OPM Spends $19.1M on Open Season Processing with Vangent, Inc. from 2009-2014

Contract Overview

Contract Amount: $19,115,888 ($19.1M)

Contractor: Vangent, Inc.

Awarding Agency: Office of Personnel Management

Start Date: 2009-04-01

End Date: 2014-12-31

Contract Duration: 2,100 days

Daily Burn Rate: $9.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: OPEN SEASON PROCESSING

Place of Performance

Location: LAWRENCE, DOUGLAS County, KANSAS, 66046

State: Kansas Government Spending

Plain-Language Summary

Office of Personnel Management obligated $19.1 million to VANGENT, INC. for work described as: OPEN SEASON PROCESSING Key points: 1. Contract awarded under full and open competition, suggesting a competitive bidding process. 2. The contract value of $19.1M over approximately 5.75 years indicates a moderate annual spend. 3. Fixed-price contract type aims to control costs, but potential for cost overruns exists if scope changes. 4. The sector is IT services, specifically computing infrastructure and data processing.

Value Assessment

Rating: fair

The contract value of $19.1M over 2100 days averages to approximately $9,103 per day. Without specific benchmarks for 'Open Season Processing' services, it's difficult to definitively assess pricing. However, the average daily cost appears moderate for IT infrastructure and data processing services.

Cost Per Unit: $9,103

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically leads to better price discovery and potentially lower costs for the government. The use of a definitive contract suggests a well-defined scope of work.

Taxpayer Impact: The competitive nature of the award is positive for taxpayers, as it likely resulted in a more favorable price than a sole-source or limited competition contract.

Public Impact

Ensured continuity of essential personnel processing services for the Office of Personnel Management. Supported federal employee data management and related IT infrastructure. The contract's duration and value suggest a significant, long-term IT service requirement.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics or outcomes in the provided data.
Potential for scope creep in long-term IT contracts.
Dependence on a single vendor for critical processing services.

Positive Signals

Awarded through full and open competition.
Firm fixed-price contract type.
Long contract duration indicates a stable, ongoing need.

Sector Analysis

This contract falls within the IT services sector, specifically focusing on computing infrastructure, data processing, and web hosting. Spending in this area is substantial across the federal government, with agencies relying heavily on these services for operations. Benchmarks vary widely based on service type and complexity.

Small Business Impact

The data indicates that Vangent, Inc. was the awardee. There is no information provided regarding small business participation or subcontracting goals within this contract. Further investigation would be needed to determine if small businesses were involved.

Oversight & Accountability

The Office of Personnel Management (OPM) managed this contract. Oversight would typically involve contract officers, CORs, and program managers to ensure performance and adherence to terms. The long duration necessitates consistent monitoring.

Related Government Programs

Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services
Office of Personnel Management Contracting
Office of Personnel Management Programs

Risk Flags

Lack of detailed performance data.
Potential for cost overruns if scope changed significantly.
Long-term reliance on a single vendor.
No clear indication of small business utilization.

Frequently Asked Questions

What is this federal contract paying for?

Office of Personnel Management awarded $19.1 million to VANGENT, INC.. OPEN SEASON PROCESSING

Who is the contractor on this award?

The obligated recipient is VANGENT, INC..

Which agency awarded this contract?

Awarding agency: Office of Personnel Management (Office of Personnel Management).

What is the total obligated amount?

The obligated amount is $19.1 million.

What is the period of performance?

Start: 2009-04-01. End: 2014-12-31.

What specific 'Open Season Processing' services were provided, and how did they align with OPM's mission?

The provided data identifies the NAICS code as 'Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services.' 'Open Season Processing' likely refers to critical IT functions supporting OPM's role in managing federal personnel data, potentially including benefits enrollment or other time-sensitive administrative processes. Understanding the exact nature of these services is key to evaluating their necessity and effectiveness.

Were there any performance issues or contract modifications during the 5.75-year period?

The data does not provide details on contract performance or modifications. A firm fixed-price contract can be challenging if the scope evolves significantly, potentially leading to change orders or disputes. Reviewing contract modification history and performance reports would be crucial to assess potential risks and value realization over the contract's life.

How does the $19.1M total cost compare to similar IT infrastructure and data processing contracts awarded by other federal agencies?

Benchmarking this $19.1M contract against similar IT infrastructure and data processing contracts requires detailed comparison of service scope, duration, and vendor capabilities. While the average daily cost is $9,103, without specific service level agreements and market rates for comparable federal procurements, a definitive value assessment is difficult. Further analysis of agency spending patterns in this category would be beneficial.

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: SUPPORT SVCS (PROF, ADMIN, MGMT) › ADMINISTRATIVE SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: OPM4909-Q-0015

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: General Dynamics Corp (UEI: 001381284)

Address: 4250 FAIRFAX DR STE 1200, ARLINGTON, VA, 22203

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $19,208,812

Exercised Options: $19,208,812

Current Obligation: $19,115,888

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL ITEM

Timeline