DoD Navy Awards $40.6M for ADP Software to 3M Company

Contract Overview

Contract Amount: $40,605,299 ($40.6M)

Contractor: 3M Company

Awarding Agency: Department of Defense

Start Date: 2005-01-28

End Date: 2005-09-30

Contract Duration: 245 days

Daily Burn Rate: $165.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: TAS::17 1804::TAS 200508!000400!1700!N65538!NAVAL SEA LOGISTICS CENTER !GS35F4002G !C!N! !N!N6553805F0106! !20050128!20050331!006173082!006173082!006173082!N!3M COMPANY !3M CENTER, FEDERAL SYSTEMS!SAINT PAUL !MN!55144!58010!137!27!SAINT PAUL CHURCH !ST. LOUIS !MINNESOTA !+000003677699!N!N!000000000000!7030!ADP SOFTWARE !C9E!ALL OTHER SUPPLIES AND EQUIPMENT !000 !* !443120!E! !6! ! ! ! ! !20200930!B!E!Y! ! !A! ! ! !000! ! ! ! ! ! ! !Y!C!N!N! ! ! ! ! ! !000! ! ! ! ! ! ! !1700!N65538!0001! !

Place of Performance

Location: SALT LAKE CITY, SALT LAKE County, UTAH, 84123

State: Utah Government Spending

Plain-Language Summary

Department of Defense obligated $40.6 million to 3M COMPANY for work described as: TAS::17 1804::TAS 200508!000400!1700!N65538!NAVAL SEA LOGISTICS CENTER !GS35F4002G !C!N! !N!N6553805F0106! !20050128!20050331!006173082!006173082!006173082!N!3M COMPANY !3M CENTER, FEDERAL SYSTEMS!SAINT PAUL !MN!55144!58010!137!27!SAINT P… Key points: 1. The contract for ADP software was awarded to 3M Company for $40.6 million. 2. This award represents a significant expenditure in the IT sector, specifically for computer and software stores. 3. The contract was awarded under full and open competition, suggesting a competitive bidding process. 4. The duration of the contract was 245 days, indicating a short-term need for the software.

Value Assessment

Rating: fair

The contract value of $40.6 million for ADP software appears to be within a reasonable range for a government contract of this nature. However, without specific benchmarks for this exact type of software and its intended use, a precise valuation is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically allows for the widest range of potential bidders and can lead to more competitive pricing. The price discovery mechanism relies on the bids submitted by qualified vendors.

Taxpayer Impact: The use of full and open competition aims to ensure taxpayer funds are used efficiently by securing the best possible price for the required ADP software.

Public Impact

This award impacts the availability of specific ADP software for the Naval Sea Logistics Center. The contract supports 3M Company's federal systems division, contributing to their revenue and operations. The expenditure is part of the Department of Defense's broader IT procurement strategy.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Short contract duration (245 days) may indicate a temporary solution or a specific project phase.
Lack of detailed information on the specific ADP software and its capabilities limits a deeper analysis of value.
The contract was awarded in 2005, and current market prices for similar software may have significantly changed.

Positive Signals

Awarded under full and open competition, suggesting a fair process.
The vendor, 3M Company, is a well-established entity with a history of government contracting.
The contract was a delivery order, implying it was part of a larger, pre-existing agreement or framework.

Sector Analysis

The IT sector, particularly computer and software stores, sees significant government spending. This contract for ADP software falls within this category, with the Department of the Navy being a major consumer of such technologies to support its logistical operations.

Small Business Impact

There is no indication that small businesses were involved in this specific contract award, as it was awarded to a large corporation, 3M Company. Future procurements should consider opportunities for small business participation.

Oversight & Accountability

The contract was awarded by the Department of the Navy, a component of the Department of Defense, which has established oversight mechanisms for procurement. However, the specific oversight applied to this delivery order is not detailed.

Related Government Programs

Computer and Software Stores
Department of Defense Contracting
Department of the Navy Programs

Risk Flags

Potential for software obsolescence given the 2005 award date.
Lack of detailed software specifications makes value assessment difficult.
Short contract duration may indicate a non-strategic or temporary solution.
No clear indication of small business participation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $40.6 million to 3M COMPANY. TAS::17 1804::TAS 200508!000400!1700!N65538!NAVAL SEA LOGISTICS CENTER !GS35F4002G !C!N! !N!N6553805F0106! !20050128!20050331!006173082!006173082!006173082!N!3M COMPANY !3M CENTER, FEDERAL SYSTEMS!SAINT PAUL !MN!55144!58010!137!27!SAINT PAUL CHURCH !ST. LOUIS !MINNESOTA !+000003677699!N!N!000000000000!7030!ADP SOFTWARE !C9E!ALL OTHER SUPPLIES AND EQUIPMENT !000 !* !443120!E

Who is the contractor on this award?

The obligated recipient is 3M COMPANY.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $40.6 million.

What is the period of performance?

Start: 2005-01-28. End: 2005-09-30.

What was the specific nature of the ADP software procured and its intended use to assess its true value?

The data identifies the product as 'ADP SOFTWARE' under the NAICS code '443120' (Computer and Software Stores). This suggests it could range from operating systems and application software to related services. Without more specifics on the software's function, its criticality to Naval Sea Logistics Center operations, and the scope of services included, it's challenging to definitively assess its value beyond the awarded price.

Given the 2005 award date, what are the potential risks associated with using outdated software or technology?

Procuring software in 2005 carries risks of obsolescence, security vulnerabilities, and lack of vendor support for newer operating systems. If the software is still in use, it may not meet current operational needs or cybersecurity standards, potentially leading to increased maintenance costs, integration issues with modern systems, and a higher risk of data breaches or system failures.

How effective was this procurement in meeting the long-term IT needs of the Naval Sea Logistics Center?

The effectiveness of this procurement is difficult to gauge without knowing the software's performance and longevity. The short 245-day duration suggests it might have been for a specific project or a temporary solution. If it was intended as a long-term solution, its effectiveness would be questionable due to the rapid pace of technological change in the IT sector since 2005.

Industry Classification

NAICS: Retail Trade › Electronics and Appliance Stores › Computer and Software Stores

Product/Service Code: INFORMATION TECHNOLOGY EQUIPMENT (INCLD FIRMWARE) SOFTWARE,SUPPLIES& SUPPORT EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3M CENTER, SAINT PAUL, MN, 55144

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: GS35F4002G

IDV Type: FSS

Timeline