194,201,930
Current Obligation: $169,523,050
Actual Outlays: $927,566
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Parent Contract
Parent Award PIID: GS00Q09BGD0042
IDV Type: GWAC
Timeline
Start Date: 2014-09-29
Current End Date: 2023-11-30
Potential End Date: 2023-11-30 00:00:00
Last Modified: 2023-07-26
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