Treasury's $46.8M mobile device management contract with Digital Management LLC awarded under full and open competition
Contract Overview
Contract Amount: $46,857,817 ($46.9M)
Contractor: Digital Management LLC
Awarding Agency: Department of the Treasury
Start Date: 2014-07-30
End Date: 2023-12-31
Contract Duration: 3,441 days
Daily Burn Rate: $13.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 7
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: IGF::CT::IGF FOR CRITICAL FUNCTIONS MOBILE DEVICE MANAGEMENT SOLUTION AND SERVICES (MDMSS)
Place of Performance
Location: BETHESDA, MONTGOMERY County, MARYLAND, 20817
State: Maryland Government Spending
Plain-Language Summary
Department of the Treasury obligated $46.9 million to DIGITAL MANAGEMENT LLC for work described as: IGF::CT::IGF FOR CRITICAL FUNCTIONS MOBILE DEVICE MANAGEMENT SOLUTION AND SERVICES (MDMSS) Key points: 1. Contract value of $46.8M over 9+ years suggests a significant investment in mobile device management. 2. Awarded via full and open competition, indicating a potentially competitive pricing environment. 3. Firm Fixed Price contract type helps mitigate cost overrun risks for the government. 4. The contract duration of over 9 years (3441 days) is substantial, requiring ongoing performance monitoring. 5. The North American Industry Classification System (NAICS) code 541519 points to a broad range of IT services. 6. The contract was awarded as a Delivery Order, suggesting it may be part of a larger indefinite-delivery/indefinite-quantity (IDIQ) vehicle.
Value Assessment
Rating: good
The contract's total value of $46.8M over more than 9 years averages approximately $5.1M annually. Benchmarking this against similar large-scale IT service contracts for mobile device management is challenging without more specific service details. However, the firm fixed-price nature of the award suggests that the pricing was determined upfront and should offer good value if the services meet expectations. The number of bids (7) indicates a reasonable level of interest, which can contribute to fair pricing.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded under full and open competition, meaning all responsible sources were permitted to submit bids. Seven bids were received, indicating a healthy level of interest from the market. This competitive process is generally expected to drive prices down and encourage innovation, leading to better value for the government.
Taxpayer Impact: The full and open competition ensures that taxpayer dollars are likely being used efficiently by fostering a competitive environment that can lead to more favorable pricing and service offerings.
Public Impact
Federal employees within the Department of the Treasury, specifically the Office of the Comptroller of the Currency, benefit from secure and managed mobile device access. The contract delivers essential mobile device management solutions and services, ensuring data security and operational efficiency for mobile workforces. The primary geographic impact is within Maryland, where the contractor is located. The contract supports IT professionals and potentially other roles involved in the deployment and management of mobile devices.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long contract duration (over 9 years) could lead to vendor lock-in or reduced flexibility if technology needs change significantly.
- Reliance on a single contractor for a critical function like MDM necessitates robust performance monitoring and contingency planning.
- The specific details of the 'services' provided are not fully elaborated, making a comprehensive assessment of scope creep risk difficult.
Positive Signals
- Firm Fixed Price contract type provides cost certainty and reduces the risk of budget overruns.
- Awarded through full and open competition, suggesting a competitive market influenced pricing.
- Multiple bidders (7) indicate market interest and potential for strong performance.
- The contract supports a critical function (mobile device management), indicating strategic importance for the agency.
Sector Analysis
The IT services sector, particularly within government contracting, is highly competitive. Mobile Device Management (MDM) is a crucial component of cybersecurity and IT infrastructure for federal agencies, enabling secure access to data and applications on mobile devices. Spending in this area has grown significantly as agencies adopt more mobile-first strategies. Comparable spending benchmarks would depend on the specific services and scale, but contracts in the multi-million dollar range over several years are common for comprehensive MDM solutions.
Small Business Impact
The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications or specific benefits to the small business ecosystem stemming from a set-aside. The primary contractor, Digital Management LLC, is likely a mid-to-large-sized business, and any subcontracting would be at their discretion to fulfill contract requirements.
Oversight & Accountability
The contract is subject to standard federal procurement oversight. As a firm fixed-price contract, oversight would focus on performance delivery and adherence to the Statement of Work. The Department of the Treasury's Office of the Comptroller of the Currency would be responsible for contract administration and performance monitoring. While no specific Inspector General (IG) jurisdiction is mentioned, the Treasury IG typically oversees agency spending and operations, including IT contracts, to ensure accountability and prevent waste, fraud, and abuse.
Related Government Programs
- General Services Administration (GSA) IT Schedule contracts
- Department of Defense (DoD) Enterprise Mobile Solutions
- Cybersecurity and Information Security Services
- Cloud Computing Services
- IT Managed Services
Risk Flags
- Long contract duration may lead to technological obsolescence.
- Performance monitoring is critical due to the extended period.
- Potential for vendor lock-in.
Tags
it-services, mobile-device-management, department-of-the-treasury, office-of-the-comptroller-of-the-currency, firm-fixed-price, full-and-open-competition, delivery-order, maryland, cybersecurity, it-infrastructure, digital-management-llc
Frequently Asked Questions
What is this federal contract paying for?
Department of the Treasury awarded $46.9 million to DIGITAL MANAGEMENT LLC. IGF::CT::IGF FOR CRITICAL FUNCTIONS MOBILE DEVICE MANAGEMENT SOLUTION AND SERVICES (MDMSS)
Who is the contractor on this award?
The obligated recipient is DIGITAL MANAGEMENT LLC.
Which agency awarded this contract?
Awarding agency: Department of the Treasury (Office of the Comptroller of the Currency).
What is the total obligated amount?
The obligated amount is $46.9 million.
