State Dept. Awards $22.1M for IT Security to OBXTEK Inc. Under Full & Open Competition
Contract Overview
Contract Amount: $22,142,220 ($22.1M)
Contractor: Obxtek Inc
Awarding Agency: Department of State
Start Date: 2012-09-24
End Date: 2019-12-23
Contract Duration: 2,646 days
Daily Burn Rate: $8.4K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 5
Pricing Type: TIME AND MATERIALS
Sector: IT
Official Description: EFFECTIVE DAY-TO-DAY OPERATIONAL SUPPORT OF A CONSISTENT, COMPLETE AND PROACTIVE INFORMATION SYSTEMS SECURITY PROGRAM.
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20052
Plain-Language Summary
Department of State obligated $22.1 million to OBXTEK INC for work described as: EFFECTIVE DAY-TO-DAY OPERATIONAL SUPPORT OF A CONSISTENT, COMPLETE AND PROACTIVE INFORMATION SYSTEMS SECURITY PROGRAM. Key points: 1. The contract focuses on essential day-to-day operational support for information systems security. 2. OBXTEK Inc. secured the award, indicating their capability in computer systems design services. 3. The contract was awarded under full and open competition after exclusion of sources, suggesting a competitive process. 4. The total value of $22.1 million over its duration highlights significant investment in cybersecurity.
Value Assessment
Rating: good
The contract's value of $22.1 million over approximately 7 years suggests a reasonable annual spend for comprehensive IT security support. Benchmarking against similar large-scale IT security contracts would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through 'full and open competition after exclusion of sources.' This method implies that while multiple sources were considered, some were excluded, potentially impacting the breadth of price discovery. However, the 'full and open' aspect suggests a competitive environment was still maintained.
Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for critical IT security services.
Public Impact
Ensures robust information systems security for the Department of State. Supports continuous operational readiness and proactive threat mitigation. Provides essential IT infrastructure protection for sensitive government data. Contributes to national security by safeguarding critical systems.
Waste & Efficiency Indicators
Waste Risk Score: 83 / 10
Warning Flags
- Potential for price creep in Time and Materials contracts.
- Dependence on a single contractor for critical security functions.
Positive Signals
- Long-term contract provides stability for security operations.
- Full and open competition generally leads to better value.
- Focus on proactive and consistent security support.
Sector Analysis
This contract falls under Computer Systems Design Services (NAICS 541512), a sector critical for government IT infrastructure. The $22.1 million award over nearly 7 years is substantial, reflecting the high demand and importance of cybersecurity for federal agencies.
Small Business Impact
The data does not indicate any specific provisions or set-asides for small businesses in this contract award. Further analysis would be needed to determine the extent of small business participation.
Oversight & Accountability
The award was made by the Department of State, indicating internal agency oversight. The duration and nature of the services suggest ongoing monitoring is required to ensure performance and value.
Related Government Programs
- Computer Systems Design Services
- Department of State Contracting
- Department of State Programs
Risk Flags
- Time and Materials contract type increases cost overrun risk.
- Potential for limited price discovery due to source exclusion.
- Long contract duration requires sustained oversight.
- Dependence on a single vendor for critical security functions.
Tags
computer-systems-design-services, department-of-state, dc, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of State awarded $22.1 million to OBXTEK INC. EFFECTIVE DAY-TO-DAY OPERATIONAL SUPPORT OF A CONSISTENT, COMPLETE AND PROACTIVE INFORMATION SYSTEMS SECURITY PROGRAM.
Who is the contractor on this award?
The obligated recipient is OBXTEK INC.
Which agency awarded this contract?
Awarding agency: Department of State (Department of State).
What is the total obligated amount?
The obligated amount is $22.1 million.
What is the period of performance?
Start: 2012-09-24. End: 2019-12-23.
What specific metrics are used to measure the effectiveness of the 'consistent, complete and proactive information systems security program' supported by this contract?
The contract likely relies on performance work statements (PWS) with defined metrics and key performance indicators (KPIs) to assess program effectiveness. These could include incident response times, vulnerability remediation rates, compliance adherence, and successful penetration test results. Regular reporting and reviews between the Department of State and OBXTEK INC would be crucial for monitoring and ensuring the program's proactive and consistent nature.
How does the 'exclusion of sources' in the competitive process potentially impact the overall cost-effectiveness for taxpayers?
While 'full and open competition' is a positive indicator, the 'exclusion of sources' could limit the number of bidders, potentially reducing the competitive pressure on pricing. If the excluded sources were highly capable or competitive, the government might not have achieved the lowest possible price. However, the exclusion might be based on specific technical requirements or past performance, ensuring only qualified vendors participated, which can also contribute to long-term value.
What is the risk associated with a Time and Materials contract type for such a critical and long-duration IT security service?
Time and Materials (T&M) contracts carry a higher risk of cost overruns compared to fixed-price contracts, as the government pays for labor hours and materials used. For critical IT security, this can be concerning if not managed tightly. Effective oversight, clear scope definition, and robust monitoring of labor hours and material costs are essential to mitigate this risk and ensure the $22.1 million award remains within budget and delivers expected value.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 5
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Address: 8300 BOONE BLVD STE 800, TYSONS CORNER, VA, 22182
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $31,482,993
Exercised Options: $22,142,253
Current Obligation: $22,142,220
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Parent Contract
Parent Award PIID: GS06F0539Z
IDV Type: GWAC
Timeline
Start Date: 2012-09-24
Current End Date: 2019-12-23
Potential End Date: 2019-12-23 00:00:00
Last Modified: 2020-09-09
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