SSA Spends $22.3M on HP Workstations via BPA, Full and Open Competition
Contract Overview
Contract Amount: $22,293,700 ($22.3M)
Contractor: HP Inc.
Awarding Agency: Social Security Administration
Start Date: 2011-09-26
End Date: 2012-09-26
Contract Duration: 366 days
Daily Burn Rate: $60.9K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: SS00-08-40039 WORKSTATION REFRESHMENT (HP DC7800S)-HW
Place of Performance
Location: BETHESDA, MONTGOMERY County, MARYLAND, 20817
State: Maryland Government Spending
Plain-Language Summary
Social Security Administration obligated $22.3 million to HP INC. for work described as: SS00-08-40039 WORKSTATION REFRESHMENT (HP DC7800S)-HW Key points: 1. Significant investment in IT hardware for workstation refresh. 2. Competition was full and open, suggesting potential for competitive pricing. 3. Contract awarded via Blanket Purchase Agreement (BPA) under a larger contract. 4. Focus on IT hardware procurement within the federal sector.
Value Assessment
Rating: good
The total award amount of $22.3M for 366 days appears reasonable for a large-scale workstation refresh. Benchmarking against similar large IT hardware procurements would provide further validation.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which typically drives competitive pricing. The use of a BPA suggests it was established under a pre-existing contract vehicle, potentially streamlining the process.
Taxpayer Impact: The use of full and open competition is generally favorable for taxpayers, as it aims to secure the best value through market forces.
Public Impact
Ensures federal employees have up-to-date computing resources. Supports agency operations by providing reliable hardware. Potential for cost savings through competitive bidding.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited duration of the contract (366 days) may necessitate future refresh cycles.
- Reliance on a single vendor (HP) for hardware.
Positive Signals
- Full and open competition utilized.
- Awarded under a BPA, indicating potential for efficiency.
Sector Analysis
This procurement falls within the IT hardware sector, specifically workstation refreshment. Federal IT spending benchmarks vary widely, but large-scale hardware refreshes represent a significant portion of agency IT budgets.
Small Business Impact
The data does not indicate specific participation or set-asides for small businesses in this particular BPA call. Further analysis of the underlying contract vehicle would be needed.
Oversight & Accountability
The award was made by the Social Security Administration, indicating internal agency oversight. The use of a BPA implies adherence to the terms of the parent contract.
Related Government Programs
- Computer and Computer Peripheral Equipment and Software Merchant Wholesalers
- Social Security Administration Contracting
- Social Security Administration Programs
Risk Flags
- Lack of per-unit cost data for benchmarking.
- Short contract duration may lead to frequent future procurements.
- Potential for vendor lock-in if future refreshes follow the same path.
- Limited insight into specific performance metrics and SLAs.
Tags
computer-and-computer-peripheral-equipme, social-security-administration, md, bpa, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Social Security Administration awarded $22.3 million to HP INC.. SS00-08-40039 WORKSTATION REFRESHMENT (HP DC7800S)-HW
Who is the contractor on this award?
The obligated recipient is HP INC..
Which agency awarded this contract?
Awarding agency: Social Security Administration (Social Security Administration).
What is the total obligated amount?
The obligated amount is $22.3 million.
What is the period of performance?
Start: 2011-09-26. End: 2012-09-26.
What was the average cost per workstation, and how does it compare to market rates for similar business-class machines at the time of award?
The total award was $22,293,700.35 over 366 days for an unspecified number of workstations. Without the quantity, a precise per-unit cost cannot be calculated. However, if we assume a significant number, like 5,000 units, the cost would be approximately $4,458 per workstation, which would be high for standard business machines. A lower quantity would yield a more reasonable per-unit cost. A detailed breakdown is needed for accurate benchmarking.
What were the key performance requirements and service level agreements associated with these workstations, and how were they monitored?
The provided data does not detail specific performance requirements or service level agreements (SLAs) for the workstations. Typically, such contracts would include specifications on processing power, memory, storage, warranty, and support response times. Monitoring would likely involve agency IT asset management systems and vendor performance reports against the contract's terms.
Were there any post-award modifications or change orders that significantly altered the scope or cost of this workstation refreshment?
The provided data represents the initial award information and does not include details on post-award modifications or change orders. To assess the full lifecycle cost and any deviations from the original plan, a review of contract modification history would be necessary.
Industry Classification
NAICS: Wholesale Trade › Professional and Commercial Equipment and Supplies Merchant Wholesalers › Computer and Computer Peripheral Equipment and Software Merchant Wholesalers
Product/Service Code: INFORMATION TECHNOLOGY EQUIPMENT (INCLD FIRMWARE) SOFTWARE,SUPPLIES& SUPPORT EQUIPMENT
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: HP, Inc. (UEI: 009122532)
Address: 13600 EDS DRIVE, HERNDON, VA, 11
Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $22,293,700
Exercised Options: $22,293,700
Current Obligation: $22,293,700
Contract Characteristics
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: SS000840039
IDV Type: BPA
Timeline
Start Date: 2011-09-26
Current End Date: 2012-09-26
Potential End Date: 2012-09-26 00:00:00
Last Modified: 2012-09-29
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