What is the period of performance?
Start: 2014-07-30. End: 2023-12-31.
What is the track record of Digital Management LLC in delivering similar mobile device management solutions to federal agencies?
Assessing the track record of Digital Management LLC requires a deeper dive into their past performance on federal contracts, particularly those involving mobile device management solutions and services. While this specific contract award indicates they were selected, it doesn't detail their performance history. Information on past performance, including client satisfaction, adherence to schedules, and quality of deliverables, is typically available through sources like the Federal Procurement Data System (FPDS) or agency-specific performance evaluation systems. Without access to these detailed performance records, it's difficult to definitively assess their reliability and expertise in this domain beyond their ability to win this particular contract.
How does the average annual cost of this contract compare to similar mobile device management contracts awarded by other federal agencies?
The average annual cost for this contract is approximately $5.1 million ($46.8M / 9+ years). To benchmark this effectively, one would need to compare it against contracts for similar scope, scale, and service complexity from other agencies. Factors such as the number of users supported, the types of devices managed (iOS, Android, Windows), the security features implemented (e.g., encryption, remote wipe), and the level of support provided (e.g., 24/7 helpdesk) significantly influence pricing. A comprehensive comparison would involve analyzing data from FPDS or specialized IT procurement databases to identify comparable contracts and their associated costs, adjusting for differences in service offerings and contract duration.
What are the primary risks associated with a contract of this duration and scope for mobile device management?
A significant risk with a contract spanning over nine years for mobile device management is technological obsolescence. The mobile technology landscape evolves rapidly, and a solution implemented today might be outdated or less efficient by the end of the contract term. Another risk is vendor lock-in, where the agency becomes heavily reliant on Digital Management LLC's proprietary systems or processes, making it difficult and costly to switch providers. Performance degradation over time is also a concern, necessitating continuous monitoring and clear performance metrics. Furthermore, changes in federal cybersecurity mandates or data privacy regulations could require significant contract modifications or adjustments, potentially impacting cost and scope.
How effective has Digital Management LLC been in meeting the performance requirements of this contract since its award in 2014?
Evaluating the effectiveness of Digital Management LLC in meeting the performance requirements of this contract since its 2014 award requires access to performance reports, contract modifications, and potentially feedback from the Office of the Comptroller of the Currency's contracting officers and end-users. As this is a delivery order, it implies ongoing service delivery. Key performance indicators (KPIs) would likely include device uptime, security compliance rates, incident response times, and user satisfaction. Without specific performance data or official evaluations, it's impossible to provide a definitive assessment of their effectiveness. Agencies typically maintain internal records of contractor performance, which inform future contracting decisions.
What has been the total federal spending on mobile device management solutions over the past five fiscal years, and how does this contract fit into that trend?
Total federal spending on mobile device management (MDM) solutions has generally trended upwards over the past five fiscal years, driven by the increasing adoption of mobile technologies and the critical need for enhanced cybersecurity. Agencies across various departments are investing in MDM to secure sensitive data on smartphones and tablets used by federal employees. This specific contract, awarded in 2014 and ending in 2023, represents a significant, long-term investment by the Treasury Department within this broader trend. While its $46.8M value is substantial for a single contract, it reflects the ongoing agency-level commitment to managing and securing its mobile assets in an evolving threat landscape.
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
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 7
Pricing Type: FIRM FIXED PRICE (J)
Contractor Details
Address: 6550 ROCK SPRING DR, BETHESDA, MD, 20817
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Not Designated a Small Business, Subchapter S Corporation, Indian (Subcontinent) American Owned Business
Financial Breakdown
Contract Ceiling: $46,914,313
Exercised Options: $46,857,817
Current Obligation: $46,857,817
Actual Outlays: $23,234,775
Subaward Activity
Number of Subawards: 1
Total Subaward Amount: $138,544
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: GS35F0854N
IDV Type: FSS
Timeline
Start Date: 2014-07-30
Current End Date: 2023-12-31
Potential End Date: 2023-12-31 00:00:00
Last Modified: 2026-01-20
More Contracts from Digital Management LLC
- "vanguard 2.1" IT Help Desk and Desktop Support Services — $257.4M (Department of State)
- Aples Base Task Order - Base Period. POP: 1/1/13-12/31/13 Itar: AAP: Spend Plan: SEE Spend Plan Numbers Individual Items Listed Below. Igf::cl,Ct::igf — $115.4M (Department of Homeland Security)
- Aples Idiq Task Order 0001 — $100.3M (Department of Homeland Security)
- Interactive Personnel Electronic Records Management System Support Services Igf::ot::igf — $69.4M (Department of Defense)
- Cost Plus Fixed FEE Labor — $52.8M (Department of Defense)
Other Department of the Treasury Contracts
- Advertising Services — $636.5M (True North Communications Inc)
- Cade 2 Ltis3 Covid-19 — $383.8M (Deloitte Consulting LLP)
- Establish a Broad Networking and Telecommunications Service Environment to Meet ITS Network Services (wide Area and Local Area Network), Voice Telecommunications Services, Audio/Video/Web Conferencing, and Cyber Requirements — $320.2M (AT&T Enterprises, LLC)
- THE Internal Revenue Service (IRS), Office of Information Technology Office, Issues This Order Under GSA Alliant 2 (unrestricted). Enterprise Case Management (ECM) Solution Integration Services — $305.5M (Booz Allen Hamilton Inc)
- THE Tfcceis Task Order IS to Transition the Existing Tfcc Services From the Networx Contract Onto the EIS Contract Vehicle in a Manner That Will Enable Continuity of an Enterprise Network of Toll Free Services for the IRS — $264.6M (Verizon Business Network Services LLC)