DoD's DHA Spends $45.6M on Computer Services via Full & Open Competition

Contract Overview

Contract Amount: $45,616,117 ($45.6M)

Contractor: Minburn Technology Group, LLC

Awarding Agency: Department of Defense

Start Date: 2021-09-30

End Date: 2021-11-28

Contract Duration: 59 days

Daily Burn Rate: $773.2K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: TAA

Place of Performance

Location: GREAT FALLS, FAIRFAX County, VIRGINIA, 22066

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $45.6 million to MINBURN TECHNOLOGY GROUP, LLC for work described as: TAA Key points: 1. Significant contract value of $45.6 million for computer-related services. 2. Awarded under full and open competition, indicating a competitive market. 3. Potential risk associated with the short duration (59 days) and delivery order nature. 4. Sector is IT services, specifically 'Other Computer Related Services'.

Value Assessment

Rating: good

The contract value of $45.6 million for a 59-day period suggests a high per-diem rate. Benchmarking against similar, longer-term IT service contracts would be necessary for a precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' suggesting a competitive process was initiated. This method generally promotes price discovery and potentially better pricing.

Taxpayer Impact: The competitive nature of the award is positive for taxpayers, as it likely led to a more efficient price for the services rendered.

Public Impact

Ensures critical IT services for the Defense Health Agency are maintained. Supports the operational readiness of military healthcare systems. The competitive award process suggests efficient use of taxpayer funds.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Information Technology sector, specifically 'Other Computer Related Services.' Spending in this area is crucial for modernizing and maintaining government IT infrastructure, with benchmarks varying widely based on service type and duration.

Small Business Impact

The data indicates that small businesses did not participate in this specific award (ss: false, sb: false). Further analysis would be needed to determine if this is a trend within this service category or agency.

Oversight & Accountability

The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' suggests a structured procurement process. However, the short duration and delivery order nature warrant monitoring to ensure continued oversight and accountability.

Related Government Programs

Risk Flags

Tags

other-computer-related-services, department-of-defense, va, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $45.6 million to MINBURN TECHNOLOGY GROUP, LLC. TAA

Who is the contractor on this award?

The obligated recipient is MINBURN TECHNOLOGY GROUP, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Health Agency).

What is the total obligated amount?

The obligated amount is $45.6 million.

What is the period of performance?

Start: 2021-09-30. End: 2021-11-28.

What specific 'Other Computer Related Services' were provided under this contract, and how do they align with the Defense Health Agency's strategic IT goals?

The specific services are not detailed in the provided data. However, 'Other Computer Related Services' typically encompass a broad range of IT support, including system integration, network management, data processing, and IT consulting. For the Defense Health Agency, these services likely support the infrastructure and applications critical for managing military health records, telehealth platforms, and operational command systems, contributing to the agency's mission of providing healthcare to service members and their families.

Given the short 59-day duration and delivery order structure, what are the potential risks to the continuity and cost-effectiveness of these IT services?

The short duration poses a risk of service disruption if follow-on contracts are not awarded promptly, potentially impacting critical healthcare operations. It also suggests a potential reliance on short-term solutions, which can be more expensive than long-term engagements. The delivery order structure, while flexible, can lead to less predictable overall spending and may require continuous oversight to ensure cost-effectiveness and prevent scope creep across multiple orders.

How effectively did the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' method ensure value for money compared to other potential contracting approaches for these services?

This procurement method, while competitive, involved excluding certain sources initially. The effectiveness in ensuring value for money depends on the justification for exclusion and the subsequent competition among the remaining eligible bidders. If the exclusion was well-founded and the subsequent competition was robust, it could have yielded good value. However, without knowing the specific reasons for exclusion, it's difficult to definitively assess if alternative methods, like a broader full and open competition, might have yielded even better pricing or a wider range of innovative solutions.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesOther Computer Related Services

Product/Service Code: IT AND TELECOM - COMPUTE

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: HT001521R0078

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 9716 ARNON CHAPEL RD, GREAT FALLS, VA, 22066

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $45,616,117

Exercised Options: $45,616,117

Current Obligation: $45,616,117

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: NNG15SD34B

IDV Type: GWAC

Timeline

Start Date: 2021-09-30

Current End Date: 2021-11-28

Potential End Date: 2021-11-28 00:00:00

Last Modified: 2021-12-15

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