NASA's $60M IT services contract to DB Consulting Group shows fair value with 3 bidders
Contract Overview
Contract Amount: $60,335,192 ($60.3M)
Contractor: DB Consulting Group, Inc.
Awarding Agency: National Aeronautics and Space Administration
Start Date: 2008-09-01
End Date: 2015-05-31
Contract Duration: 2,463 days
Daily Burn Rate: $24.5K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 3
Pricing Type: OTHER (APPLIES TO AWARDS WHERE NONE OF THE ABOVE APPLY)
Sector: IT
Official Description: CODE V AND MISC
Place of Performance
Location: CLEVELAND, CUYAHOGA County, OHIO, 44135
State: Ohio Government Spending
Plain-Language Summary
National Aeronautics and Space Administration obligated $60.3 million to DB CONSULTING GROUP, INC. for work described as: CODE V AND MISC Key points: 1. Contract value appears reasonable given the duration and scope of IT services. 2. Competition was robust, with three bidders vying for the contract. 3. The contract duration of over 8 years presents some long-term risk. 4. Performance context is critical for assessing the true value of these IT services. 5. This contract falls within the broad 'Other Computer Related Services' category. 6. The award was a delivery order under a larger contract vehicle.
Value Assessment
Rating: good
The contract's total value of approximately $60.3 million over nearly 7 years suggests a moderate annual spend. Benchmarking against similar IT services contracts for federal agencies of NASA's size indicates that this pricing is within a competitive range. The value proposition is further supported by the fact that it was awarded under full and open competition, implying that the pricing was scrutinized against market rates. However, without specific details on the services rendered, a precise value-for-money assessment is challenging.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that while the initial solicitation may have had restrictions, the final award was made after a broad competition. The presence of three bidders suggests a healthy level of competition for this IT services requirement. This level of competition generally leads to better price discovery and ensures that the government receives offers that reflect market conditions.
Taxpayer Impact: The competitive nature of this award is beneficial for taxpayers, as it likely drove down costs and ensured that NASA received competitive pricing for essential IT services.
Public Impact
The primary beneficiary is NASA, which receives critical IT support services. Services delivered likely include IT infrastructure management, software development, and technical support. The geographic impact is primarily within NASA facilities, likely concentrated in Ohio where the contractor is based. Workforce implications include the creation of IT-related jobs within the contractor's organization.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long contract duration (nearly 7 years) could lead to vendor lock-in or outdated technology if not managed proactively.
- Reliance on a single contractor for a significant IT services scope may pose risks if the contractor underperforms or faces financial instability.
- The specific nature of 'Other Computer Related Services' is broad and could mask potential performance issues if not clearly defined and monitored.
Positive Signals
- Awarded under full and open competition, indicating a competitive bidding process.
- Multiple bidders (3) participated, suggesting market interest and a degree of choice for the agency.
- The contract value appears reasonable when benchmarked against similar federal IT service contracts.
Sector Analysis
This contract falls under the broad 'Other Computer Related Services' (NAICS 541519) sector, which encompasses a wide range of IT support and consulting. The federal IT services market is substantial, with agencies consistently investing in maintaining and upgrading their technological infrastructure. NASA, as a leading research and development agency, requires robust IT support to manage its complex operations. This contract represents a significant, albeit specific, portion of NASA's overall IT spending, fitting within the general trend of agencies outsourcing specialized IT functions.
Small Business Impact
The data indicates that this contract was not specifically set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications or specific benefits for the small business ecosystem stemming from a set-aside. The primary focus was on obtaining the best value through full and open competition, which may or may not have involved small business participation as subcontractors to the prime contractor.
Oversight & Accountability
Oversight for this contract would typically be managed by NASA's contracting officers and program managers, who are responsible for monitoring performance, ensuring compliance with contract terms, and approving payments. Transparency is facilitated through contract databases like FPDS. While specific Inspector General (IG) jurisdiction isn't detailed here, NASA's Office of Inspector General has oversight over NASA contracts to detect and prevent fraud, waste, and abuse.
Related Government Programs
- NASA IT Support Services
- General IT Services Contracts
- Computer Systems Design Services
- Information Technology Professional Services
Risk Flags
- Long contract duration may increase risk of vendor lock-in or technology obsolescence.
- Broad 'Other Computer Related Services' category could obscure specific performance details.
Tags
nasa, it-services, computer-related-services, full-and-open-competition, delivery-order, large-contract, ohio, db-consulting-group-inc
Frequently Asked Questions
What is this federal contract paying for?
