DHS awards $73.6M for computing infrastructure to Pyramid Systems, Inc. under full and open competition
Contract Overview
Contract Amount: $73,616,019 ($73.6M)
Contractor: Pyramid Systems, Inc.
Awarding Agency: Department of Homeland Security
Start Date: 2015-09-18
End Date: 2020-06-14
Contract Duration: 1,731 days
Daily Burn Rate: $42.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 17
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: IGF::OT::IGF BIOMETRICS JETS
Place of Performance
Location: FAIRFAX, FAIRFAX County, VIRGINIA, 22031
State: Virginia Government Spending
Plain-Language Summary
Department of Homeland Security obligated $73.6 million to PYRAMID SYSTEMS, INC. for work described as: IGF::OT::IGF BIOMETRICS JETS Key points: 1. The contract value of $73.6M over five years indicates significant investment in IT infrastructure. 2. Pyramid Systems, Inc. secured this award through full and open competition, suggesting a competitive market. 3. The fixed-price contract type helps manage cost certainty for the government. 4. The NAICS code 518210 points to a focus on data processing and hosting services.
Value Assessment
Rating: good
The contract's fixed-price nature provides cost certainty. Benchmarking against similar large-scale IT infrastructure contracts would be beneficial to fully assess value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The award was made under full and open competition, indicating a robust bidding process. This method generally leads to competitive pricing and better value for the government.
Taxpayer Impact: The competitive nature of the award is expected to yield favorable pricing, maximizing taxpayer value for essential IT services.
Public Impact
Citizenship and Immigration Services relies on this infrastructure for critical operations. The duration of the contract suggests long-term IT needs for the agency. Data processing and hosting are fundamental to modern government functions.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for vendor lock-in if services are highly specialized.
- Ensuring continued competitive pricing throughout the contract lifecycle.
Positive Signals
- Awarded through full and open competition.
- Firm fixed-price contract type offers cost predictability.
- Long contract duration may indicate stable, ongoing needs.
Sector Analysis
This contract falls within the IT sector, specifically focusing on computing infrastructure, data processing, and hosting. Spending in this area is substantial across federal agencies, with benchmarks varying based on service scope and scale.
Small Business Impact
The data indicates this contract was not set aside for small businesses and was awarded to a single entity. Analysis of subcontracting opportunities for small businesses would be necessary to assess their participation.
Oversight & Accountability
The contract was awarded by the Department of Homeland Security, a large agency with established oversight mechanisms. Monitoring performance and adherence to contract terms is crucial.
Related Government Programs
- Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services
- Department of Homeland Security Contracting
- U.S. Citizenship and Immigration Services Programs
Risk Flags
- Cybersecurity risks
- Vendor lock-in potential
- Performance degradation
- Data integrity and availability
Tags
computing-infrastructure-providers-data-, department-of-homeland-security, va, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $73.6 million to PYRAMID SYSTEMS, INC.. IGF::OT::IGF BIOMETRICS JETS
Who is the contractor on this award?
The obligated recipient is PYRAMID SYSTEMS, 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 $73.6 million.
What is the period of performance?
Start: 2015-09-18. End: 2020-06-14.
What specific IT services are included under this contract, and how do they align with USCIS's mission objectives?
The contract covers computing infrastructure, data processing, and web hosting. These services are fundamental for supporting USCIS's mission of managing immigration and citizenship services, including data management, application processing, and public-facing portals. Understanding the specific service level agreements and performance metrics would further clarify their alignment.
What are the key performance indicators (KPIs) for this contract, and how is Pyramid Systems, Inc. being evaluated against them?
Key performance indicators likely include uptime, data security, response times for processing, and adherence to service level agreements. The agency's performance management plan would detail these KPIs and the evaluation process. Regular performance reviews are essential to ensure the contractor meets expectations and provides value.
Are there any identified risks associated with the transition to or ongoing management of this IT infrastructure by Pyramid Systems, Inc.?
Potential risks include cybersecurity vulnerabilities, data breaches, vendor lock-in, and performance degradation. Mitigating these requires robust security protocols, clear exit strategies, and continuous performance monitoring. The agency's risk management plan should address these concerns proactively.
Industry Classification
NAICS: Information › Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services › Computing Infrastructure Providers, Data Processing, Web Hosting, and Related 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: 17
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Pyramid Systems Inc.
Address: 2677 PROSPERITY AVE STE 700, FAIRFAX, VA, 22031
Business Categories: Asian Pacific American Owned Business, Category Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $87,268,686
Exercised Options: $73,616,019
Current Obligation: $73,616,019
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: HSHQDC13DE2069
IDV Type: IDC
Timeline
Start Date: 2015-09-18
Current End Date: 2020-06-14
Potential End Date: 2020-09-14 00:00:00
Last Modified: 2025-06-26
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