SEC Spends $14.8M on Online Services from RELX Inc. via Non-Competitive Delivery Order
Contract Overview
Contract Amount: $14,784,218 ($14.8M)
Contractor: Relx Inc.
Awarding Agency: Securities and Exchange Commission
Start Date: 2006-10-01
End Date: 2012-11-13
Contract Duration: 2,235 days
Daily Burn Rate: $6.6K/day
Competition Type: NON-COMPETITIVE DELIVERY ORDER
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: ENHANCED FULL-TEXT, ONE-STOP ONLINE INFORMATIONAL SERVICES AND MANAGEMENT TOOLS VIA THE INTERNET.
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20036
Plain-Language Summary
Securities and Exchange Commission obligated $14.8 million to RELX INC. for work described as: ENHANCED FULL-TEXT, ONE-STOP ONLINE INFORMATIONAL SERVICES AND MANAGEMENT TOOLS VIA THE INTERNET. Key points: 1. Significant spending on information services highlights reliance on external vendors. 2. Non-competitive award raises questions about price discovery and potential cost savings. 3. Long contract duration (2006-2012) suggests a stable, ongoing need for these services. 4. The $14.8M expenditure represents a substantial investment in digital information management.
Value Assessment
Rating: questionable
The total award of $14.8 million over approximately six years for online informational services appears high, especially given the non-competitive nature of the award. Without comparable contracts or detailed service breakdowns, it's difficult to definitively assess value for money.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This was a non-competitive delivery order, meaning the Securities and Exchange Commission did not solicit bids from multiple vendors. This method limits price discovery and may result in higher costs than if competition had been employed.
Taxpayer Impact: Taxpayers may have overpaid due to the lack of competition, as the agency did not explore potentially more cost-effective alternatives.
Public Impact
Citizens rely on the SEC for transparent financial market information; the cost of providing this impacts public trust. Government efficiency in procuring essential services directly affects the taxpayer's financial burden. The use of non-competitive contracts can limit opportunities for small and diverse businesses.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Non-competitive award
- High total contract value
- Lack of clear performance metrics in provided data
Positive Signals
- Essential service provision
- Long-term vendor relationship
Sector Analysis
The procurement falls within the Information Technology (IT) sector, specifically focusing on online informational services and management tools. Benchmarking IT service contracts can be complex due to varying scopes and technologies, but significant investments are common for agencies requiring extensive data management.
Small Business Impact
The non-competitive nature of this award suggests that small businesses were unlikely to have had an opportunity to compete for this contract. Agencies should strive to ensure small businesses have fair access to government contracts.
Oversight & Accountability
The non-competitive award warrants further oversight to ensure the SEC obtained fair pricing and that the services provided were essential and effectively delivered. Accountability for sole-source procurements is crucial.
Related Government Programs
- Securities and Exchange Commission Contracting
- Securities and Exchange Commission Programs
Risk Flags
- Lack of competition
- Potential for overpayment
- Limited transparency on service details
- Long contract duration without clear competition
Tags
securities-and-exchange-commission, dc, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Securities and Exchange Commission awarded $14.8 million to RELX INC.. ENHANCED FULL-TEXT, ONE-STOP ONLINE INFORMATIONAL SERVICES AND MANAGEMENT TOOLS VIA THE INTERNET.
Who is the contractor on this award?
The obligated recipient is RELX INC..
Which agency awarded this contract?
Awarding agency: Securities and Exchange Commission (Securities and Exchange Commission).
What is the total obligated amount?
The obligated amount is $14.8 million.
What is the period of performance?
Start: 2006-10-01. End: 2012-11-13.
Was the non-competitive award justified by unique capabilities or an emergency situation?
The provided data does not specify the justification for the non-competitive delivery order. Typically, sole-source or non-competitive awards require a documented justification, such as unique capabilities possessed by only one vendor, an urgent need that precludes competition, or a follow-on contract where competition is not feasible. Further investigation into the SEC's procurement records would be needed to confirm the rationale.
What specific 'informational services and management tools' were provided, and how did they benefit the SEC's mission?
The data describes the service broadly as 'ENHANCED FULL-TEXT, ONE-STOP ONLINE INFORMATIONAL SERVICES AND MANAGEMENT TOOLS VIA THE INTERNET.' Without more detail, it's presumed these services relate to accessing, managing, and disseminating financial and regulatory information critical to the SEC's mission of enforcing federal securities laws and regulating the securities industry.
Could similar services have been procured at a lower cost through competitive bidding or alternative solutions?
It is highly probable that competitive bidding could have yielded a lower cost. By not exploring the market, the SEC missed the opportunity to leverage competition to drive down prices and potentially find vendors offering superior value or innovative solutions. The lack of competition makes it impossible to determine the true market price for these services.
Competition & Pricing
Extent Competed: NON-COMPETITIVE DELIVERY ORDER
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Reed Elsevier Group PLC (UEI: 230792756)
Address: 9393 SPRINGBORO PIKE, MIAMISBURG, OH, 10
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $14,784,218
Exercised Options: $14,784,218
Current Obligation: $14,784,218
Parent Contract
Parent Award PIID: GS02F0048M
IDV Type: FSS
Timeline
Start Date: 2006-10-01
Current End Date: 2012-11-13
Potential End Date: 2012-11-13 00:00:00
Last Modified: 2012-11-13
More Contracts from Relx Inc.
- Lexusnexis Promonitor Subscription — $44.7M (Department of Defense)
- THE FBI Requires Data Including Information on People, Real Estate, News Sources, and Legal Sources From Lexisnexis to BE Able to Support ITS Mission — $22.6M (Department of Justice)
- External Validation Services/Lexisnexis for a Base Year and 4 One-Year Options — $15.3M (Department of State)
- Subscription to a Legal Research Platform Including Full Text News, a Public Records Database, Court Docket Files, and a Disclosure Research Database — $12.5M (Securities and Exchange Commission)
- This IS a Renewal of an Annual Subscription to the Lexis, Courtlink, and Accurint Databases. Base Year, With 4 Option Years — $11.4M (Social Security Administration)
Other Securities and Exchange Commission Contracts
- Infrastructure Support Services (ISS) Igf::ot::igf — $461.3M (General Dynamics Information Technology, Inc.)
- Information Systems Testing and Compliance Support Services — $185.5M (Booz Allen Hamilton Inc)
- SEC Enterprise Edgar System Support Services — $159.5M (Maximus Federal Consulting, LLC)
- Reconstructed the Corrupted Fssp Conversion Document — $158.0M (Amentum Services, Inc.)
- FOR Other Functions Operations and Maintenance Support for Software Applications — $150.9M (Maximus Federal Consulting, LLC)