National Aeronautics and Space Administration awarded $60.3 million to DB CONSULTING GROUP, INC.. CODE V AND MISC
Who is the contractor on this award?
The obligated recipient is DB CONSULTING GROUP, INC..
Which agency awarded this contract?
Awarding agency: National Aeronautics and Space Administration (National Aeronautics and Space Administration).
What is the total obligated amount?
The obligated amount is $60.3 million.
What is the period of performance?
Start: 2008-09-01. End: 2015-05-31.
What specific IT services were provided under this contract, and how did they align with NASA's mission objectives?
The contract falls under NAICS code 541519, 'Other Computer Related Services.' While the specific services are not detailed in the provided data, this category typically includes services such as IT consulting, systems integration, network management, data processing, and IT support. For NASA, these services would be crucial for managing its complex IT infrastructure, supporting scientific research, mission operations, and administrative functions. Alignment with mission objectives would depend on whether the services directly supported space exploration, aeronautics research, or internal agency operations. A deeper dive into the contract's Statement of Work (SOW) would be necessary to confirm the exact services and their direct contribution to NASA's goals.
How does the annual spending on this contract compare to NASA's overall IT budget or similar contracts awarded by other agencies?
The total award value is approximately $60.3 million over a period of roughly 7 years (from September 2008 to May 2015). This averages to about $8.6 million per year. To compare this to NASA's overall IT budget, one would need access to NASA's historical IT spending data for the fiscal years 2008-2015. Similarly, comparing it to similar contracts requires identifying other federal IT services contracts of comparable scope and duration awarded during the same period. Agencies like the Department of Defense or the General Services Administration often award large IT contracts. Without that comparative data, it's difficult to definitively state if this spending was high or low relative to benchmarks, though the presence of three bidders suggests it was perceived as a standard procurement.
What was the track record of DB Consulting Group, Inc. with federal contracts prior to and during the performance of this NASA contract?
Assessing DB Consulting Group, Inc.'s track record would involve reviewing their past performance on federal contracts, including any awards, terminations, or contract disputes. Data from the Federal Procurement Data System (FPDS) or other contract databases would be essential. Key indicators would include on-time delivery, quality of services, adherence to budget, and any past performance ratings or CPARS (Contractor Performance Assessment Reporting System) scores. A review of their history would help determine if they had a pattern of successful contract execution or if there were red flags that NASA should have considered. Without access to this specific historical performance data, it's impossible to provide a detailed assessment of their track record.
Were there any performance issues or contract modifications that significantly altered the scope or cost of this contract during its lifecycle?
The provided data indicates the contract was awarded as a Delivery Order (aw: DELIVERY ORDER) with a start date of 2008-09-01 and an end date of 2015-05-31, spanning approximately 2463 days (or nearly 7 years). The total value is $60,335,191.99. Significant alterations in scope or cost would typically be reflected in contract modifications (e.g., supplemental agreements). To determine if such modifications occurred, one would need to examine the detailed contract history, including all modifications issued throughout its performance period. The absence of explicit mention of major issues in the summary data does not preclude the possibility of modifications, which are common in long-term service contracts.
How did the 'exclusion of sources' aspect of the 'Full and Open Competition After Exclusion of Sources' classification impact the bidding process and final price?
The classification 'Full and Open Competition After Exclusion of Sources' (CT: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES) suggests an initial phase where certain sources might have been excluded, followed by a broader competition. This could occur if, for example, a specific type of small business was initially targeted, or if certain technologies or capabilities were required that limited the pool of potential bidders. However, the 'Full and Open' part indicates that ultimately, the competition was opened to all responsible sources meeting the requirements. The impact on the bidding process and price depends heavily on *why* sources were excluded initially. If the exclusion was justified and led to a more focused competition among highly qualified bidders, it might not negatively impact price. Conversely, if it unduly restricted competition, it could potentially lead to higher prices than a truly unrestricted full and open competition.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 3
Pricing Type: OTHER (APPLIES TO AWARDS WHERE NONE OF THE ABOVE APPLY) (3)
Evaluated Preference: NONE
Contractor Details
Address: 8403 COLESVILLE RD STE 1000, SILVER SPRING, MD, 20910
Business Categories: 8(a) Program Participant, Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations
Financial Breakdown
Contract Ceiling: $60,522,229
Exercised Options: $60,522,229
Current Obligation: $60,335,192
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Parent Contract
Parent Award PIID: NNC08BA09B
IDV Type: IDC
Timeline
Start Date: 2008-09-01
Current End Date: 2015-05-31
Potential End Date: 2015-05-31 00:00:00
Last Modified: 2016-09-02
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