Treasury's IRS Spends $31.1M on Cybersecurity Support Services via Full and Open Competition

Contract Overview

Contract Amount: $31,122,167 ($31.1M)

Contractor: Blue Canopy Group, LLC

Awarding Agency: Department of the Treasury

Start Date: 2014-12-12

End Date: 2019-12-11

Contract Duration: 1,825 days

Daily Burn Rate: $17.1K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: IGF::CT::IGF GOVERNMENT SECURITY OPERATIONS CENTER II CYBERSECURITY SUPPORT SERVICES

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20220

State: District of Columbia Government Spending

Plain-Language Summary

Department of the Treasury obligated $31.1 million to BLUE CANOPY GROUP, LLC for work described as: IGF::CT::IGF GOVERNMENT SECURITY OPERATIONS CENTER II CYBERSECURITY SUPPORT SERVICES Key points: 1. The contract awarded to BLUE CANOPY GROUP, LLC for cybersecurity support services represents a significant investment in government security operations. 2. Competition was conducted under a 'full and open competition after exclusion of sources' model, suggesting a deliberate selection process. 3. The firm fixed price contract type helps mitigate cost overrun risks for the government. 4. The sector is IT, specifically Other Computer Related Services, a critical area for federal agencies.

Value Assessment

Rating: good

The total award amount of $31.1M over five years for cybersecurity support services appears reasonable given the scope and duration. Benchmarking against similar large-scale cybersecurity contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract utilized 'full and open competition after exclusion of sources,' indicating a competitive process that aimed to solicit proposals from a broad range of qualified vendors. This method generally promotes price discovery and ensures fair market value.

Taxpayer Impact: The competitive nature of the award suggests that taxpayer funds were likely used efficiently, with the government securing services at a negotiated price.

Public Impact

Enhanced cybersecurity posture for the Internal Revenue Service, protecting sensitive taxpayer data. Support for critical government operations through specialized IT services. Potential for improved threat detection and response capabilities. Ensuring the continuity of essential IRS functions.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the IT sector, specifically focusing on cybersecurity support services. Spending in this area is crucial for federal agencies to protect against evolving cyber threats. Benchmarks for similar cybersecurity support contracts vary widely based on scope and complexity.

Small Business Impact

The provided data does not indicate whether small businesses were involved as subcontractors or prime contractors. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

Oversight would typically involve regular performance reviews by the IRS contracting officer and potentially program managers to ensure the contractor meets all requirements and deliverables. The firm fixed price nature of the contract simplifies some aspects of financial oversight.

Related Government Programs

Risk Flags

Tags

other-computer-related-services, department-of-the-treasury, dc, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of the Treasury awarded $31.1 million to BLUE CANOPY GROUP, LLC. IGF::CT::IGF GOVERNMENT SECURITY OPERATIONS CENTER II CYBERSECURITY SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is BLUE CANOPY GROUP, LLC.

Which agency awarded this contract?

Awarding agency: Department of the Treasury (Internal Revenue Service).

What is the total obligated amount?

The obligated amount is $31.1 million.

What is the period of performance?

Start: 2014-12-12. End: 2019-12-11.

What specific cybersecurity threats does this contract aim to mitigate for the IRS?

While the data doesn't specify, cybersecurity support services typically address a range of threats including malware, phishing, ransomware, data breaches, insider threats, and denial-of-service attacks. The contract likely focuses on protecting IRS infrastructure, sensitive taxpayer information, and ensuring the integrity of financial systems against these evolving risks.

How does the 'exclusion of sources' in the competition impact the overall value for taxpayers?

Excluding sources, even in a full and open competition, can limit the pool of potential bidders. If the exclusion was based on specific, justifiable requirements (e.g., security clearances, specialized expertise), it could lead to a more tailored and effective solution. However, if arbitrary, it might reduce competition and potentially increase costs for taxpayers.

What are the key performance indicators (KPIs) used to measure the effectiveness of these cybersecurity services?

Key performance indicators for cybersecurity support services often include metrics like incident response time, threat detection rates, vulnerability remediation timelines, system uptime, and compliance with security standards. Without the full contract details, these specific KPIs cannot be identified, but they are crucial for assessing the contractor's effectiveness and value.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesOther Computer Related Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONSADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: TTN 4182

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Pae-Parsons Global Logistics Services, LLC

Address: 11710 PLAZA AMERICA DR STE 950, RESTON, VA, 20190

Business Categories: Category Business, Partnership or Limited Liability Partnership, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business

Financial Breakdown

Contract Ceiling: $35,328,442

Exercised Options: $35,328,442

Current Obligation: $31,122,167

Actual Outlays: $1,265,238

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: TIRNO11D00047

IDV Type: IDC

Timeline

Start Date: 2014-12-12

Current End Date: 2019-12-11

Potential End Date: 2019-12-11 00:00:00

Last Modified: 2025-09-24

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